CARMAX INC, 10-Q filed on 1/7/2025
Quarterly Report
v3.24.4
Document And Entity Information - shares
 9 Months Ended
Nov. 30, 2024
Jan. 03, 2025
Entity Information [Line Items]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Nov. 30, 2024  
Document Transition Report false  
Entity File Number 1-31420  
Entity Registrant Name CARMAX, INC.  
Entity Central Index Key 0001170010  
Current Fiscal Year End Date --02-28  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q3  
Amendment Flag false  
Entity Incorporation, State or Country Code VA  
Entity Tax Identification Number 54-1821055  
Entity Address, Address Line One 12800 Tuckahoe Creek Parkway  
Entity Address, City or Town Richmond,  
Entity Address, State or Province VA  
Entity Address, Postal Zip Code 23238  
City Area Code 804  
Local Phone Number 747-0422  
Title of 12(b) Security Common Stock  
Trading Symbol KMX  
Security Exchange Name NYSE  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   153,799,974
v3.24.4
Consolidated Statements Of Earnings - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
SALES AND OPERATING REVENUES:        
NET SALES AND OPERATING REVENUES $ 6,223,371 $ 6,148,538 $ 20,350,297 $ 20,909,437
TOTAL COST OF SALES 5,545,725 5,535,675 18,120,289 18,782,419
GROSS PROFIT  677,646 612,863 2,230,008 2,127,018
CARMAX AUTO FINANCE INCOME  159,885 148,659 422,435 421,004
Selling, general and administrative expenses 575,764 559,962 1,824,904 1,705,493
Depreciation, Depletion and Amortization, Nonproduction 64,507 60,623 190,277 177,859
Interest expense 25,418 31,265 83,801 93,316
Other expense (income) 5,370 (886) 2,505 (4,730)
Earnings before income taxes 166,472 110,558 550,956 576,084
Income tax provision 41,031 28,555 140,266 147,148
NET EARNINGS  $ 125,441 $ 82,003 $ 410,690 $ 428,936
WEIGHTED AVERAGE COMMON SHARES:        
Basic, shares 154,582 158,446 155,874 158,347
Diluted, shares 155,265 158,799 156,504 158,866
NET EARNINGS PER SHARE:        
Basic (in dollars per share) $ 0.81 $ 0.52 $ 2.63 $ 2.71
Diluted (in dollars per share) $ 0.81 $ 0.52 $ 2.62 $ 2.70
Used vehicle sales        
SALES AND OPERATING REVENUES:        
NET SALES AND OPERATING REVENUES $ 4,888,858 $ 4,832,077 $ 16,243,415 $ 16,424,691
TOTAL COST OF SALES 4,464,016 4,434,165 14,844,310 15,060,045
Wholesale vehicle sales        
SALES AND OPERATING REVENUES:        
NET SALES AND OPERATING REVENUES 1,168,639 1,165,204 3,579,543 4,001,542
TOTAL COST OF SALES 1,030,564 1,042,303 3,146,465 3,574,200
Total other sales and revenues        
SALES AND OPERATING REVENUES:        
NET SALES AND OPERATING REVENUES 165,874 151,257 527,339 483,204
TOTAL COST OF SALES $ 51,145 $ 59,207 $ 129,514 $ 148,174
NET SALES AND OPERATING REVENUES        
Percentage of Sales        
Item as a percent of net sales and operating revenues 100.00% 100.00% 100.00% 100.00%
TOTAL COST OF SALES        
Percentage of Sales        
Item as a percent of net sales and operating revenues 89.10% 90.00% 89.00% 89.80%
GROSS PROFIT         
Percentage of Sales        
Item as a percent of net sales and operating revenues 10.90% 10.00% 11.00% 10.20%
CARMAX AUTO FINANCE INCOME         
Percentage of Sales        
Item as a percent of net sales and operating revenues 2.60% 2.40% 2.10% 2.00%
Selling, general and administrative expenses        
Percentage of Sales        
Item as a percent of net sales and operating revenues 9.30% 9.10% 9.00% 8.20%
Depreciation and Amortization, Nonproduction        
Percentage of Sales        
Item as a percent of net sales and operating revenues 1.00% 1.00% 0.90% 0.90%
Interest expense        
Percentage of Sales        
Item as a percent of net sales and operating revenues 0.40% 0.50% 0.40% 0.40%
Other expense (income)        
Percentage of Sales        
Item as a percent of net sales and operating revenues 0.10% 0.00% 0.00% 0.00%
Earnings before income taxes        
Percentage of Sales        
Item as a percent of net sales and operating revenues 2.70% 1.80% 2.70% 2.80%
Income tax provision        
Percentage of Sales        
Item as a percent of net sales and operating revenues 0.70% 0.50% 0.70% 0.70%
NET EARNINGS         
Percentage of Sales        
Item as a percent of net sales and operating revenues 2.00% 1.30% 2.00% 2.10%
NET SALES AND OPERATING REVENUES | Used vehicle sales        
Percentage of Sales        
Item as a percent of net sales and operating revenues 78.60% 78.60% 79.80% 78.60%
NET SALES AND OPERATING REVENUES | Wholesale vehicle sales        
Percentage of Sales        
Item as a percent of net sales and operating revenues 18.80% 19.00% 17.60% 19.10%
NET SALES AND OPERATING REVENUES | Total other sales and revenues        
Percentage of Sales        
Item as a percent of net sales and operating revenues 2.70% 2.50% 2.60% 2.30%
TOTAL COST OF SALES | Used vehicle sales        
Percentage of Sales        
Item as a percent of net sales and operating revenues 71.70% 72.10% 72.90% 72.00%
TOTAL COST OF SALES | Wholesale vehicle sales        
Percentage of Sales        
Item as a percent of net sales and operating revenues 16.60% 17.00% 15.50% 17.10%
TOTAL COST OF SALES | Total other sales and revenues        
Percentage of Sales        
Item as a percent of net sales and operating revenues 0.80% 1.00% 0.60% 0.70%
v3.24.4
Consolidated Statements Of Comprehensive Income - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Statement of Comprehensive Income [Abstract]        
NET EARNINGS $ 125,441 $ 82,003 $ 410,690 $ 428,936
Other comprehensive income (loss), net of taxes:        
Net change in retirement benefit plan unrecognized actuarial losses 84 98 253 294
Net change in cash flow hedge unrecognized gains 5,686 (18,028) (44,705) (37,496)
Other comprehensive income (loss), net of taxes 5,770 (17,930) (44,452) (37,202)
TOTAL COMPREHENSIVE INCOME $ 131,211 $ 64,073 $ 366,238 $ 391,734
v3.24.4
Consolidated Balance Sheets - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
CURRENT ASSETS:    
Cash and cash equivalents $ 271,910 $ 574,142
Restricted cash from collections on auto loans receivable 541,153 506,648
Accounts receivable, net 213,593 221,153
Inventory 3,665,163 3,678,070
Other current assets 126,817 246,581
TOTAL CURRENT ASSETS  4,818,636 5,226,594
Auto loans receivable, net of allowance for loan losses of $478,923 and $482,790 as of November 30, 2024 and February 29, 2024, respectively 17,412,940 17,011,844
Property and equipment, net of accumulated depreciation of $2,003,774 and $1,813,783 as of November 30, 2024 and February 29, 2024, respectively 3,799,312 3,665,530
Deferred Income Tax Assets, Net 133,258 98,790
Operating lease assets 504,979 520,717
Goodwill 141,258 141,258
Other assets 486,743 532,064
TOTAL ASSETS  27,297,126 27,196,797
CURRENT LIABILITIES:    
Accounts payable 985,891 933,708
Accrued expenses and other current liabilities 456,541 523,971
Accrued income taxes 69,816 0
Current portion of operating lease liabilities 60,338 57,161
Current portion of long-term debt 15,020 313,282
Current portion of non-recourse notes payable 509,686 484,167
TOTAL CURRENT LIABILITIES  2,097,292 2,312,289
Long-term debt, excluding current portion 1,589,454 1,602,355
Non-recourse notes payable, excluding current portion 16,559,771 16,357,301
Operating lease liabilities, excluding current portion 481,344 496,210
Other liabilities 358,055 354,902
TOTAL LIABILITIES  21,085,916 21,123,057
Commitments and contingent liabilities
SHAREHOLDERS’ EQUITY:    
Common stock, $0.50 par value; 350,000,000 shares authorized; 153,908,030 and 157,611,939 shares issued and outstanding as of November 30, 2024 and February 29, 2024, respectively 76,954 78,806
Capital in excess of par value 1,853,489 1,808,746
Accumulated other comprehensive income 14,827 59,279
Retained earnings 4,265,940 4,126,909
TOTAL SHAREHOLDERS’ EQUITY  6,211,210 6,073,740
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY  $ 27,297,126 $ 27,196,797
v3.24.4
Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Statement of Financial Position [Abstract]    
Financing Receivable, Allowance for Credit Loss $ 478,923 $ 482,790
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment $ 2,003,774 $ 1,813,783
Common Stock, Par or Stated Value Per Share $ 0.50 $ 0.50
Common Stock, Shares Authorized 350,000,000 350,000,000
Common Stock, Shares, Issued 153,908,030 157,611,939
Common stock, shares outstanding 153,908,030 157,611,939
v3.24.4
Consolidated Statements Of Cash Flows - USD ($)
$ in Thousands
 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
OPERATING ACTIVITIES:    
Net earnings $ 410,690 $ 428,936
Adjustments to reconcile net earnings to net cash provided by operating activities:    
Depreciation and amortization 217,332 193,528
Share-based compensation expense 107,121 90,479
Provision for loan losses 266,406 238,952
Provision for cancellation reserves 75,007 62,587
Deferred income tax benefit (19,961) (28,290)
Other 6,186 8,534
Net decrease (increase) in:    
Accounts receivable, net 19,872 86,377
Inventory 12,907 87,196
Other current assets 127,978 91,793
Auto loans receivable, net (667,502) (979,052)
Other assets (13,936) (8,775)
Net increase (decrease) in:    
Accounts payable, accrued expenses and other current liabilities and accrued income taxes 6,695 (60,365)
Other liabilities (70,733) (62,921)
Net Cash Provided by (Used in) Operating Activities 478,062 148,979
INVESTING ACTIVITIES:    
Capital expenditures (340,322) (355,442)
Proceeds from disposal of property and equipment 153 1,299
Purchases of investments (9,478) (4,641)
Sales and returns of investments 1,722 1,562
Net Cash Provided by (Used in) Investing Activities (347,925) (357,222)
FINANCING ACTIVITIES:    
Proceeds from issuances of long-term debt 34,400 134,600
Payments on long-term debt (344,231) (242,989)
Cash paid for debt issuance costs (16,861) (15,576)
Payments on finance lease obligations (13,146) (12,177)
Issuances of non-recourse notes payable 9,721,000 9,099,929
Payments on non-recourse notes payable (9,491,659) (8,430,615)
Repurchase and retirement of common stock (329,581) (44,287)
Equity issuances 35,367 28,430
Net Cash Provided by (Used in) Financing Activities (404,711) 517,315
(Decrease) increase in cash, cash equivalents, and restricted cash (274,574) 309,072
Cash, cash equivalents, and restricted cash at beginning of year 1,250,410 951,004
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD 975,836 1,260,076
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH TO THE CONSOLIDATED BALANCE SHEETS:    
Cash and cash equivalents 271,910 605,375
Restricted cash from collections on auto loans receivable 541,153 483,570
Restricted cash included in other assets 162,773 171,131
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD $ 975,836 $ 1,260,076
v3.24.4
Consolidated Statements of Shareholders' Equity Statement - USD ($)
$ in Thousands
Total
Common Stock [Member]
Additional Paid-in Capital [Member]
Retained Earnings [Member]
AOCI Attributable to Parent [Member]
BALANCE, SHARES at Feb. 28, 2023   158,079,000      
BALANCE at Feb. 28, 2023 $ 5,613,077 $ 79,040 $ 1,713,074 $ 3,723,094 $ 97,869
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 228,298     228,298  
Other Comprehensive Income (Loss), Net of Tax (36,539)       (36,539)
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 21,274   21,274    
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   18,000      
Stock Issued During Period, Value, Stock Options Exercised 988 $ 9 979    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   112,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture (3,930) $ 56 (3,986)    
BALANCE, SHARES at May. 31, 2023   158,209,000      
BALANCE at May. 31, 2023 5,823,168 $ 79,105 1,731,341 3,951,392 61,330
BALANCE, SHARES at Feb. 28, 2023   158,079,000      
BALANCE at Feb. 28, 2023 5,613,077 $ 79,040 1,713,074 3,723,094 97,869
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 428,936        
Other Comprehensive Income (Loss), Net of Tax (37,202)        
BALANCE, SHARES at Nov. 30, 2023   158,021,000      
BALANCE at Nov. 30, 2023 6,044,365 $ 79,011 1,786,924 4,117,763 60,667
BALANCE, SHARES at May. 31, 2023   158,209,000      
BALANCE at May. 31, 2023 5,823,168 $ 79,105 1,731,341 3,951,392 61,330
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 118,635     118,635  
Other Comprehensive Income (Loss), Net of Tax 17,267       17,267
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 20,256   20,256    
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   446,000      
Stock Issued During Period, Value, Stock Options Exercised 26,546 $ 223 26,323    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   1,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture (213) $ 0 (213)    
BALANCE, SHARES at Aug. 31, 2023   158,656,000      
BALANCE at Aug. 31, 2023 6,005,659 $ 79,328 1,777,707 4,070,027 78,597
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 82,003     82,003  
Other Comprehensive Income (Loss), Net of Tax (17,930)       (17,930)
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 15,728   15,728    
Stock Repurchased and Retired During Period, Shares   (649,000)      
Stock Repurchased and Retired During Period, Value (41,903) $ (324) (7,312) (34,267)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   12,000      
Stock Issued During Period, Value, Stock Options Exercised 896 $ 6 890    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   2,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture (88) $ 1 (89)    
BALANCE, SHARES at Nov. 30, 2023   158,021,000      
BALANCE at Nov. 30, 2023 $ 6,044,365 $ 79,011 1,786,924 4,117,763 60,667
BALANCE, SHARES at Feb. 29, 2024 157,611,939 157,612,000      
BALANCE at Feb. 29, 2024 $ 6,073,740 $ 78,806 1,808,746 4,126,909 59,279
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 152,440     152,440  
Other Comprehensive Income (Loss), Net of Tax 2,399       2,399
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 36,708   36,708    
Stock Repurchased and Retired During Period, Shares   (1,446,000)      
Stock Repurchased and Retired During Period, Value (104,889) $ (723) (17,615) (86,551)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   138,000      
Stock Issued During Period, Value, Stock Options Exercised 8,209 $ 69 8,140    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   49,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture (1,737) $ 24 (1,761)    
BALANCE, SHARES at May. 31, 2024   156,353,000      
BALANCE at May. 31, 2024 $ 6,166,870 $ 78,176 1,834,218 4,192,798 61,678
BALANCE, SHARES at Feb. 29, 2024 157,611,939 157,612,000      
BALANCE at Feb. 29, 2024 $ 6,073,740 $ 78,806 1,808,746 4,126,909 59,279
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 410,690        
Other Comprehensive Income (Loss), Net of Tax $ (44,452)        
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period 564,000        
BALANCE, SHARES at Nov. 30, 2024 153,908,030 153,908,000      
BALANCE at Nov. 30, 2024 $ 6,211,210 $ 76,954 1,853,489 4,265,940 14,827
BALANCE, SHARES at May. 31, 2024   156,353,000      
BALANCE at May. 31, 2024 6,166,870 $ 78,176 1,834,218 4,192,798 61,678
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 132,809     132,809  
Other Comprehensive Income (Loss), Net of Tax (52,621)       (52,621)
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 17,328   17,328    
Stock Repurchased and Retired During Period, Shares   (1,376,000)      
Stock Repurchased and Retired During Period, Value (106,853) $ (688) (17,059) (89,106)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   347,000      
Stock Issued During Period, Value, Stock Options Exercised 22,087 $ 173 21,914    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   8,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture (11) $ 5 (16)    
BALANCE, SHARES at Aug. 31, 2024   155,332,000      
BALANCE at Aug. 31, 2024 6,179,609 $ 77,666 1,856,385 4,236,501 9,057
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net earnings 125,441     125,441  
Other Comprehensive Income (Loss), Net of Tax 5,770       5,770
APIC, Share-based Payment Arrangement, Increase for Cost Recognition 11,262   11,262    
Stock Repurchased and Retired During Period, Shares   (1,506,000)      
Stock Repurchased and Retired During Period, Value (115,869) $ (753) (19,114) (96,002)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period   79,000      
Stock Issued During Period, Value, Stock Options Exercised 5,071 $ 40 5,031    
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture   3,000      
Shares Issued, Value, Share-based Payment Arrangement, after Forfeiture $ (74) $ 1 (75)    
BALANCE, SHARES at Nov. 30, 2024 153,908,030 153,908,000      
BALANCE at Nov. 30, 2024 $ 6,211,210 $ 76,954 $ 1,853,489 $ 4,265,940 $ 14,827
v3.24.4
Supplemental Cash Flow Information
 9 Months Ended
Nov. 30, 2024
Supplemental Cash Flow Elements [Abstract]  
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] Supplemental Cash Flow Information
Supplemental disclosures of cash flow information:
Nine Months Ended November 30
(In thousands)20242023
Non-cash investing and financing activities:  
Increase (decrease) in accrued capital expenditures$11,023 $(17,419)
(Decrease) increase in financing obligations$(2,360)$4,527 
Increase in receivable for investment proceeds$12,312 $— 

