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| location_country = U.S.
| location_country = U.S.
| locations = 250+ (2022)
| locations = 250+ (2022)
| revenue = {{increase}} $3,500.9 billion (2022)
| revenue = {{increase}} $3,500.9 million (2022)
| net_income = {{increase}} $1,090.1 billion (2022)
| net_income = {{increase}} $1,090.1 million (2022)
| assets = {{increase}} $4.562 billion (2021)
| assets = {{increase}} $4.562 million (2021)
| equity = {{increase}} $4,625.6 billion (2022)
| equity = {{increase}} $4,625.6 million (2022)
| website = {{URL|https://www.copart.com/}}
| website = {{URL|https://www.copart.com/}}
| footnotes = <ref name=10K>{{cite web | url=https://sec.report/Document/0000900075-21-000022/| title=Copart, Inc. 2021 Annual 10-K Report | publisher=[[U.S. Securities and Exchange Commission]]}}</ref>
| footnotes = <ref name=10K>{{cite web | url=https://sec.report/Document/0000900075-21-000022/| title=Copart, Inc. 2021 Annual 10-K Report | publisher=[[U.S. Securities and Exchange Commission]]}}</ref>

Revision as of 20:02, 31 May 2023

Copart, Inc.
Company typePublic
IndustryAutomotive
FoundedVallejo, California (1982) ((1982))
Headquarters14185 Dallas Parkway, Suite 300, Dallas, Texas,
U.S.
Number of locations
250+ (2022)
Key people
Willis J. Johnson (Chairman)
Jay Adair (CEO)
Jeff Liaw (CEO)
RevenueIncrease $3,500.9 million (2022)
Increase $1,090.1 million (2022)
Total assetsIncrease $4.562 million (2021)
Total equityIncrease $4,625.6 million (2022)
Number of employees
9,500 (2022)
Websitewww.copart.com
Footnotes / references
[1]

Copart, Inc. or simply Copart is a global provider of online vehicle auction and remarketing services to automotive resellers such as insurance, rental car, fleet and finance companies in 11 countries; the US, Canada, the UK, Germany, Ireland, Brazil, Spain, UAE, Bahrain, Oman and Finland. Headquartered in Dallas, Texas, Copart has more than 200 physical locations around the world, where it houses more than 10,000 acres of vehicle inventory. Copart sells used, wholesale and repairable vehicles in weekly and bi-weekly online auctions to buyers ranging from consumers to automotive businesses around the world. Copart provides vehicle sellers with a range of services to process and sell repairable and clean title vehicles over the internet, using its patented virtual auction technology, named VB3, as well as others of its auction-related brands.

Copart is a public company and is traded on the NASDAQ under the ticker symbol CPRT and has been named to Fortune’s 2020 Future 50 companies,[2] 100 Fasted-Growing Companies,[3] and the Fortune 500 list.[4]

History

Copart was founded in 1982 by 34-year-old Willis J. Johnson in Vallejo, California.[5]

Johnson began expanding Copart in the early 1990s through private loans and equity. By the early '90s, the company had grown to four locations in northern California; and by March 1994, it had added another eight new facilities in Oregon, Washington, and Texas, culminating in the acquisition of the largest volume seller of salvage in the United States, North Texas Salvage Pool of Dallas, Texas.[6]

That decade, Willis Johnson began developing Copart's information technology.[6][7][8] The first main step in this process was the creation of the Copart Auction System (CAS) in 1997, which was designed to unify and support the growing business as well as allow Copart facilities and sellers to access information, generate reports, and increase operating efficiencies.[5] The next step came in 1998 with Copart's introduction of internet bidding—a departure from the industry standard of local physical auctions.[9]

On March 17, 1994, Copart had its initial public offering (IPO) at $12 per share and debuted on the NASDAQ under the symbol "CPRT." Copart's IPO of 2.3 million shares of stock provided the company with the means to become a national company.[6]

In May 1995, Copart began rapid expansion in the United States with the sizable acquisition of NER Auction Group, doubling its number of facilities around the country. Copart would continue to grow via acquisitions and founded six new locations from July 1995 to July 1996. With locations spread coast-to-coast in the United States, Copart shifted tactics and began to procure regional and national contracts with the nation's leading insurance companies to grow a nationwide chain of facilities.[10] Copart has continued to acquire businesses, including National Powersport Auctions (NPA) in 2017.

