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Copart Achieves Record Second Quarter Profitability

    BENICIA, Calif.--Feb. 26, 2001--Copart, Inc. today reported results for the second fiscal quarter and first six months that ended January 31, 2001.
    Copart earned net income of $9,349,200 in the second quarter of fiscal 2001, generating a 42% increase in earnings per share to $.17 per diluted share on revenues of $56,638,200. The Company had net income of $6,618,500, or $.12 per diluted share, on revenues of $44,406,400 for the same period in fiscal 2000.
    For the first six months of fiscal 2001, Copart earned net income of $18,268,400, or $.32 per diluted share, on revenues of $113,777,600. Copart reported net income of $12,930,900, or $.23 per diluted share on revenues of $84,914,000 for the same period in fiscal 2000.
    The Company also reported quarterly Internet sales information. Approximately 21% of the second quarter's gross proceeds came from the sale of cars sold to or whose price was pushed by Internet bidders. Total Internet sales for the quarter were $47.8 million, 81% higher than the second quarter of fiscal 2000. The $47.8 million consists of approximately $24.2 million of product sold and $23.6 million pushed by Internet bids. In the second quarter one year ago Internet sales were $26.4 million, 14% of gross proceeds, consisting of approximately $13.1 million of product sold and an additional $13.3 million pushed.
    "We are very pleased with the results for the quarter," said A. Jayson Adair, Copart's President. "Revenues and profits continue on a steady growth track thanks to innovative services that are only available at Copart. For example, the Future Bidding product that we announced last quarter is now being widely used by our buyers with positive results. Prior to Future Bidding, on any given day buyers could bid on approximately 20,000 cars that had been assigned to a specific sale date. Now our buyers can bid on over 40,000 cars: 20,000 assigned a sale date plus 20,000 more completing title processing. The result has been more Internet sales and more buyers getting the cars they need. As a result, Internet sales climbed this quarter to 21% of gross proceeds up from 18% just three months ago."
    On Tuesday, February 27, 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 vcall.com. A replay of the call will be available through March 2, by calling (402) 998-1238. Copart's current investor presentation slides can be found at Copart.com/Invest/Presentation.htm
    The Company is also making public its diluted earnings per share forecasts for the third quarter and the current fiscal year. For the third quarter ending April 30, 2001, earnings are currently forecasted to be between 18 and 19 cents. For the fiscal year ending July 31, 2001, the current forecast is for EPS between 68 and 70 cents.
    Copart, founded in 1982, provides vehicle suppliers, primarily insurance companies, with a full range of services to process and sell salvage vehicles through auctions, principally to licensed dismantlers, rebuilders and used vehicle dealers. 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. The Company operates 79 facilities in 36 states. It also provides services in other locations through its national network of independent salvage vehicle processors.



                             Copart, Inc.
                         Financial Highlights
           (in thousands, except per share and other data)

                                    Three Months Ended January 31,
                                           2001       2000
Consolidated Statements 
 of Income Data

Revenues                                 $ 56,638   $ 44,406

Operating costs and expenses:
 Yard and fleet                            34,123     27,362
 General and administrative                 4,234      4,003
 Depreciation and amortization              3,460      2,738
  Total operating expenses                 41,817     34,103
  Operating income                         14,821     10,303

Other income (expense):
 Interest income, net                         311        309
 Other income                                 321        155
  Total other income                          632        464
  Income before income taxes               15,453     10,767

Income taxes                                6,104      4,148
  Net income                              $ 9,349    $ 6,619

Basic net income per share                $   .17    $   .12

Weighted average shares outstanding        54,713     53,729

Diluted net income per share              $   .17    $   .12

Weighted average shares and dilutive
 potential common shares outstanding       56,427     56,245

Other Data
Gross proceeds (000)                    $ 232,146  $ 193,168


                             Copart, Inc.
                   Financial Highlights - Continued
           (in thousands, except per share and other data)

                                     Six Months Ended January 31,
                                           2001       2000
Consolidated Statements
 of Income Data

Revenues                                $ 113,778   $ 84,914

Operating costs and expenses:
 Yard and fleet                            69,480     51,999
 General and administrative                 8,700      7,308
 Depreciation and amortization              6,830      5,491
  Total operating expenses                 85,010     64,798
  Operating income                         28,768     20,116

Other income (expense):
 Interest income, net                         526        576
 Other income                                 782        339
  Total other income                        1,308        915
  Income before income taxes               30,076     21,031

Income taxes                               11,808      8,100
  Net income                             $ 18,268   $ 12,931

Basic net income per share               $    .33   $    .24

Weighted average shares outstanding        54,634     53,712

Diluted net income per share             $    .32   $    .23

Weighted average shares and dilutive
 potential common shares outstanding       56,258     56,081

Other Data
Gross proceeds (000)                     $481,261   $373,953
Number of auction facilities                   79         70


                                   January 31, 2001  July 31, 2000 
Consolidated Balance
 Sheet Data (000) 

Cash & short-term investments           $   2,522     $  12,165 
Working capital                         $  56,990     $  54,042 
Total assets                            $ 292,697     $ 262,324
 Total debt                             $   8,374     $   8,555 
Shareholders' equity                    $ 240,867     $ 219,890