See Note 13 for supplemental cash flow information related to leases.
Cash Flow, Supplemental Disclosures [Text Block]
Nine Months Ended November 30
(In thousands)20242023
Non-cash investing and financing activities:  
Increase (decrease) in accrued capital expenditures$11,023 $(17,419)
(Decrease) increase in financing obligations$(2,360)$4,527 
Increase in receivable for investment proceeds$12,312 $— 
v3.24.4
Supplemental Cash Flow Information Supplemental Cash Flow Information
 9 Months Ended
Nov. 30, 2024
Supplemental Cash Flow Elements [Abstract]  
Cash Flow, Supplemental Disclosures [Text Block]
Nine Months Ended November 30
(In thousands)20242023
Non-cash investing and financing activities:  
Increase (decrease) in accrued capital expenditures$11,023 $(17,419)
(Decrease) increase in financing obligations$(2,360)$4,527 
Increase in receivable for investment proceeds$12,312 $— 
v3.24.4
Supplemental Cash Flow Information Supplemental Cash Flow Information - USD ($)
$ in Thousands
 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Supplemental Cash Flow Elements [Abstract]    
Increase (decrease) in accrued capital expenditures $ 11,023 $ 17,419
(Decrease) increase in financing obligations (2,360) 4,527
Increase (Decrease) in Receivable for Investment Sold $ 12,312 $ 0
v3.24.4
Background
 9 Months Ended
Nov. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business Description and Accounting Policies [Text Block] Background
Business. CarMax, Inc. (“we,” “our,” “us,” “CarMax” and “the company”), including its wholly owned subsidiaries, is the nation’s largest retailer of used vehicles.  We operate in two reportable segments:  CarMax Sales Operations and CarMax Auto Finance (“CAF”).  Our CarMax Sales Operations segment consists of all aspects of our auto merchandising and service operations, excluding financing provided by CAF.  Our CAF segment consists solely of our own finance operation that provides financing to customers buying retail vehicles from CarMax.
On June 1, 2021, we completed the acquisition of Edmunds Holding Company (“Edmunds”). At that time, Edmunds was identified as a non-reportable operating segment and has been presented as “Other” in the Segment Information footnote in our prior period financial statements. Since the acquisition, Edmunds’ business strategy has become increasingly integrated with that of CarMax Sales Operations. Beginning in the first quarter of fiscal 2025, the chief operating decision maker (“CODM”) assessed the financial performance related to Edmunds’ operations together with the rest of the CarMax Sales Operations segment. As a result, as of May 31, 2024, the company realigned its operating segments to be consistent with the manner in which the CODM assesses performance and makes resource allocations. The company now operates in two operating segments, CarMax Sales Operations and CAF, both of which continue to be reportable segments.
The operating segment change did not impact the company’s consolidated financial statements but did impact our previous segment footnote disclosure. The Segment Information footnote is no longer presented, as the previous disclosures were for the purpose of presenting the Edmunds operating segment separate from CarMax Sales Operations. The current and prior period required disclosures related to our reportable segments are included elsewhere within the consolidated financial statements and related footnotes. The performance of our CarMax Sales Operations segment is reviewed by our CODM at the gross profit level, the components of which are presented within the consolidated statement of earnings. The required segment information related to our CAF segment is presented in Note 3. Additionally, asset information by segment is not utilized for purposes of assessing performance or allocating resources and, as a result, such information has not been presented.
We deliver an unrivaled customer experience by offering a broad selection of quality used vehicles and related products and services at competitive, no-haggle prices using a customer-friendly sales process.  Our omni-channel platform, which gives us the largest addressable market in the used car industry, empowers our retail customers to buy a car on their terms – online, in-store or an integrated combination of both. We offer customers a range of related products and services, including the appraisal and purchase of vehicles directly from consumers and dealers; the financing of retail vehicle purchases through CAF and third-party finance providers; the sale of extended protection plan (“EPP”) products, which include extended service plans (“ESPs”) and guaranteed asset protection (“GAP”); advertising and subscription services; and vehicle repair service.  Vehicles purchased through the appraisal process that do not meet our retail standards are sold to licensed dealers through on-site or virtual wholesale auctions.
Basis of Presentation and Use of Estimates. The accompanying interim unaudited consolidated financial statements include the accounts of CarMax and our wholly owned subsidiaries.  All significant intercompany balances and transactions have been eliminated in consolidation.  These interim unaudited consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information.  Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements.  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.  The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full fiscal year.  
The accounting policies followed in the presentation of our interim financial results are consistent with those included in the company’s Annual Report on Form 10-K for the fiscal year ended February 29, 2024 (the “2024 Annual Report”), with the exception of those related to recent accounting pronouncements adopted in the current fiscal year. These interim unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in our 2024 Annual Report.
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.  Actual results could differ from those estimates.  Certain prior year amounts have been reclassified to conform to the current year’s presentation.  Amounts and percentages may not total due to rounding.
Recent Accounting Pronouncements.
Effective in Future Periods
In November 2024, the Financial Accounting Standards Board (“FASB”) issued an accounting pronouncement (ASU 2024-03) related to expense disclosures. The amendments in this update require public entities to provide disaggregated disclosure of expenses included within relevant income statement expense captions, as well as additional disclosures about selling expenses. This update is effective for annual periods beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. We plan to adopt this pronouncement beginning with our fiscal year ended February 29, 2028. We are currently in the process of evaluating the effects of this pronouncement on our consolidated financial statements.
In November 2024, the FASB issued an accounting pronouncement (ASU 2024-04) related to induced conversions of convertible debt instruments. The amendments in this update clarify the requirements for determining whether certain settlements of convertible debt instruments should be accounted for as induced conversions rather than as debt extinguishments. This update is effective for annual periods beginning after December 15, 2025, including interim periods within those fiscal years, though early adoption is permitted. We plan to adopt this pronouncement for our fiscal year beginning March 1, 2026, and we do not expect it to have a material effect on our consolidated financial statements.
v3.24.4
Revenue
 9 Months Ended
Nov. 30, 2024
Revenue from Contract with Customer [Abstract]  
Revenue from Contract with Customer [Text Block] Revenue
We recognize revenue when control of the good or service has been transferred to the customer, generally either at the time of sale or upon delivery to a customer.  Our contracts have a fixed contract price and revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. We collect sales taxes and other taxes from customers on behalf of governmental authorities at the time of sale.  These taxes are accounted for on a net basis and are not included in net sales and operating revenues or cost of sales. We generally expense sales commissions when incurred because the amortization period would have been less than one year. These costs are recorded within selling, general and administrative expenses. We do not have any significant payment terms as payment is received at or shortly after the point of sale.
Disaggregation of Revenue
Three Months Ended November 30Nine Months Ended November 30
(In millions)2024202320242023
Used vehicle sales$4,888.9 $4,832.1 $16,243.4 $16,424.7 
Wholesale vehicle sales1,168.6 1,165.2 3,579.5 4,001.5 
Other sales and revenues:
Extended protection plan revenues105.5 90.8 345.7 303.8 
Third-party finance income/(fees), net1.0 (1.2)0.8 (2.4)
Advertising & subscription revenues (1)
36.1 36.7 105.1 101.6 
Service revenues20.4 20.3 64.8 63.8 
Other2.9 4.7 10.9 16.4 
Total other sales and revenues165.9 151.3 527.3 483.2 
Total net sales and operating revenues$6,223.4 $6,148.5 $20,350.3 $20,909.4 

(1)    Excludes intercompany sales and operating revenues that have been eliminated in consolidation.

Used Vehicle Sales. Revenue from the sale of used vehicles is recognized upon transfer of control of the vehicle to the customer. As part of our customer service strategy, we guarantee the retail vehicles we sell with a 10-day money-back guarantee.  We record a reserve for estimated returns based on historical experience and trends. The reserve for estimated returns is presented gross on the consolidated balance sheets, with a return asset recorded in other current assets and a refund liability recorded in accrued expenses and other current liabilities. We also guarantee the used vehicles we sell with a 90-day/4,000-mile limited warranty. These warranties are deemed assurance-type warranties and are accounted for as warranty obligations. See Note 15 for additional information on this warranty and its related obligation.
Wholesale Vehicle Sales. Wholesale vehicles are sold at our auctions, and revenue from the sale of these vehicles is recognized upon transfer of control of the vehicle to the customer. Dealers also pay a fee to us based on the sale price of the vehicles they purchase. This fee is recognized as revenue at the time of sale. While we provide condition disclosures on each wholesale vehicle sold, the vehicles are subject to a limited right of return. We record a reserve for estimated returns based on
historical experience and trends. The reserve for estimated returns is presented gross on the consolidated balance sheets, with a return asset recorded in other current assets and a refund liability recorded in accrued expenses and other current liabilities.
EPP Revenues. We also sell ESP and GAP products on behalf of unrelated third parties, who are primarily responsible for fulfilling the contract, to customers who purchase a retail vehicle.  The ESPs we currently offer on all used vehicles provide coverage up to 60 months (subject to mileage limitations), while GAP covers the customer for the term of their finance contract. We recognize revenue, on a net basis, at the time of sale. We also record a reserve, or refund liability, for estimated contract cancellations. The reserve for cancellations is evaluated for each product and is based on forecasted forward cancellation curves utilizing historical experience, recent trends and credit mix of the customer base.  Our risk related to contract cancellations is limited to the revenue that we receive.  Cancellations fluctuate depending on the volume of EPP sales, customer financing default or prepayment rates, and shifts in customer behavior, including those related to changes in the coverage or term of the product.  The current portion of estimated cancellation reserves is recognized as a component of accrued expenses and other current liabilities with the remaining amount recognized in other liabilities.  See Note 7 for additional information on cancellation reserves.
We are contractually entitled to receive profit-sharing revenues based on the performance of the ESPs administered by third parties. These revenues are a form of variable consideration included in EPP revenues to the extent that it is probable that it will not result in a significant revenue reversal. An estimate of the amount to which we expect to be entitled is determined upon satisfying the performance obligation of selling the ESP. This estimate is subject to various constraints; primarily, factors that are outside of the company’s influence or control. We have determined that these constraints generally preclude any profit-sharing revenues from being recognized before they are paid. As of November 30, 2024 and February 29, 2024, no current or long-term contract asset was recognized related to cumulative profit-sharing payments to which we expect to be entitled. The estimate of the amount to which we expect to be entitled is reassessed each reporting period and any changes are reflected in other sales and revenues on our consolidated statements of earnings and other assets on our consolidated balance sheets.
Third-Party Finance Income/(Fees). Customers applying for financing who are not approved or are conditionally approved by CAF are generally evaluated by other third-party finance providers.  These providers generally either pay us or are paid a fixed, pre-negotiated fee per contract.  We recognize these fees at the time of sale.
Advertising and Subscription Revenues. Advertising and subscription revenues consist of revenues earned by our Edmunds business. Advertising revenues are derived from advertising contracts with automotive manufacturers based on fixed fees per impression and fees for certain activities completed by customers on the manufacturers’ websites. These fees are recognized in the period the impressions are delivered or certain activities occurred. Subscription revenues are derived from packages sold to automotive dealers that include car leads, inventory listings and enhanced placement in Edmunds’ dealer locator and are recognized over the period that the services are made available to the dealers. Subscription revenues also include a digital marketing subscription service, which allows dealers to gain exposure on third party partner websites. Revenues for this service are recognized on a net basis.
Service Revenues. Service revenue consists of labor and parts income related to vehicle repair service, including repairs of vehicles covered under an ESP we sell or warranty program. Service revenue is recognized at the time the work is completed.
Other Revenues. Other revenues include miscellaneous goods and services, which are immaterial to our consolidated financial statements.
v3.24.4
CarMax Auto Finance
 9 Months Ended
Nov. 30, 2024
CarMax Auto Finance Income [Abstract]  
CarMax Auto Finance CarMax Auto Finance
CAF provides financing to qualified retail customers purchasing vehicles from CarMax.  CAF provides us the opportunity to capture additional profits, cash flows and sales while managing our reliance on third-party finance sources.  Management regularly analyzes CAF’s operating results by assessing profitability, the performance of the auto loans receivable, including trends in credit losses and delinquencies, and CAF direct expenses.  This information is used to assess CAF’s performance and make operating decisions, including resource allocation.
We typically use securitizations or other funding arrangements to fund loans originated by CAF.  CAF income primarily reflects the interest and fee income generated by the auto loans receivable less the interest expense associated with the debt issued to fund these receivables, a provision for estimated loan losses and direct CAF expenses.
CAF income does not include any allocation of indirect costs.  Although CAF benefits from certain indirect overhead expenditures, we have not allocated indirect costs to CAF to avoid making subjective allocation decisions.  Examples of indirect costs not allocated to CAF include retail store expenses and corporate expenses.  In addition, except for auto loans
receivable, which are disclosed in Note 4, CAF assets are not separately reported nor do we allocate assets to CAF because such allocation would not be useful to management in making operating decisions.
Components of CAF Income
Three Months Ended November 30Nine Months Ended November 30
(In millions)2024
% (1)
2023
% (1)
2024
% (1)
2023
% (1)
Interest margin:
Interest and fee income$469.2 10.6 $426.9 9.8 $1,386.2 10.5 $1,244.3 9.6 
Interest expense(193.2)(4.3)(170.2)(3.9)(569.2)(4.3)(464.8)(3.6)
Total interest margin276.0 6.2 256.7 5.9 817.0 6.2 779.5 6.0 
Provision for loan losses(72.6)(1.6)(68.3)(1.6)(266.4)(2.0)(239.0)(1.8)
Total interest margin after provision for loan losses203.4 4.6 188.4 4.3 550.6 4.2 540.5 4.2 
Direct expenses:
Payroll and fringe benefit expense(19.0)(0.4)(16.2)(0.4)(56.6)(0.4)(49.6)(0.4)
Depreciation and amortization(4.3)(0.1)(4.1)(0.1)(12.8)(0.1)(12.3)(0.1)
Other direct expenses(20.2)(0.5)(19.4)(0.4)(58.8)(0.4)(57.6)(0.4)
Total direct expenses(43.5)(1.0)(39.7)(0.9)(128.2)(1.0)(119.5)(0.9)
CarMax Auto Finance income$159.9 3.6 $148.7 3.4 $422.4 3.2 $421.0 3.2 
Total average managed receivables$17,771.7 $17,508.9 $17,683.9 $17,276.0 

