2015 Q4 Form 10-Q Financial Statement

#000117001016000056 Filed on January 07, 2016

View on sec.gov

Income Statement

Concept 2015 Q4 2014 Q4
Revenue $3.544B $3.405B
YoY Change 4.08% 15.77%
Cost Of Revenue $3.080B $2.959B
YoY Change 4.09% 15.58%
Gross Profit $464.3M $446.6M
YoY Change 3.97% 17.01%
Gross Profit Margin 13.1% 13.12%
Selling, General & Admin $337.5M $316.6M
YoY Change 6.59% 11.33%
% of Gross Profit 72.69% 70.9%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $35.30M $29.20M
YoY Change 20.89% 17.74%
% of Gross Profit 7.6% 6.54%
Operating Expenses $337.5M $316.6M
YoY Change 6.59% 11.18%
Operating Profit $126.8M $130.0M
YoY Change -2.44% 34.15%
Interest Expense $10.02M $7.338M
YoY Change 36.56% -90.38%
% of Operating Profit 7.9% 5.65%
Other Income/Expense, Net -$1.157M -$1.536M
YoY Change -24.67%
Pretax Income $208.0M $210.8M
YoY Change -1.37% 21.73%
Income Tax $79.76M $80.79M
% Of Pretax Income 38.35% 38.32%
Net Earnings $128.2M $130.0M
YoY Change -1.42% 22.11%
Net Earnings / Revenue 3.62% 3.82%
Basic Earnings Per Share $0.64 $0.61
Diluted Earnings Per Share $0.63 $0.60
COMMON SHARES
Basic Shares Outstanding 201.3M shares 214.2M shares
Diluted Shares Outstanding 203.4M shares 217.0M shares

Balance Sheet

Concept 2015 Q4 2014 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $33.00M $190.0M
YoY Change -82.63% -71.43%
Cash & Equivalents $33.35M $189.9M
Short-Term Investments
Other Short-Term Assets $32.67M $331.0M
YoY Change -90.13% 22.59%
Inventory $2.153B $1.965B
Prepaid Expenses
Receivables $88.53M $88.00M
Other Receivables $0.00 $0.00
Total Short-Term Assets $2.635B $2.573B
YoY Change 2.41% 0.55%
LONG-TERM ASSETS
Property, Plant & Equipment $2.106B $1.834B
YoY Change 14.82% 15.42%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $148.1M $298.0M
YoY Change -50.3% 12.88%
Total Long-Term Assets $11.75B $10.27B
YoY Change 14.37% 17.44%
TOTAL ASSETS
Total Short-Term Assets $2.635B $2.573B
Total Long-Term Assets $11.75B $10.27B
Total Assets $14.38B $12.84B
YoY Change 11.98% 13.61%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $420.9M $457.0M
YoY Change -7.91% 24.52%
Accrued Expenses $211.8M $203.0M
YoY Change 4.35% 46.04%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $3.000M
YoY Change -100.0% 200.0%
Long-Term Debt Due $291.0M $263.0M
YoY Change 10.65% 13.36%
Total Short-Term Liabilities $923.6M $928.0M
YoY Change -0.48% 23.9%
LONG-TERM LIABILITIES
Long-Term Debt $10.32B $8.550B
YoY Change 20.65% 20.83%
Other Long-Term Liabilities $229.9M $183.0M
YoY Change 25.63% -4.19%
Total Long-Term Liabilities $229.9M $8.733B
YoY Change -97.37% 20.17%
TOTAL LIABILITIES
Total Short-Term Liabilities $923.6M $928.0M
Total Long-Term Liabilities $229.9M $8.733B
Total Liabilities $11.47B $9.661B
YoY Change 18.72% 20.52%
SHAREHOLDERS EQUITY
Retained Earnings $1.743B
YoY Change
Common Stock $98.78M
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $2.912B $3.182B
YoY Change
Total Liabilities & Shareholders Equity $14.38B $12.84B
YoY Change 11.98% 13.61%

