Jump to content

  • 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, X, and LinkedIn. 

     

Recommended Posts

Posted

CARSON, Calif., Aug. 10, 2017

link hidden, please login to view
-- U.S. Auto Parts Network, Inc. (NASDAQ: PRTS), one of the largest online providers of aftermarket automotive parts and accessories, reported results for the second quarter ended July 1, 2017. All information and data are from continuing operations, which exclude the AutoMD operating segment unless specifically noted.

Second Quarter 2017 Financial Summary vs. Year-Ago Quarter

  • Net sales increased 3% to $80.2 million compared to $78.0 million.
  • Gross margin was 29.0% compared to 30.4%.
  • Net income was $26.9 million, or $0.67 per diluted share, compared to $1.2 million or $0.03 per diluted share.
  • Adjusted EBITDA (a non-GAAP measure defined below) was $3.8 million compared to $4.0 million.
  • Ended the quarter with no revolver debt.

Second Quarter 2017 Operational Highlights vs. Year-Ago Quarter

  • Total online orders increased by 11% to 954,000 orders.
  • Conversion rate increased 20 basis points to 2.0%.
  • Customer acquisition cost reduced by 7% to $6.99.

Management Commentary

"Our second quarter was highlighted by the return to double-digit growth in our private label business, largely driven by a 37% increase in online marketplace sales," said Aaron Coleman, CEO of U.S. Auto Parts. "Despite lower sales in our e-commerce channel, we still increased overall sales and grew total online orders by 11%, while improving conversion and reducing customer acquisition cost.

"We are continuing to experience a shift in channel mix this year, with our lower-margin online marketplace channel gaining momentum and our e-commerce channel experiencing lower traffic. We are addressing these channel dynamics with various initiatives, including a new e-commerce traffic optimization strategy and prudent cost management across the entire organization, which is further reflected by the 130 basis point reduction of operating expenses.

"Looking ahead to the remainder of 2017, we expect the deployment of these initiatives to help drive improved results as we exit the year. But regardless of the sales channel, we plan to continue capitalizing on industry tailwinds as more and more consumers shop online for auto parts, be it through third-party sites like Amazon and eBay, or our e-commerce sites."

Second Quarter 2017 Financial Results

Net sales in the second quarter of 2017 increased 3% to $80.2 million compared to $78.0 million in the year-ago quarter. The increase was largely driven by a 37% increase in online marketplace sales to $28.3 million, partially offset by a 13% decrease in e-commerce sales.

Gross profit in the second quarter of 2017 was $23.2 million compared to $23.7 million in the year-ago quarter. As a percentage of net sales, gross profit was 29.0% compared to 30.4% in the year ago quarter. The decrease in gross margin was primarily driven by lower-margin channel mix and higher freight costs. The company continues to expect gross margin to range between 29-30% going forward.

Total operating expenses in the second quarter were reduced to $21.7 million compared to $22.1 million in the second quarter of last year. As a percentage of net sales, operating expenses decreased 130 basis points to 27.1% compared to 28.4% in the year ago quarter as a result of lower call center and marketing expenses.

Net income in the second quarter was $26.9 million, or $0.67 per diluted share, compared to $1.2 million or $0.03 per diluted share in the year-ago period. The significant increase was driven by the release of a valuation allowance from the company's cumulative net operating losses, which resulted in a $25.9 million tax credit.

Adjusted EBITDA in the second quarter of 2017 was $3.8 million compared to $4.0 million in the year-ago quarter.

At July 1, 2017, cash and cash equivalents totaled $9.9 million compared to $2.7 million at December 31, 2016. The company also continued to have no revolver debt at July 1, 2017.

Read full press release: 

link hidden, please login to view

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.

  • Similar Topics

    • By Nancy Bitter
      When it comes to maintaining your vehicle, finding reliable and affordable auto parts is essential. JM Used Auto Spare Parts offers a variety of used car parts that can help extend the life of your vehicle without breaking the bank. From engines to transmissions, their inventory includes high-quality parts that have been thoroughly inspected to ensure they meet industry standards.
      Using JM Used Auto Spare Parts can be a game-changer for car owners and mechanics alike, offering savings without compromising on quality. The key to a successful car repair or upgrade lies in finding the right parts, and with <a href=" https://jmusedautospareparts.com/">JM Used Auto Spare Parts</a>, that becomes much easier. They provide a vast selection of components that are compatible with various makes and models.
      Not only does JM Used Auto Spare Parts offer great prices, but their commitment to customer satisfaction ensures that you’ll find the parts you need quickly and easily. With great deals and fast shipping, you’ll be able to complete your repair or upgrade project on time and within budget.
      Whether you're a DIY enthusiast or a professional mechanic, JM Used Auto Spare Parts is the place to go for all your used auto parts needs. Browse through their extensive inventory today and get your vehicle back on the road in no time.
    • By Dorman Products
      Cut the wait and freight on axle repairs with Dorman replacements and related parts
    • By Counterman
      link hidden, please login to view is pleased to announce that Hamilton Discount Auto Parts ( link hidden, please login to view) joined as its newest shareholder. By joining APA, HDAP gains access to a suite of resources, strong supplier connections, and a community of like-minded independent distributors, elevating its ability to serve customers effectively. APA Welcomes New Shareholder HDAP, expanding its network. The Growth of HDAP
      Khaled Abudagga founded HDAP in 2003. He started it as a single-location business in Hamilton, Ontario. Khaled, a former auto shop owner, transitioned into the parts-selling industry. His goal was to provide top-tier products and exceptional service. Over the years, HDAP grew and now operates 16 locations. Customers know the business for its reliability and dedication.
      Why HDAP Joined APA
      “HDAP joined APA because I was looking for a U.S. buying group that would provide more value for its shareholders,” said Khaled. “I saw APA and was impressed that it operated like a family business.”
      Khaled Abudagga Joins the APA Board
      In addition to joining APA, Abudagga now serves on the APA Board of Directors. His extensive experience in the automotive aftermarket adds value to the organization. His commitment to independent distributors strengthens the community.
      APA Welcomes New Shareholder to Strengthen its Mission
      “We are thrilled to welcome HDAP to the
      link hidden, please login to view family,” said Steve Tucker, president of APA. “Their commitment to excellence and customer satisfaction aligns perfectly with our mission, and we look forward to a successful partnership.” The post
      link hidden, please login to view appeared first on link hidden, please login to view.
      link hidden, please login to view
    • By OReilly Auto Parts
      SPRINGFIELD, Mo., April 01, 2025 (GLOBE NEWSWIRE) -- O’Reilly Automotive, Inc. (the “Company” or “O’Reilly”) (Nasdaq: ORLY), a leading retailer in the automotive aftermarket industry, announces the release date for its first quarter 2025 results as Wednesday, April 23, 2025, with a conference call to follow on Thursday, April 24, 2025.

      link hidden, please login to view

×
  • Create New...