Core Insights - Valvoline Inc. reported net revenues of $403 million for Q2 FY2025, reflecting a 4% year-over-year growth, and an 11% increase when adjusted for refranchising impacts [3][8] - The company experienced a system-wide same-store sales (SSS) growth of 5.8% and system-wide store sales growth of 11% to $826 million [3][8] - The company announced the appointment of Kevin Willis as the new Chief Financial Officer, effective May 19, 2025, succeeding Mary Meixelsperger [10] Financial Performance - Operating income for Q2 FY2025 was reported at $66.9 million, a decline of 12% year-over-year [3][8] - Income from continuing operations was $38.3 million, down 12%, with diluted earnings per share (EPS) of $0.30, a decrease of 9% [3][8] - Adjusted EBITDA was $104.4 million, a decline of 1%, but would have increased by 6% when considering refranchising impacts [3][8] Store Operations - The total number of system-wide stores reached 2,078, with net additions of 33 stores during the quarter (18 company-operated and 15 franchised) [3][8] - Company-operated stores totaled 950, while franchised stores numbered 1,128, reflecting increases of 18 and 15 stores respectively [3][8] Cash Flow and Debt - The company reported a cash and cash equivalents balance of $62 million and total debt of $1.1 billion [9] - Year-to-date operating cash flow from continuing operations was $93 million, while free cash flow was negative at ($12) million [9] Strategic Initiatives - Valvoline signed a definitive agreement to acquire Breeze Autocare, aiming to enhance growth and earnings potential, and is currently working to gain regulatory approval for the transaction [2][8] - The company remains on track to achieve its target of adding 160 to 185 new stores in the fiscal year [6]