Cashflow Statement

Concept 2015 Q4 2014 Q4
OPERATING ACTIVITIES
Net Income $128.2M $130.0M
YoY Change -1.42% 22.11%
Depreciation, Depletion And Amortization $35.30M $29.20M
YoY Change 20.89% 17.74%
Cash From Operating Activities -$296.9M -$348.0M
YoY Change -14.68% 51.63%
INVESTING ACTIVITIES
Capital Expenditures -$95.10M -$103.6M
YoY Change -8.2% 34.72%
Acquisitions
YoY Change
Other Investing Activities $20.00M $21.20M
YoY Change -5.66% -783.87%
Cash From Investing Activities -$75.10M -$82.40M
YoY Change -8.86% 3.0%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 304.8M 265.7M
YoY Change 14.72% 18.51%
NET CHANGE
Cash From Operating Activities -296.9M -348.0M
Cash From Investing Activities -75.10M -82.40M
Cash From Financing Activities 304.8M 265.7M
Net Change In Cash -67.20M -164.7M
YoY Change -59.2% 93.08%
FREE CASH FLOW
Cash From Operating Activities -$296.9M -$348.0M
Capital Expenditures -$95.10M -$103.6M
Free Cash Flow -$201.8M -$244.4M
YoY Change -17.43% 60.16%

