CarMax’s financial report for the 2024 fiscal year mirrored the used-car industry as a whole.

Retail sales volume is on the way up – but revenue and profits were down slightly.

The used-vehicle retailing giant’s retail sales rose by 1.3% for the fiscal year, which ended Feb. 29, reaching 172,057 units. Revenues from those sales, on the other hand, dropped by 0.7% as prices fell by about $600 per unit, and the profit margin of $2,251 per retail unit showed a small decrease from what CarMax called a “historically strong” fourth quarter last year.

Overall, the company reported revenues of $5.6 billion, down 1.7% year-over-year, while the total gross profit of $586.2 million represented a 4.1% decline.

President and CEO Bill Nash said he’s “encouraged” by CarMax’s performance.

“We reported growth in total used unit sales and comps, delivered strong retail and wholesale gross profit per unit, continued to actively manage SG&A and grew CAF [CarMax Auto Finance] income significantly year-over-year,” he said.

“During fiscal 2024, we enhanced our omni-channel experience and capabilities by making it even easier for consumers and dealers to transact, and we leveraged data science, automation and AI to drive operating efficiencies across our stores, Customer Experience Centers and corporate office. Our focus and progress have made our foundation stronger than ever and we are positioned well for the future.”

The company said 14% of its retail sales were conducted online, and online transactions, including retail and wholesale unit sales, generated $1.7 billion — about 30% of net revenues.

While retail sales were up, wholesale sales fell by 4.0% to 115,546 units. Wholesale revenues were down 5.5%, and gross profit decreased by 9.4% as the margin fell to $1,120.

Inventory acquisition declined as well, down 10.8%, with 234,000 vehicles acquired from consumers and dealers. Some 213,000 were purchased from consumers, a 14.1% drop from the previous year, and 21,000 came through dealers, a 44.8% increase.

CarMax Auto Finance had a strong year, with income of $147.3 million, up 18.9%, which the company said was driven by a $26.4 million year-over-year decrease in the provision for loan losses and growth in CAF’s average managed receivables, which were partially offset by the decline in net interest margin percentage.

Other gross profit declined 14.5%, in large part resulting from a $16 million year-over-year reduction in profit sharing revenues, and a $4 million drop in service gross profit.

CarMax said it opened four stores in the Q4 of its 2024 fiscal year — two in metro New York and one in the Los Angeles and Chicago areas — as well as its first standalone reconditioning center in the Atlanta metro market. In the coming year, the company plans to add five retail locations and another recon center.