America's Car-Mart Reports Diluted Earnings per Share of $.61 on Revenue Increase of 10.2% to $121 Million

America's Car-Mart Reports Diluted Earnings per Share of $.61 on Revenue
Increase of 10.2% to $121 Million

BENTONVILLE, Ark., Nov. 19, 2013 (GLOBE NEWSWIRE) -- America's Car-Mart, Inc.
(Nasdaq:CRMT) today announced its operating results for the second quarter of
fiscal 2014.

Highlights of second quarter operating results:

  *Net income of $5.8 million - $.61 per diluted share vs. $.76 per diluted
    share for prior year quarter
  *Revenues of $121 million compared to $110 million for the prior year
    quarter with same store revenue increase of 3.8%
  *Retail unit sales increase of 8.1% to 10,608 from 9,814 for the prior year
    quarter with 27.6 retail units sold per dealership per month down from
    28.2 for prior year quarter
  *Average retail sales price increased $195 to $9,710 or 2.0% from the prior
    year quarter and decreased $126 or 1.3% sequentially
  *Net charge-offs as a percent of average finance receivables of 6.9%, up
    from 6.5% for prior year quarter
  *Provision for credit losses of 26.3% of sales vs. 24.1% for prior year
    quarter
  *Selling, General and Administrative Expenses at 18.2% of sales vs. 17.7%
    for prior year quarter
  *Opened three new dealerships during the quarter - dealership count now at
    129
  *Active accounts base now over 60,000
  *Debt to equity of 47.0% and debt to finance receivables of 26.1%
  *Allowance for credit losses at 21.5% of finance receivables at October 31,
    2013

Highlights of six month operating results:

  *Net income of $13.3 million or $1.40 per diluted share vs. $1.59 per
    diluted share for prior year period
  *Revenue increase of 10.8% to $244 million from $220 million for the prior
    year period with same store revenue growth of 4.6%
  *Retail unit sales increase of 8.6% to 21,251 from 19,567 for the prior
    year period
  *Net Charge-offs as a percentage of average finance receivables of 13.1%
    compared to 12.4% for the prior year
  *Provision for credit losses of 25.3% of sales vs. 23.1% for prior year
    period
  *Strong cash flows supporting the significant increase in revenues, the
    $25.4 million increase in finance receivables, $4.0 million in net capital
    expenditures and the $531,000 in common stock repurchases (12,620 shares)
    with only a $2.1 million increase in total debt

"We are pleased with our top line growth in this presently challenging
competitive environment. We are excited about our future and proud of the
great work of our associates as they take care of our customers. We are highly
focused on increasing customer success and tightening expenses while ensuring
that our infrastructure remains solid to support the business," said William
H. ("Hank") Henderson, President and Chief Executive Officer of America's
Car-Mart. "I would like to note the tireless efforts of our Area Operations
Managers and our General Managers as they work hand-in-hand to move our
Company forward. They are dedicated to ensuring we are doing everything
possible to accomplish our mission of earning the repeat business of our
customers by providing quality vehicles, affordable payment terms and
excellent service. The roles of Area Operations Manager and General Manager
are critical to our future and we are fortunate to have such high quality
individuals serving in these capacities."

"We are convinced that our past and future success can and will be directly
attributed to the fact that our General Managers truly 'own' their individual
dealerships and make the key decisions around purchasing, underwriting, sales
and collections," added Mr. Henderson. "Our infrastructure exists to support
our General Managers as they run their businesses at the local level. We
believe that many companies that are competing for our customers on the
funding side are not focused on earning repeat business tied to customer
success. This is a reality that is having a negative effect on our business
especially on the provision for credit loss line. We remain committed to the
belief that the only way to run this business for the long-term is to do
everything possible to help customers successfully complete the terms of their
contracts. By focusing on customer success, we will continue to fulfill our
vision of being the most respected buy-here-pay-here organization in the
country."

