![Page 1: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/1.jpg)
![Page 2: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/2.jpg)
2
Forward-Looking Statement
This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion of factors that could cause actual results to differ materially from management’s projections, forecasts, estimates and expectations is contained in the CarMax, Inc. SEC filings.
![Page 3: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/3.jpg)
3
CarMax TodayUsed Car Superstores
Sacramento
Richmond
Raleigh
Atlanta
Nashville
Orlando
Tampa
Miami / Ft. Lauderdale
San Antonio
Dallas/Fort Worth
Houston
Los Angeles
Baltimore / DC
Chicago
Charlotte Greensboro
1
1
4
4
11
4
22
21
4
3
1
7
Mid-sized Markets (13)
Large Markets (8)
1
Greenville
Knoxville1
Nation’s leading used car specialist
Pioneered used car superstore –1993
Operates 44 used car superstores
FY03: Sales: $ 4Bn Net profit: $ 95mm Separation Costs: $ 8mm Earnings ex Sep.: $103mm
1Las Vegas
1
1
Kansas City
1Birmingham
![Page 4: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/4.jpg)
4
Unique retail opportunity
Provides superior economic returns
What Is CarMax?
![Page 5: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/5.jpg)
5
CarMax Sells More Cars
CARMAX 5,210
Public dealers 2,023
Average dealer (NADA) 1,376
Sales/Store (Units)
2002
![Page 6: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/6.jpg)
6
CarMax Gains Market Share
CARMAX + 8%
Public dealers - 8%
Used Car Comp Unit Sales
2002
![Page 7: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/7.jpg)
6.7%
10.2%10.5%
12.4%12.8%12.9%
15.8%
14.1%
0
2
4
6
8
10
12
14
16
18
HD BBY KMX KSS WMT COST SPLS AutoDealer
Average
RO
IC (
%)
(2)
(1) After-tax EBITR/Average invested capital. Invested capital includes operating leases capitalized at 8x.
(2) Auto dealer average includes: ABG, AN, GPI, LAD, SAH and UAG.
Source: CarMax calculations based on companies’ public filings, most recent fiscal year.
ROIC
CarMax Earns Higher Returns
(1)
![Page 8: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/8.jpg)
8
Why Does CarMax Work?
Used car focus
Consumer-preferred concept
Process-driven competitive advantages
Organic growth plan
![Page 9: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/9.jpg)
9
Used Car Focus
CARMAX 91%
Public new car companies 38%
Average new car dealers (NADA) 48%
Used Car Mix % (Units)
![Page 10: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/10.jpg)
10
Why Used Cars?
Huge, fragmented business
Non-commodity
Stable
![Page 11: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/11.jpg)
11
(15.0)%(10.0)%
(5.0)%0.0%5.0%
10.0%15.0%
19
85
19
86
19
87
19
88
19
89
19
90
19
91
19
92
19
93
19
94
19
95
19
96
19
97
19
98
19
99
20
00
20
01
20
02
% Change New Vehicle Unit Sales % Change Used-Vehicle Unit Sales
Used Vehicle Sales Stable
Source: Manheim Auctions
![Page 12: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/12.jpg)
12
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Proprietary Operating Process
![Page 13: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/13.jpg)
13
Marketing
CARMAX MARKETING
COMPETITIVE ADVANTAGES
![Page 14: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/14.jpg)
14
CarMax MarketingCompetitive Advantages
I. What we offer
Marketing
II. How we offer it
![Page 15: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/15.jpg)
15
I. The CarMax Offer - Overview
Marketing
Consumer Need CarMax Offer1. “No Games” Low No-Haggle Price
2. “I don’t want to driveall over town”
Broad Selection
3. “I want a car I cantrust”
Great Quality
![Page 16: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/16.jpg)
16
1. Low, No Haggle Prices
I. The CarMax Offer
No haggle on price
- on trade-in
- on financing
- on extended service plan
Competitive Prices ($500 - $1,000 Below KBB)
![Page 17: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/17.jpg)
17
2. Great Selection
10x typical dealer
All makes and models on one lot - tailored to local area
15,000+ cars available for transfer
I. The CarMax Offer
![Page 18: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/18.jpg)
18
3. Great Quality
No flood/frame damage
125+ point inspections andreconditioning
5 day money back guarantee
30 day worry free warranty
Extended warranties
I. The CarMax Offer
![Page 19: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/19.jpg)
19
Matching Consumer Needs
I. The CarMax Offer
Percent of shoppers stating they came to CarMax because of... (n = 9800)
