Core Insights - Advance Auto Parts reported a fiscal first-quarter 2025 net sales of $2.6 billion, a 7% decrease year-over-year, while reaffirming full-year guidance for comp sales growth of 0.5% to 1.5% [1][9] Group 1: Store Optimization and Expansion - The company completed a store footprint optimization program, concentrating approximately 75% of its stores in markets where it ranks No. 1 or No. 2 in store density, supporting plans for over 100 new stores in the next three years [2][3] - This strategic shift is expected to enhance resource efficiency and support future same-store sales growth [3] Group 2: Supply Chain and Merchandising Improvements - The introduction of a new assortment framework led to a 200-basis point improvement in store availability, with plans to cover the 50 largest markets by the end of fiscal 2025, accelerating the timeline from fiscal 2026 [4][5] - Supply chain consolidation is set to reduce distribution centers from 38 to 12 by the end of 2026, which is expected to uplift comparable sales in serviced regions by 100 basis points [4] Group 3: Pro Channel Performance - The pro business segment experienced low single-digit percentage growth, outperforming the declining DIY channel, with 8 consecutive weeks of positive comp sales [6][7] - Improvements in delivery times and transaction metrics in the pro channel are aimed at capturing greater wallet share from large-scale installer accounts [6] Group 4: Financial Guidance and Outlook - Management reaffirmed fiscal-year guidance projecting net sales between $8.4 billion and $8.6 billion, with an adjusted operating income margin of 2% to 3% [9] - Comparable sales are expected to grow by 50 to 150 basis points, primarily driven by the pro channel, while DIY sales are anticipated to remain soft due to inflationary pressures [9]