crmt-20250731

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended July 31, 2025

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ________ to ________

Commission file number: 0-14939

AMERICA’S CAR-MART, INC.

(Exact name of registrant as specified in its charter)


Texas			63-0851141
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

1805 North 2nd Street, Suite 401, Rogers, Arkansas 72756

(Address of principal executive offices) (zip code)

(479) 464-9944

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $0.01 per share	CRMT	NASDAQ Global Select Market

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer o

Smaller reporting company

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.


Title of Each Class			Outstanding at September 4, 2025
Common Stock, par value $0.01 per share			8,278,194

Table of Contents

AMERICA’S CAR-MART, INC.

TABLE OF CONTENTS


			Page No.
PART I.	FINANCIAL INFORMATION
	Item 1.	Financial Statements	4
		Condensed Consolidated Balance Sheets (Unaudited) – July 31, 202 5 and April 30, 2025	4
		Condensed Consolidated Statements of Operations (Unaudited) – Three Months Ended July 31, 202 5 and 2024	5
		Condensed Consolidated Statements of Cash Flows (Unaudited) – Three Months Ended July 31, 202 5 and 2024	6
		Condensed Consolidated Statements of Equity (Unaudited) – Three Months Ended July 31, 2025	7
		Condensed Consolidated Statements of Equity (Unaudited) – Three Months Ended July 31, 2024	8
		Notes to Consolidated Financial Statements (Unaudited)	9
	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	33
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	43
	Item 4.	Controls and Procedures	43

PART II.	OTHER INFORMATION
	Item 1.	Legal Proceedings	45
	Item 1A.	Risk Factors	45
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	45
	Item 3.	Defaults Upon Senior Securities	45
	Item 4.	Mine Safety Disclosure	45
	Item 5.	Other Information	45
	Item 6.	Exhibits	46

SIGNATURES			47

Table of Contents

Part I. FINANCIAL INFORMATION


Item 1. Financial Statements			America’s Car-Mart, Inc.

Condensed Consolidated Balance Sheets (Unaudited)

July 31, 2025 and April 30, 2025


(Dollars in thousands except share and per share amounts)	July 31, 2025		April 30, 2025
Assets:	(Unaudited)
Cash and cash equivalents	$	9,666	$	9,808
Restricted cash	111,761		114,729
Accrued interest on finance receivables	8,145		7,432
Finance receivables, net of allowance for credit losses of $326,070 and $323,100	1,183,452		1,180,673
Inventory	112,451		112,229
Income tax receivable, net	805		—
Prepaid expenses and other assets	39,236		38,082
Right-of-use asset	63,560		63,825
Goodwill	23,695		22,802
Property and equipment, net	55,203		56,894
Total Assets	$	1,607,974	$	1,606,474

Liabilities, mezzanine equity and equity:
Liabilities:
Accounts payable	$	33,977	$	34,980
Deferred accident protection plan revenue	50,881		51,458
Deferred service contract revenue	61,332		61,787
Accrued liabilities	46,607		35,949
Income tax payable, net	—		1,451
Deferred income tax liabilities, net	7,754		7,146
Lease liability	66,948		67,002
Notes payable, net	610,750		572,010
Revolving line of credit, net	164,394		204,769
Total liabilities	1,042,643		1,036,552

Commitments and contingencies (Note K)

Mezzanine equity:
Mandatorily redeemable preferred stock	400		400

Equity:
Preferred stock, par value $0.01 per share, 1,000,000 shares authorized; none issued or outstanding	-		-
Common stock, par value $0.01 per share, 50,000,000 shares authorized; 15,621,456 and 15,605,818 issued at July 31, 2025 and April 30, 2025, respectively, of which 8,277,613 and 8,263,280 were outstanding at July 31, 2025 and April 30, 2025, respectively	156		156
Additional paid-in capital	196,451		195,225
Retained earnings	666,515		672,261
Less: Treasury stock, at cost, 7,343,843 and 7,342,538 shares at July 31, 2025 and April 30, 2025, respectively	(298,291)		(298,220)
Total stockholders' equity	564,831		569,422
Non-controlling interest	100		100
Total equity	564,931		569,522

Total Liabilities, Mezzanine Equity and Equity	$	1,607,974	$	1,606,474

The accompanying notes are an integral part of these condensed consolidated financial statements.