By 2003, the company grew to 100 locations across the country and became the first to launch a completely online auction model. Currently,[when?] Copart has more than 200 locations in 11 countries.[10]  A Canada yard opening marked the first international expansion in 2003.[11] By 2007, Copart grew its footprint overseas to the United Kingdom. In 2012, Copart began expanding to the United Arab Emirates, Brazil, Bahrain, Oman, Spain, Ireland and Germany. Copart also expanded into Finland in 2018 with the acquisition of Autovahinkokeskus (AVK).[12] Additionally, the CashForCars.com brand launched in Canada in 2018, Germany in 2019 and the United Kingdom in 2020.

As Internet bidding grew in popularity, Copart developed its online auction platform, VB2, which it implemented in 2003. VB2 opened the sales process to registered buyers (Members) and sellers worldwide.[8][13] In fiscal year 2004 in North America and fiscal year 2008 in the U.K., Copart discontinued all live auctions and began remarketing vehicles exclusively through VB2.[14][15]

In 2012, Copart relocated its corporate headquarters from Fairfield, California, to Dallas, Texas. Copart's Dallas headquarters building, Copart Tower, consists of approximately 53,000 square feet (4,900 m2) of leased office space.[16][17]

In 2013, Copart upgraded its VB2 technology to a new version dubbed VB3. This version supported the latest browsers, eliminated the need for plugins and supported mobile interactivity.[11] Copart now sells more than one million vehicles each year through VB3 technology.[9][18]

On November 3rd, 2022, Copart celebrated its 40th anniversary. Forty years later, Copart has over 250+ physical locations in 11 countries auctioning some 3.5 million vehicles annually. [19]

Products and Operations

Copart's brands include BID4U, CashForCars.com, CrashedToys, DRIVE Auto Auctions, and National Powersport Auctions (NPA).[1] Copart also sells additional services such as providing sale pricing estimates for salvage vehicles, providing transport to and from storage lots for vehicles being sold in its platforms, and assisting with vehicle title processing.[1]

The largest group of vehicle purchasers buying automobiles in Copart's auctions is vehicle dismantlers, while insurance companies make up the primary seller of vehicles listed in Copart auctions. Among the vehicles sold by insurance companies, the majority are vehicles declared a total loss after an accident or as a result of damage from a natural disaster. [1] Given its global presence and reach, Copart sells about 42% of its vehicles to buyers outside of the United States.

Shipping with Copart

Copart's VB3 Auction Technology allows Members to easily navigate auctions and bid on lots.

Copart moves about 3.5 million vehicles annually through the use of employees and contractors. These services include picking up vehicles for clients and delivering them to Member buyers. In late 2022 Copart began delivering vehicles to residential as well as business addresses. In 2022, the company integrated shipping services into VB3’s payments system so Members can now receive & accept estimates, schedule delivery, and pay for shipping in the same place they pay for their vehicles and fees. Member buyers now enjoy a seamless experience for finding, evaluating, buying, and receiving vehicles from Copart.

Spotlight Auctions

Copart Select

Copart Select is one of Copart’s Spotlight Auctions held on a weekly basis. This selection of used car, truck and SUV inventory includes cars that are typically in drivable condition or only need minor repairs. In May of 2023, Copart launched an arbitration program that includes sale lights to allow shoppers to know the general condition of vehicles with a glance. Green lights indicate wholesale-quality used cars usually in or near working order. Yellow lights indicate vehicles with potential issues, like excessive mileage, mechanical issues, and multiple OBD2 error codes, that prospective buyers should consider. The light system also indicates what is covered by the arbitration policy. If previously undisclosed issues are discovered, Copart buys the vehicle back if the issue is one covered by the appropriate sale light.[20]

Copart auctions off a variety of specialty vehicles, including heavy equipment like the bulldozer pictured above.

