### At a GlanceThis quarter's results met expectations, primarily due to the smooth progress of the ACV Auctions acquisition, and management is highly confident about the integration outlook.

### Key DataOn the data front, international business grew 10% year-over-year, non-insurance revenue accounted for approximately 25% of total revenue, and operating costs per vehicle rose 12% year-over-year.

### Business ProgressIn terms of business developments, the company announced the acquisition of ACV Auctions for approximately $2 billion, retaining its independent brand while integrating buyer liquidity and logistics networks. ACV's dealer customer base complements Copart's independent dealers, which is expected to enhance auction returns for insurance vehicles and lower-end used cars. Management emphasized that ACV's "startup culture" aligns well with Copart and plans to invest in technology, training, and dedicated facilities to accelerate growth.

### Guidance and OutlookRegarding guidance and outlook, management expects the acquisition to become profitable by FY28 but did not provide specific financial guidance. Meanwhile, the company plans to reduce per-vehicle costs by increasing unit volume and continues to expand in existing international markets and Europe.

### Risk/Highlight SignalsManagement's tone was very positive, emphasizing "confidence" and "excitement," describing customer relationships as "excellent," and explicitly stating no concerns about competitors' pricing strategies.