"We finished the quarter with 129 dealerships, an increase of 12 from this
time last year. We have several new openings planned for the next few months
and we continue to expect to open a total of 12 for the fiscal year," added
Mr. Henderson. "We sold 10,608 retail units during the quarter, an 8.1%
increase. Same store revenues were up 3.8% although the average retail units
sold per dealership per month decreased for the quarter to 27.6 which is
related to the intense competitive environment that we are facing. We remain
convinced that the business model will continue to support significant unit
volume expansion. We are excited about our future and we will continue to
fight to retain our better customers."

"A 10.2% increase in revenues in this environment is significant and something
we are very proud of. We will continue to add new dealerships in great new
towns but at the same time remain disciplined on our underwriting and deal
structures, something that has negatively affected productivity especially in
our older more mature dealerships. Even in the face of increased competition,
our down-payment percentage was down only slightly from last year. Also, we
are pleased that the overall contract term during the quarter was flat
sequentially at 29.5 months (28.3 at this time last year). For competitive
reasons, we may have to continue to consider offering slightly longer terms
and somewhat lower down payments into the future. We will continue to work
hard to structure our contracts to maximize customer success in order to earn
repeat business," said Jeff Williams, Chief Financial Officer of America's
Car-Mart. "Our provision for credit losses is certainly higher than we would
like, but our expected cash-on-cash returns are very attractive even with the
higher credit loss amounts. We will continue to ensure that we maximize
efficiencies on the operating expense side of the business in light of the
competition. We remain committed to always being a very low cost operator in a
tough business."

"As we have said in the past, we believe it is prudent to maintain a very
conservative balance sheet, especially in the current operating environment.
Our debt to equity ratio was 47.0% and our debt to finance receivables ratio
was 26.1% at the end of the quarter. We repurchased 3,600 shares of common
stock during the quarter and since February 1, 2010 we have repurchased 2.9
million shares, or almost 25% of our Company. We believe in the long-term
value of our Company and plan to invest in the repurchase program when
favorable conditions are present. Our first priority for capital allocation
will continue to be to support the healthy growth of the business," added Mr.
Williams. "We will continue to stay focused on cash returns and aggressive
expense management, and we believe our future is bright."

Conference Call

Management will be holding a conference call on Wednesday, November 20, 2013
at 11:00 a.m. Eastern Time to discuss fourth quarter results. A live audio of
the conference call will be accessible to the public by calling (877)
776-4031. International callers dial (631) 291-4132. Callers should dial in
approximately 10 minutes before the call begins.A conference call replay will
be available one hour following the call for thirty days and can be accessed
by calling (855) 859-2056 (domestic) or (404) 537-3406 (international),
conference call ID # 10344857.

About America's Car-Mart

America's Car-Mart, Inc. (the "Company") operates 129 automotive dealerships
in ten states and is one of the largest publicly held automotive retailers in
the United States focused exclusively on the "Integrated Auto Sales and
Finance" segment of the used car market.The Company emphasizes superior
customer service and the building of strong personal relationships with its
customers. The Company operates its dealerships primarily in small cities
throughout the South-Central United States selling quality used vehicles and
providing financing for substantially all of its customers.For more
information, including investor presentations, on America's Car-Mart, please
visit our website at www.car-mart.com.

This press release contains "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995.These forward-looking
statements address the Company's future objectives, plans and goals, as well
as the Company's intent, beliefs and current expectations regarding future
operating performance, and can generally be identified by words such as "may,"
"will," "should," "could, "believe," "expect," "anticipate," "intend," "plan,"
"foresee," and other similar words or phrases.Specific events addressed by
these forward-looking statements include, but are not limited to:

  *new dealership openings;
  *performance of new dealerships;
  *same store revenue growth;
  *future overall revenue growth;
  *the Company's collection results, including but not limited to collections
    during income tax refund periods;
  *repurchases of the Company's common stock; and
  *the Company's business and growth strategies.