Copart Specialty Vehicle Auction

In early 2023, Copart added a new Specialty Vehicle Auction once a week, and quickly expanded it into three weekly auctions to meet growing demand.  These auctions feature a variety of specialty vehicles such as heavy-duty trucks, trailers, semis, box trucks, construction equipment, Medium trucks, farm machinery, RVs, firetrucks, and school buses. Each of the three weekly auctions features its own inventory category. Wednesdays feature medium duty trucks, Thursdays offer heavy duty trucks, trailers and RVs, and Fridays provide construction and industrial equipment and farm machinery.[21]

The condition of the vehicle largely determines the buying audience. Operable vehicles are typically purchased by people and organizations that lack the budget to buy new equipment. More damaged vehicles are purchased for parts to keep similar vehicles in good working order. The vehicles included in these auctions are not solely valuable, they are also recyclable, which is at the heart of Copart’s business model.[22]  

Copart Rental Auction

Through their Rental Car auctions, Copart gives used rental vehicles second lives. Brands like Hertz, Avis, Enterprise, National, Alamo, SiXT, Advantage, and Budget often put both their clean title and salvage vehicles up for auction in this weekly auction. These auctions are held twice every week in which users can find a variety of late model rental trucks, cars, SUVs and exotics that are in relatively good condition. These auctions are especially attractive for buyers, as you are able to acquire these vehicles for a fair wholesale price that creates the opportunity for profit.[23][24]

Information Services

Copart provides several information services to help member buyers evaluate potential purchases. Copart provides free Copart Vehicle Condition Report with vehicle histories and OBd2 (Onboard Diagnostics, Second Generation) error codes on all wholesale and Copart Select vehicles.[25]  

The Copart Market Guide Report includes VIN Decode, NADA values, ProQuote results, a list of comparable sales, and an AutoCheck Report (if available).[26]

Many informational products are provided by well-known auto industry firms including AutoCheck, EpicVin and ClearVin. Third-party inspectors can also be hired through Copart to physically inspect vehicles prior to a buyer bidding on them.[27]

The company is studying additional information and reporting service offerings to both aid buyers and provide additional revenue streams.

Certified Dealer Services

Established in 2007, CDS (Copart Dealer Services) is a way for dealers to easily sell their vehicles through Copart. Dealers will often sell their trades, auction flips, and repos (repossessed vehicles), and CDS provides an excellent opportunity for them to reach a global customer base. “Buy Here/Pay Here” dealers can effectively work with Copart to have their vehicles picked up in more than 200 different locations.[28]

Subsidiaries

Cashforcars.com

Cash For Cars is a car buyer subsidiary of Copart. Customers have the option to call or fill out a form online to receive a quote for their vehicle. When the car buyer makes an offer, the customer has the choice to either accept the offer or forgo the sale. Copart acquired Cash For Cars to capitalize on their car buying services and expand their inventory.[29]

CrashedToys

CrashedToys is a global online vehicle auction company acquired by Copart in 2013. Similar to Copart, this brand sells clean title and salvage motorcycles, powersports and exotics autos to dealers, dismantlers, rebuilders, exporters and private individuals. CrashedToys uses Copart’s online auction platform to hold online auctions Monday through Friday of every week. CrashedToys is based in the southern part of Dallas, Texas. It includes a rentable venue for events.[30]

National Powersport Auctions

Another notable subsidiary of Copart is National Powersport Auctions (NPA). Originally Cycle Express in 1990, NPA now provides a variety of auction-related services to lenders and dealers throughout the United States. NPA was acquired by Copart in June of 2017.  

Like CrashedToys, NPA sells motorcycles and other powersports that typically in higher quality condition. A simple analogy is that NPA is the Copart Select of powersports.

At the time of the acquisition, Copart Co-Chief Executive Officer Jay Adair was quoted as saying “We are thrilled that NPA is now part of the Copart family and believe the team’s expertise will enhance our capabilities,” with NPA’s Chief Executive Officer Cliff Clifford adding “We are very excited about teaming up with Copart. Leveraging Copart’s resources and capabilities with NPA’s industry expertise and market leadership will allow us to kick NPA into high gear. We’re looking forward to taking NPA to a whole new level of growth and success.”[31]

Special Programs

Copart's Rebuild Challenge receives numerous submissions, with the winners receiving a mix of cash and prizes.