78%
79%
81%
Vehicle Quality
Large Selection
No Haggle Pricing
![Page 20: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/20.jpg)
20
Superior to Competition
I. The CarMax Offer
Shoppers that rate CarMax superior to other dealerships on... (n = 9800)
75%
81%
72%
Vehicle Quality
Selection
Price
![Page 21: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/21.jpg)
21
CarMax MarketingCompetitive Advantages
I. What We offer
Marketing
II. How We Offer It
- Internet Competitive Advantages
- Newspaper Competitive Advantages
- Television Competitive Advantages
![Page 22: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/22.jpg)
22
CarMax Primary Competition
II. How We Offer It
Small FranchiseDealers
Mid-Size FranchiseDealers
Large FranchiseDealers
New SalesPer Month
Less than35
35-65 65+
Used SalesPer Month
Less than25
25-45 45+
Number ofDealerships
8,690 6,080 6,950
![Page 23: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/23.jpg)
23
Internet Competitive Advantages
National scale: selection
II. How We Offer It
Site optimization
Consumer Preferred
![Page 24: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/24.jpg)
24
National Scale: Selection
Single national brand
II. Internet Competitive Advantages
15,000+ cars
Transferable anywhere - Over 4,500 SUV’s - Over 2,300 vehicles under $10K - Over 525 Jeep Grand Cherokees
![Page 25: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/25.jpg)
25
Ease of UseII. Internet Competitive Advantage
![Page 26: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/26.jpg)
26
Consumer Preferred
Number 1 car site in every market
84% say site is excellent/very good
90% say better than other dealers
Second most mentioned car sitenationwide! (J.D. Power)
II. Internet Competitive Advantage
![Page 27: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/27.jpg)
27
Newspaper Competitive Advantages
Scale: lower costs
II. How We Offer It
Ad optimization
Consumer Preferred
![Page 28: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/28.jpg)
28
Scale: Lower Costs
Purchasing advantage vs. 90% of dealers
Consistent ad (3,000 ads - 4 designers)
II. Newspaper Competitive Advantages
![Page 29: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/29.jpg)
29
Optimized for Used Car Shopper
II. Newspaper Competitive Advantages
Price
Quality
Selection
![Page 30: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/30.jpg)
30
Consumer Preferred
II. Newspaper Competitive Advantage
Non-CarMax markets 190+ competitor ads
CarMax Ad Had Highest Visit Intent (n = 400)
First Top 3
16%
46%
![Page 31: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/31.jpg)
31
Television Competitive Advantages
Scale: lower costs
II. How We Offer It
Ad optimization
Consumer Preferred
![Page 32: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/32.jpg)
32
Scale: Lower Costs
Buying scale vs. most (10 - 35%)
II. Television Competitive Advantages
Ad production economies (20 ads vs. 0-4 ads)
![Page 33: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/33.jpg)
33
Ad Optimization
350-600 consumers test every ad
II. Television Competitive Advantage
2-4 cities
Moment to moment reaction
![Page 34: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/34.jpg)
34
Consumer Preferred
II. Television Competitive Advantage
Likelihood to Visit
Local dealerad (22 ads)
TypicalCarMax ad
Less Neutral More
-16%
+30%
![Page 35: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/35.jpg)
35
Impact of Marketing Scale
II. How We Offer It
Small Dealer(40%)
Large Dealer(30%) CarMax
Unique websiteVisitors/month
0-100 1,000-5,000+ 50,000+
NewspaperPages/week
0.1 1.0 2.1
TV points/week 3 17 150
Marketing Expense(% of sales)
1.2% 1.3% 1.3%
![Page 36: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/36.jpg)
36
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Proprietary Operating Process
![Page 37: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/37.jpg)
37
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Proprietary Operating Process
![Page 38: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/38.jpg)
38
Proprietary Operating Process
Competitive Advantage
Consistent processes across stores
Scalable
Hard to replicate
– time
– re-applied learning
![Page 39: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/39.jpg)
39
Proprietary Operating Process
Why Others Failed
Operating processes weak
Only copied the sales end
Did not fully adopt equities
Focused on the visible consumer offer
