Sep 10, 2026 earnings call — Acquisition of ACV and Q4 results
Copart agreed to acquire ACV, which sells more than 800 thousand vehicles each year.
Revenue $1.2B (est $1.1B) · EPS $0.35 (est $0.38)
Key quotes
"ACV sells more than 800 thousand vehicles, each year, and importantly, operates with virtually no land of its own."
"Fourth quarter revenue grew 11.7% to $222.1 million. The primary source of growth was service revenues, up 15% for the quarter and 12.4% for the year."
"But I think even more important is using AI to create more demand for the vehicles that we are selling."
Analyst Q&A 6
ACV fit with Copart culture and brands
Q (Bob Labick · CJS): He asked how ACV's culture fits with Copart and whether both brands will be kept. He also asked how growing whole-car liquidity will help insurance customers over time.
A: Management said ACV's team has a similar scrappy, startup-like and friendly culture and will fit in well with Copart. They will keep both brands and integrate buyer liquidity so buyers are available on both platforms. They also said Copart logistics and ACV's buyer base will improve returns and international flows.
"We are going to integrate buyers. We are gonna integrate the liquidity of the buyers so that they are available on both platforms." — A. Jayson Adair (CEO·CHAIR)
Where to invest in ACV; cost plan
Q (Craig Kennison · Baird): He asked where Copart will invest to grow ACV—people, tech, facilities, financing, or reconditioning. He also asked how management will address the 12% rise in operating cost per vehicle and any customer uncertainty.
A: Management said investments will focus on training, dedicating facility space for ACV, and technology to connect buyers to both products. On costs, they said they have identified the issue and are focused on reducing cost and leveraging fixed costs as volumes grow. They also said there is no ongoing drama with customers and relationships look positive.
"So you will see a continued investment in ACV as well as Copart on tech and making tech that enables the buyer to come in and access both products." — A. Jayson Adair (CEO·CHAIR)
Future M&A and international growth
Q (Chris Bottiglieri · BNP Paribas): He asked whether buying ACV stops Copart from doing other large acquisitions and whether Copart is eyeing SaaS or data targets. He also asked if Copart will deepen existing international markets or enter new ones.
A: Management said this deal does not prevent future acquisitions and they still have cash on the balance sheet for deals that make strategic sense. They said they will consider targets that fit Copart and add value. On international, they said current international markets are profitable and they plan to both deepen existing markets and expand into new countries.
"No, I do not think this prohibits us from doing any future acquisitions." — A. Jayson Adair (CEO·CHAIR)
Deal protections and whole-car strategy
Q (John Healy · Northcoast): He asked about transaction guardrails like breakup fees or a GoShop and whether filings disclose them. He also asked what Copart learned from past whole-car efforts and what ACV adds.
A: Management said as a public company some protections like GoShop or breakup fees exist and the details are in the public filings. They said ACV is a different product than Copart and that difference—how vehicles are inventoried and condition-reported—helps reach franchise dealers and higher-end trades, opening more vehicle opportunities.
"An ACV is a different product than Copart." — A. Jayson Adair (CEO·CHAIR)
Pricing behavior and repo business
Q (Bret Jordan · Jefferies): He asked whether pricing on the insurance side is becoming rational or if competitors cut price to gain volume. He also asked if Copart could expand into repossession services with ACV's bank ties and real estate.
A: Management said there are two options: generate liquidity to get returns or cut prices; Copart will focus on improving liquidity and does not need to cut pricing. They said they did not buy a repo business and they will not do repossession work, but they like selling repos and will bring repo cars in to auction.
"We did not we did not buy a repo business." — A. Jayson Adair (CEO·CHAIR)
Using locations for dealer and commercial business; Europe
Q (Jeff Licht · Stephens): He asked if Copart's real estate can boost ACV's dealer products as well as commercial repos and if physical locations help retailing or storing cars. He also asked about the Germany model and whether current international growth is sustainable.
A: Management said ACV sold over 800 thousand+ cars, mostly at dealerships, and physical locations will help both dealer needs (moving or storing vehicles) and the commercial repo side, since repos must be brought to Copart for sale. On Europe, they said some markets follow the U.S. model and some the German model, and they have the German model figured out and will expand across Europe. They declined to give growth guidance but said they will grow those markets.
"They built an amazing business selling over 800 thousand+ cars, of which the majority are sold at the dealership." — A. Jayson Adair (CEO·CHAIR)