(1)    Annualized percentage of total average managed receivables.
v3.24.4
Auto Loan Receivables
 9 Months Ended
Nov. 30, 2024
Receivables [Abstract]  
Auto Loan Receivables Auto Loans Receivable
Auto loans receivable include amounts due from customers related to retail vehicle sales financed through CAF and are presented net of an allowance for estimated loan losses.  These auto loans represent a large group of smaller-balance homogeneous loans, which we consider to be part of one class of financing receivable and one portfolio segment for purposes of determining our allowance for loan losses. We generally use warehouse facilities to fund auto loans receivable originated by CAF until we elect to fund them through an asset-backed term funding transaction, such as a term securitization or alternative funding arrangement.  We recognize transfers of auto loans receivable into the warehouse facilities and asset-backed term funding transactions (together, “non-recourse funding vehicles”) as secured borrowings, which result in recording the auto loans receivable and the related non-recourse notes payable on our consolidated balance sheets. The majority of the auto loans receivable serve as collateral for the related non-recourse notes payable of $17.10 billion as of November 30, 2024, and $16.87 billion as of February 29, 2024. See Note 9 for additional information on securitizations and non-recourse notes payable.
Interest income and expenses related to auto loans are included in CAF income.  Interest income on auto loans receivable is recognized when earned based on contractual loan terms.  All loans continue to accrue interest until repayment or charge-off.  When a charge-off occurs, accrued interest is written off by reversing interest income. Direct costs associated with loan originations are not considered material, and thus, are expensed as incurred.  See Note 3 for additional information on CAF income.
Auto Loans Receivable, Net
 As of November 30As of February 29
(In millions)20242024
Asset-backed term funding$12,649.0 $12,638.2 
Warehouse facilities3,937.6 3,744.6 
Overcollateralization (1)
825.4 790.9 
Other managed receivables (2)
344.4 218.1 
Total ending managed receivables17,756.4 17,391.8 
Accrued interest and fees107.1 90.9 
Other28.3 11.9 
Less: allowance for loan losses(478.9)(482.8)
Auto loans receivable, net$17,412.9 $17,011.8 

(1)    Represents receivables restricted as excess collateral for the non-recourse funding vehicles.
(2)    Other managed receivables includes receivables not funded through the non-recourse funding vehicles.

Credit Quality.  When customers apply for financing, CAF’s proprietary scoring models utilize the customers’ credit history and certain application information to evaluate and rank their risk.  We obtain credit histories and other credit data that includes information such as number, age, type of and payment history for prior or existing credit accounts.  The application information that is used includes income, collateral value and down payment.  The scoring models yield credit grades that represent the relative likelihood of repayment.  Customers with the highest probability of repayment are A-grade customers. Customers assigned a lower grade are determined to have a lower probability of repayment.  For loans that are approved, the credit grade influences the terms of the agreement, such as the required loan-to-value ratio and interest rate. After origination, credit grades are generally not updated.
CAF uses a combination of the initial credit grades and historical performance to monitor the credit quality of the auto loans receivable on an ongoing basis.  We validate the accuracy of the scoring models periodically.  Loan performance is reviewed on a recurring basis to identify whether the assigned grades adequately reflect the customers’ likelihood of repayment.
Ending Managed Receivables by Major Credit Grade
As of November 30, 2024
Fiscal Year of Origination (1)
(In millions)20252024202320222021Prior to 2021Total
% (2)
Core managed receivables (3):
A$3,339.0 $2,902.1 $1,903.4 $1,061.0 $324.1 $86.1 $9,615.7 54.2 
B1,670.2 1,819.6 1,293.7 854.0 300.0 107.9 6,045.4 34.0 
C and other343.6 302.1 363.1 277.5 119.6 49.5 1,455.4 8.2 
Total core managed receivables5,352.8 5,023.8 3,560.2 2,192.5 743.7 243.5 17,116.5 96.4 
Other managed receivables (4):
C and other248.5 194.7 129.7 52.0 6.3 8.7 639.9 3.6 
Total ending managed receivables$5,601.3 $5,218.5 $3,689.9 $2,244.5 $750.0 $252.2 $17,756.4 100.0 
Gross charge-offs$19.2 $149.9 $153.5 $85.3 $24.3 $14.9 $447.1 
As of February 29, 2024
Fiscal Year of Origination (1)
(In millions)20242023202220212020Prior to 2020Total
% (2)
Core managed receivables (3):
A$3,922.7 $2,660.6 $1,635.1 $614.0 $268.7 $40.0 $9,141.1 52.6 
B2,370.8 1,738.8 1,225.9 493.3 233.4 61.3 6,123.5 35.2 
C and other344.1 498.6 400.3 192.2 86.6 26.9 1,548.7 8.9 
Total core managed receivables6,637.6 4,898.0 3,261.3 1,299.5 588.7 128.2 16,813.3 96.7 
Other managed receivables (4):
C and other299.0 176.3 72.6 9.3 12.1 9.2 578.5 3.3 
Total ending managed receivables$6,936.6 $5,074.3 $3,333.9 $1,308.8 $600.8 $137.4 $17,391.8 100.0 
Gross charge-offs$111.0 $248.6 $129.8 $41.0 $19.7 $11.4 $561.5 

(1)    Classified based on credit grade assigned when customers were initially approved for financing.
(2)    Percent of total ending managed receivables.
(3)    Represents CAF’s Tier 1 originations.
(4)    Represents CAF’s Tier 2 and Tier 3 originations.

Allowance for Loan Losses.  The allowance for loan losses at November 30, 2024 represents the net credit losses expected over the remaining contractual life of our managed receivables. The allowance for loan losses is determined using a net loss timing curve method (“method”), primarily based on the composition of the portfolio of managed receivables and historical gross loss and recovery trends. Due to the fact that losses for receivables with less than 18 months of performance history can be volatile, our net loss estimate weights both historical losses by credit grade at origination and actual loss data on the receivables to-date, along with forward loss curves, in estimating future performance. Once the receivables have 18 months of performance history, the net loss estimate reflects actual loss experience of those receivables to-date, along with forward loss curves, to predict future performance. The forward loss curves are constructed using historical performance data and show the average timing of losses over the course of a receivable’s life. The net loss estimate is calculated by applying the loss rates developed using the methods described above to the amortized cost basis of the managed receivables at inception of the loan.
The output of the method is adjusted to take into account reasonable and supportable forecasts about the future. Specifically, the change in U.S. unemployment rates and the National Automobile Dealers Association used vehicle price index are used to predict changes in gross loss and recovery rates, respectively. An economic adjustment factor, based upon a single macroeconomic scenario, is developed to capture the relationship between changes in these forecasts and changes in gross loss and recovery rates. This factor is applied to the output of the method for the reasonable and supportable forecast period of two years. After the end of this two-year period, we revert to historical experience on a straight-line basis over a period of 12 months. We periodically consider whether the use of alternative metrics would result in improved model performance and revise the models when appropriate. We also consider whether qualitative adjustments are necessary for factors that are not reflected in the quantitative methods but impact the measurement of estimated credit losses. Such adjustments include the uncertainty of the impacts of recent economic trends on customer behavior. The change in the allowance for loan losses is recognized through an adjustment to the provision for loan losses.
Allowance for Loan Losses

Three Months Ended November 30, 2024
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$417.3 $83.5 $500.8 2.82 
Charge-offs(129.0)(21.2)(150.2)
Recoveries (2)
48.7 7.0 55.7 
Provision for loan losses61.7 10.9 72.6 
Balance as of end of period$398.7 $80.2 $478.9 2.70 

Three Months Ended November 30, 2023
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$433.0 $105.0 $538.0 3.08 
Charge-offs(125.1)(23.6)(148.7)
Recoveries (2)
47.2 7.1 54.3 
Provision for loan losses57.3 11.0 68.3 
Balance as of end of period$412.4 $99.5 $511.9 2.92 

Nine Months Ended November 30, 2024
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$389.7 $93.1 $482.8 2.78 
Charge-offs(373.1)(74.0)(447.1)
Recoveries (2)
154.7 22.1 176.8 
Provision for loan losses227.4 39.0 266.4 
Balance as of end of period$398.7 $80.2 $478.9 2.70 

Nine Months Ended November 30, 2023
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$401.5 $105.7 $507.2 3.02 
Charge-offs(336.9)(64.8)(401.7)
Recoveries (2)
146.2 21.2 167.4 
Provision for loan losses201.6 37.4 239.0 
Balance as of end of period$412.4 $99.5 $511.9 2.92 

(1)    Percent of total ending managed receivables.
(2)    Net of costs incurred to recover vehicle.
 
During the first nine months of fiscal 2025, the allowance for loan losses as a percent of total ending managed receivables decreased by 8 basis points. The decrease was primarily driven by the previously implemented tightened underwriting standards, partially offset by unfavorable loss performance related to CAF’s core receivables as well as CAF’s expanded investment in Tier 2. The increase in net charge-offs primarily reflects continued customer hardship in the current economic environment. The allowance for loan losses as of November 30, 2024 reflects our best estimate of expected future losses based on recent trends in delinquencies, loss performance, recovery rates and the economic environment.
Past Due Receivables. An account is considered delinquent when the related customer fails to make a substantial portion of a scheduled payment on or before the due date. In general, accounts are charged-off on the last business day of the month during which the earliest of the following occurs: the receivable is 120 days or more delinquent as of the last business day of the month, the related vehicle is repossessed and liquidated, or the receivable is otherwise deemed uncollectable. For purposes of determining impairment, auto loans are evaluated collectively, as they represent a large group of smaller-balance homogeneous loans, and therefore, are not individually evaluated for impairment.
Past Due Receivables
As of November 30, 2024
Core ReceivablesOther ReceivablesTotal
(In millions)ABC & OtherTotalC & Other$
% (1)
Current$9,560.3 $5,600.1 $1,200.1 $16,360.5 $526.4 $16,886.9 95.10 
Delinquent loans:
31-60 days past due35.6 284.4 155.4 475.4 69.5 544.9 3.07 
61-90 days past due14.9 129.6 82.3 226.8 36.3 263.1 1.48 
Greater than 90 days past due4.9 31.3 17.6 53.8 7.7 61.5 0.35 
Total past due55.4 445.3 255.3 756.0 113.5 869.5 4.90 
Total ending managed receivables$9,615.7 $6,045.4 $1,455.4 $17,116.5 $639.9 $17,756.4 100.00 

As of February 29, 2024
Core ReceivablesOther ReceivablesTotal
(In millions)ABC & OtherTotalC & Other$
% (1)
Current$9,088.1 $5,666.3 $1,243.7 $15,998.1 $447.1 $16,445.2 94.56 
Delinquent loans:
31-60 days past due32.1 271.3 162.9 466.3 68.1 534.4 3.07 
61-90 days past due15.1 149.4 118.5 283.0 53.0 336.0 1.93 
Greater than 90 days past due5.8 36.5 23.6 65.9 10.3 76.2 0.44 
Total past due53.0 457.2 305.0 815.2 131.4 946.6 5.44 
Total ending managed receivables$9,141.1 $6,123.5 $1,548.7 $16,813.3 $578.5 $17,391.8 100.00 

(1)    Percent of total ending managed receivables.
v3.24.4
Derivative Instruments And Hedging Activities
 9 Months Ended
Nov. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments And Hedging Activities Derivative Instruments and Hedging Activities
We use derivatives to manage certain risks arising from both our business operations and economic conditions, particularly with regard to issuances of debt.  Primary exposures include SOFR and other rates used as benchmarks in our securitizations and other debt financing.  We enter into derivative instruments to manage exposures related to the future known receipt or payment of uncertain cash amounts, the values of which are impacted by interest rates, and generally designate these derivative instruments as cash flow hedges for accounting purposes.  In certain cases, we may choose not to designate a derivative instrument as a cash flow hedge for accounting purposes due to uncertainty around the probability that future hedged transactions will occur. Our derivative instruments are used to manage (i) differences in the amount of our known or expected cash receipts and our known or expected cash payments principally related to the funding of our auto loans receivable, and (ii) exposure to variable interest rates associated with our term loans.
For the derivatives associated with our non-recourse funding vehicles that are designated as cash flow hedges, the changes in fair value are initially recorded in accumulated other comprehensive income (“AOCI”).  For the majority of these derivatives, the amounts are subsequently reclassified into CAF income in the period that the hedged forecasted transaction affects earnings, which occurs as interest expense is recognized on those future issuances of debt. During the next 12 months, we estimate that an additional $37.6 million will be reclassified from AOCI as an increase to CAF income. Changes in fair value related to derivatives that have not been designated as cash flow hedges for accounting purposes are recognized in the income statement in the period in which the change occurs. For the three and nine months ended November 30, 2024, we recognized expense of $2.2 million and $9.9 million, respectively, in CAF income representing these changes in fair value.
As of November 30, 2024 and February 29, 2024, we had interest rate swaps outstanding with a combined notional amount of $4.76 billion and $5.21 billion, respectively, that were designated as cash flow hedges of interest rate risk. As of November 30, 2024 and February 29, 2024, we had interest rate swaps with a combined notional amount of $274.6 million and $704.0 million, respectively, outstanding that were not designated as cash flow hedges for accounting purposes.
See Note 6 for discussion of fair values of financial instruments and Note 12 for the effect on comprehensive income.
v3.24.4
Fair Value Measurements
 9 Months Ended
Nov. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants in the principal market or, if none exists, the most advantageous market, for the specific asset or liability at the measurement date (referred to as the “exit price”).  The fair value should be based on assumptions that market participants would use, including a consideration of nonperformance risk. 
We assess the inputs used to measure fair value using the three-tier hierarchy.  The hierarchy indicates the extent to which inputs used in measuring fair value are observable in the market. 
Level 1     Inputs include unadjusted quoted prices in active markets for identical assets or liabilities that we can access at the measurement date.
 
Level 2     Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly, including quoted prices for similar assets in active markets, quoted prices from identical or similar assets in inactive markets, observable inputs, such as interest rates and yield curves, and assumptions about risk.
 
Level 3     Inputs that are significant to the measurement that are not observable in the market and include management’s judgments about the assumptions market participants would use in pricing the asset or liability (including assumptions about risk).

