Valvoline (VVV) came out with quarterly earnings of $0.34 per share, missing the Zacks Consensus Estimate of $0.36 per share. This compares to earnings of $0.37 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -5.56%. A quarter ago, it was expected that this automotive and industrial lubricants maker would post earnings of $0.31 per share when it actually produced earnings of $0.32, delivering a surprise of 3.23%.Over the last ...

Exhibit 99.1 PRESS RELEASE Valvoline Inc. Reports Second Quarter Results Delivers sales of $403 million, 5.8% system-wide SSS growth; Announces new CFO LEXINGTON, Ky., May 8, 2025 – Valvoline Inc. (NYSE: VVV), the quick, easy, trusted leader in preventive automotive maintenance, today reported financial results for its second quarter ended March 31, 2025. All comparisons in this press release are made to the same prior-year period unless otherwise noted. "For the second quarter, the business performed in li ...

Delivers sales of $403 million, 5.8% system-wide SSS growth; Announces new CFOLEXINGTON, Ky., May 8, 2025 /PRNewswire/ -- Valvoline Inc. (NYSE: VVV), the quick, easy, trusted leader in preventive automotive maintenance, today reported financial results for its second quarter ended March 31, 2025. All comparisons in this press release are made to the same prior-year period unless otherwise noted."For the second quarter, the business performed in line with our expectations and we are encouraged by the resilie ...

Valvoline Inc. announces that Kevin Willis will become the Company's next Chief Financial Officer (CFO), effective May 19, 2025 Current CFO, Mary Meixelsperger, whose planned retirement was announced October 2024, will remain with the company through a transition periodLEXINGTON, Ky., May 8, 2025 /PRNewswire/ -- Valvoline Inc. (NYSE: VVV), the quick, easy, trusted leader in preventive automotive maintenance, today announced that Kevin Willis will succeed Mary Meixelsperger as Valvoline Inc.'s Chief Financi ...

LEXINGTON, Ky., April 22, 2025 /PRNewswire/ -- Valvoline Inc. (NYSE: VVV), the quick, easy, trusted leader in preventive automotive maintenance, today announced that it plans to report financial results for its fiscal second quarter on May 8, 2025. A live audio webcast with analysts and investors will also be held on May 8, 2025 at 9 a.m. ET. The webcast and slide presentation will be available on the company's Investor Relations website at http://investors.valvoline.com. Shortly after the call concludes, a ...

Core Points - Valvoline Inc. announced that it and Greenbriar Equity Group received a Second Request from the U.S. Federal Trade Commission regarding the acquisition of Breeze Autocare [1] - The Second Request extends the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act until 30 days after compliance with the requests [2] - The acquisition's completion is contingent on the expiration of the waiting period and other customary closing conditions, with expectations to close in the second half of fiscal 2025 [3] Company Overview - Valvoline Inc. operates over 2,000 service centers in the U.S. and Canada, providing more than 28 million services annually, including oil changes and maintenance services [4]

Core Viewpoint - Valvoline Inc. has signed a definitive agreement to acquire Breeze Autocare for approximately $625 million in cash, aiming to enhance its network and growth potential in the preventive automotive maintenance sector [1][7]. Company Overview - Valvoline Inc. operates over 2,000 service centers across the U.S. and Canada, providing quick automotive maintenance services [12]. - Breeze Autocare operates nearly 200 stores primarily under the Oil Changers brand across 17 states, generating $200 million in net sales for its most recent fiscal year [2][7]. Strategic Benefits - The acquisition will increase Valvoline's store count to over 2,200 locations, supporting its goal of expanding to more than 3,500 stores [3]. - The transaction is expected to deliver top-line sales and profit growth, enhancing Valvoline's already strong cash flow profile [8]. - The purchase price represents a multiple of 10.7 times Breeze Autocare's adjusted EBITDA, indicating a strategic investment [7][8]. Operational Integration - Breeze Autocare stores will initially continue to operate under their current branding while Valvoline develops a long-term integration plan [3]. - The acquisition is anticipated to leverage scale advantages, including retail-specific technology investments and fleet sales expansion [8]. Financial Aspects - The transaction is expected to close in fiscal Q3 2025, subject to customary closing conditions and regulatory approvals [9]. - Valvoline plans to fund the acquisition with a newly issued Term Loan B and will pause its share repurchase activity [9].

Financial Data and Key Metrics Changes - System-wide store sales grew 14% to $820 million, with same-store sales growth of 8% for the quarter [8] - Net sales increased 11% to $414 million, and adjusted EBITDA rose 14% to $103 million [8][21] - Adjusted net income increased 9% to $42 million, with adjusted EPS up 10% to $0.32 per share [27][29] Business Line Data and Key Metrics Changes - Non-oil change revenue was a significant contributor to ticket growth, with continued focus on improving service presentation [14][23] - The company added 35 net new stores during the quarter and completed refranchising of 39 stores in Central and West Texas [9][20] Market Data and Key Metrics Changes - System-wide same-store sales grew 8%, with company stores up 8.2% and franchise stores up 7.8% [22] - Transaction growth contributed nearly 50% of the same-store sales comp, indicating a balanced contribution from ticket and transaction growth [23] Company Strategy and Development Direction - The company remains focused on three strategic priorities: driving full potential in existing business, accelerating network growth, and targeting customer and service expansion [10] - The company aims to develop a robust pipeline for new store openings, targeting a network of over 3,500 stores [16][19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving new store growth goals and delivering strong growth in fiscal year 2025 [34] - The company anticipates some deceleration in same-store sales comp due to lapping previous pricing and non-oil change initiatives [24][40] Other Important Information - The company was recognized as the leading automotive services retailer and ranked 24th on the Entrepreneur Franchise 500 list for 2025 [19] - Cash flows from operating activities were $41 million, with free cash flow improving to negative $12 million [30] Q&A Session Summary Question: Same-store sales outlook for Q2 - Management noted good momentum at the beginning of the quarter but expected some deceleration due to lapping previous initiatives and the impact of Leap Day [40][41] Question: Clarification on "substantially in line" with expectations - Management clarified that while performance was generally in line, there were slight variations above and below expectations [51][54] Question: Update on investment outlay for new units - Management discussed efforts to reduce build-out costs by redesigning prototypes and value-engineering equipment, targeting a 10% to 20% reduction [59][63] Question: Impact of transaction performance on future guidance - Management indicated strong transaction growth driven by an expanding customer base, with no significant competitive changes impacting performance [78][79] Question: Waste oil pricing and its impact on margins - Management expects minimal impact from waste oil recoveries, with any reductions offset by lower product costs [130][132] Question: Seasonality of non-oil change business - Management highlighted that while some services are seasonal, most non-oil change revenue is driven by vehicle mileage rather than seasonality [138] Question: Franchise unit growth targets - Management confirmed strong engagement from franchise partners and confidence in achieving long-term growth targets [125][124]