These forward-looking statements are based on the Company's current estimates
and assumptions and involve various risks and uncertainties.As a result, you
are cautioned that these forward-looking statements are not guarantees of
future performance, and that actual results could differ materially from those
projected in these forward-looking statements.Factors that may cause actual
results to differ materially from the Company's projections include, but are
not limited to:

  *the availability of credit facilities to support the Company's business;
  *the Company's ability to underwrite and collect its accounts effectively,
    including but not limited to collections during income tax refund periods;
  *competition;
  *dependence on existing management;
  *availability of quality vehicles at prices that will be affordable to
    customers;
  *changes in financing laws or regulations; and
  *general economic conditions in the markets in which the Company operates,
    including but not limited to fluctuations in gas prices, grocery prices
    and employment levels.

Additionally, risks and uncertainties that may affect future results include
those described from time to time in the Company's SEC filings. The Company
undertakes no obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise.You are
cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the dates on which they are made.

America's Car-Mart, Inc.
Consolidated Results of Operations
(Operating Statement Dollars in Thousands)
                                                                 
                                                % Change As a % of Sales
                            Three Months Ended    2013     Three Months Ended
                            October 31,           vs.      October 31,
                            2013       2012       2012     2013      2012
Operating Data:                                                   
Retail units sold            10,608    9,814     8.1%             
Average number of stores in  128       116       10.3             
operation
Average retail units sold    27.6      28.2      (2.1)            
per store per month
Average retail sales price   $9,710   $9,515   2.0              
Same store revenue growth    3.8%       (4.8)%                      
Net charge-offs as a percent
ofaverage Finance           6.9%       6.5%                        
Receivables
Collections as a percent of  13.6%      14.5%                       
average Finance Receivables
Average percentage of
Finance Receivables-Current  81.8%      82.4%                       
(excl. 1-2 day)
Average down-payment         6.2%       6.4%                        
percentage
                                                                 
Period End Data:                                                  
Stores open                  129       117       10.3%            
Accounts over 30 days past   4.7%       4.3%                        
due
Finance Receivables, gross   $388,799 $339,248 14.6%            
                                                                 
Operating Statement:                                              
Revenues:                                                         
Sales                        $107,765 $98,194  9.7%    100.0%   100.0%
Interest income              13,666    12,025    13.6    12.7     12.2
Total                        121,431   110,219   10.2    112.7    112.2
                                                                 
Costs and expenses:                                               
Cost of sales                62,823    56,204    11.8    58.3     57.2
Selling, general and         19,581    17,351    12.9    18.2     17.7
administrative
Provision for credit losses  28,296    23,647    19.7    26.3     24.1
Interest expense             722       708       2.0     0.7      0.7
Depreciation and             795       696       14.2    0.7      0.7
amortization
Gain on Disposal of Property (2)       --       --     --      --
and Equipment
Total                        112,215   98,606    13.8    104.1    100.4
                                                                 
Income before taxes          9,216     11,613            8.6      11.8
                                                                 
Provision for income taxes   3,411     4,335             3.2      4.4
                                                                 
Net income                   $5,805   $7,278           5.4      7.4
                                                                 
Dividends on subsidiary      $(10)    $(10)                     
preferred stock
                                                                 
Net income attributable to   $5,795   $7,268                    
common shareholders
                                                                 
Earnings per share:                                               
Basic                        $0.64    $0.80                     
Diluted                      $0.61    $0.76                     
                                                                 
                                                                 
Weighted average number of                                        
shares outstanding:
Basic                        9,016,820 9,105,921                  
Diluted                      9,484,654 9,579,409                  
                                                                 


America's Car-Mart, Inc.
Consolidated Results of Operations
(Operating Statement Dollars in Thousands)