Truck in a Box

Copart’s “Truck in a Box” program launched in 2022 to help create the contract towing capacity Copart needed. The program helps entrepreneurs start or expand a towing company that works with Copart to pick up and deliver vehicles from Members or Copart locations. Those in the program experience excellent benefits; enrolling in the program arranges financing and delivery of a new rollback tow truck a contract to haul guaranteed daily volume, and the flexibility to operate the business to meet the needs of the participants. Copart further assists those in the program with specially negotiated insurance rates, inspections and other requirements to legally operate tow trucks.[32][33]

Rebuild Challenge

In 2014, Copart launched the Copart Rebuild Challenge, and online photo competition featuring before and after pictures of repaired and customized vehicles purchased from Copart. A panel of automotive experts select the top 25 finalists, who are then voted for by the online public. The program offers a mix of cash and prizes to the top three winners.[34]

Copart Catastrophic Response Team

Copart CAT (Catastrophic Response Team) is a taskforce that combats the ramifications of severe weather like hurricanes through the removal of damaged vehicles and general debris within 24 to 48 hours after the storm has stopped. The vehicles that are recovered are then safely stored and sold at auction on copart.com.[35]

With such large teams, Copart is capable of responding to disasters of any scale. Additionally, Copart’s investment in CAT Mega Yards near the locations where disasters strike most commonly has proven to be extremely effective toward recovery efforts. These mega yards are stocked with all the necessary equipment for a proper and effective response to a disaster.

To allow the flexibility to respond to disasters of different scopes and sizes, Copart organized its CAT Special Operations Command into four specialized teams.

Copart utilizes freights to haul the vehicles recovered from the affected locations.

Special Reserve Force

The Special Reserve Force is the largest of the four response teams summoned after a storm and is composed of volunteers from all over Copart. Yard managers, Member Service professionals, support and site staff in this team come together and help the affected communities recover from the storm. Specially trained to operate loaders and various other types of equipment, members of this team are crucial to recovery efforts.[36]

Copart CAT Taskforce Members pictured beside their haulers.

Elite Force

The Elite Force team are the first responders of the CAT Special Operations Command. They are the first to go into any disaster and begin to process and retrieve vehicles before the ground is dry.

Flex Force

Made up of certified auto transport drivers and loader operators, the Flex Force team are responsible for shuttling the vehicles between locations after the storm.

Fleet Force

The Fleet Force consists of Copart employees who operate the fleet of Catastrophic Response tow trucks that are tasked with the general recovery of vehicles wherever necessary. They help Copart manage unexpected vehicle volumes in addition to their catastrophe response duties.