Our fair value processes include controls that are designed to ensure that fair values are appropriate.  Such controls include model validation, review of key model inputs, analysis of period-over-period fluctuations and reviews by senior management.
Valuation Methodologies 
Money Market Securities.  Money market securities are cash equivalents, which are included in cash and cash equivalents, restricted cash from collections on auto loans receivable and other assets.  They consist of highly liquid investments with original maturities of three months or less and are classified as Level 1. 
Mutual Fund Investments.  Mutual fund investments consist of publicly traded mutual funds that primarily include diversified equity investments in large-, mid- and small-cap domestic and international companies or investment grade debt securities.  The investments, which are included in other assets, are held in a rabbi trust established to fund informally our executive deferred compensation plan and are classified as Level 1.
Derivative Instruments.  The fair values of our derivative instruments are included in either other current assets, other assets, accounts payable or other liabilities.  Our derivatives are not exchange-traded and are over-the-counter customized derivative instruments.  All of our derivative exposures are with highly rated bank counterparties.
We measure derivative fair values assuming that the unit of account is an individual derivative instrument and that derivatives are sold or transferred on a stand-alone basis.  We estimate the fair value of our derivatives using quotes determined by the derivative counterparties and third-party valuation services.  Quotes from third-party valuation services and quotes received from bank counterparties project future cash flows and discount the future amounts to a present value using market-based expectations for interest rates and the contractual terms of the derivative instruments.  The models do not require significant judgment and model inputs can typically be observed in a liquid market; however, because the models include inputs other than quoted prices in active markets, all derivatives are classified as Level 2. 
Our derivative fair value measurements consider assumptions about counterparty and our own nonperformance risk.  We monitor counterparty and our own nonperformance risk and, in the event that we determine that a party is unlikely to perform under terms of the contract, we would adjust the derivative fair value to reflect the nonperformance risk.
Items Measured at Fair Value on a Recurring Basis
 As of November 30, 2024
(In thousands)Level 1Level 2Total
Assets:   
Money market securities$871,146 $— $871,146 
Mutual fund investments28,077 — 28,077 
Derivative instruments designated as hedges— 21,347 21,347 
Derivative instruments not designated as hedges— 3,185 3,185 
Total assets at fair value$899,223 $24,532 $923,755 
Percent of total assets at fair value97.3  %2.7 %100.0 %
Percent of total assets3.3  %0.1 %3.4 %
Liabilities:   
Derivative instruments designated as hedges$— $(6,346)$(6,346)
Derivative instruments not designated as hedges— (3)(3)
Total liabilities at fair value$— $(6,349)$(6,349)
Percent of total liabilities—  %— %— %
 As of February 29, 2024
(In thousands)Level 1Level 2Total
Assets:   
Money market securities$1,164,270 $— $1,164,270 
Mutual fund investments24,312 — 24,312 
Derivative instruments designated as hedges— 45,761 45,761 
Derivative instruments not designated as hedges— 13,064 13,064 
Total assets at fair value$1,188,582 $58,825 $1,247,407 
Percent of total assets at fair value95.3  %4.7  %100.0  %
Percent of total assets4.4  %0.2  %4.6  %
Liabilities:   
Derivative instruments designated as hedges$— $(2,302)$(2,302)
Total liabilities at fair value$— $(2,302)$(2,302)
Percent of total liabilities—  %— %— %

Fair Value of Financial Instruments
The carrying value of our cash and cash equivalents, accounts receivable, other restricted cash deposits and accounts payable approximates fair value due to the short-term nature and/or variable rates associated with these financial instruments. Auto loans receivable are presented net of an allowance for estimated loan losses, which we believe approximates fair value. We believe that the carrying value of our revolving credit facility and term loans approximates fair value due to the variable rates associated with these obligations. The fair value of our senior unsecured notes, which are not carried at fair value on our consolidated balance sheets, was determined using Level 2 inputs based on quoted market prices. The carrying value and fair value of the senior unsecured notes as of November 30, 2024 and February 29, 2024, respectively, are as follows:
(In thousands)As of November 30, 2024As of February 29, 2024
Carrying value$400,000 $400,000 
Fair value$388,492 $380,249 
v3.24.4
Cancellation Reserves
 9 Months Ended
Nov. 30, 2024
Cancellation Reserves [Abstract]  
Cancellation Reserves Cancellation Reserves
We recognize revenue for EPP products, on a net basis, at the time of sale. We also record a reserve, or refund liability, for estimated contract cancellations.  Cancellations of these services may result from early termination by the customer, or default or prepayment on the finance contract.  The reserve for cancellations is evaluated for each product and is based on forecasted forward cancellation curves utilizing historical experience, recent trends and credit mix of the customer base.
Cancellation Reserves
 Three Months Ended November 30Nine Months Ended November 30
(In millions)2024202320242023
Balance as of beginning of period$133.7 $136.6 $128.3 $139.2 
Cancellations(24.9)(22.4)(68.8)(70.2)
Provision for future cancellations25.7 17.4 75.0 62.6 
Balance as of end of period$134.5 $131.6 $134.5 $131.6 
 
The current portion of estimated cancellation reserves is recognized as a component of accrued expenses and other current liabilities with the remaining amount recognized in other liabilities. As of November 30, 2024 and February 29, 2024, the current portion of cancellation reserves was $72.4 million and $69.7 million, respectively.
v3.24.4
Income Taxes
 9 Months Ended
Nov. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
We had $32.1 million of gross unrecognized tax benefits as of November 30, 2024, and $28.8 million as of February 29, 2024.  There were no significant changes to the gross unrecognized tax benefits as reported for the fiscal year ended February 29, 2024.
Within the next 12 months, it is reasonably possible that statutes will expire and previously unrecognized tax benefits related to the prepayment of services provided by related entities will be recognized. Recognition of the benefits will decrease gross unrecognized tax benefits by approximately $14.0 million and would not materially impact our effective tax rate.
v3.24.4
Stock and Stock-Based Incentive Plans
 9 Months Ended
Nov. 30, 2024
Share-Based Payment Arrangement, Noncash Expense [Abstract]  
Stock and Stock-Based Incentive Plans Stock and Stock-Based Incentive Plans
(A)Share Repurchase Program
As of November 30, 2024, a total of $4.0 billion of board authorizations for repurchases of our common stock was outstanding, with no expiration date, of which $2.04 billion remained available for repurchase.
Common Stock Repurchases
 Three Months EndedNine Months Ended
 November 30November 30
 2024202320242023
Number of shares repurchased (in thousands)
1,505.1 648.5 4,327.5 648.5 
Average cost per share$76.26 $64.60 $75.05 $64.60 
Available for repurchase, as of end of period (in millions)
$2,035.3 $2,409.4 $2,035.3 $2,409.4 

(B)Share-Based Compensation
Composition of Share-Based Compensation Expense
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands)2024202320242023
Cost of sales$1,250 $692 $3,898 $3,277 
CarMax Auto Finance income1,427 1,016 3,561 2,663 
Selling, general and administrative expenses22,252 19,918 101,486 86,516 
Share-based compensation expense, before income taxes$24,929 $21,626 $108,945 $92,456 

Composition of Share-Based Compensation Expense – By Grant Type
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands)2024202320242023
Nonqualified stock options$6,760 $12,334 $34,878 $40,061 
Cash-settled restricted stock units (RSUs)13,156 5,306 41,823 33,221 
Stock-settled market stock units (MSUs)3,789 3,531 15,556 13,639 
Other share-based incentives:
Stock-settled performance stock units (PSUs)713 (137)13,014 1,401 
Restricted stock (RSAs)— — — 307 
Stock-settled deferred stock units (DSUs)— — 1,850 1,850 
Employee stock purchase plan511 592 1,824 1,977 
Total other share-based incentives$1,224 $455 $16,688 $5,535 
Share-based compensation expense, before income taxes$24,929 $21,626 $108,945 $92,456 
(C)Stock Incentive Plan Information
Share/Unit Activity
Nine Months Ended November 30, 2024
Equity ClassifiedLiability Classified
(Shares/units in thousands)OptionsMSUsOtherRSUs
Outstanding as of February 29, 20247,393 383 195 1,297 
Granted1,233 239 263 918 
Exercised or vested and converted(564)(79)(47)(563)
Cancelled(148)(18)— (92)
Outstanding as of November 30, 20247,914 525 411 1,560 
Weighted average grant date fair value per share/unit:
Granted$29.21 $95.78 $69.43 $67.22 
Ending outstanding$28.14 $104.13 $75.26 $71.06 
As of November 30, 2024
Unrecognized compensation (in millions)
$39.8 $20.5 $4.0 
Schedule of Share Per Unit Activity
Share/Unit Activity
Nine Months Ended November 30, 2024
Equity ClassifiedLiability Classified
(Shares/units in thousands)OptionsMSUsOtherRSUs
Outstanding as of February 29, 20247,393 383 195 1,297 
Granted1,233 239 263 918 
Exercised or vested and converted(564)(79)(47)(563)
Cancelled(148)(18)— (92)
Outstanding as of November 30, 20247,914 525 411 1,560 
Weighted average grant date fair value per share/unit:
Granted$29.21 $95.78 $69.43 $67.22 
Ending outstanding$28.14 $104.13 $75.26 $71.06 
As of November 30, 2024
Unrecognized compensation (in millions)
$39.8 $20.5 $4.0 
v3.24.4
Net Earnings Per Share
 9 Months Ended
Nov. 30, 2024
Earnings Per Share [Abstract]  
Net Earnings Per Share Net Earnings Per Share
Basic net earnings per share is computed by dividing net earnings available for basic common shares by the weighted average number of shares of common stock outstanding.  Diluted net earnings per share is computed by dividing net earnings available for diluted common shares by the sum of weighted average number of shares of common stock outstanding and dilutive potential common stock.  Diluted net earnings per share is calculated using the “if-converted” treasury stock method.
Basic and Dilutive Net Earnings Per Share Reconciliations
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands except per share data)2024202320242023
Net earnings$125,441 $82,003 $410,690 $428,936 
Weighted average common shares outstanding154,582 158,446 155,874 158,347 
Dilutive potential common shares:
Stock options307 156 313 301 
Stock-settled stock units and awards376 197 317 218 
Weighted average common shares and dilutive potential common shares155,265 158,799 156,504 158,866 
Basic net earnings per share$0.81 $0.52 $2.63 $2.71 
Diluted net earnings per share$0.81 $0.52 $2.62 $2.70 
 
Certain options to purchase shares of common stock were outstanding and not included in the calculation of diluted net earnings per share because their inclusion would have been antidilutive.  On a weighted average basis, for the three months ended November 30, 2024 and 2023, options to purchase 4,948,231 shares and 6,263,513 shares of common stock, respectively, were not included. For the nine months ended November 30, 2024 and 2023, options to purchase 5,235,364 shares and 5,732,651 shares of common stock, respectively, were not included.
v3.24.4
Accumulated Other Comprehensive Income (Loss)
 9 Months Ended
Nov. 30, 2024
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]  
Accumulated Other Comprehensive Loss Accumulated Other Comprehensive Income
Changes in Accumulated Other Comprehensive Income By Component
   Total
 NetNetAccumulated
 UnrecognizedUnrecognizedOther
 ActuarialHedgeComprehensive
(In thousands, net of income taxes)LossesGainsIncome
Balance as of February 29, 2024$(37,116)$96,395 $59,279 
Other comprehensive loss before reclassifications— (13,796)(13,796)
Amounts reclassified from accumulated other comprehensive income253 (30,909)(30,656)
Other comprehensive income (loss)253 (44,705)(44,452)
Balance as of November 30, 2024$(36,863)$51,690 $14,827 
 
Changes In and Reclassifications Out of Accumulated Other Comprehensive Income
 Three Months Ended November 30Nine Months Ended November 30
(In thousands)2024202320242023
Retirement Benefit Plans:
Actuarial loss amortization reclassifications recognized in net pension expense:
Cost of sales$48 $58 $147 $174 
CarMax Auto Finance income4 4 11 11 
Selling, general and administrative expenses59 67 174 202 
Total amortization reclassifications recognized in net pension expense111 129 332 387 
Tax expense(27)(31)(79)(93)
Amortization reclassifications recognized in net pension expense, net of tax84 98 253 294 
Net change in retirement benefit plan unrecognized actuarial losses, net of tax84 98 253 294 
Cash Flow Hedges (Note 5):  
Changes in fair value19,812 (10,594)(18,427)(11,599)
Tax (expense) benefit(4,780)2,640 4,631 2,976 
Changes in fair value, net of tax15,032 (7,954)(13,796)(8,623)
Reclassifications to CarMax Auto Finance income(12,357)(13,321)(40,865)(38,180)
Tax benefit3,011 3,247 9,956 9,307 
Reclassification of hedge gains, net of tax(9,346)(10,074)(30,909)(28,873)
Net change in cash flow hedge unrecognized gains, net of tax5,686 (18,028)(44,705)(37,496)
Total other comprehensive income (loss), net of tax$5,770 $(17,930)$(44,452)$(37,202)
 
Changes in the funded status of our retirement plans and changes in the fair value of derivatives that are designated and qualify as cash flow hedges are recognized in accumulated other comprehensive income. The cumulative balances are net of deferred taxes of $4.8 million as of November 30, 2024 and $19.3 million as of February 29, 2024.
v3.24.4
Leases (Notes)
 9 Months Ended
Nov. 30, 2024
Leases [Abstract]  
Leases of Lessee Disclosure [Text Block] Leases
Our leases primarily consist of operating and finance leases related to retail stores, office space, land and equipment. We also have stores subject to sale-leaseback transactions that do not qualify for sale accounting and are accounted for as financing obligations. For more information on these financing obligations see Note 9.
The initial term for real property leases is typically 5 to 20 years. For equipment leases, the initial term generally ranges from 3 to 8 years. Most leases include one or more options to renew, with renewal terms that can extend the lease term from 1 to 20 years or more. We include options to renew (or terminate) in our lease term, and as part of our right-of-use (“ROU”) assets and lease liabilities, when it is reasonably certain that we will exercise that option.
ROU assets and the related lease liabilities are initially measured at the present value of future lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our collateralized incremental borrowing rate based on the information available at the commencement date in determining the present value of future payments. We include variable lease payments in the initial measurement of ROU assets and lease liabilities only to the extent they depend on an index or rate. Changes in such indices or rates are accounted for in the period the change occurs, and do not result in the remeasurement of the ROU asset or liability. We are also responsible for payment of certain real estate taxes, insurance and other expenses on our leases. These amounts are generally considered to be variable and are not included in the measurement of the ROU asset and lease liability. We generally account for non-lease components, such as maintenance, separately from lease components. For certain equipment leases, we apply a portfolio approach to account for the lease assets and liabilities.
Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. Leases with a term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term.
The components of lease expense were as follows:
Three Months Ended November 30Nine Months Ended November 30
(In thousands)2024202320242023
Operating lease cost (1)
$22,934 $22,772 $69,035 $66,958 
Finance lease cost:
Depreciation of lease assets5,132 5,266 15,980 14,708 
Interest on lease liabilities6,589 6,610 20,180 19,112 
Total finance lease cost11,721 11,876 36,160 33,820 
Total lease cost$34,655 $34,648 $105,195 $100,778 

(1)    Includes short-term leases and variable lease costs, which are immaterial.