![Page 40: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/40.jpg)
40
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Consumer
Offer
![Page 41: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/41.jpg)
41
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Purchasing /
Inventory
Management
![Page 42: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/42.jpg)
42
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance OriginationsReconditioning
![Page 43: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/43.jpg)
43
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Consumer
Offer
![Page 44: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/44.jpg)
44
Purchasing/ Inventory
Management
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Information Systems
![Page 45: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/45.jpg)
45
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Finance
Originations
![Page 46: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/46.jpg)
46
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Purchasing /
Inventory
Management
![Page 47: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/47.jpg)
47
Purchasing/ Inventory Management
Efficient Inventory Management
1 million served
4 million appraisals
All transactions captured and analyzed
Right car, right place, right price and right time
![Page 48: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/48.jpg)
48
Purchasing/ Inventory Management
People Development
Volume buying = great buyers
130 buyers with over 10,000 appraisals
Report card = accountability and improvement
Difficult to replicate
![Page 49: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/49.jpg)
49
Purchasing/ Inventory Management
Proprietary Pricing Model
Sophisticated model
Refined over 10 years
Store specific
Automated and flexible
![Page 50: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/50.jpg)
50
Purchasing/ Inventory Management
We Buy Cars
Cash offer on every car
We will buy your car even if you don’t buy from us
1/2 of our vehicles are sourced through appraisals
![Page 51: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/51.jpg)
51
![Page 52: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/52.jpg)
52
![Page 53: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/53.jpg)
53
![Page 54: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/54.jpg)
54
![Page 55: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/55.jpg)
55
![Page 56: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/56.jpg)
56
![Page 57: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/57.jpg)
57
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Purchasing /
Inventory
Management
![Page 58: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/58.jpg)
58
Auctions: Disposing of Vehicles
We Buy Cars
The majority of appraisal buys don’t make the cut
125,000 cars/$420 million in sales
$3,400 cost, 10 years old, over 100,000 miles
![Page 59: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/59.jpg)
59
Auctions: Disposing of Vehicles
Traditional Disposal Options
Wholesale individually
Take to off-site auction– Excessive fees
– 60% sales rate
– 1:6 dealer/car ratio
Minimal control, high cost
![Page 60: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/60.jpg)
60
Auctions: Disposing of Vehicles
Carmax Auctions
Economic and efficient– No fees
– 98% sales rate
– 1:2 dealer to car ratio
Real-time market feedback
Total control
![Page 61: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/61.jpg)
611
Auctions: Disposing of Vehicles
![Page 62: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/62.jpg)
62
Auctions: Disposing of Vehicles
Auction Summary
500,000 vehicles sold
Integrated operating system
Customer profiles
Industry-leading attendance and results
![Page 63: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/63.jpg)
![Page 64: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/64.jpg)
64
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance OriginationsReconditioning
![Page 65: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/65.jpg)
65
Service Operations
Service Operations
Reconditioning and retail service
Reconditioning is majority of work
![Page 66: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/66.jpg)
66
Service Operations
Competitive Advantages
1. Reconditioning treated as manufacturing
2. Centralized production planning
3. People development
![Page 67: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/67.jpg)
