AMERICAS CARMART INC

America's Car-Mart disclosed substantial doubt about its ability to continue as a going concern, citing liquidity and capital structure issues. The company is implementing a near-term strategy focused on preserving liquidity, including curtailing vehicle inventory purchases and finance receivable originations. In fiscal 2026, it closed 60 dealerships, reducing its footprint to 94 locations, and saw its provision for credit losses rise to 40.8% of sales. The company secured a $300.0 million senior secured term loan in October 2025 and obtained covenant relief in June 2026, while actively reviewing strategic and financing alternatives.

America's Car-Mart reported a significant GAAP loss of $16.79 per share for fiscal year 2026, with total revenue declining 7.9% to $1.28 billion and sales volumes down 14.3%. The company also disclosed a "going concern" warning due to substantial indebtedness and uncertainties in securing additional financing. Efforts to preserve liquidity included a 39% reduction in dealership locations and an amendment to its credit agreement for covenant relief.

America's Car-Mart reported a significant net loss of $(139.1) million, or $(16.79) per share, for fiscal year 2026, with total revenue declining 7.9% to $1,281.5 million. The company disclosed substantial doubt about its ability to continue as a going concern due to indebtedness and liquidity constraints. To address these issues, Car-Mart amended its credit agreement for covenant relief and continued its restructuring efforts, consolidating 42 dealerships in Q4, bringing the total active dealerships down to 94.

America's Car-Mart, Inc. announced it will release its fiscal 2026 fourth-quarter and full-year financial results on Tuesday, July 14, 2026, before the market opens. The company will host a webcast and conference call on the same day at 9:00 a.m. ET to discuss the results. Details for accessing the webcast and registering for the telephone conference call were provided, along with information about the replay availability.

America's Car-Mart entered into an amendment and limited waiver to its Credit and Guaranty Agreement, securing a waiver from lenders for several existing and anticipated defaults related to financial and reporting covenants. This waiver, effective until at least September 7, 2026, is contingent on the company meeting new milestones and revised financial covenants, including maintaining specific liquidity and Collateral Coverage Ratios. The company will pay up to $18.0 million in fees for this amendment, and in related corporate governance changes, Julia K. Davis resigned from the board, while Gilbert Nathan and Michael J. Wartell were appointed as independent directors.

America's Car-Mart, Inc. announced an amendment to its Credit and Guaranty Agreement with Silver Point Finance, LLC to preserve liquidity and advance its strategic alternatives process. The amendment provides covenant relief and a defined path forward, with lenders waiving specified defaults and events of default. This initial period extends through early September 2026, with a potential extension to November 2026, allowing the company time to evaluate options to maximize stakeholder value.

America's Car-Mart, Inc. announced an extension of its lender forbearance agreement through June 19, 2026. This extension allows more time for discussions with the Agent and Lenders regarding an amendment to the Credit and Guaranty Agreement. The company reports active, constructive, and productive discussions, believing significant progress has been made towards resolving concerns related to anticipated or actual defaults.

Americas Car-Mart, Inc. announced a material definitive agreement regarding its credit facility, receiving an extension on lender forbearance for potential defaults related to financial covenants and reporting obligations until June 12, 2026. The company also approved an Employee Retention Program, including cash retention awards for key executives such as CEO Douglas W. Campbell ($1.2M) and CFO Jonathan Collins ($563,000), as well as stock options, some of which are contingent on stockholder approval. The forbearance agreement explicitly states that no defaults have been waived.

America's Car-Mart Inc. announced the formation of a Special Committee to review strategic alternatives, including financing, recapitalization, equity issuance, asset sales, and debt facility modifications. Concurrently, the Board increased its size and appointed Adam Paul as an independent director and Chair of this new committee. The company has also engaged Houlihan Lokey as a financial advisor to assist with the strategic review process.

America's Car-Mart, Inc. announced the closure of 42 of its 136 dealership locations and a reduction of associated support staff, effective April 7, 2026. This strategic restructuring is a direct response to delays in establishing a non-recourse revolving warehouse credit facility, which has created capital constraints despite successful execution of a $300 million term loan and a ninth securitization. The Company expects to record a non-cash impairment charge of approximately $14 million related to assets at the closing locations, in addition to anticipated cash charges for employee separation and lease exit costs. Following the closures, expected to be completed by April 14, 2026, Car-Mart will operate 94 dealership locations across 12 states, continuing to monitor performance and adjust capital allocation.