Financial Performance - Net revenues for the three months ended December 31, 2024, increased to $414.3 million, up 10.4% from $373.4 million in the same period of 2023[9] - Gross profit rose to $152.9 million, representing a 13.4% increase compared to $134.8 million in the prior year[9] - Operating income significantly improved to $143.8 million, up 128.5% from $62.8 million in the previous year[9] - Net income for the quarter was $91.6 million, a substantial increase of 187.5% from $31.9 million in the same quarter of 2023[9] - Basic earnings per share increased to $0.71, compared to $0.24 in the prior year, reflecting a growth of 195.8%[9] - Comprehensive income for the quarter was $84.7 million, compared to $36.1 million in the same quarter of 2023[9] - Income from continuing operations grew 177% to $93.9 million, with diluted earnings per share increasing 181% to $0.73[52] - Adjusted EBITDA rose by 14% over the prior year period, driven by strong top-line growth and operational efficiencies[52] - Gross profit margin improved to 36.9% in Q1 2025 from 36.1% in Q1 2024[62] Cash Flow and Capital Management - Cash flows from operating activities totaled $41.2 million, up from $19.9 million in the same period last year[13] - The company repurchased $45.7 million of common stock during the quarter, compared to $171.7 million in the same period of the previous year[13] - Total cash, cash equivalents, and restricted cash decreased to $60.4 million as of December 31, 2024, from $420.7 million a year earlier[41] - Cash provided by operating activities was $41.4 million, an increase of $19.5 million from the prior year[79] - Free cash flow from continuing operations was $(12.2) million, reflecting higher capital expenditures for new store construction[84] - The company repurchased 0.6 million shares for $20.5 million, leaving $325.0 million remaining under the share repurchase authorization[45] - During the three months ended December 31, 2024, the Company repurchased 1.0 million shares of its common stock for $39.3 million, leaving $345.5 million available for repurchase as of December 31, 2024[86] - The share repurchase authorization is part of a broader capital allocation framework aimed at delivering value to shareholders through profitable growth and returning excess capital[88] Assets and Liabilities - Total current assets decreased to $212.7 million from $255.4 million as of September 30, 2024[11] - Total assets decreased to $2,349.8 million from $2,438.7 million as of September 30, 2024[11] - Total debt as of December 31, 2024, was $1,033.1 million, down from $1,093.8 million as of September 30, 2024[31] - Valvoline's total assets at fair value amounted to $27.2 million as of December 31, 2024, with $23.5 million classified as Level 1 inputs[26] - Valvoline's total liabilities at fair value were $22.8 million as of December 31, 2024, with deferred compensation obligations accounting for the entire amount[26] - As of December 31, 2024, Valvoline had cash and cash equivalents of $60.0 million, total debt of $1,033.1 million, and total remaining borrowing capacity of $401.5 million[89] Tax and Other Income - The effective tax rate for the three months ended December 31, 2024, was 26.2%, slightly up from 26.0% in the prior year, primarily due to an increase in pre-tax income[35] - Other income increased by $71.5 million, primarily due to a $73.9 million gain on the sale of operations related to a refranchising transaction[71] Operational Highlights - System-wide same-store sales (SSS) growth was 8.0%, contributing to the overall revenue increase[52] - Same-store sales growth for company-operated stores was 8.2%, while system-wide same-store sales growth was 8.0%[63] - System-wide store sales increased to $820.3 million for the three months ended December 31, 2024, representing a year-over-year growth of 13.5%[63] - Valvoline operates and franchises over 2,000 service center locations, with a focus on expanding its retail footprint[50] - The company plans to target customer and service expansion, particularly in the fleet business and non-oil change services[52] Internal Controls and Risk Management - A material weakness in internal control over financial reporting was identified due to the implementation of a new ERP system, which is being addressed through various remedial measures[99] - Management has established a plan to stabilize the ERP and enhance access controls, with completion expected during fiscal 2025[103] - There were no material changes to the Company's risk factors during the period covered by this report[108] - Management reassessed critical accounting estimates and determined there were no changes in the three months ended December 31, 2024[92] - The Company continues to generate positive cash flows from operations, which are dependent on general economic conditions and competitive environment[89] - Management believes the Company has sufficient liquidity to meet its cash and operating requirements for the next twelve months[90]

First Quarter Fiscal 2025 Earnings Lori Flees, CEO & President Mary Meixelsperger, CFO Elizabeth Clevinger, Investor Relations 02.06.2025 SAFE HARBOR Forward-Looking Statements Certain statements herein, other than statements of historical fact, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may include, without limitation, executing on the growth strategy to create shareholder value by driving the full potential in ...