67
Service Operations
1. Reconditioning = Mfg.
Engineered process
Operating procedures on-line
Proprietary custom system – ERO
Maximize facility utilization
![Page 68: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/68.jpg)
68
Service Operations
2. Centralized Production Planning
Sophisticated weekly planning algorithm
Balances capacity across all stores
Minimizes inventories
![Page 69: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/69.jpg)
69
Service Operations
3. People Development
Structured training program
Technicians
![Page 70: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/70.jpg)
70
![Page 71: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/71.jpg)
71
![Page 72: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/72.jpg)
72
![Page 73: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/73.jpg)
73
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Consumer
Offer
![Page 74: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/74.jpg)
74
Business Office
Complex Transactions
An average transaction
How traditional dealers do it
![Page 75: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/75.jpg)
75
Business Office
Why That Won’t Work For Us
Volume
Across states
Store growth
![Page 76: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/76.jpg)
76
Business Office
10 Years Of Process Development
Over 4 million transactions
900 forms, 14,000 fees & taxes
Integrated systems designed around process
![Page 77: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/77.jpg)
77
Business Office
Competitive Advantage
44 stores, 1 system
Seamless transactions across stores
Easily leverage workforce for growth
![Page 78: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/78.jpg)
781
Business Office
![Page 79: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/79.jpg)
791
Business Office
![Page 80: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/80.jpg)
801
Business Office
![Page 81: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/81.jpg)
81
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Consumer
Offer
![Page 82: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/82.jpg)
82
Sales Floor
Sales Force
Over 2000 sales consultants
Flat commissions benefit customer
Structured advancement program
![Page 83: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/83.jpg)
83
Sales Floor
Simplified Process
Online financing
Step by step delivery
Consistent and easy to learn
![Page 84: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/84.jpg)
84
Sales Floor
Performance Management
Systematic feedback
Goal oriented
Real time information
![Page 85: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/85.jpg)
85
![Page 86: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/86.jpg)
86
![Page 87: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/87.jpg)
87
![Page 88: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/88.jpg)
88
![Page 89: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/89.jpg)
89
![Page 90: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/90.jpg)
90
![Page 91: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/91.jpg)
91
![Page 92: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/92.jpg)
92
![Page 93: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/93.jpg)
93
![Page 94: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/94.jpg)
95
![Page 95: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/95.jpg)
96
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
![Page 96: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/96.jpg)
97
Information Systems
Two Primary Advantages
Process for development
Cumulative result of that process
![Page 97: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/97.jpg)
98
Information Systems
Typical Dealer Systems
Few alternatives
Limited flexibility
High cost
Functionality does not exist
![Page 98: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/98.jpg)
99
Information Systems
Our Advantage vs. Dealers
Started with a blank slate
Tuned to the concept
Re-applied learning
Half the cost
Highly flexible
![Page 99: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/99.jpg)
![Page 100: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/100.jpg)
102
Purchasing/ Inventory
Management
Information Systems
Reconditioning
Consumer
Offer
PROPRIETARY OPERATING PROCESS
Process-driven
Finance Originations
Finance
Originations
![Page 101: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/101.jpg)
103
Consumer Finance
Finance Originations
Maximize sales
Minimize risk
Optimize profitability
![Page 102: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/102.jpg)
104
Consumer Finance
Maximizing Sales
CarMax consumer offer
– Low no-haggle prices
– Choice
– Customer-friendly process
![Page 103: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/103.jpg)
105
Maximizing Sales
Traditional Negotiations
Payment
Vehicle price
APR and term
Trade-in
Ancillary products
![Page 104: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/104.jpg)
106
Process Flow
Fast
Efficient
Technologically advanced
Maximizing Sales
![Page 105: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/105.jpg)
107
Application RoutingPrime
Non-prime
KMX App. Routing
Customer Views and Chooses
From Among all
Offers
Transmission
Non-prime
Non-prime
Non-prime
Prime Decline
Prime #2
CAF
KMX App. Routing
KMX App. Routing
KMX App. Routing
Maximizing Sales
![Page 106: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/106.jpg)
108
Maximizing Sales
Technology Advantages
Connectivity
Scale
Data collection
Point of sale support
Accuracy / compliance
![Page 107: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/107.jpg)
110
Consumer Finance
Minimizing Risk
Transparent loan originations:
- Consumer risk
- Vehicle risk
- Intermediary risk
![Page 108: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/108.jpg)
111
Consumer Finance
Optimizing Profitability
3rd party finance company selection:
- CarMax-specific programs
- Stability and scale
- Balanced agreement
![Page 109: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/109.jpg)
112
Consumer Finance
Finance Originations
Maximize sales
Minimize risk
Optimize profitability
![Page 110: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/110.jpg)
113
GROWTH PLAN
![Page 111: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/111.jpg)
![Page 112: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/112.jpg)
115
Organic Growth
Creates value
Not acquisition dependent
Not 3rd-party constrained
Growth Plan
![Page 113: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/113.jpg)
116
Opportunity Scale
Market: $265 Bn
Currently: 18%-20% of U.S.
