Quantcast
Jump to content

general heavy-duty 728x90


general heavy-duty 468x60


general heavy-duty 250x250

  • Welcome to Auto Parts Forum

    Whether you are a veteran automotive parts guru or just someone looking for some quick auto parts advice, register today and start a new topic in our forum. Registration is free and you can even sign up with social network platforms such as Facebook, Twitter, Google, and LinkedIn. 

     

Advance Auto Parts Feels Effects Of Inflation In 2nd Quarter


Counterman
 Share

Recommended Posts

Advance Auto Parts announced second-quarter net sales of $2.7 billion, up 0.6% compared to second-quarter 2021.

Comparable-store sales were down 0.6%, while operating income dropped 17.7% to $201.7 million.

Advance CEO Tom Greco acknowledged that it was “a more challenging quarter on the top line than we expected.”

“Our deliberate move to increase owned-brand penetration reduced both net and comp sales by approximately one full point,” Greco said. “Our DIY omnichannel sales were particularly challenged in the quarter and we expect that high inflation and significant year-over-year increases in fuel prices will continue to pressure DIY consumers in the back half of the year. As a result, we are updating our 2022 full-year guidance.”

Advance now expects full-year net sales of $11 billion to $11.2 billion, compared to its previous guidance of $11.2 billion to $11.5 billion.  

“While our industry is not immune to the inflationary pressures consumers and broader retail have been experiencing, we believe our industry is well-positioned for the long term within the broader retail space to withstand these headwinds,” Greco said. “In addition, our team continues to make progress on our strategic initiatives to drive long-term shareholder value. We remain relentlessly focused on customer service, parts availability and reliability of delivery. We’re confident this will help enable sustainable sales growth, margin expansion and strong cash returns.”

Greco also highlighted some of the positive from the second quarter, including a 10% increase in diluted earnings per share.

“In Q2 we delivered another quarter of growth in net sales and adjusted operating income, underscored by adjusted operating-income margin expansion,” Greco said. “Our adjusted operating-income margin rate of 11.7% was the highest-level AAP has achieved in seven years. This helped enable a quarterly record for adjusted diluted earnings per share of $3.74, which increased 10% compared with Q2 2021 and 72% compared with Q2 2019. Additionally, we returned $291 million dollars to our shareholders through a combination of share repurchases and our quarterly cash dividend.”

The post

link hidden, please login to view
appeared first on
link hidden, please login to view
.

link hidden, please login to view

Link to comment
Share on other sites


general heavy-duty 728x90


general heavy-duty 468x60


general heavy-duty 250x250

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

 Share

  • Similar Topics

    • By Counterman
      IMR Inc., a full-service automotive market research firm, has released its latest insight, an update from its 2021 insight on the importance of private-label and national-branded parts at independent repair shops.
      As of August 2022, more parts purchasers at independent repair shops reported knowing what brand was in the private-label box (20.8%) compared to 2021 (19.6%), with purchasers at smaller shops (one to three bays) more likely to know what was in the private-label box (22.6%) compared to larger shops with eight or more bays, where purchasers were less likely to know what was in the private-label box (16.4%).

      This year’s survey results showed that 40.8% of shops said that their first-call supplier carried mostly private-label parts with only a few national-branded parts options, which is a decrease from 2021 survey results, at 42.6%. Of that 40.8%, 19.1% said that they go to another supplier to purchase nationally branded parts, 10.3% said that they always or frequently do and 66.7% said that they occasionally do.  

      When shops were asked about the likelihood of switching their first-call supplier if it changed to offer majority private-label brands with limited national brands, only 6% of shops said that they definitely or very likely would switch, compared to 2021 survey results, where 15.2% of shops said that they definitely or very likely would make the switch. However, of the 59.2% of shops that said their first-call supplier doesn’t have heavy private-label branded categories, the number of those who would definitely/very likely switch rises to 8.8%, and another 13.5% say they would be likely to make a switch. 

      Overall, more than half of shops surveyed reported in 2022 that they occasionally go to another supplier for nationally branded parts at 66.7%, while 17.9% rarely go to another supplier. 10.3% reported going to another supplier frequently and 0% reported always going to a different supplier for nationally branded parts. 

      For more information on IMR Inc., visit 
      link hidden, please login to view. The most recent Insights from IMR Inc. can be found  link hidden, please login to view.
      The post
      link hidden, please login to view appeared first on link hidden, please login to view.
      link hidden, please login to view
    • By Counterman
      Advance Auto Parts has announced a $25,000 donation to Breathitt County Area Technology Center, a technical school in Jackson, Kentucky, that serves approximately 400 local students in grades 8-12.
      The donated funds will assist with rebuilding efforts of the school’s automotive technology program following the devastating flooding that impacted Eastern Kentucky over the summer.
      On Wednesday, Sept. 21, team members from Advance presented the donation to Breathitt County Area Technology Center principal Joseph Mayabb and auto tech instructor Darryl Cole at Hazard Community and Technical College, Lees College Campus, in Jackson.
      Breathitt County Area Technology Center will hold classes and all operations at Hazard Community and Technical College for the foreseeable future.
      “Our friends, neighbors and communities in Kentucky are still hurting,” said Advance district manager and Kentucky resident Matt Belcher. “During this difficult time, our local team is humbled and grateful to help Breathitt’s auto tech program and their students with this donation. We admire Breathitt’s educators and staff for the work they do in training future auto technicians. Together, we can work toward rebuilding communities across Eastern Kentucky.”
      Breathitt County Area Technology Center experienced significant damage throughout its campus. Flood waters reached more than 5 feet in some places, destroying most of the automotive training tools and other essential items in the building. Advance’s donation will help replace equipment used by auto tech instructors and students.  
      “This has been a very difficult time for everyone in our community,” said Breathitt County Area Technology Center’s principal, Joseph Mayabb. “Although we are down, we are not out. With an incredible staff of instructors who are taking care of these students and their needs, and generous partners and businesses such as Advance Auto Parts, we will continue to educate our students and position them for growth and success.”
      Breathitt County Area Technology Center offers five career pathways for students: auto tech, business, carpentry, electricity and health sciences. Students enrolling in the auto tech program learn to diagnose, repair and maintain all types of vehicles and vehicle functions, such as brake and electrical systems; engines and transmissions; suspension; steering; and heating and cooling systems.
      The post
      link hidden, please login to view appeared first on link hidden, please login to view.
      link hidden, please login to view

    • DIY like a pro! Shop from over 1,000,000 Repair Manuals at eManualOnline.com! As low as $14.99 per manual. Shop now.


      DIY like a pro! Shop from over 1,000,000 Repair Manuals at eManualOnline.com! As low as $14.99 per manual. Shop now.


      DIY like a pro! Shop from over 1,000,000 Repair Manuals at eManualOnline.com! As low as $14.99 per manual. Shop now.

    • By AutoZone
      MEMPHIS, Tenn. , Sept. 19, 2022 (GLOBE NEWSWIRE) -- AutoZone, Inc. (NYSE: AZO) today reported net sales of $5.3 billion for its fourth quarter (16 weeks) ended August 27, 2022 , an increase of 8.9% from the fourth quarter of fiscal 2021 (16 weeks). Domestic same store sales, or sales for stores
      link hidden, please login to view
×
  • Create New...