Facts In Submission

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CY2015Q1 us-gaap Financing Receivable Allowance For Credit Losses
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CY2015Q3 us-gaap Financing Receivable Allowance For Credit Losses
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CY2015Q4 us-gaap Financing Receivable Allowance For Credit Losses
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CY2014Q4 us-gaap Financing Receivable Allowance For Credit Losses Recovery
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22300000 USD
us-gaap Financing Receivable Allowance For Credit Losses Recovery
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62900000 USD
CY2015Q4 us-gaap Financing Receivable Allowance For Credit Losses Recovery
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24100000 USD
us-gaap Financing Receivable Allowance For Credit Losses Recovery
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67700000 USD
CY2014Q4 us-gaap Financing Receivable Allowance For Credit Losses Write Offs
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43800000 USD
us-gaap Financing Receivable Allowance For Credit Losses Write Offs
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112700000 USD
CY2015Q4 us-gaap Financing Receivable Allowance For Credit Losses Write Offs
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51900000 USD
us-gaap Financing Receivable Allowance For Credit Losses Write Offs
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128700000 USD
CY2015Q1 us-gaap Financing Receivable Recorded Investment Past Due
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221400000 USD
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us-gaap Gain Loss On Disposition Of Assets
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CY2014Q4 us-gaap Gross Profit
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us-gaap Gross Profit
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CY2015Q4 us-gaap Gross Profit
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us-gaap Gross Profit
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us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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736499000 USD
CY2015Q4 us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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us-gaap Income Loss From Continuing Operations Before Income Taxes Minority Interest And Income Loss From Equity Method Investments
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us-gaap Income Tax Expense Benefit
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CY2015Q4 us-gaap Income Tax Expense Benefit
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us-gaap Income Tax Expense Benefit
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301357000 USD
us-gaap Income Taxes Paid
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us-gaap Income Taxes Paid
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-16321000 USD
us-gaap Increase Decrease In Accounts Payable And Accrued Liabilities
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-109243000 USD
us-gaap Increase Decrease In Accounts Receivable
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8257000 USD
us-gaap Increase Decrease In Accounts Receivable
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-49160000 USD
us-gaap Increase Decrease In Finance Receivables
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1050733000 USD
us-gaap Increase Decrease In Finance Receivables
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952974000 USD
us-gaap Increase Decrease In Inventories
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323249000 USD
us-gaap Increase Decrease In Inventories
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66396000 USD
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22061000 USD
us-gaap Increase Decrease In Other Current Assets
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2910000 USD
us-gaap Increase Decrease In Other Operating Assets
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us-gaap Increase Decrease In Other Operating Liabilities
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us-gaap Increase Decrease In Other Operating Liabilities
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us-gaap Increase Decrease In Restricted Cash
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16419000 USD
us-gaap Increase Decrease In Restricted Cash
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22064000 USD
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us-gaap Interest And Fee Income Loans And Leases
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450400000 USD
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172300000 USD
us-gaap Interest And Fee Income Loans And Leases
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507000000 USD
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us-gaap Interest Expense
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24574000 USD
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us-gaap Interest Income Expense After Provision For Loan Loss
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344900000 USD
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378600000 USD
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139300000 USD
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415100000 USD
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0 USD
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7600000 USD
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31200000 USD
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us-gaap Labor And Related Expense
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us-gaap Labor And Related Expense
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1632000 USD
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us-gaap Net Cash Provided By Used In Financing Activities Continuing Operations
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us-gaap Net Cash Provided By Used In Operating Activities Continuing Operations
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us-gaap Other Comprehensive Income Defined Benefit Plans Adjustment Net Of Tax Portion Attributable To Parent
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us-gaap Other Comprehensive Income Defined Benefit Plans Adjustment Net Of Tax Portion Attributable To Parent
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us-gaap Other Comprehensive Income Derivatives Qualifying As Hedges Net Of Tax Portion Attributable To Parent
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us-gaap Other Comprehensive Income Derivatives Qualifying As Hedges Net Of Tax Portion Attributable To Parent
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us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
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413000 USD
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OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent
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us-gaap Other Comprehensive Income Loss Net Of Tax Portion Attributable To Parent
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Before Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Before Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci On Derivatives Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Before Tax
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CY2015Q4 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Before Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Before Tax
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CY2014Q4 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Net Of Tax
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CY2015Q4 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Net Of Tax
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CY2014Q4 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIPensionAndOtherPostretirementBenefitPlansForNetGainLossTax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Tax
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CY2015Q4 us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci Pension And Other Postretirement Benefit Plans For Net Gain Loss Tax
OtherComprehensiveIncomeLossReclassificationAdjustmentFromAOCIPensionAndOtherPostretirementBenefitPlansForNetGainLossTax
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CY2014Q4 us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Before Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Before Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Before Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Net Of Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Net Of Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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us-gaap Other Comprehensive Income Unrealized Gain Loss On Derivatives Arising During Period Tax
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us-gaap Other Nonoperating Expense
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CY2015Q4 us-gaap Other Nonoperating Expense
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us-gaap Other Nonoperating Expense
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us-gaap Payments For Repurchase Of Common Stock
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us-gaap Payments To Acquire Property Plant And Equipment
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us-gaap Payments To Acquire Property Plant And Equipment
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us-gaap Pension Contributions
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us-gaap Proceeds From Issuance Or Sale Of Equity
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us-gaap Proceeds From Issuance Or Sale Of Equity
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us-gaap Proceeds From Repayments Of Short Term Debt
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us-gaap Proceeds From Sale Of Property Plant And Equipment
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5833000 USD
us-gaap Proceeds From Sale Of Property Plant And Equipment