Mature stores: 8%-10% market share
Growth Plan
![Page 114: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/114.jpg)
117
Expanding The Opportunity
Market share experience
Higher-density storing
- Charlotte
- Orlando
- Las Vegas
- Richmond
Growth Plan
![Page 115: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/115.jpg)
118
Growth Plan To Date:FY02 FY03 FY04
Mid-SizedMarkets:
Greensboro SacramentoKnoxville
Las VegasKansas CityBirminghamMemphis (Oct.)Louisville (Feb.)
Large MarketSatellites:
CHI:Merrillville CHI: Oak LawnATL: Lithia Springs
CHI: Glencoe (Nov.)
Mid-Sized MarketSatellites:
CHA: South Blvd. ORL: SanfordLSV: Sahara (Jan.)
YE Total (Used): 35 40 48-49
Growth Plan
![Page 116: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/116.jpg)
119
Growth Plan: Next 3 Years
FY05 FY06 FY07Store Goal: 8-10 10-12 12-14
Focus: Mid-sized Satellite
Mid-sized Satellite
Mid-sized Satellite New large
market
YE Total: 56-59 66-71 78-85
Growth Plan
![Page 117: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/117.jpg)
120
Used Car Store Model
Year 1 Year 2 Year 5
Year 5StandardSuperstore
SatelliteSuperstore
$ mm $ mm
Sales Ramp 70% 88% 100% $60-120 $43-86
Store OperatingProfit
0.7-4.2% 2.9-6.3% 4.0-8.5% $2.4-10.3 $1.6-7.3
Growth Plan
![Page 118: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/118.jpg)
121
Average Store Investment
Standard ($mm) Satellite ($mm)Land & Bldg. $12.6-20.0 $ 7.5 -10.5FF+ E 1.3 - 1.6 0.5 - 0.8Inventory 5.3 - 9.2 4.8 - 6.9Initial CarMax Cash $19.2-30.8 $12.8- 18.2
Cash RecoverySale/Leaseback $12.6-20.0 $7.5-10.5Inventory Financing (@ 90%) 4.8 - 8.3 4.3 - 6.2Net CarMax Cash(@ 90% Inventory)
$ 1.8 - 2.5 $1.0 - 1.5
Growth Plan
![Page 119: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/119.jpg)
122
Investment ReturnsHistorical ROIC
Comparable Standard and Satellites (FY03) 18.7% (CAF normalized)
Total CarMax (FY03) 12.9%
Prototypical
Standard (Yr 5, CAF normalized) 14.9%
Satellite (Yr 5, CAF normalized) 16.6%
Leading Retail Comparison (‘92-’02 Avg.)
Home Depot 14.6%
Wal-Mart 12.4%
Growth Plan
![Page 120: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/120.jpg)
123
4-year goal: $8 Bn
Comp used-unit growth : 5%-9%
New store openings : 15%-20%
New store openings
Store margin expansion
Corporate overhead leverage
Sales Growth
Profit Growth
Growth Plan
Growth Plan
![Page 121: 2 Forward-Looking Statement This presentation contains forward-looking statements, which are subject to risks and uncertainties. Additional discussion](https://reader035.vdocuments.net/reader035/viewer/2022062421/56649dd15503460f94ac6b92/html5/thumbnails/121.jpg)