Here are 1-2 brief analogies to describe Copart (CPRT):

• eBay for used and salvage vehicles.
• Amazon Marketplace for damaged and used vehicles.

• Online Vehicle Auction Platform: Provides a global online marketplace for remarketing and selling salvage and used vehicles through a competitive bidding system.
• Vehicle Remarketing Services: Offers a comprehensive suite of services for sellers, including vehicle appraisal, title processing, merchandising, and post-sale administration.
• Vehicle Storage and Logistics: Manages the physical storage, transportation, and processing of vehicles at its extensive network of facilities before and after sale.

Copart (CPRT) primarily sells to other businesses (B2B) rather than directly to individuals. Due to the nature of their auction business, Copart sells to a vast and diverse network of professional buyers globally, and it does not publicly disclose specific names of its "major customers" in the way a company with a few large contractual clients might. Such buyer information is typically proprietary and spread across many thousands of businesses.

However, the major categories of businesses that constitute Copart's customer base include:

• Vehicle Dismantlers and Recyclers: These companies purchase salvage vehicles to harvest reusable parts, with the remaining materials being processed for scrap metal.
• Used Car Dealers (Domestic and International): Businesses that acquire runnable or repairable vehicles from Copart's auctions for resale to consumers, either locally or through export.
• Vehicle Rebuilders: Companies specializing in repairing damaged or totaled vehicles to restore them to drivable condition for future resale.
• Exporters: Businesses that purchase a variety of vehicles (damaged, used, or salvage) for shipment and sale in international markets where demand and regulations may differ.

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Jeff Liaw, Chief Executive Officer

Jeff Liaw has served as CEO and a member of Copart's board of directors since April 2024. Prior to this, he was Co-CEO from March 2022 to April 2024. He joined Copart in 2016 as CFO and also served as President of the company from 2019-2022. Before joining Copart, Jeff was the CFO of Fleetpride, which was owned by TPG Capital, where he also worked as a principal investor overseeing private equity investments in the financial services and industrial sectors.

Leah Stearns, Chief Financial Officer

Leah Stearns joined Copart as Chief Financial Officer in December 2022. She leads Copart's finance and accounting functions. She is a seasoned Fortune 500 executive, having most recently served as Chief Financial Officer of CBRE, a global leader in commercial real estate services and investments. Prior to CBRE, she held financial and operational leadership roles at American Tower. She also serves as an Industrial Advisor for EQT Group, an investor at withco, and a Board Member and Audit Committee Chair for EdgeConneX.

Hessel Verhage, Chief Operating Officer

Hessel Verhage was appointed Chief Operating Officer in January 2024, overseeing Copart's operations across more than 200 locations. He brings extensive operational leadership experience, having most recently served as an executive at DB Schenker, where he led their global contract logistics operations. Hessel is also a veteran of the US Army.

David Kang, Chief Marketing and Analytics Officer

David Kang joined Copart as Chief Marketing Officer in January 2024, leading the company's product, marketing, and analytics functions, including strategic analytics, data science, digital marketing, brand, communications, member services, and global member development, as well as the Cash for Cars business. His prior experience includes serving as SVP, Data Insights and CMO, Head of Product, Consumer Auto Finance at Capital One, and various leadership positions at McKinsey & Company.

Steve Powers, Chief Business Development Officer

Steve Powers assumed the role of Chief Business Development Officer in January 2024, after serving as COO since October 2020. He leads Copart's real estate acquisition and facility development teams and initiatives to drive growth across complementary lines of business. Steve began his career with Copart over 40 years ago, holding numerous positions within the company, including VP of Operations for the Eastern Division.

1. Dependence on Major Vehicle Sellers and Shifting Insurer Behavior: Copart's business is highly reliant on a limited number of large insurance companies, which constitute approximately 80% of its vehicle volume. A disruption in these relationships, or changes in how insurance companies operate (e.g., choosing to repair vehicles more often or directing business to competitors), could significantly impact Copart's revenue and financial standing. Recent reports suggest a slight decline in U.S. insurance volume and a potential shift in preference by some insurers toward competitors.
2. Intense Competition: The vehicle auction market is highly competitive, with significant players such as IAA (Insurance Auto Auctions) and RB Global operating as direct competitors. This competitive pressure can lead to market share shifts and pricing pressure, with some reports indicating that RB Global has recently performed better and gained market share.
3. Economic Downturns and Macroeconomic Factors: While Copart's business model is often considered resilient during economic downturns due to the consistent frequency of accidents, a prolonged economic slowdown or recession could still reduce the demand for used and salvaged vehicles, thereby impacting Copart's revenue. Macroeconomic factors such as high interest rates, inflation, and fluctuations in used car prices can dampen consumer demand and potentially reduce the volume of vehicles routed into salvage channels.

Emerging efforts and regulatory pressure aimed at increasing the repairability of electric vehicles (EVs), particularly regarding battery packs and complex electronic systems. Currently, many EVs are declared total losses due to the high cost and complexity of repairing even minor damage, which benefits Copart by increasing salvage vehicle volumes. However, as the 'right to repair' movement gains traction globally and manufacturers are pushed to design more modular, repairable EVs with lower-cost parts and diagnostics, the frequency of EVs being deemed total losses could decrease significantly over the long term, thereby reducing Copart's addressable market for salvage vehicles as the automotive fleet transitions to electric.

Copart (CPRT) operates primarily in the online vehicle auction and remarketing services sector, specializing in used, wholesale, and salvage title vehicles. Its main product is an online platform that facilitates the sale of these vehicles, complemented by services such as vehicle inspection, transportation, storage, and title processing.

