CarMax says vehicle affordability remains a challenge, cost cuts help profit

(Reuters) -CarMax Inc said on Friday that vehicle affordability remains a challenge due to high interest rates and low consumer confidence, but cost cuts helped the used-car retailer post a quarterly profit beat.

Shares of the company jumped 9.8% to $85.99 in early trade, as it also reported a better-than-expected first-quarter revenue.

Although used-car prices have cooled of late, retailers have been hit hard as inflationary pressures and improving new vehicle supply have put off…