Advance Auto Parts profit, sales rise as coronavirus stimulus checks fuel spending
Company says it saw growth in its do-it-yourself omnichannel segment
Advance Auto Parts Inc. said its profit and sales for the second quarter rose as it benefited from the spending spurred by unemployment benefits and Covid-19 government stimulus checks.
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The automotive-parts retailer on Tuesday posted net income of $190 million, or $2.74 a share, compared with $124.8 million, or $1.73 a share, in the year-ago period.
Adjusted earnings were $2.92 a share, above the $1.98 a share analysts polled by FactSet had expected.
October 14, 2012: An Advance Auto Parts location in Laramie, Wyoming. Founded in 1932, Advance Auto Parts is a chain of automotive parts stores with over 3,500 locations.
Sales rose 7.3% to $2.5 billion. Analysts had been looking for $2.38 billion.
Same-store sales rose 7.5%. Analysts had been anticipating a 2.7% growth.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AAP | ADVANCE AUTO PARTS INC. | 73.23 | -3.25 | -4.26% |
For the first five weeks of the third quarter, the company said it saw growth in its do-it-yourself omnichannel segment, which includes retail and online sales, and positive comparable store sales in its professional segment.
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The company withdrew its financial outlook in April due to the uncertainty surrounding the pandemic.