The addressable market for Copart's main services can be primarily identified through the global online salvage auctions market and the broader global vehicle auction market.

• The global online salvage auctions market was estimated at USD 10,634.5 million in 2024 and is projected to reach USD 27,196.1 million by 2030, growing at a Compound Annual Growth Rate (CAGR) of 17.4% from 2025 to 2030. Other estimates for this market include USD 10.74 billion in 2025, forecast to climb to USD 22.15 billion by 2030 with a 15.58% CAGR, and an expected growth from USD 9.83 billion in 2023 to USD 49.53 billion by 2033 at a CAGR of 17.55%. North America was the largest revenue-generating market in 2024 for online salvage auctions.
• The global salvage vehicle sourcing platform market size reached USD 4.3 billion in 2024 and is projected to reach USD 10.1 billion by 2033, demonstrating a CAGR of 10.2% between 2025 and 2033.
• The global car auction market, which encompasses more than just salvage vehicles, reached USD 87.6 billion in 2024 and is anticipated to expand at a CAGR of 6.8% from 2025 to 2033, with a total market value projected to hit USD 168.7 billion by 2033. Additionally, the global vehicle auction market is estimated to reach between USD 45 billion and USD 55 billion by 2025.

Copart (CPRT) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market trends:

1. Increased Total Loss Frequency and Unit Volume Growth: Copart anticipates future growth driven by rising total loss frequency in the U.S. and globally. Despite some nominal declines in global insurance volume in specific periods, the company has observed overall unit sales growth, including a 23-24% year-over-year growth in non-insurance automotive and dealer volume, excluding low-value units. Global unit sales increased by 1% in Q3 fiscal 2025, and by over 2% on a per-business-day basis. Analysts also project continued expansion of Copart's market presence and operational capabilities, with revenue expected to grow from $4.24 billion in 2024 to $5.82 billion by 2027.
2. International Expansion: The company continues to see strong growth in its international segments, with international service revenue surging by approximately 18% in Q3 fiscal 2025 and 22% in Q3 fiscal 2024. Copart's operations in multiple countries provide a platform for further international growth, particularly in emerging markets where vehicle salvage and auction services may be underdeveloped. This global expansion is a key strategic focus positioning Copart for future growth in the automotive auction industry.
3. Growth in Higher-Margin Service Revenue and Diversification of Offerings: Copart is strategically focusing on and experiencing growth in its higher-margin service revenue, which increased by over 9% globally in Q3 fiscal 2025 and nearly 12% in Q3 fiscal 2024, primarily due to increased volume and higher revenue per unit. The company is also expanding its non-insurance offerings, such as BlueCar and dealer sales, which have shown significant year-over-year growth. BlueCar experienced nearly 14% growth, and dealer sales volume increased by over 3% in Q3 fiscal 2025. The BlueCar initiative has grown faster than the core insurance business, with volumes growing 15% year-over-year from 2024 to 2025. Analysts expect service-based revenue to grow annually by 11%.
4. Strategic Investments in Real Estate, Technology, and Operational Readiness: Copart is continuously investing in real estate, technology, and operational readiness to support future growth. These investments aim to enhance operational efficiencies, improve customer experience through technological innovations like the VB3 platform, and allow the company to capture additional market share. These strategic investments, including storm preparedness, are highlighted as key initiatives that will contribute to future revenue growth.
5. Average Selling Price (ASP) Increases: While global ASPs saw a slight decline of about 3% year-over-year in Q3 fiscal 2024, they increased by about 3% for the quarter compared to the previous year in Q3 fiscal 2025, reflecting a favorable pricing environment. Maintaining or increasing ASPs, especially in its service segment, can directly contribute to higher revenue per unit.

Share Repurchases

• Copart has an ongoing share repurchase program with 326 million shares available for repurchase as of April 30, 2025.
• The company did not repurchase any shares under the program during the nine months ended April 30, 2025, or in fiscal years 2023, 2024, and 2025 (as of July 31, 2025).
• Since the program's inception in 2003, Copart has repurchased over 458 million shares totaling US$1.38 billion.

Share Issuance

• A two-for-one stock split, effected as a stock dividend, was approved on August 4, 2023, and distributed on August 21, 2023, increasing outstanding shares from approximately 480.0 million to 960.0 million.
• The company generates working capital and liquidity through the issuance of shares from stock option exercises and its Employee Stock Purchase Plan (ESPP).
• Copart's net total equity issued for the twelve months ending July 31, 2025, was $0.148 billion, representing a 63.53% increase year-over-year.

Outbound Investments

• In July 2022, Copart acquired Hills Motors to expand its green vehicle parts offering in the UK, an acquisition that was subsequently approved by the Competition and Markets Authority in June 2023.
• The company made a $220 million acquisition of Hull Ranch, a 400-acre facility in South Florida, during fiscal Q1 2025 to increase storage capacity for vehicles impacted by catastrophic weather events.
• In fiscal 2023, Copart acquired an 80% stake in Purple Wave for a little over $100 million, partly funded by issuing shares.

Capital Expenditures

• Copart's capital expenditures were $590 million in 2020, $460 million in 2021, $333 million in 2022, $483 million in 2023, $507 million in 2024, and $537 million in 2025.
• The primary focus of capital expenditures is on land acquisition, development, and technology investments to meet immediate needs and support growth expectations.
• Copart continues to invest in expanding its physical storage capacity, technology platforms, towing capabilities, and transport networks to enhance service levels and operational efficiency, particularly in response to catastrophic weather events.