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Feb 15, 2020
Autozone Q2 2020 Earnings Report
AutoZone's Q2 2020 earnings decreased slightly due to challenging sales, but EPS increased.
Key Takeaways
AutoZone reported a slight increase in net sales, but same store sales decreased. Despite the challenging sales environment, the company delivered solid earnings, with EPS increasing by 7.8%.
Net sales increased by 2.6% to $2.5 billion.
Domestic same store sales decreased by 0.8%.
Diluted earnings per share increased by 7.8% to $12.39.
Gross profit, as a percentage of sales, increased to 54.3%.
Autozone
Autozone
Forward Guidance
AutoZone is optimistic about prospects for the balance of the year, focusing on strategic initiatives.
Positive Outlook
- Great service
- Further penetration of the Commercial market
- Enhanced inventory assortments
- Improved local market expanded parts availability
- Leveraging technology to improve customer interactions and increase efficiency
Challenges Ahead
- Product demand
- Energy prices
- Weather
- Competition
- Credit market conditions