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Condensed Consolidated Statements of Operations (Unaudited)			America’s Car-Mart, Inc.

Three Months Ended July 31, 2025 and 2024


	Three Months Ended July 31,
(Dollars in thousands except share and per share amounts)	2025		2024
Revenues:	(Unaudited)
Sales	$	276,240	$	287,248
Interest and other income	65,072		60,515

Total revenues	341,312		347,763

Costs and expenses:
Cost of sales	175,080		186,570
Selling, general and administrative	51,408		46,711
Provision for credit losses	103,036		95,423
Interest expense	17,042		18,312
Depreciation and amortization	2,139		1,884
Loss on disposal of property and equipment	9		46
Total costs and expenses	348,714		348,946

Loss before taxes	(7,402)		(1,183)

Benefit for income taxes	(1,666)		(219)

Net loss	$	(5,736)	$	(964)

Less: Dividends on mandatorily redeemable preferred stock	(10)		(10)

Net loss attributable to common stockholders	$	(5,746)	$	(974)

Loss per share:
Basic	$	(0.69)	$	(0.15)
Diluted	$	(0.69)	$	(0.15)

Weighted average number of shares used in calculation:
Basic	8,274,054		6,396,757
Diluted	8,274,054		6,396,757

The accompanying notes are an integral part of these condensed consolidated financial statements.

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Condensed Consolidated Statements of Cash Flows (Unaudited)			America’s Car-Mart, Inc.

Three Months Ended July 31, 2025 and 2024


	Three Months Ended July 31,
(In thousands)	2025		2024
	(Unaudited)
Operating Activities:
Net loss	$	(5,736)	$	(964)
Adjustments to reconcile net loss to net cash used in operating activities:

Provision for credit losses	103,036		95,423
Losses on claims for accident protection plan	8,595		9,321
Depreciation and amortization	2,139		1,884
Amortization of debt issuance costs	1,269		1,265
Gain on disposal of property and equipment	(9)		-
Impairment of goodwill	14		46

Stock based compensation	1,157		1,324
Deferred income taxes	608		(943)

Change in operating assets and liabilities:
Finance receivable originations	(262,746)		(271,756)

Finance receivable collections	118,720		112,358
Accrued interest on finance receivables	(713)		(600)
Inventory	28,618		25,603
Prepaid expenses and other assets	(787)		(2,332)
Accounts payable and accrued liabilities	3,205		11,466
Deferred accident protection plan revenue	(578)		205
Deferred service contract revenue	(455)		707
Income taxes, net	(2,255)		2,021
Net cash used in operating activities	(5,918)		(14,972)



Investing Activities:
Purchase of investments	-		(7,527)
Purchase of property and equipment	(459)		(986)
Proceeds from sale of property and equipment	20		-
Net cash used in investing activities	(439)		(8,513)

Financing Activities:

Issuance of common stock	69		76
Purchase of common stock	(71)		(24)
Dividend payments	(10)		(10)
Change in cash overdrafts	6,162		989
Debt issuance costs	(1,708)		(1,387)
Issuances of notes payable	216,000		149,889
Payments on notes payable	(177,499)		(106,076)
Proceeds from revolving line of credit	158,571		136,000
Payments on revolving line of credit	(198,267)		(151,798)
Net cash provided by financing activities	3,247		27,659

(Decrease) increase in cash, cash equivalents, and restricted cash	(3,110)		4,174
Cash, cash equivalents, and restricted cash beginning of period

SEC Form 10-Q filed by America's Car-Mart Inc