Supplemental balance sheet information related to leases was as follows:
As of November 30As of February 29
(In thousands)Classification20242024
Assets:
Operating lease assetsOperating lease assets$504,979 $520,717 
Finance lease assets
Property and equipment, net (1)
163,081 174,998 
Total lease assets$668,060 $695,715 
Liabilities:
Current:
Operating leasesCurrent portion of operating lease liabilities$60,338 $57,161 
Finance leasesAccrued expenses and other current liabilities14,253 20,877 
Long-term:
Operating leasesOperating lease liabilities, excluding current portion481,344 496,210 
Finance leasesOther liabilities190,754 198,759 
Total lease liabilities$746,689 $773,007 

(1)    Finance lease assets are recorded net of accumulated depreciation of $63.1 million as of November 30, 2024 and $55.5 million as of February 29, 2024.
Lease term and discount rate information related to leases was as follows:
As of November 30As of February 29
Lease Term and Discount Rate20242024
Weighted Average Remaining Lease Term (in years)
Operating leases15.6816.07
Finance leases14.4311.43
Weighted Average Discount Rate
Operating leases5.15 %5.05 %
Finance leases16.88 %17.16 %

Supplemental cash flow information related to leases was as follows:
Nine Months Ended November 30
(In thousands)20242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$70,954 $66,352 
Operating cash flows from finance leases$18,515 $18,387 
Financing cash flows from finance leases$13,146 $12,177 
Lease assets obtained in exchange for lease obligations:
Operating leases$27,982 $29,080 
Finance leases$5,442 $50,085 

Maturities of lease liabilities were as follows:
As of November 30, 2024
(In thousands)
Operating Leases (1)
Finance Leases (1)
Fiscal 2025, remaining$22,382 $9,017 
Fiscal 202683,861 38,874 
Fiscal 202776,849 39,415 
Fiscal 202872,725 35,212 
Fiscal 202950,845 34,945 
Thereafter530,719 279,212 
Total lease payments837,381 436,675 
Less: interest(295,699)(231,668)
Present value of lease liabilities$541,682 $205,007 
(1)    Lease payments exclude $4.7 million of legally binding minimum lease payments for leases signed but not yet commenced.
v3.24.4
Contingent Liabilities
 9 Months Ended
Nov. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Contingent Liabilities Contingent Liabilities
Litigation.  The company is a class member in a consolidated and settled class action lawsuit (In re: Takata Airbag Product Liability Litigation (U.S. District Court, Southern District of Florida)) against Toyota, Mazda, Subaru, BMW, Honda, Nissan, Ford and Volkswagen related to the economic loss associated with defective Takata airbags installed as original equipment in certain model vehicles from model years 2000-2019. In April 2020, CarMax received $40.3 million in net recoveries from the Toyota, Mazda, Subaru, BMW, Honda and Nissan settlement funds. In January 2022, CarMax received $3.8 million in net recoveries from the Ford settlement funds. On April 21, 2023, CarMax received $59.3 million in net recoveries from residual undisbursed funds in the Toyota, Mazda, Subaru, BMW, Honda and Nissan settlements. On August 9, 2023, CarMax received $7.9 million in additional residual funds in the BMW, Mazda, and Nissan settlements. CarMax remains a class member for residual funds in the Ford settlement. The Volkswagen settlement has not yet been resolved. We are unable to make a reasonable estimate of the amount or range of gain that could result from CarMax’s participation in the Ford residual or Volkswagen matters.
We are involved in various other legal proceedings in the normal course of business. Based upon our evaluation of information currently available, we believe that the ultimate resolution of any such proceedings will not have a material adverse effect, either individually or in the aggregate, on our financial condition, results of operations or cash flows.
Other Matters.  In accordance with the terms of real estate lease agreements, we generally agree to indemnify the lessor from certain liabilities arising as a result of the use of the leased premises, including environmental liabilities and repairs to leased property upon termination of the lease.  Additionally, in accordance with the terms of agreements entered into for the sale of properties, we generally agree to indemnify the buyer from certain liabilities and costs arising subsequent to the date of the sale, including environmental liabilities and liabilities resulting from the breach of representations or warranties made in accordance with the agreements.  We do not have any known material environmental commitments, contingencies or other indemnification issues arising from these arrangements.
As part of our customer service strategy, we guarantee the used vehicles we retail with a 90-day/4,000 mile limited warranty.  A vehicle in need of repair within this period will be repaired free of charge.  As a result, each vehicle sold has an implied liability associated with it.  Accordingly, based on historical trends, we record a provision for estimated future repairs during the guarantee period for each vehicle sold.  The liability for this guarantee was $29.1 million as of November 30, 2024, and $30.9 million as of February 29, 2024, and is included in accrued expenses and other current liabilities.
v3.24.4
Background Basis of Accounting (Policies)
 9 Months Ended
Nov. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Background
Business. CarMax, Inc. (“we,” “our,” “us,” “CarMax” and “the company”), including its wholly owned subsidiaries, is the nation’s largest retailer of used vehicles.  We operate in two reportable segments:  CarMax Sales Operations and CarMax Auto Finance (“CAF”).  Our CarMax Sales Operations segment consists of all aspects of our auto merchandising and service operations, excluding financing provided by CAF.  Our CAF segment consists solely of our own finance operation that provides financing to customers buying retail vehicles from CarMax.
On June 1, 2021, we completed the acquisition of Edmunds Holding Company (“Edmunds”). At that time, Edmunds was identified as a non-reportable operating segment and has been presented as “Other” in the Segment Information footnote in our prior period financial statements. Since the acquisition, Edmunds’ business strategy has become increasingly integrated with that of CarMax Sales Operations. Beginning in the first quarter of fiscal 2025, the chief operating decision maker (“CODM”) assessed the financial performance related to Edmunds’ operations together with the rest of the CarMax Sales Operations segment. As a result, as of May 31, 2024, the company realigned its operating segments to be consistent with the manner in which the CODM assesses performance and makes resource allocations. The company now operates in two operating segments, CarMax Sales Operations and CAF, both of which continue to be reportable segments.
The operating segment change did not impact the company’s consolidated financial statements but did impact our previous segment footnote disclosure. The Segment Information footnote is no longer presented, as the previous disclosures were for the purpose of presenting the Edmunds operating segment separate from CarMax Sales Operations. The current and prior period required disclosures related to our reportable segments are included elsewhere within the consolidated financial statements and related footnotes. The performance of our CarMax Sales Operations segment is reviewed by our CODM at the gross profit level, the components of which are presented within the consolidated statement of earnings. The required segment information related to our CAF segment is presented in Note 3. Additionally, asset information by segment is not utilized for purposes of assessing performance or allocating resources and, as a result, such information has not been presented.
We deliver an unrivaled customer experience by offering a broad selection of quality used vehicles and related products and services at competitive, no-haggle prices using a customer-friendly sales process.  Our omni-channel platform, which gives us the largest addressable market in the used car industry, empowers our retail customers to buy a car on their terms – online, in-store or an integrated combination of both. We offer customers a range of related products and services, including the appraisal and purchase of vehicles directly from consumers and dealers; the financing of retail vehicle purchases through CAF and third-party finance providers; the sale of extended protection plan (“EPP”) products, which include extended service plans (“ESPs”) and guaranteed asset protection (“GAP”); advertising and subscription services; and vehicle repair service.  Vehicles purchased through the appraisal process that do not meet our retail standards are sold to licensed dealers through on-site or virtual wholesale auctions.
Basis of Presentation
Basis of Presentation and Use of Estimates. The accompanying interim unaudited consolidated financial statements include the accounts of CarMax and our wholly owned subsidiaries.  All significant intercompany balances and transactions have been eliminated in consolidation.  These interim unaudited consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”) for interim financial information.  Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements.  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.  The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full fiscal year.  
The accounting policies followed in the presentation of our interim financial results are consistent with those included in the company’s Annual Report on Form 10-K for the fiscal year ended February 29, 2024 (the “2024 Annual Report”), with the exception of those related to recent accounting pronouncements adopted in the current fiscal year. These interim unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in our 2024 Annual Report.
Use of Estimates
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.  Actual results could differ from those estimates.  Certain prior year amounts have been reclassified to conform to the current year’s presentation.  Amounts and percentages may not total due to rounding.
Recent Accounting Pronouncements
Recent Accounting Pronouncements.
Effective in Future Periods
In November 2024, the Financial Accounting Standards Board (“FASB”) issued an accounting pronouncement (ASU 2024-03) related to expense disclosures. The amendments in this update require public entities to provide disaggregated disclosure of expenses included within relevant income statement expense captions, as well as additional disclosures about selling expenses. This update is effective for annual periods beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. We plan to adopt this pronouncement beginning with our fiscal year ended February 29, 2028. We are currently in the process of evaluating the effects of this pronouncement on our consolidated financial statements.
In November 2024, the FASB issued an accounting pronouncement (ASU 2024-04) related to induced conversions of convertible debt instruments. The amendments in this update clarify the requirements for determining whether certain settlements of convertible debt instruments should be accounted for as induced conversions rather than as debt extinguishments. This update is effective for annual periods beginning after December 15, 2025, including interim periods within those fiscal years, though early adoption is permitted. We plan to adopt this pronouncement for our fiscal year beginning March 1, 2026, and we do not expect it to have a material effect on our consolidated financial statements.
v3.24.4
Revenue (Tables)
 9 Months Ended
Nov. 30, 2024
Revenue from Contract with Customer [Abstract]  
Disaggregation of Revenue
Disaggregation of Revenue
Three Months Ended November 30Nine Months Ended November 30
(In millions)2024202320242023
Used vehicle sales$4,888.9 $4,832.1 $16,243.4 $16,424.7 
Wholesale vehicle sales1,168.6 1,165.2 3,579.5 4,001.5 
Other sales and revenues:
Extended protection plan revenues105.5 90.8 345.7 303.8 
Third-party finance income/(fees), net1.0 (1.2)0.8 (2.4)
Advertising & subscription revenues (1)
36.1 36.7 105.1 101.6 
Service revenues20.4 20.3 64.8 63.8 
Other2.9 4.7 10.9 16.4 
Total other sales and revenues165.9 151.3 527.3 483.2 
Total net sales and operating revenues$6,223.4 $6,148.5 $20,350.3 $20,909.4 

(1)    Excludes intercompany sales and operating revenues that have been eliminated in consolidation.
v3.24.4
CarMax Auto Finance (Tables)
 9 Months Ended
Nov. 30, 2024
CarMax Auto Finance Income [Abstract]  
Components Of CarMax Auto Finance Income
Components of CAF Income
Three Months Ended November 30Nine Months Ended November 30
(In millions)2024
% (1)
2023
% (1)
2024
% (1)
2023
% (1)
Interest margin:
Interest and fee income$469.2 10.6 $426.9 9.8 $1,386.2 10.5 $1,244.3 9.6 
Interest expense(193.2)(4.3)(170.2)(3.9)(569.2)(4.3)(464.8)(3.6)
Total interest margin276.0 6.2 256.7 5.9 817.0 6.2 779.5 6.0 
Provision for loan losses(72.6)(1.6)(68.3)(1.6)(266.4)(2.0)(239.0)(1.8)
Total interest margin after provision for loan losses203.4 4.6 188.4 4.3 550.6 4.2 540.5 4.2 
Direct expenses:
Payroll and fringe benefit expense(19.0)(0.4)(16.2)(0.4)(56.6)(0.4)(49.6)(0.4)
Depreciation and amortization(4.3)(0.1)(4.1)(0.1)(12.8)(0.1)(12.3)(0.1)
Other direct expenses(20.2)(0.5)(19.4)(0.4)(58.8)(0.4)(57.6)(0.4)
Total direct expenses(43.5)(1.0)(39.7)(0.9)(128.2)(1.0)(119.5)(0.9)
CarMax Auto Finance income$159.9 3.6 $148.7 3.4 $422.4 3.2 $421.0 3.2 
Total average managed receivables$17,771.7 $17,508.9 $17,683.9 $17,276.0 

(1)    Annualized percentage of total average managed receivables.
v3.24.4
Auto Loan Receivables (Tables)
 9 Months Ended
Nov. 30, 2024
Receivables [Abstract]  
Auto Loan Receivables, Net
Auto Loans Receivable, Net
 As of November 30As of February 29
(In millions)20242024
Asset-backed term funding$12,649.0 $12,638.2 
Warehouse facilities3,937.6 3,744.6 
Overcollateralization (1)
825.4 790.9 
Other managed receivables (2)
344.4 218.1 
Total ending managed receivables17,756.4 17,391.8 
Accrued interest and fees107.1 90.9 
Other28.3 11.9 
Less: allowance for loan losses(478.9)(482.8)
Auto loans receivable, net$17,412.9 $17,011.8 

(1)    Represents receivables restricted as excess collateral for the non-recourse funding vehicles.
(2)    Other managed receivables includes receivables not funded through the non-recourse funding vehicles.
Ending Managed Receivables By Major Credit Grade
Ending Managed Receivables by Major Credit Grade
As of November 30, 2024
Fiscal Year of Origination (1)
(In millions)20252024202320222021Prior to 2021Total
% (2)
Core managed receivables (3):
A$3,339.0 $2,902.1 $1,903.4 $1,061.0 $324.1 $86.1 $9,615.7 54.2 
B1,670.2 1,819.6 1,293.7 854.0 300.0 107.9 6,045.4 34.0 
C and other343.6 302.1 363.1 277.5 119.6 49.5 1,455.4 8.2 
Total core managed receivables5,352.8 5,023.8 3,560.2 2,192.5 743.7 243.5 17,116.5 96.4 
Other managed receivables (4):
C and other248.5 194.7 129.7 52.0 6.3 8.7 639.9 3.6 
Total ending managed receivables$5,601.3 $5,218.5 $3,689.9 $2,244.5 $750.0 $252.2 $17,756.4 100.0 
Gross charge-offs$19.2 $149.9 $153.5 $85.3 $24.3 $14.9 $447.1 
As of February 29, 2024
Fiscal Year of Origination (1)
(In millions)20242023202220212020Prior to 2020Total
% (2)
Core managed receivables (3):
A$3,922.7 $2,660.6 $1,635.1 $614.0 $268.7 $40.0 $9,141.1 52.6 
B2,370.8 1,738.8 1,225.9 493.3 233.4 61.3 6,123.5 35.2 
C and other344.1 498.6 400.3 192.2 86.6 26.9 1,548.7 8.9 
Total core managed receivables6,637.6 4,898.0 3,261.3 1,299.5 588.7 128.2 16,813.3 96.7 
Other managed receivables (4):
C and other299.0 176.3 72.6 9.3 12.1 9.2 578.5 3.3 
Total ending managed receivables$6,936.6 $5,074.3 $3,333.9 $1,308.8 $600.8 $137.4 $17,391.8 100.0 
Gross charge-offs$111.0 $248.6 $129.8 $41.0 $19.7 $11.4 $561.5 

(1)    Classified based on credit grade assigned when customers were initially approved for financing.
(2)    Percent of total ending managed receivables.
(3)    Represents CAF’s Tier 1 originations.
(4)    Represents CAF’s Tier 2 and Tier 3 originations.
Allowance For Loan Losses
Allowance for Loan Losses

Three Months Ended November 30, 2024
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$417.3 $83.5 $500.8 2.82 
Charge-offs(129.0)(21.2)(150.2)
Recoveries (2)
48.7 7.0 55.7 
Provision for loan losses61.7 10.9 72.6 
Balance as of end of period$398.7 $80.2 $478.9 2.70 

Three Months Ended November 30, 2023
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$433.0 $105.0 $538.0 3.08 
Charge-offs(125.1)(23.6)(148.7)
Recoveries (2)
47.2 7.1 54.3 
Provision for loan losses57.3 11.0 68.3 
Balance as of end of period$412.4 $99.5 $511.9 2.92 

Nine Months Ended November 30, 2024
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$389.7 $93.1 $482.8 2.78 
Charge-offs(373.1)(74.0)(447.1)
Recoveries (2)
154.7 22.1 176.8 
Provision for loan losses227.4 39.0 266.4 
Balance as of end of period$398.7 $80.2 $478.9 2.70 

Nine Months Ended November 30, 2023
(In millions)CoreOtherTotal
% (1)
Balance as of beginning of period$401.5 $105.7 $507.2 3.02 
Charge-offs(336.9)(64.8)(401.7)
Recoveries (2)
146.2 21.2 167.4 
Provision for loan losses201.6 37.4 239.0 
Balance as of end of period$412.4 $99.5 $511.9 2.92 

(1)    Percent of total ending managed receivables.
(2)    Net of costs incurred to recover vehicle.
Past Due Receivables
Past Due Receivables
As of November 30, 2024
Core ReceivablesOther ReceivablesTotal
(In millions)ABC & OtherTotalC & Other$
% (1)
Current$9,560.3 $5,600.1 $1,200.1 $16,360.5 $526.4 $16,886.9 95.10 
Delinquent loans:
31-60 days past due35.6 284.4 155.4 475.4 69.5 544.9 3.07 
61-90 days past due14.9 129.6 82.3 226.8 36.3 263.1 1.48 
Greater than 90 days past due4.9 31.3 17.6 53.8 7.7 61.5 0.35 
Total past due55.4 445.3 255.3 756.0 113.5 869.5 4.90 
Total ending managed receivables$9,615.7 $6,045.4 $1,455.4 $17,116.5 $639.9 $17,756.4 100.00 

