AutoZone Q1 Earnings Miss Expectations, Revenues Rise Y/Y

Financial Performance - AutoZone Inc. reported earnings of $32.52 per share for Q1 fiscal 2025, missing the Zacks Consensus Estimate of $33.54 and slightly down from $32.55 per share in the same quarter of fiscal 2024 [1] - Net sales increased by 2.1% year over year to $4.28 billion, but also fell short of the Zacks Consensus Estimate of $4.29 billion [1] - Domestic commercial sales reached $1.13 billion, up from $1.09 billion in the prior year, while domestic same-store sales grew by 0.3% [2] - Gross profit rose to $2.27 billion from $2.21 billion in the previous year, but operating profit decreased by 0.8% year over year to $841 million [2] Store Operations - During the quarter, AutoZone opened 23 new stores in the U.S., six in Mexico, and five in Brazil, bringing the total store count to 7,387 as of Nov. 23, 2024 [3] - The inventory increased by 8.7% year over year, with inventory per store at $849,000 compared to $806,000 a year ago [3] Financial Position and Share Repurchases - As of Nov. 23, 2024, AutoZone had cash and cash equivalents of $304 million, up from $298.2 million as of Aug. 31, 2024, while total debt slightly decreased to $9.01 billion [4] - The company repurchased 160,000 shares for $505.2 million at an average price of $3,156 per share, with $1.7 billion remaining under its current share repurchase authorization [4] Market Position - AutoZone currently holds a Zacks Rank of 4 (Sell), while competitors like Dorman Products, Tesla, and Blue Bird Corporation have a Zacks Rank of 1 (Strong Buy) [5]