The increase in revenue resulted from a 23% increase in interest income and a 5.6% increase in average retail sales price. Approximately 40% of this increase was related to the vehicle selling price.

Same-store revenue growth was 2.7% versus 22.2% reported a year ago. Retail unit sales for the quarter were 15,162 units vs. 15,885 units, down 4.6% from the prior year quarter. 

The company increased the allowance for credit loss from 23.91% to 26.04% sequentially, resulting in a $28 million charge to the provision (basic earnings per share loss of $3.40 after tax). 

"The persistent inflationary environment impacted existing customers, which was evident in our credit losses. This required an increase in the allowance for credit losses which subsequently impacted the bottom line for the quarter. We believe these headwinds regarding credit loss are shorter-term in nature," said Doug Campbell, President and CEO, America's Cart-Mart.

Price Action: CRMT shares are trading lower by 17.89% at $66.37 on the last check Tuesday.

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