As of February 29, 2024
Core ReceivablesOther ReceivablesTotal
(In millions)ABC & OtherTotalC & Other$
% (1)
Current$9,088.1 $5,666.3 $1,243.7 $15,998.1 $447.1 $16,445.2 94.56 
Delinquent loans:
31-60 days past due32.1 271.3 162.9 466.3 68.1 534.4 3.07 
61-90 days past due15.1 149.4 118.5 283.0 53.0 336.0 1.93 
Greater than 90 days past due5.8 36.5 23.6 65.9 10.3 76.2 0.44 
Total past due53.0 457.2 305.0 815.2 131.4 946.6 5.44 
Total ending managed receivables$9,141.1 $6,123.5 $1,548.7 $16,813.3 $578.5 $17,391.8 100.00 

(1)    Percent of total ending managed receivables.
v3.24.4
Fair Value Measurements (Tables)
 9 Months Ended
Nov. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule Of Items Measured At Fair Value On A Recurring Basis
Items Measured at Fair Value on a Recurring Basis
 As of November 30, 2024
(In thousands)Level 1Level 2Total
Assets:   
Money market securities$871,146 $— $871,146 
Mutual fund investments28,077 — 28,077 
Derivative instruments designated as hedges— 21,347 21,347 
Derivative instruments not designated as hedges— 3,185 3,185 
Total assets at fair value$899,223 $24,532 $923,755 
Percent of total assets at fair value97.3  %2.7 %100.0 %
Percent of total assets3.3  %0.1 %3.4 %
Liabilities:   
Derivative instruments designated as hedges$— $(6,346)$(6,346)
Derivative instruments not designated as hedges— (3)(3)
Total liabilities at fair value$— $(6,349)$(6,349)
Percent of total liabilities—  %— %— %
 As of February 29, 2024
(In thousands)Level 1Level 2Total
Assets:   
Money market securities$1,164,270 $— $1,164,270 
Mutual fund investments24,312 — 24,312 
Derivative instruments designated as hedges— 45,761 45,761 
Derivative instruments not designated as hedges— 13,064 13,064 
Total assets at fair value$1,188,582 $58,825 $1,247,407 
Percent of total assets at fair value95.3  %4.7  %100.0  %
Percent of total assets4.4  %0.2  %4.6  %
Liabilities:   
Derivative instruments designated as hedges$— $(2,302)$(2,302)
Total liabilities at fair value$— $(2,302)$(2,302)
Percent of total liabilities—  %— %— %
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block]
(In thousands)As of November 30, 2024As of February 29, 2024
Carrying value$400,000 $400,000 
Fair value$388,492 $380,249 
v3.24.4
Cancellation Reserves (Tables)
 9 Months Ended
Nov. 30, 2024
Cancellation Reserves [Abstract]  
Schedule Of Cancellation Reserves Accrual
Cancellation Reserves
 Three Months Ended November 30Nine Months Ended November 30
(In millions)2024202320242023
Balance as of beginning of period$133.7 $136.6 $128.3 $139.2 
Cancellations(24.9)(22.4)(68.8)(70.2)
Provision for future cancellations25.7 17.4 75.0 62.6 
Balance as of end of period$134.5 $131.6 $134.5 $131.6 
v3.24.4
Debt (Tables)
 9 Months Ended
Nov. 30, 2024
Debt Disclosure [Abstract]  
Schedule Of Debt
(In thousands)As of November 30As of February 29
Debt Description (1)
Maturity Date20242024
Revolving credit facility (2)
June 2028$— $— 
Term loan (2)
June 2024— 300,000 
Term loan (2)
October 2026699,738 699,633 
4.17% Senior notesApril 2026200,000 200,000 
4.27% Senior notesApril 2028200,000 200,000 
Financing obligationsVarious dates through February 2059505,110 516,544 
Non-recourse notes payableVarious dates through August 203117,096,313 16,866,972 
Total debt18,701,161 18,783,149 
Less: current portion(524,706)(797,449)
Less: unamortized debt issuance costs(27,230)(26,044)
Long-term debt, net$18,149,225 $17,959,656 

(1)    Interest is payable monthly, with the exception of our senior notes, which are payable semi-annually.
(2)    Borrowings accrue interest at variable rates based on SOFR, the federal funds rate, or the prime rate, depending on the type of borrowing.
Schedule of Funding Vehicles [Table Text Block]
(In billions)Capacity
Warehouse facilities:
December 2024 expiration$0.70 
March 2025 expiration3.10 
August 2025 expiration2.30 
Combined warehouse facility limit$6.10 
Unused capacity$2.16 
Non-recourse notes payable outstanding:
Warehouse facilities$3.94 
Asset-backed term funding transactions13.16 
Non-recourse notes payable$17.10 
v3.24.4
Stock and Stock-Based Incentive Plans (Tables)
 9 Months Ended
Nov. 30, 2024
Share-Based Payment Arrangement, Noncash Expense [Abstract]  
Schedule of Common Stock Repurchases
Common Stock Repurchases
 Three Months EndedNine Months Ended
 November 30November 30
 2024202320242023
Number of shares repurchased (in thousands)
1,505.1 648.5 4,327.5 648.5 
Average cost per share$76.26 $64.60 $75.05 $64.60 
Available for repurchase, as of end of period (in millions)
$2,035.3 $2,409.4 $2,035.3 $2,409.4 
Composition of Share-Based Compensation Expense
Composition of Share-Based Compensation Expense
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands)2024202320242023
Cost of sales$1,250 $692 $3,898 $3,277 
CarMax Auto Finance income1,427 1,016 3,561 2,663 
Selling, general and administrative expenses22,252 19,918 101,486 86,516 
Share-based compensation expense, before income taxes$24,929 $21,626 $108,945 $92,456 
Composition Of Share-Based Compensation Expense - By Grant Type
Composition of Share-Based Compensation Expense – By Grant Type
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands)2024202320242023
Nonqualified stock options$6,760 $12,334 $34,878 $40,061 
Cash-settled restricted stock units (RSUs)13,156 5,306 41,823 33,221 
Stock-settled market stock units (MSUs)3,789 3,531 15,556 13,639 
Other share-based incentives:
Stock-settled performance stock units (PSUs)713 (137)13,014 1,401 
Restricted stock (RSAs)— — — 307 
Stock-settled deferred stock units (DSUs)— — 1,850 1,850 
Employee stock purchase plan511 592 1,824 1,977 
Total other share-based incentives$1,224 $455 $16,688 $5,535 
Share-based compensation expense, before income taxes$24,929 $21,626 $108,945 $92,456 
Disclosure of Share-Based Compensation Arrangements by Share-Based Payment Award
Share/Unit Activity
Nine Months Ended November 30, 2024
Equity ClassifiedLiability Classified
(Shares/units in thousands)OptionsMSUsOtherRSUs
Outstanding as of February 29, 20247,393 383 195 1,297 
Granted1,233 239 263 918 
Exercised or vested and converted(564)(79)(47)(563)
Cancelled(148)(18)— (92)
Outstanding as of November 30, 20247,914 525 411 1,560 
Weighted average grant date fair value per share/unit:
Granted$29.21 $95.78 $69.43 $67.22 
Ending outstanding$28.14 $104.13 $75.26 $71.06 
As of November 30, 2024
Unrecognized compensation (in millions)
$39.8 $20.5 $4.0 
v3.24.4
Net Earnings Per Share (Tables)
 9 Months Ended
Nov. 30, 2024
Earnings Per Share [Abstract]  
Basic And Dilutive Net Earnings Per Share Reconciliations
Basic and Dilutive Net Earnings Per Share Reconciliations
 Three Months EndedNine Months Ended
 November 30November 30
(In thousands except per share data)2024202320242023
Net earnings$125,441 $82,003 $410,690 $428,936 
Weighted average common shares outstanding154,582 158,446 155,874 158,347 
Dilutive potential common shares:
Stock options307 156 313 301 
Stock-settled stock units and awards376 197 317 218 
Weighted average common shares and dilutive potential common shares155,265 158,799 156,504 158,866 
Basic net earnings per share$0.81 $0.52 $2.63 $2.71 
Diluted net earnings per share$0.81 $0.52 $2.62 $2.70 
v3.24.4
Accumulated Other Comprehensive Income (Loss) (Tables)
 9 Months Ended
Nov. 30, 2024
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]  
Changes In Accumulated Other Comprehensive Loss By Component
Changes in Accumulated Other Comprehensive Income By Component
   Total
 NetNetAccumulated
 UnrecognizedUnrecognizedOther
 ActuarialHedgeComprehensive
(In thousands, net of income taxes)LossesGainsIncome
Balance as of February 29, 2024$(37,116)$96,395 $59,279 
Other comprehensive loss before reclassifications— (13,796)(13,796)
Amounts reclassified from accumulated other comprehensive income253 (30,909)(30,656)
Other comprehensive income (loss)253 (44,705)(44,452)
Balance as of November 30, 2024$(36,863)$51,690 $14,827 
Changes In And Reclassifications Out Of Accumulated Other Comprehensive Loss
Changes In and Reclassifications Out of Accumulated Other Comprehensive Income
 Three Months Ended November 30Nine Months Ended November 30
(In thousands)2024202320242023
Retirement Benefit Plans:
Actuarial loss amortization reclassifications recognized in net pension expense:
Cost of sales$48 $58 $147 $174 
CarMax Auto Finance income4 4 11 11 
Selling, general and administrative expenses59 67 174 202 
Total amortization reclassifications recognized in net pension expense111 129 332 387 
Tax expense(27)(31)(79)(93)
Amortization reclassifications recognized in net pension expense, net of tax84 98 253 294 
Net change in retirement benefit plan unrecognized actuarial losses, net of tax84 98 253 294 
Cash Flow Hedges (Note 5):  
Changes in fair value19,812 (10,594)(18,427)(11,599)
Tax (expense) benefit(4,780)2,640 4,631 2,976 
Changes in fair value, net of tax15,032 (7,954)(13,796)(8,623)
Reclassifications to CarMax Auto Finance income(12,357)(13,321)(40,865)(38,180)
Tax benefit3,011 3,247 9,956 9,307 
Reclassification of hedge gains, net of tax(9,346)(10,074)(30,909)(28,873)
Net change in cash flow hedge unrecognized gains, net of tax5,686 (18,028)(44,705)(37,496)
Total other comprehensive income (loss), net of tax$5,770 $(17,930)$(44,452)$(37,202)
v3.24.4
Leases (Tables)
 9 Months Ended
Nov. 30, 2024
Leases [Abstract]  
Lease, Cost [Table Text Block]
Three Months Ended November 30Nine Months Ended November 30
(In thousands)2024202320242023
Operating lease cost (1)
$22,934 $22,772 $69,035 $66,958 
Finance lease cost:
Depreciation of lease assets5,132 5,266 15,980 14,708 
Interest on lease liabilities6,589 6,610 20,180 19,112 
Total finance lease cost11,721 11,876 36,160 33,820 
Total lease cost$34,655 $34,648 $105,195 $100,778 

(1)    Includes short-term leases and variable lease costs, which are immaterial.
Supplemental Balance Sheet Disclosures [Text Block]
As of November 30As of February 29
(In thousands)Classification20242024
Assets:
Operating lease assetsOperating lease assets$504,979 $520,717 
Finance lease assets
Property and equipment, net (1)
163,081 174,998 
Total lease assets$668,060 $695,715 
Liabilities:
Current:
Operating leasesCurrent portion of operating lease liabilities$60,338 $57,161 
Finance leasesAccrued expenses and other current liabilities14,253 20,877 
Long-term:
Operating leasesOperating lease liabilities, excluding current portion481,344 496,210 
Finance leasesOther liabilities190,754 198,759 
Total lease liabilities$746,689 $773,007 

