Copart Reports Second Quarter Financial Results

Copart, Inc. (NASDAQ:CPRT) today reported the results for the quarter ended January 31, 2010, the second quarter of its 2010 fiscal year.

For the three months ended January 31, 2010, revenue, operating income and net income were $176.6 million, $53.2 million and $35.7 million, respectively. These represent increases in revenue of $6.7 million, or 4.0%; in operating income of $7.7 million, or 16.8%; and in net income of $8.6 million, or 31.6%, respectively, from the same quarter last year. Fully diluted earnings per share for the three months were $0.42 compared to $0.32 last year, an increase of 31.3%.

For the six months ended January 31, 2010, revenue, operating income and net income were $362.1 million, $109.7 million and $71.0 million, respectively. These represent increases in revenue of $0.6 million, or 0.2%; in operating income of $4.7, million or 4.4%; and in net income of $6.6 million, or 10.2%, respectively, from the same period last year. Fully diluted earnings per share for the six months ended January 31, 2010 were $0.84 compared to $0.76 last year, an increase of 10.5%.

During the quarter ended January 31, 2010 the company recognized the benefit from a favorable tax ruling in the United Kingdom which reduced income tax expense by approximately $2.6 million. This benefit increased fully diluted earnings per share for the three and six months ended January 31, 2010 by $0.03.

Also, included during the quarter ended January 31, 2010 are the legal, integration and severance costs associated with the D Hales acquisition totaling approximately $1.0 million. These additional costs reduced fully diluted earnings per share for the quarter by $0.01.

On Wednesday, March 3, 2010, at 11 a.m. Eastern time, Copart will conduct a conference call to discuss the results for the quarter. The call will be webcast live at http://webcast.premiereglobal.com/r.htm?e=194623&s=1&k=8BB6383EAE698952EC9EE2C873FFF298. A replay of the call will be available through April 3, 2010 by calling (888) 203-1112. Use confirmation code #5152840.

About Copart

Copart, founded in 1982, provides vehicle sellers with a full range of remarketing services to process and sell salvage and clean title vehicles to dealers, dismantlers, rebuilders, exporters and, in some states, to end users. Copart remarkets the vehicles through Internet sales utilizing its patented VB² technology. Copart sells vehicles on behalf of insurance companies, banks, finance companies, fleet operators, dealers, car dealerships, the general public and others. The company currently operates 153 facilities in the United States, Canada and the United Kingdom. Salvage vehicles are either damaged vehicles deemed a total loss for insurance or business purposes or are recovered stolen vehicles for which an insurance settlement with the vehicle owner has already been made. For more information, or to become a member, visit www.copart.com.

Cautionary Note About Forward-Looking Statements

This press release contains forward-looking statements within the meaning of federal securities laws, and these forward-looking statements are subject to substantial risks and uncertainties. These forward-looking statements are subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those projected or implied by our statements and comments. For a more complete discussion of the risks that could affect our business, please review the "Management's Discussion and Analysis” and the other risks identified in Copart’s latest Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, as filed with the Securities and Exchange Commission. We encourage investors to review these disclosures carefully. We do not undertake to update any forward-looking statement that may be made from time to time on our behalf.