AutoZone Q2 Earnings Beat Expectations, Revenues Rise Y/Y

Core Insights - AutoZone Inc. reported earnings of $27.63 per share for Q2 fiscal 2026, surpassing the Zacks Consensus Estimate of $27.1, but down from $28.29 per share in the same quarter last year [1] - Net sales increased by 8.2% year over year to $4.27 billion, slightly missing the Zacks Consensus Estimate of $4.31 billion [1] Financial Performance - Domestic commercial sales reached $1.15 billion, up from $1.05 billion in the previous year [2] - Domestic same-store sales rose by 3.4% [2] - Gross profit increased to $2.24 billion from $2.13 billion year over year [2] - Operating profit decreased by 1.2% year over year to $698.5 million [2] Store Expansion and Inventory - AutoZone opened 43 new stores in the U.S., 18 in Mexico, and 3 in Brazil, bringing the total store count to 7,774 as of February 14, 2026 [3] - Inventory rose by 13.1% year over year, with net inventory per store at negative $105,000 compared to negative $161,000 a year earlier [3] Cash and Debt Position - As of February 14, 2026, AutoZone had cash and cash equivalents of $285.5 million, an increase from $271.8 million as of August 30, 2025 [4] - Total debt was $8.9 billion, up from $8.79 billion as of August 30, 2025 [4] - The company repurchased 85,000 shares for $310.8 million during the quarter at an average price of $3,666 per share, with $1.4 billion remaining under its share repurchase authorization [4]