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1520000 USD
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2105807000 USD
us-gaap Provision For Loan And Lease Losses
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60274000 USD
us-gaap Provision For Loan And Lease Losses
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70165000 USD
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us-gaap Provision For Loan Lease And Other Losses
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30900000 USD
us-gaap Provision For Loan Lease And Other Losses
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70200000 USD
us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
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CY2015Q1 us-gaap Restricted Cash And Cash Equivalents At Carrying Value
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CY2015Q1 us-gaap Restricted Investments Noncurrent
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52400000 USD
CY2015Q4 us-gaap Restricted Investments Noncurrent
RestrictedInvestmentsNoncurrent
63300000 USD
CY2015Q1 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
1994221000 USD
CY2015Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
1743031000 USD
CY2014Q4 us-gaap Sales Revenue Net
SalesRevenueNet
3405234000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
10754624000 USD
CY2015Q4 us-gaap Sales Revenue Net
SalesRevenueNet
3544069000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
11443870000 USD
CY2014Q4 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
316632000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
927716000 USD
CY2015Q4 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
337512000 USD
us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
1018075000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
57192000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
45284000 USD
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Dividend Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate
0
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Volatility Rate Maximum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRateMaximum
0.327
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Volatility Rate Maximum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRateMaximum
0.318
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Volatility Rate Minimum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRateMinimum
0.252
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Expected Volatility Rate Minimum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRateMinimum
0.258
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate Maximum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRateMaximum
0.027
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate Maximum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRateMaximum
0.021
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate Minimum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRateMinimum
0.0001
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Risk Free Interest Rate Minimum
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRateMinimum
0.0000
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Weighted Average Volatility Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsWeightedAverageVolatilityRate
0.318
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Fair Value Assumptions Weighted Average Volatility Rate
ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsWeightedAverageVolatilityRate
0.306
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P4Y8M12D
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Fair Value Assumptions Expected Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1
P4Y8M12D
CY2015Q1 us-gaap Short Term Bank Loans And Notes Payable
ShortTermBankLoansAndNotesPayable
785000 USD
CY2015Q4 us-gaap Short Term Bank Loans And Notes Payable
ShortTermBankLoansAndNotesPayable
36000 USD
CY2015Q1 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
6200000 USD
CY2015Q4 us-gaap Standard Product Warranty Accrual
StandardProductWarrantyAccrual
4800000 USD
CY2015Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
3156785000 USD
CY2015Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
2911755000 USD
CY2015Q1 us-gaap Trading Securities
TradingSecurities
9242000 USD
CY2015Q4 us-gaap Trading Securities
TradingSecurities
13989000 USD
CY2015Q1 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
25000000 USD
CY2015Q4 us-gaap Unrecognized Tax Benefits
UnrecognizedTaxBenefits
27500000 USD
CY2014Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
72500000 USD
CY2014Q3 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
86000000 USD
CY2014Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
88900000 USD
CY2015Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
94400000 USD
CY2015Q3 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
108100000 USD
CY2015Q4 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
109800000 USD
CY2014Q4 us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
15300000 USD
us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
53800000 USD
CY2015Q4 us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
18600000 USD
us-gaap Valuation Allowances And Reserves Charged To Cost And Expense
ValuationAllowancesAndReservesChargedToCostAndExpense
61000000 USD
CY2014Q4 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
12400000 USD
us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
37400000 USD
CY2015Q4 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
16900000 USD
us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
45600000 USD
CY2014Q4 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
217025000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
220585000 shares
CY2015Q4 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
203383000 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
208242000 shares
CY2014Q4 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
214228000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
217568000 shares
CY2015Q4 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
201291000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
205760000 shares
us-gaap Basis Of Accounting
BasisOfAccounting
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Basis of Presentation and Use of Estimates.</font><font style="font-family:inherit;font-size:10pt;"> &#160;The accompanying interim unaudited consolidated financial statements include the accounts of CarMax and our wholly owned subsidiaries.&#160;&#160;All significant intercompany balances and transactions have been eliminated in consolidation.&#160;&#160;These consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (&#8220;GAAP&#8221;) for interim financial information.&#160;&#160;Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements.&#160;&#160;In the opinion of management, such interim consolidated financial statements reflect all normal recurring adjustments considered necessary to present fairly the financial position and the results of operations and cash flows for the interim periods presented.&#160;&#160;The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full fiscal year.&#160;&#160;These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in our Annual Report on Form 10-K for the fiscal year ended </font><font style="font-family:inherit;font-size:10pt;">February&#160;28, 2015</font><font style="font-family:inherit;font-size:10pt;">.</font></div></div>
us-gaap Nature Of Operations
NatureOfOperations
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:left;padding-left:24px;text-indent:0px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;text-decoration:underline;">Background</font></div><div style="line-height:120%;text-indent:90px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">CarMax, Inc. (&#8220;we,&#8221; &#8220;our,&#8221; &#8220;us,&#8221; &#8220;CarMax&#8221; and &#8220;the company&#8221;), including its wholly owned subsidiaries, is the largest retailer of used vehicles in the United States.&#160;&#160;We operate in </font><font style="font-family:inherit;font-size:10pt;">two</font><font style="font-family:inherit;font-size:10pt;"> reportable segments:&#160;&#160;CarMax Sales Operations and CarMax Auto Finance (&#8220;CAF&#8221;).&#160;&#160;Our CarMax Sales Operations segment consists of all aspects of our auto merchandising and service operations, excluding financing provided by CAF.&#160;&#160;Our CAF segment consists solely of our own finance operation that provides vehicle financing through CarMax stores.</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We seek to deliver an unrivaled customer experience by offering a broad selection of high quality used vehicles and related products and services at low, no-haggle prices using a customer-friendly sales process in an attractive, modern sales facility.&#160;&#160;We provide customers with a full range of related products and services, including the appraisal and purchase of vehicles directly from consumers; the financing of vehicle purchases through CAF and third-party financing providers; the sale of extended protection plan (&#8220;EPP&#8221;) products, which include extended service plans (&#8220;ESP&#8221;) and guaranteed asset protection (&#8220;GAP&#8221;); and vehicle repair service.&#160;&#160;Vehicles purchased through the appraisal process that do not meet our retail standards are sold to licensed dealers through on-site wholesale auctions.&#160;&#160;At </font><font style="font-family:inherit;font-size:10pt;">two</font><font style="font-family:inherit;font-size:10pt;"> locations we also sell new vehicles under franchise agreements.</font></div></div>
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosure of contingent assets and liabilities.&#160;&#160;Actual results could differ from those estimates.&#160; Certain prior year amounts have been reclassified to conform to the current year&#8217;s presentation.&#160; Amounts and percentages may not total due to rounding.</font></div></div>

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