Copart, Inc. (NASDAQ:CPRT) Q2 2023 Earnings Call Transcript

Jeff Liaw: I don’t even know we know offhand. I think the prices I think remained quite strong at Copart and have meaningfully outperformed at least the headline numbers we’re aware of for the Manheim used vehicle value Index. I don’t know that there was any meaningful intra-quarter volatility of cohort.

Joseph Enderlin: Super helpful. Thank you, guys.

Jeff Liaw: Thank you.

Operator: Our next question comes from Gary Prestopino with Barrington Research. Please proceed with your question.

Gary Prestopino: Hi. Good morning, everyone. I just want to get a couple of statistics go over correctly. Units processed, Leah, were up 7% globally. Is that correct?

Leah Stearns: Total units were up, yes, about 5%.

Gary Prestopino: 5%, okay. And then getting back to ASPs, I didn’t quite get what you said on ASPs as you went through all these numbers. What were ASPs up year-over-year and sequentially? Do you have that?

Leah Stearns: Yes. So ASPs in total were basically flat year-over-year. And sequentially, they were down about 3%.

Gary Prestopino: Okay. So we’re starting to move down 3%. Okay. And then lastly, with total loss ratios, you said, Jeff, they were 19.7% in Q4?

Jeff Liaw: Correct.

Gary Prestopino: Versus 17.4, but a lot of that was flood vehicles, right, that led to that sequential increase?

Jeff Liaw: Yes, we think half of that or thereabouts was flood related. And I should have noted that and I will now that there is some natural lag then between when cars are both deemed a total loss and when, of course, they are processed by companies like us, the title process loans paid off and the car is sold.

Gary Prestopino: Okay. Just for comparative purposes, what were total losses, the ratios running in Q4 of ’21? Do you have that handy?

Jeff Liaw: We do. This is all straight from CCC here, but in the fourth quarter, 19.2 a year ago.