                                                  % Change As a % of Sales
                              Six Months Ended      2013     Six Months Ended
                              October 31,          vs.      October 31,
                              2013       2012       2012     2013     2012
Operating Data:                                                    
Retail units sold              21,251    19,567    8.6%            
Average number of stores in    126       115       9.6             
operation
Average retail units sold per  28.1      28.4      (1.1)           
store per month
Average retail sales price     $9,773   $9,549   2.3             
Same store revenue growth      4.6%       0.1%                       
Net charge-offs as a percent   13.1%      12.4%                      
of average Finance Receivables
Collections as a percent of    27.3%      29.4%                      
average Finance Receivables
Average percentage of Finance
Receivables-Current (excl. 1-2 81.1%      82.0%                      
day)
Average down-payment           6.4%       6.8%                       
percentage
                                                                  
Period End Data:                                                   
Stores open                    129       117       10.3%           
Accounts over 30 days past due 4.7%       4.3%                       
Finance Receivables, gross     $388,799 $339,248 14.6%           
                                                                  
Operating Statement:                                               
Revenues:                                                          
Sales                          $216,914 $196,491 10.4%   100.0%  100.0%
Interest income                27,061    23,728    14.0    12.5    12.1
Total                          243,975   220,219   10.8    112.5   112.1
                                                                  
Costs and expenses:                                                
Cost of sales                  125,445   112,389   11.6    57.8    57.2
Selling, general and           39,395    35,207    11.9    18.2    17.9
administrative
Provision for credit losses    54,826    45,310    21.0    25.3    23.1
Interest expense               1,512     1,361     11.1    0.7     0.7
Depreciation and amortization  1,572     1,358     15.8    0.7     0.7
Loss on Disposal of Property   39        --       --     0.0     --
and Equipment
Total                          222,789   195,625   13.9    102.7   99.6
                                                                  
Income before taxes            21,186    24,594            9.8     12.5
                                                                  
Provision for income taxes     7,840     9,198             3.6     4.7
                                                                  
Net income                     $13,346  $15,396          6.2     7.8
                                                                  
Dividends on subsidiary        $(20)    $(20)                    
preferred stock
                                                                  
Net income attributable to     $13,326  $15,376                  
common shareholders
                                                                  
Earnings per share:                                                
Basic                          $1.48    $1.67                    
Diluted                        $1.40    $1.59                    
                                                                  
                                                                  
Weighted average number of                                         
shares outstanding:
Basic                          9,018,524 9,205,332                 
Diluted                        9,488,753 9,665,739                 
                                                                  
                                                                  

America's Car-Mart, Inc.
Consolidated Balance Sheet and Other Data
(Dollar in Thousands)

                                                      October 31, April 30,
                                                      2013         2013
                                                                  
Cash and cash equivalents                              $341       $272
Finance receivables, net                               $308,100   $288,049
Inventory                                              $30,217    $32,827
Total assets                                           $376,465   $358,265
Total debt                                             $101,650   $99,563
Treasury stock                                         $95,078    $94,547
Stockholders' equity                                   $216,151   $202,268
Shares outstanding                                     9,017,329   9,023,290
                                                                  
                                                                  
                                                                  
Finance receivables:                                               
Principal balance                                      $388,799   $363,394
Deferred revenue - payment protection plan             (13,454)    (12,910)
Allowance for credit losses                            (80,699)    (75,345)
                                                                  
Finance receivables, net of allowance and deferred     $294,646   $275,139
revenue
                                                                  
                                                                  
Allowance as % of principal balance                    21.50%       21.50%
                                                                  
                                                                  
                                                                  
Changes in allowance for credit losses:                            
                                                      Six Months
                                                      Ended October 31,
                                                      2013         2012
Balance at beginning of period                         $75,345    $65,831
Provision for credit losses                            54,826      45,310
Charge-offs, net of collateral recovered               (49,472)    (40,704)
Balance at end of period                               $80,699    $70,437

CONTACT: William H. ("Hank") Henderson, CEO
         at (479) 464-9944
        
         or
        
         Jeffrey A. Williams, CFO
         at (479) 418-8021

America's Car-Mart Inc. Logo
 
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