Join        Login             Stock Quote

AutoZone (AZO) 2Q Earnings Rise 6 Pct On Sales, Margins Upside

 February 26, 2013 07:29 AM

(By Balachander) AutoZone Inc. (NYSE: AZO), a retailer of automotive replacement parts, posted a 5.6 percent increase in quarterly earnings, helped by sales growth and improvement in margins. Bottom-line beat market expectations, while sales were slightly short of consensus.

Earnings were $176.2 million or $4.78 per share for the second quarter, up from $166.9 million or $4.15 per share in the year-ago quarter. Wall Street analysts, on average, expected earnings of $4.76 per share.

Net sales rose 2.8 percent to $1.85 billion, while consensus estimates called in for a growth of 4.20 percent. Sales for stores open at least one year fell 1.8 percent for the three months ended Feb. 9.

[Related -Autozone, Inc.(NYSE:AZO) Q1 Earnings Preview: What To Expect?]

AutoZone said total domestic auto parts same store sales for the last two weeks decreased by 8 percent.

"Our belief is the approximate two week delay in processing of income tax returns this year was the key contributor to this decline in sales.," commented CEO Bill Rhodes. "Our expectation is sales in the upcoming quarter should recover to more normalized sales volumes."

Gross margin improved to 51.9 percent from 51.3 percent.

Inventory rose 7.0 percent, helped by higher store count and continued strategic investments in hard parts assortment, the company noted.

As of Feb. 9, 2013, the Memphis, Tennessee-based company had 4,735 stores in 49 states, the District of Columbia and Puerto Rico in the U.S. and 334 stores in Mexico for a total store count of 5,070.

[Related -Motorcar Parts of America, Inc. (MPAA): This Underrated Play In Auto Parts Offers 50% Upside]

AZO ended Monday's regular trading at $378.54. The stock has been trading in the 52-week range between $341.98 and $399.10.



Post Comment -- Login is required to post message
Alert for new comments:
Your email:
Your Website:

rss feed

Latest Stories

article imageWorld Growth: Mediocre or Pathetic?

The recent disappointing performance of the world economy has been labelled as the "new mediocre" by read on...

article imageSurvey Data For US Services Sector Hint At Mild Q2 Rebound

Yesterday’s discouraging numbers on job growth in April via the ADP Employment Report raise doubts about a read on...

article imageADP: US Job Growth Stumbled In April

Employment growth at US companies slowed in April to the weakest gain in three years, according to this read on...

article imageBogle Says Indexing Destined To Win The Battle Of The Quants

Vanguard founder John Bogle gave a powerful speech last month at the Q Group’s Spring Seminar that lays out read on...

Popular Articles

Daily Sector Scan
Partner Center

Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.