See also

References

  1. ^ a b c d "Copart, Inc. 2021 Annual 10-K Report". U.S. Securities and Exchange Commission.
  2. ^ "Copart | 2020 Future 50". Archived from the original on 2021-02-25. Retrieved 2020-12-10.
  3. ^ "Copart | 2021 Fastest-Growing Companies". Archived from the original on 2021-02-25. Retrieved 2020-12-10.
  4. ^ "Copart | 2021 Fortune 500". Archived from the original on 2021-02-25. Retrieved 2020-12-10.
  5. ^ a b Jump up to:a b c “Copart to Celebrate 25 Years of Success” ([1][permanent dead link]). Collision Repair Magazine. Posted July 17, 2007. Retrieved May 5, 2014.
  6. ^ a b c "Grant, Tina, ed. (1998). International Dictionary of Company Histories. Copart Inc. 23. Detroit. St. James Press. pp. 147-149. ISBN 1-55862-364-7.
  7. ^ "Turning Rust into Gold". Bloomberg.com. 2002-06-10. Archived from the original on 2022-04-08. Retrieved 2020-12-04.
  8. ^ a b "The Sotheby's Of Scrap". Forbes. Archived from the original on 2020-07-28. Retrieved 2020-12-04.
  9. ^ a b "Copart Annual Report, Form 10-K Filing Date October 31, 2006" (http://pdf.secdatabase.com/752/0001104659-06-069980.pdf Archived 2016-03-04 at the Wayback Machine). U.S. Securities and Exchange Commission. Retrieved February 1, 2013.
  10. ^ a b “Copart Inc. History” (http://www.fundinguniverse.com/company-histories/copart-inc-history Archived 2020-06-13 at the Wayback Machine). FundingUniverse.com. Retrieved December 2, 2020.
  11. ^ a b “VB3: Copart’s Auction Technology” (https://www.copart.com/howVb3Works Archived 2020-12-02 at the Wayback Machine). Copart.com. Retrieved December 2, 2020.
  12. ^ “Copart Canada Moves to a New Facility in Calgary” (https://markets.businessinsider.com/news/stocks/copart-canada-moves-to-a-new-facility-in-calgary-1016323434 Archived 2021-12-01 at the Wayback Machine). Markets.BusinessInsider.com. Retrieved December 2, 2020.
  13. ^ "Copart Annual Report, Form 10-K Filing Date October 14, 2004" (http://pdf.secdatabase.com/2242/0000950134-04-015006.pdf Archived 2016-03-04 at the Wayback Machine). U.S. Securities and Exchange Commission. Retrieved October 22, 2014.
  14. ^ “Copart, Inc. 2007 Annual Report, Form 10-K Filing Date October 1, 2007” (http://pdf.secdatabase.com/1556/0001104659-07-072450.pdf Archived 2016-03-04 at the Wayback Machine) U.S. Securities and Exchange Commission. Retrieved October 22, 2014.
  15. ^ "Copart, Inc. Company Profile" (http://www.hoovers.com/company-information/cs/company-profile.Copart_Inc.6ac2a0902ab29b10.html Archived 2013-03-08 at the Wayback Machine). Hoovers.com. Retrieved October 22, 2014.
  16. ^ "Copart Annual Report, Form 10-K Filing Date October 1, 2012" (http://www.secdatabase.com/843/0001145443-12-001120.pdf[permanent dead link]). U.S. Securities and Exchange Commission. Retrieved March 10, 2014.
  17. ^ “Auto reseller Copart to move HQ to Farmers Branch” (http://www.bizjournals.com/dallas/print-edition/2012/02/17/auto-reseller-copart-to-move-hq-to.html Archived 2012-03-23 at the Wayback Machine reseller Copart to move HQ to Farmers Branch). Dallas Business Journal. Posted February 17, 2012. Retrieved January 24, 2013.
  18. ^ "About Copart" (http://www.copart.com/c2/about_copart_car_salvage_auction.html Archived 2013-01-28 at the Wayback Machine). Copart.com. Retrieved October 22, 2014.
  19. ^ "Copart Celebrates 40th Anniversary, Lays Out Plans for the Next 40 Years". www.copart.com. Retrieved 2023-05-11.
  20. ^ "What is Copart Select?". www.copart.com. Retrieved 2023-05-11.
  21. ^ "Copart Adds New Weekly Specialty Vehicle Auction". www.copart.com. Retrieved 2023-05-11.
  22. ^ "Copart Adds New Weekly Specialty Vehicle Auction". www.copart.com. Retrieved 2023-05-11.
  23. ^ "Salvage and Used Rental Cars for Sale in 100% Online Auctions". www.copart.com. Retrieved 2023-05-11.
  24. ^ "Find Late Model Rental Cars in All Online Auctions". www.copart.com. Retrieved 2023-05-11.
  25. ^ "Copart Vehicle Condition Reports". www.copart.com. Retrieved 2023-05-11.
  26. ^ "Get a Market Guide Report for Added Assurance". www.copart.com. Retrieved 2023-05-11.
  27. ^ "Copart Vehicle Reports". www.copart.com. Retrieved 2023-05-11.
  28. ^ "Copart Dealer Services". www.copart.com. Retrieved 2023-05-11.
  29. ^ "About Us". www.cashforcars.com. Retrieved 2023-05-11.
  30. ^ "About CrashedToys". www.crashedtoys.com. Retrieved 2023-05-11.
  31. ^ "About". www.npauctions.com. Retrieved 2023-05-11.
  32. ^ "Start Your Own Towing Business with Copart's Truck In a Box Program". www.copart.com. Retrieved 2023-05-11.
  33. ^ "Copart Creates Truck in a Box Program for Entrepreneurs | Tow Times Magazine". Retrieved 2023-05-11.
  34. ^ "Copart Rebuild Challenge". www.copart.com. Retrieved 2023-05-11.
  35. ^ "When Severe Weather Strikes, Copart Responds". www.copart.com. Retrieved 2023-05-11.
  36. ^ "Our Elite Teams & Their Tools". www.copart.com. Retrieved 2023-05-11.
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