Company: KMX
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001170010-25-000024
Chunk: 141

Company: CARMAX INC
Filing Date: 2025-04-11
Form: 10-K
Item: Item 8
Chunk 141
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 representing the amount by which the carrying value of the right-of-use asset exceeded its estimated fair value.  The impairment charge was recorded in other expense (income) on the consolidated statements of earnings.  There were no impairment charges in fiscal 2024 or fiscal 2023.The components of lease expense were as follows:Years Ended February 28 or 29(In thousands)202520242023Operating lease cost (1)$92,630 $89,801 $90,925 Finance lease cost:Depreciation of lease assets20,543 20,010 16,039 Interest on lease liabilities26,404 25,724 21,969 Total finance lease cost46,947 45,734 38,008 Total lease cost$139,577 $135,535 $128,933 (1)    Includes short-term leases and variable lease costs, which are immaterial.Supplemental balance sheet information related to leases was as follows:As of February 28 or 29(In thousands)Classification20252024Assets:Operating lease assetsOperating lease assets$493,355 $520,717 Finance lease assetsProperty and equipment, net (1)160,535 174,998 Total lease assets$653,890 $695,715 Liabilities:Current:Operating leasesCurrent portion of operating lease liabilities$59,335 $57,161 Finance leasesAccrued expenses and other current liabilities15,015 20,877 Long-term:Operating leasesOperating lease liabilities, excluding current portion481,963 496,210 Finance leasesOther liabilities189,216 198,759 Total lease liabilities$745,529 $773,007 (1)    Finance lease assets are recorded net of accumulated depreciation of $67.6 million as of February 28, 2025 and $55.5 million as of February 29, 2024.

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Lease term and discount rate information related to leases was as follows:As of February 28 or 29Lease Term and Discount Rate20252024Weighted Average Remaining Lease Term (in years)Operating leases15.4916.07Finance leases14.3111.43Weighted Average Discount RateOperating leases5.21 %5.05 %Finance leases16.78 %17.16 %Supplemental cash flow information related to leases was as follows:Years Ended February 28 or 29(In thousands)