CarMax Inc (KMX)

Net profit margin

		Feb 29, 2024	Feb 28, 2023	Feb 28, 2022	Feb 28, 2021	Feb 29, 2020
Net income	US$ in thousands	479,204	484,762	1,151,300	746,919	888,433
Revenue	US$ in thousands	26,536,000	29,684,900	31,900,400	18,950,100	20,320,000
Net profit margin		1.81%	1.63%	3.61%	3.94%	4.37%

February 29, 2024 calculation

Net profit margin = Net income ÷ Revenue
= $479,204K ÷ $26,536,000K
= 1.81%

CarMax Inc's net profit margin has shown a declining trend over the past five fiscal years. The net profit margin decreased from 4.37% in February 2020 to 1.81% in February 2024. This indicates that the company's profitability, in relation to its revenue, has been decreasing over this period. Various factors such as changes in expenses, pricing strategy, or competitive pressures could have contributed to this decline. It is essential for the company to closely monitor and manage its costs and revenue generation strategies to improve its net profit margin in the future.