(1)    Finance lease assets are recorded net of accumulated depreciation of $63.1 million as of November 30, 2024 and $55.5 million as of February 29, 2024.
Other Lease Disclosures [Table Text Block]
As of November 30As of February 29
Lease Term and Discount Rate20242024
Weighted Average Remaining Lease Term (in years)
Operating leases15.6816.07
Finance leases14.4311.43
Weighted Average Discount Rate
Operating leases5.15 %5.05 %
Finance leases16.88 %17.16 %
Nine Months Ended November 30
(In thousands)20242023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$70,954 $66,352 
Operating cash flows from finance leases$18,515 $18,387 
Financing cash flows from finance leases$13,146 $12,177 
Lease assets obtained in exchange for lease obligations:
Operating leases$27,982 $29,080 
Finance leases$5,442 $50,085 
Schedule Of Future Minimum Lease Obligations [Table Text Block]
As of November 30, 2024
(In thousands)
Operating Leases (1)
Finance Leases (1)
Fiscal 2025, remaining$22,382 $9,017 
Fiscal 202683,861 38,874 
Fiscal 202776,849 39,415 
Fiscal 202872,725 35,212 
Fiscal 202950,845 34,945 
Thereafter530,719 279,212 
Total lease payments837,381 436,675 
Less: interest(295,699)(231,668)
Present value of lease liabilities$541,682 $205,007 
(1)    Lease payments exclude $4.7 million of legally binding minimum lease payments for leases signed but not yet commenced.
v3.24.4
Background (Narrative) (Details)
 9 Months Ended
Nov. 30, 2024
segment
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Reportable segments 2
v3.24.4
Revenue (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax $ 6,223.4 $ 6,148.5 $ 20,350.3 $ 20,909.4
Used vehicle sales        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 4,888.9 4,832.1 16,243.4 16,424.7
Wholesale vehicle sales        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 1,168.6 1,165.2 3,579.5 4,001.5
Extended protection plan revenues        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 105.5 90.8 345.7 303.8
Third-party finance income/(fees), net        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 1.0 (1.2) 0.8 (2.4)
Advertising & subscription revenues [Domain]        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 36.1 36.7 105.1 101.6
Service revenues        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 20.4 20.3 64.8 63.8
Other        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax 2.9 4.7 10.9 16.4
Total other sales and revenues        
Disaggregation of Revenue [Line Items]        
Revenue from Contract with Customer, Excluding Assessed Tax $ 165.9 $ 151.3 $ 527.3 $ 483.2
v3.24.4
CarMax Auto Finance (Components Of CarMax Auto Finance Income) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Auto Finance Income [Line Items]        
Interest and fee income $ 469,200 $ 426,900 $ 1,386,200 $ 1,244,300
Interest expense (193,200) (170,200) (569,200) (464,800)
Total interest margin 276,000 256,700 817,000 779,500
Provision for loan losses (72,600) (68,300) (266,400) (239,000)
Total interest margin after provision for loan losses 203,400 188,400 550,600 540,500
Payroll and fringe benefit expense (19,000) (16,200) (56,600) (49,600)
Other Depreciation and Amortization (4,300) (4,100) (12,800) (12,300)
Other direct expenses (20,200) (19,400) (58,800) (57,600)
Total direct expenses (43,500) (39,700) (128,200) (119,500)
CarMax Auto Finance income 159,885 148,659 422,435 421,004
Total average managed receivables $ 17,771,700 $ 17,508,900 $ 17,683,900 $ 17,276,000
Interest and fee income, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables 10.60% 9.80% 10.50% 9.60%
Interest expense, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (4.30%) (3.90%) (4.30%) (3.60%)
Total interest margin, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables 6.20% 5.90% 6.20% 6.00%
Provision for loan losses, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (1.60%) (1.60%) (2.00%) (1.80%)
Total interest margin after provision for loan losses, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables 4.60% 4.30% 4.20% 4.20%
Payroll and fringe benefit expense, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (0.40%) (0.40%) (0.40%) (0.40%)
Other Depreciation and Amortization        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (0.10%) (0.10%) (0.10%) (0.10%)
Other direct expenses, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (0.50%) (0.40%) (0.40%) (0.40%)
Total direct expenses, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables (1.00%) (0.90%) (1.00%) (0.90%)
CarMax Auto Finance income, percent        
Auto Finance Income [Line Items]        
Item as percent of total average managed receivables 3.60% 3.40% 3.20% 3.20%
v3.24.4
Auto Loan Receivables (Auto Loan Receivables, Net) (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Aug. 31, 2024
Feb. 29, 2024
Nov. 30, 2023
Aug. 31, 2023
Feb. 28, 2023
Non-recourse Notes Payable $ 17,096,313   $ 16,866,972      
Financing Receivable, before Allowance for Credit Loss 17,756,400   17,391,800      
Interest Receivable 107,100   90,900      
Other 28,300   11,900      
Financing Receivable, Allowance for Credit Loss 478,923 $ 500,800 482,790 $ 511,900 $ 538,000 $ 507,200
Financing Receivable, after Allowance for Credit Loss 17,412,940   17,011,844      
Asset-backed term funding            
Financing Receivable, before Allowance for Credit Loss 12,649,000   12,638,200      
Warehouse facilities            
Financing Receivable, before Allowance for Credit Loss 3,937,600   3,744,600      
Overcollateralization            
Financing Receivable, before Allowance for Credit Loss 825,400   790,900      
Other managed receivables            
Financing Receivable, before Allowance for Credit Loss $ 344,400   $ 218,100      
v3.24.4
Auto Loan Receivables (Ending Managed Receivables By Major Credit Grade) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended 12 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Feb. 29, 2024
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year $ 5,601.3   $ 5,601.3   $ 6,936.6
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 5,218.5   5,218.5   5,074.3
Financing Receivable, Originated Two Years before Latest Fiscal Year 3,689.9   3,689.9   3,333.9
Financing Receivable, Originated Three Years before Latest Fiscal Year 2,244.5   2,244.5   1,308.8
Financing Receivable, Originated Four Years before Latest Fiscal Year 750.0   750.0   600.8
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 252.2   252.2   137.4
Financing Receivable, before Allowance for Credit Loss $ 17,756.4   $ 17,756.4   $ 17,391.8
Total ending managed receivables as percentage by major credit grade 100.00%   100.00%   100.00%
Financing Receivable, Allowance for Credit Loss, Writeoff $ 150.2 $ 148.7 $ 447.1 $ 401.7 $ 561.5
Financing Receivable, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff     153.5   129.8
Financing Receivable, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff     149.9   248.6
Financing Receivable, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff     85.3   41.0
Financing Receivable, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff     24.3   19.7
Financing Receivable, Originated, More than Five Years before Current Fiscal Year, Writeoff     14.9   11.4
Financing Receivable, Year One, Originated, Current Fiscal Year, Writeoff     19.2   111.0
Core managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year 5,352.8   5,352.8   6,637.6
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 5,023.8   5,023.8   4,898.0
Financing Receivable, Originated Two Years before Latest Fiscal Year 3,560.2   3,560.2   3,261.3
Financing Receivable, Originated Three Years before Latest Fiscal Year 2,192.5   2,192.5   1,299.5
Financing Receivable, Originated Four Years before Latest Fiscal Year 743.7   743.7   588.7
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 243.5   243.5   128.2
Financing Receivable, before Allowance for Credit Loss $ 17,116.5   $ 17,116.5   $ 16,813.3
Total ending managed receivables as percentage by major credit grade 96.40%   96.40%   96.70%
Financing Receivable, Allowance for Credit Loss, Writeoff $ 129.0 125.1 $ 373.1 336.9  
Other managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Allowance for Credit Loss, Writeoff 21.2 $ 23.6 74.0 $ 64.8  
Credit Grade A | Core managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year 3,339.0   3,339.0   $ 3,922.7
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 2,902.1   2,902.1   2,660.6
Financing Receivable, Originated Two Years before Latest Fiscal Year 1,903.4   1,903.4   1,635.1
Financing Receivable, Originated Three Years before Latest Fiscal Year 1,061.0   1,061.0   614.0
Financing Receivable, Originated Four Years before Latest Fiscal Year 324.1   324.1   268.7
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 86.1   86.1   40.0
Financing Receivable, before Allowance for Credit Loss $ 9,615.7   $ 9,615.7   $ 9,141.1
Total ending managed receivables as percentage by major credit grade 54.20%   54.20%   52.60%
Credit Grade B | Core managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year $ 1,670.2   $ 1,670.2   $ 2,370.8
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 1,819.6   1,819.6   1,738.8
Financing Receivable, Originated Two Years before Latest Fiscal Year 1,293.7   1,293.7   1,225.9
Financing Receivable, Originated Three Years before Latest Fiscal Year 854.0   854.0   493.3
Financing Receivable, Originated Four Years before Latest Fiscal Year 300.0   300.0   233.4
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 107.9   107.9   61.3
Financing Receivable, before Allowance for Credit Loss $ 6,045.4   $ 6,045.4   $ 6,123.5
Total ending managed receivables as percentage by major credit grade 34.00%   34.00%   35.20%
Credit Grade C And Other | Core managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year $ 343.6   $ 343.6   $ 344.1
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 302.1   302.1   498.6
Financing Receivable, Originated Two Years before Latest Fiscal Year 363.1   363.1   400.3
Financing Receivable, Originated Three Years before Latest Fiscal Year 277.5   277.5   192.2
Financing Receivable, Originated Four Years before Latest Fiscal Year 119.6   119.6   86.6
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 49.5   49.5   26.9
Financing Receivable, before Allowance for Credit Loss $ 1,455.4   $ 1,455.4   $ 1,548.7
Total ending managed receivables as percentage by major credit grade 8.20%   8.20%   8.90%
Credit Grade C And Other | Other managed receivables          
Financing Receivable, By Major Credit Grade [Line Items]          
Financing Receivable, Originated in Current Fiscal Year $ 248.5   $ 248.5   $ 299.0
Financing Receivable, Originated in Fiscal Year before Latest Fiscal Year 194.7   194.7   176.3
Financing Receivable, Originated Two Years before Latest Fiscal Year 129.7   129.7   72.6
Financing Receivable, Originated Three Years before Latest Fiscal Year 52.0   52.0   9.3
Financing Receivable, Originated Four Years before Latest Fiscal Year 6.3   6.3   12.1
Financing Receivable, Originated Five or More Years before Latest Fiscal Year 8.7   8.7   9.2
Financing Receivable, before Allowance for Credit Loss $ 639.9   $ 639.9   $ 578.5
Total ending managed receivables as percentage by major credit grade 3.60%   3.60%   3.30%
v3.24.4
Auto Loan Receivables (Allowance for Loan Losses) (Details) - USD ($)
 3 Months Ended 9 Months Ended 12 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Feb. 29, 2024
Aug. 31, 2024
Aug. 31, 2023
Feb. 28, 2023
Financing Receivable, Allowance for Credit Loss [Line Items]                
Financing Receivable, Allowance for Credit Loss $ 478,923,000 $ 511,900,000 $ 478,923,000 $ 511,900,000 $ 482,790,000 $ 500,800,000 $ 538,000,000.0 $ 507,200,000
Financing Receivable, Allowance for Credit Loss, Writeoff (150,200,000) (148,700,000) (447,100,000) (401,700,000) $ (561,500,000)      
Financing Receivable, Allowance for Credit Loss, Recovery 55,700,000 54,300,000 176,800,000 167,400,000        
Provision for Loan, Lease, and Other Losses $ 72,600,000 $ 68,300,000 266,400,000 $ 239,000,000.0        
Item As Percent Of Total Ending Managed Receivables, Period Increase (Decrease)     $ 8          
Allowance For Loan Losses, percent                
Financing Receivable, Allowance for Credit Loss [Line Items]                
Item as percent of total ending managed receivables 2.70% 2.92% 2.70% 2.92% 2.78% 2.82% 3.08% 3.02%
Core managed receivables                
Financing Receivable, Allowance for Credit Loss [Line Items]                
Financing Receivable, Allowance for Credit Loss $ 398,700,000 $ 412,400,000 $ 398,700,000 $ 412,400,000 $ 389,700,000 $ 417,300,000 $ 433,000,000.0 $ 401,500,000
Financing Receivable, Allowance for Credit Loss, Writeoff (129,000,000.0) (125,100,000) (373,100,000) (336,900,000)        
Financing Receivable, Allowance for Credit Loss, Recovery 48,700,000 47,200,000 154,700,000 146,200,000        
Provision for Loan, Lease, and Other Losses 61,700,000 57,300,000 227,400,000 201,600,000        
Other managed receivables                
Financing Receivable, Allowance for Credit Loss [Line Items]                
Financing Receivable, Allowance for Credit Loss 80,200,000 99,500,000 80,200,000 99,500,000 $ 93,100,000 $ 83,500,000 $ 105,000,000.0 $ 105,700,000
Financing Receivable, Allowance for Credit Loss, Writeoff (21,200,000) (23,600,000) (74,000,000.0) (64,800,000)        
Financing Receivable, Allowance for Credit Loss, Recovery 7,000,000.0 7,100,000 22,100,000 21,200,000        
Provision for Loan, Lease, and Other Losses $ 10,900,000 $ 11,000,000.0 $ 39,000,000.0 $ 37,400,000        
v3.24.4
Auto Loan Receivables (Past Due Receivables) (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Feb. 29, 2024
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current $ 16,886.9 $ 16,445.2
Past due receivables as a percentage of total ending managed receivables 4.90% 5.44%
Financing Receivable, before Allowance for Credit Loss, Noncurrent $ 869.5 $ 946.6
Financing Receivable, before Allowance for Credit Loss $ 17,756.4 $ 17,391.8
Item As A Percent Of Total Ending Managed Receivables 100.00% 100.00%
One to Thirty Days Past Due    
Financing Receivable, Past Due [Line Items]    
Past due receivables as a percentage of total ending managed receivables 95.10% 94.56%
Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Past due receivables as a percentage of total ending managed receivables 3.07% 3.07%
Financing Receivable, before Allowance for Credit Loss, Noncurrent $ 544.9 $ 534.4
Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Past due receivables as a percentage of total ending managed receivables 1.48% 1.93%
Financing Receivable, before Allowance for Credit Loss, Noncurrent $ 263.1 $ 336.0
Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Past due receivables as a percentage of total ending managed receivables 0.35% 0.44%
Financing Receivable, before Allowance for Credit Loss, Noncurrent $ 61.5 $ 76.2
Core managed receivables    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current 16,360.5 15,998.1
Financing Receivable, before Allowance for Credit Loss, Noncurrent 756.0 815.2
Financing Receivable, before Allowance for Credit Loss 17,116.5 16,813.3
Core managed receivables | Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 475.4 466.3
Core managed receivables | Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 226.8 283.0
Core managed receivables | Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 53.8 65.9
Core managed receivables | Credit Grade A    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current 9,560.3 9,088.1
Financing Receivable, before Allowance for Credit Loss, Noncurrent 55.4 53.0
Financing Receivable, before Allowance for Credit Loss 9,615.7 9,141.1
Core managed receivables | Credit Grade A | Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 35.6 32.1
Core managed receivables | Credit Grade A | Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 14.9 15.1
Core managed receivables | Credit Grade A | Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 4.9 5.8
Core managed receivables | Credit Grade B    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current 5,600.1 5,666.3
Financing Receivable, before Allowance for Credit Loss, Noncurrent 445.3 457.2
Financing Receivable, before Allowance for Credit Loss 6,045.4 6,123.5
Core managed receivables | Credit Grade B | Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 284.4 271.3
Core managed receivables | Credit Grade B | Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 129.6 149.4
Core managed receivables | Credit Grade B | Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 31.3 36.5
Core managed receivables | Credit Grade C And Other    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current 1,200.1 1,243.7
Financing Receivable, before Allowance for Credit Loss, Noncurrent 255.3 305.0
Financing Receivable, before Allowance for Credit Loss 1,455.4 1,548.7
Core managed receivables | Credit Grade C And Other | Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 155.4 162.9
Core managed receivables | Credit Grade C And Other | Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 82.3 118.5
Core managed receivables | Credit Grade C And Other | Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 17.6 23.6
Other managed receivables | Credit Grade C And Other    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Current 526.4 447.1
Financing Receivable, before Allowance for Credit Loss, Noncurrent 113.5 131.4
Financing Receivable, before Allowance for Credit Loss 639.9 578.5
Other managed receivables | Credit Grade C And Other | Thirty One To Sixty Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 69.5 68.1
Other managed receivables | Credit Grade C And Other | Sixty One To Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent 36.3 53.0
Other managed receivables | Credit Grade C And Other | Greater Than Ninety Days Past Due [Member]    
Financing Receivable, Past Due [Line Items]    
Financing Receivable, before Allowance for Credit Loss, Noncurrent $ 7.7 $ 10.3
v3.24.4
Derivative Instruments And Hedging Activities (Narrative) (Details) - Interest Rate Swaps - Cash Flow Hedging - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2024
Feb. 29, 2024
Designated As Hedging Instrument      
Derivative [Line Items]      
Additional reclassification from AOCL to CAF income within the next 12 months   $ 37.6  
Derivative, Notional Amount $ 4,760.0 4,760.0 $ 5,210.0
Not Designated as Hedging Instrument [Member]      
Derivative [Line Items]      
Derivative, Gain (Loss) on Derivative, Net (2.2) (9.9)  
Derivative, Notional Amount $ 274.6 $ 274.6 $ 704.0
v3.24.4
Fair Value Measurements (Schedule Of Items Measured At Fair Value On A Recurring Basis) (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market securities $ 871,146 $ 1,164,270
Mutual fund investments 28,077 24,312
Total assets at fair value $ 923,755 $ 1,247,407
Percent of total assets at fair value 100.00% 100.00%
Percent of total assets 3.40% 4.60%
Total liabilities at fair value $ (6,349) $ (2,302)
Percent of total liabilities 0.00% 0.00%
Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market securities $ 871,146 $ 1,164,270
Mutual fund investments 28,077 24,312
Total assets at fair value $ 899,223 $ 1,188,582
Percent of total assets at fair value 97.30% 95.30%
Percent of total assets 3.30% 4.40%
Total liabilities at fair value $ 0 $ 0
Percent of total liabilities 0.00% 0.00%
Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Money market securities $ 0 $ 0
Mutual fund investments 0 0
Total assets at fair value $ 24,532 $ 58,825
Percent of total assets at fair value 2.70% 4.70%
Percent of total assets 0.10% 0.20%
Total liabilities at fair value $ (6,349) $ (2,302)
Percent of total liabilities 0.00% 0.00%
Designated As Hedging Instrument    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset $ 21,347 $ 45,761
Liabilities: Derivative instruments (6,346) (2,302)
Designated As Hedging Instrument | Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset 0 0
Liabilities: Derivative instruments 0 0
Designated As Hedging Instrument | Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset 21,347 45,761
Liabilities: Derivative instruments (6,346) (2,302)
Not Designated as Hedging Instrument [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset 3,185 13,064
Liabilities: Derivative instruments (3)  
Not Designated as Hedging Instrument [Member] | Level 1    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset 0 0
Liabilities: Derivative instruments 0  
Not Designated as Hedging Instrument [Member] | Level 2    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Derivative Asset 3,185 $ 13,064
Liabilities: Derivative instruments $ (3)  
v3.24.4
Fair Value Measurements Fair Value Measurements (Schedule of Carrying Values and Estimated Fair Values of Debt Instruments) (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Fair Value Disclosures [Abstract]    
Senior Notes $ 400,000 $ 400,000
Debt Instrument, Fair Value Disclosure $ 388,492 $ 380,249
v3.24.4
Cancellation Reserves (Narrative) (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Feb. 29, 2024
Cancellation Reserves [Abstract]    
Cancellation reserves, current portion $ 72.4 $ 69.7
v3.24.4
Cancellation Reserves (Schedule Of Cancellation Reserves Accrual) (Details) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]        
Balance as of beginning of period $ 133.7 $ 136.6 $ 128.3 $ 139.2
Cancellations (24.9) (22.4) (68.8) (70.2)
Provision for future cancellations 25.7 17.4 75.0 62.6
Balance as of end of period $ 134.5 $ 131.6 $ 134.5 $ 131.6
v3.24.4
Income Taxes (Narrative) (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Feb. 29, 2024
Federal Income Tax Note    
Unrecognized tax benefits, gross $ 32.1 $ 28.8
Decrease in Unrecognized Tax Benefits is Reasonably Possible $ 14.0  
v3.24.4
Debt (Schedule Of Debt) (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Debt Instrument [Line Items]    
Long-term Debt $ 18,149,225 $ 17,959,656
Financing Obligations 505,110 516,544
Non-recourse Notes Payable 17,096,313 16,866,972
Total debt 18,701,161 18,783,149
Less: current portion (524,706) (797,449)
Unamortized Debt Issuance Expense (27,230) (26,044)
Revolving Credit Facility [Member]    
Debt Instrument [Line Items]    
Long-term Debt 0 0
Term Loan [Member]    
Debt Instrument [Line Items]    
Long-term Debt 0 300,000
4.17% senior notes due 2026 [Member]    
Debt Instrument [Line Items]    
Long-term Debt 200,000 200,000
4.27% senior notes due 2028 [Member]    
Debt Instrument [Line Items]    
Long-term Debt 200,000 200,000
October 2021 Term Loan    
Debt Instrument [Line Items]    
Long-term Debt $ 699,738 $ 699,633
v3.24.4
Debt (Schedule of Funding Vehicles) (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Debt Instrument [Line Items]    
Non-recourse Notes Payable $ 17,096,313 $ 16,866,972
Warehouse Facility Three    
Debt Instrument [Line Items]    
Warehouse Facilities Maximum Borrowing Capacity 2,300,000  
Warehouse Facility Two    
Debt Instrument [Line Items]    
Warehouse Facilities Maximum Borrowing Capacity 3,100,000  
Warehouse Facility One    
Debt Instrument [Line Items]    
Warehouse Facilities Maximum Borrowing Capacity 700,000  
Warehouse Facilities [Member]    
Debt Instrument [Line Items]    
Warehouse Facilities Maximum Borrowing Capacity 6,100,000  
Debt Instrument, Unused Borrowing Capacity, Amount 2,160,000  
Non-recourse Notes Payable 3,940,000  
Term Securitizations Debt [Member]    
Debt Instrument [Line Items]    
Non-recourse Notes Payable $ 13,160,000  
v3.24.4
Debt (Narrative) (Details) - USD ($)
$ in Thousands
 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 01, 2024
Jul. 23, 2024
Jun. 26, 2024
Feb. 29, 2024
Debt Instrument [Line Items]            
Outstanding Balance $ 18,149,225         $ 17,959,656
Capitalized interest 5,300 $ 4,600        
Credit Facility            
Debt Instrument [Line Items]            
Maximum borrowing capacity 2,000,000          
Unused capacity 2,000,000          
Senior Notes [Member]            
Debt Instrument [Line Items]            
Outstanding Balance $ 400,000          
Financing obligation | Minimum            
Debt Instrument [Line Items]            
Initial lease terms, in years 15 years          
Financing obligation | Maximum            
Debt Instrument [Line Items]            
Initial lease terms, in years 20 years          
October 2021 Term Loan            
Debt Instrument [Line Items]            
Outstanding Balance $ 700,000          
Long-Term Debt, Percentage Bearing Variable Interest, Percentage Rate 5.58%          
Asset-Backed Securities | Prime Auto Loans Receivable            
Debt Instrument [Line Items]            
Asset-Backed Securities, at Carrying Value     $ 1,400,000 $ 1,400,000    
Asset-Backed Securities | Non-Prime Auto Loans Receivable            
Debt Instrument [Line Items]            
Asset-Backed Securities, at Carrying Value         $ 625,000  
v3.24.4
Stock and Stock-Based Incentive Plans (Narrative) (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Nov. 30, 2023
Stock and Stock-Based Incentive Plans    
Stock Repurchase Program, Authorized Amount $ 4,000.0  
Share Repurchase Program    
Stock and Stock-Based Incentive Plans    
Available for repurchase, as of end of period $ 2,035.3 $ 2,409.4
v3.24.4
Stock and Stock-Based Incentive Plans (Schedule of Common Stock Repurchases) (Details) - Share Repurchase Program - USD ($)
$ / shares in Units, $ in Millions
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Number of shares repurchased 1,505,100 648,500 4,327,500 648,500
Average Cost Per Share $ 76.26 $ 64.60 $ 75.05 $ 64.60
Available for repurchase, as of end of period $ 2,035.3 $ 2,409.4 $ 2,035.3 $ 2,409.4
v3.24.4
Stock and Stock-Based Incentive Plans (Composition of Share-Based Compensation Expense) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Share-based compensation expense, before income taxes $ 24,929 $ 21,626 $ 108,945 $ 92,456
Cost of sales        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Share-based compensation expense, before income taxes 1,250 692 3,898 3,277
Carmax Auto Finance Income        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Share-based compensation expense, before income taxes 1,427 1,016 3,561 2,663
Selling, general and administrative expenses        
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items]        
Share-based compensation expense, before income taxes $ 22,252 $ 19,918 $ 101,486 $ 86,516
v3.24.4
Stock and Stock-Based Incentive Plans (Composition of Share-Based Compensation Expense - By Grant Type) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes $ 24,929 $ 21,626 $ 108,945 $ 92,456
Stock options        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 6,760 12,334 34,878 40,061
Cash-settled restricted stock units (RSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 13,156 5,306 41,823 33,221
Stock-settled market stock units (MSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 3,789 3,531 15,556 13,639
Stock-settled performance stock units (PSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 713 (137) 13,014 1,401
Restricted Stock [Member]        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 0 0 0 307
Stock-settled deferred stock units (DSUs)        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 0 0 1,850 1,850
Employee stock purchase plan        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes 511 592 1,824 1,977
Other share-based incentives        
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]        
Share-based compensation expense, before income taxes $ 1,224 $ 455 $ 16,688 $ 5,535
v3.24.4
Stock and Stock-Based Incentive Plans (Stock Incentive Plan Information) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Millions
 9 Months Ended
Nov. 30, 2024
Feb. 29, 2024
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number 7,914 7,393
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross 1,233  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period (564)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period (148)  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value $ 29.21  
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Weighted Average Grant Date Fair Value $ 28.14  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount $ 39.8  
Stock-settled market stock units (MSUs)    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number 525 383
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period 239  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period (79)  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period (18)  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value $ 95.78  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value $ 104.13  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount $ 20.5  
Other share-based incentives    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number 411 195
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period 263  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period (47)  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period 0  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value $ 69.43  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value $ 75.26  
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount $ 4.0  
Cash-settled restricted stock units (RSUs)    
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]    
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number 1,560 1,297
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period 918  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period (563)  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period (92)  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value $ 67.22  
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value $ 71.06  
v3.24.4
Net Earnings Per Share (Basic And Dilutive Net Earnings Per Share Reconciliations) (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Aug. 31, 2024
May 31, 2024
Nov. 30, 2023
Aug. 31, 2023
May 31, 2023
Nov. 30, 2024
Nov. 30, 2023
Schedule of Basic and Dilutive Net Earnings Per Share Reconciliation [Line Items]                
Net earnings $ 125,441 $ 132,809 $ 152,440 $ 82,003 $ 118,635 $ 228,298 $ 410,690 $ 428,936
Weighted average common shares outstanding, shares 154,582     158,446     155,874 158,347
Weighted average common shares and dilutive potential common shares, shares 155,265     158,799     156,504 158,866
Basic net earnings per share (in dollars per share) $ 0.81     $ 0.52     $ 2.63 $ 2.71
Diluted net earnings per share (in dollars per share) $ 0.81     $ 0.52     $ 2.62 $ 2.70
Stock options                
Schedule of Basic and Dilutive Net Earnings Per Share Reconciliation [Line Items]                
Dilutive potential common shares, shares 307     156     313 301
Stock-settled stock units and awards                
Schedule of Basic and Dilutive Net Earnings Per Share Reconciliation [Line Items]                
Dilutive potential common shares, shares 376     197     317 218
v3.24.4
Net Earnings Per Share (Narrative) (Details) - shares
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Earnings Per Share [Abstract]        
Anti-dilutive securities not included in calculation of diluted net earnings per share 4,948,231 6,263,513 5,235,364 5,732,651
v3.24.4
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Aug. 31, 2024
May 31, 2024
Nov. 30, 2023
Aug. 31, 2023
May 31, 2023
Nov. 30, 2024
Nov. 30, 2023
Schedule of Accumulated Other Comprehensive Loss [Line Items]                
Beginning balance     $ 59,279       $ 59,279  
Other comprehensive loss before reclassifications             (13,796)  
Amounts reclassified from accumulated other comprehensive income             (30,656)  
Other comprehensive income (loss), net of taxes $ 5,770 $ (52,621) 2,399 $ (17,930) $ 17,267 $ (36,539) (44,452) $ (37,202)
Ending balance 14,827           14,827  
Net Unrecognized Actuarial Losses                
Schedule of Accumulated Other Comprehensive Loss [Line Items]                
Beginning balance     (37,116)       (37,116)  
Other comprehensive loss before reclassifications             0  
Amounts reclassified from accumulated other comprehensive income             253  
Other comprehensive income (loss), net of taxes             253  
Ending balance (36,863)           (36,863)  
Net Unrecognized Hedge Gains (Losses)                
Schedule of Accumulated Other Comprehensive Loss [Line Items]                
Beginning balance     $ 96,395       96,395  
Other comprehensive loss before reclassifications             (13,796)  
Amounts reclassified from accumulated other comprehensive income             (30,909)  
Other comprehensive income (loss), net of taxes             (44,705)  
Ending balance $ 51,690           $ 51,690  
v3.24.4
Accumulated Other Comprehensive Income (Loss) (Changes In and Reclassifications Out of Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Total amortization reclassifications recognized in net pension expense $ 111 $ 129 $ 332 $ 387
Tax expense (27) (31) (79) (93)
Amortization reclassifications recognized in net pension expense, net of tax 84 98 253 294
Net change in retirement benefit plan unrecognized actuarial losses, net of tax 84 98 253 294
Changes in fair value 19,812 (10,594) (18,427) (11,599)
Tax (expense) benefit (4,780) 2,640 4,631 2,976
Changes in fair value, net of tax 15,032 (7,954) (13,796) (8,623)
Reclassifications to CarMax Auto Finance income (12,357) (13,321) (40,865) (38,180)
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, Tax 3,011 3,247 9,956 9,307
Reclassification of hedge gains, net of tax (9,346) (10,074) (30,909) (28,873)
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax 5,686 (18,028) (44,705) (37,496)
Total other comprehensive income (loss), net of tax 5,770 (17,930) (44,452) (37,202)
Cost of sales        
Total amortization reclassifications recognized in net pension expense 48 58 147 174
CarMax Auto Finance income        
Total amortization reclassifications recognized in net pension expense 4 4 11 11
Selling, general and administrative expenses        
Total amortization reclassifications recognized in net pension expense $ 59 $ 67 $ 174 $ 202
v3.24.4
Accumulated Other Comprehensive Income (Loss) (Narrative) (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Feb. 29, 2024
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract]    
Deferred tax $ 4.8 $ 19.3
v3.24.4
Leases Narrative (Details)
 9 Months Ended
Nov. 30, 2024
Minimum  
Lessee, Lease, Description [Line Items]  
Lease renewal term 1 year
Real Estate Lease Term 5 years
Equipment Lease Term 3 years
Maximum  
Lessee, Lease, Description [Line Items]  
Lease renewal term 20 years
Real Estate Lease Term 20 years
Equipment Lease Term 8 years
v3.24.4
Leases Components of Lease Cost (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Nov. 30, 2024
Nov. 30, 2023
Leases [Abstract]        
Operating Lease, Cost $ 22,934 $ 22,772 $ 69,035 $ 66,958
Finance Lease, Right-of-Use Asset, Amortization 5,132 5,266 15,980 14,708
Finance Lease, Interest Expense 6,589 6,610 20,180 19,112
Finance Lease, Cost 11,721 11,876 36,160 33,820
Lease, Cost $ 34,655 $ 34,648 $ 105,195 $ 100,778
v3.24.4
Leases - Supplemental Balance Sheet (Details) - USD ($)
$ in Thousands
Nov. 30, 2024
Feb. 29, 2024
Leases [Abstract]    
Operating lease assets $ 504,979 $ 520,717
Finance Lease, Right-of-Use Asset 163,081 174,998
Total lease assets 668,060 695,715
Current portion of operating lease liabilities 60,338 57,161
Finance Lease, Liability, Current 14,253 20,877
Operating lease liabilities, excluding current portion 481,344 496,210
Finance Lease, Liability, Noncurrent 190,754 198,759
Total lease liabilities 746,689 773,007
Finance Lease Accumulated Depreciation $ 63,100 $ 55,500
v3.24.4
Lease Term and Discount Rate (Details)
Nov. 30, 2024
Rate
Feb. 29, 2024
Rate
Leases [Abstract]    
Operating Lease, Weighted Average Remaining Lease Term 15 years 8 months 4 days 16 years 25 days
Finance Lease, Weighted Average Remaining Lease Term 14 years 5 months 4 days 11 years 5 months 4 days
Operating Lease, Weighted Average Discount Rate, Percent 5.15% 5.05%
Finance Lease, Weighted Average Discount Rate, Percent 16.88% 17.16%
v3.24.4
Lease Supplemental Cash Flow Information (Details) - USD ($)
$ in Thousands
 9 Months Ended
Nov. 30, 2024
Nov. 30, 2023
Leases [Abstract]    
Operating Lease, Payments $ 70,954 $ 66,352
Finance Lease, Interest Payment on Liability 18,515 18,387
Finance Lease, Principal Payments 13,146 12,177
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability 27,982 29,080
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability $ 5,442 $ 50,085
v3.24.4
Leases Maturities of Lease Liabilities (Details)
$ in Thousands
Nov. 30, 2024
USD ($)
Leases [Abstract]  
Lessee, Operating Lease, Liability, Payments, Remainder of Fiscal Year $ 22,382
Lessee, Operating Lease, Liability, Payments, Due Year Two 83,861
Lessee, Operating Lease, Liability, Payments, Due Year Three 76,849
Lessee, Operating Lease, Liability, Payments, Due Year Four 72,725
Lessee, Operating Lease, Liability, Payments, Due Year Five 50,845
Lessee, Operating Lease, Liability, Payments, Due after Year Five 530,719
Lessee, Operating Lease, Liability, Payments, Due 837,381
Lessee, Operating Lease, Liability, Undiscounted Excess Amount (295,699)
Operating Lease, Liability 541,682
Finance Lease, Liability, Payments, Remainder of Fiscal Year 9,017
Finance Lease, Liability, Payments, Due Year Two 38,874
Finance Lease, Liability, Payments, Due Year Three 39,415
Finance Lease, Liability, Payments, Due Year Four 35,212
Finance Lease, Liability, Payments, Due Year Five 34,945
Finance Lease, Liability, Payments, Due after Year Five 279,212
Finance Lease, Liability, Payment, Due 436,675
Finance Lease, Liability, Undiscounted Excess Amount (231,668)
Finance Lease, Liability 205,007
lessee, minimum lease payments for leases not yet commenced $ 4,700
v3.24.4
Contingent Liabilities (Details) - USD ($)
$ in Millions
Nov. 30, 2024
Feb. 29, 2024
Commitments and Contingencies Disclosure [Abstract]    
Liability associated with guarantee $ 29.1 $ 30.9