Copart, Inc. Q2 2026 Earnings Recap

Copart, Inc. reported a decline in insurance units in Q2 FY2026, primarily driven by shifts in policy coverage and consumer pullback, yet achieved record average selling prices for U.S. consignors.

Key Takeaways

• U.S. insurance units declined 10.7% year-over-year; 4.8% excluding catastrophic events.
• Average selling prices for U.S. insurance climbed 6% year-over-year, with a 9% increase when adjusting for catastrophic impacts.
• Strong auction returns and enhanced liquidity continue to attract new sellers to Copart's platform, underpinning long-term competitive advantages.
• Cycle times for vehicle retrieval and sales have improved significantly, driven by Copart's expansive tow network and technological advancements.
• Increased deployment of artificial intelligence is enhancing operational efficiency and decision-making capabilities across the organization.