AutoZone 3rd Quarter Total Company Same Store Sales Increase 3.9%; Domestic Same Store Sales Increase 4.1%; EPS of $38.07 | AutoZone, Inc

MEMPHIS, Tenn. , May 26, 2026 (GLOBE NEWSWIRE) -- AutoZone, Inc. (NYSE: AZO) today reported net sales of $4.8 billion for its third quarter (12 weeks) ended May 9, 2026 , an increase of 8.4% from the third quarter of fiscal 2025 (12 weeks). Same store sales, or sales for our domestic and international stores open at least one year, are as follows:                       Constant Currency       Constant Currency   12 Weeks   12 Weeks*   36 Weeks   36 Weeks*                 Domestic 4.1 %   4.1 %   4.2 %   4.2 % International 16.6 %   1.6 %   15.0 %   2.6 % Total Company 5.5 %   3.9 %   5.4 %   4.0 % * Excludes impacts from fluctuations of foreign exchange rates.           For the quarter, gross profit, as a percentage of sales, was 52.2%, a decrease of 57 basis points versus the prior year. The decrease in gross margin was driven by a 77 basis point net non-cash LIFO impact partially offset by other gross margin improvements. Operating expenses, as a percentage of sales, were 33.1% versus last year at 33.3% with leverage driven by strong top line sales growth and expense management. Operating profit increased 6.6% to $923.8 million . Net income for the quarter was $641.5 million compared to $608.4 million in the same period last year, while diluted earnings per share were $38.07 compared to last year at $35.36 . Under its share repurchase program, AutoZone repurchased 164 thousand shares of its common stock at an average price per share of $3,582 , for a total investment of $586.3 million . At the end of the third quarter, the Company had $0.8 billion remaining under its current share repurchase authorization. The Company’s inventory increased 10.8% over the same period last year, driven primarily by growth initiatives and inflation. Net inventory, defined as merchandise inventories less accounts payable, on a per store basis, was negative $107 thousand versus negative $142 thousand last year and negative $105 thousand last quarter. “I want to thank our AutoZoners across the globe for delivering on our promise of “WOW” customer service and strong financial results this past quarter. Along with strong domestic sales results, we managed our expenses well and returned to an operating margin north of 19% for the quarter. We continue to execute well on our growth strategies behind strong execution. Domestically, both DIY and Commercial sales grew impressively this past quarter, while our international sales, in constant currency, continued to be challenged as both Mexico and Brazil performed similarly to last quarter. While international performance has been below our plan, we believe our market share continues to grow as we outpace our competition in both international marketplaces.  We were also pleased to have opened 82 new stores globally in the quarter, in line with our current expectations to open approximately 355-365 stores for the full fiscal year. As we remain focused on gaining market share in our industry, we will stay committed to a disciplined approach of increasing earnings and cash flows to drive shareholder value,” said Phil Daniele , President and Chief Executive Officer. During the quarter ended May 9, 2026 , AutoZone opened 57 new stores in the U.S. , 20 in Mexico and five in Brazil for a total of 82 new stores. As of May 9, 2026 , the Company had 6,766 stores in the U.S. , 933 in Mexico and 157 in Brazil for a total store count of 7,856. AutoZone is a leading retailer and distributor of automotive replacement parts and accessories in the Americas . Each store carries an extensive product line for cars, sport utility vehicles, vans and light duty trucks, including new and remanufactured automotive hard parts, maintenance items, accessories, and non-automotive products. The majority of stores have a commercial sales program that provides prompt delivery of parts and other products and commercial credit to local, regional and national repair garages, dealers, service stations, fleet owners and other accounts. AutoZone also sells automotive hard parts, maintenance items, accessories and non-automotive products through www.autozone.com , and our commercial customers can make purchases through www.autozonepro.com . Additionally, we sell the ALLDATA brand of automotive diagnostic, repair, collision and shop management software through www.alldata.com . We also provide product information on our Duralast branded products through www.duralastparts.com . AutoZone does not derive revenue from automotive repair or installation services. AutoZone will host a conference call this morning, Tuesday, May 26, 2026 , beginning at 10:00 a.m. (ET) to discuss its third quarter results. This call is being webcast and can be accessed, along with supporting slides, at AutoZone’s website at www.autozone.com by clicking on Investor Relations. Investors may also listen to the call by dialing (888) 506-0062, passcode AUTOZONE. In addition, a telephone replay will be available by dialing (877) 481-4010, replay passcode 53849 through June 23, 2026 . This release includes certain financial information not derived in accordance with generally accepted accounting principles (“GAAP”). These non-GAAP measures include adjustments to reflect return on invested capital, adjusted debt and adjusted debt to earnings before interest, taxes, depreciation, amortization, rent and share-based expense (“EBITDAR”). The Company believes that the presentation of these non-GAAP measures provides information that is useful to investors as it indicates more clearly the Company’s comparative year-to-year operating results, but this information should not be considered a substitute for any measures derived in accordance with GAAP. Management targets the Company’s capital structure in order to maintain its investment grade credit ratings. The Company believes this is important information for the management of its debt levels and share repurchases. We have included a reconciliation of this additional information to the most comparable GAAP measures in the accompanying reconciliation tables. Certain statements herein constitute forward-looking statements that are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements typically use words such as “believe,” “anticipate,” “should,” “intend,” “plan,” “will,” “expect,” “estimate,” “project,” “positioned,” “strategy,” “seek,” “may,” “could” and similar expressions. These statements are based on assumptions and assessments made by our management in light of experience, historical trends, current conditions, expected future developments and other factors that we believe appropriate. These forward-looking statements are subject to a number of risks and uncertainties, including without limitation: product demand, due to changes in fuel prices, miles driven or otherwise; energy prices; weather, including extreme temperatures and natural disasters; competition; credit market conditions; cash flows; access to financing on favorable terms; future stock repurchases; the impact of recessionary conditions; consumer debt levels; changes in laws or regulations; risks associated with self-insurance; war and the prospect of war, including terrorist activity; public health issues; inflation, including wage inflation; exchange rates; the ability to hire, train and retain qualified employees, including members of management; construction delays; failure or interruption of our information technology systems; issues relating to the confidentiality, integrity or availability of information, including due to cyber-attacks; historic sales and profit growth rate sustainability; downgrade of our credit ratings; damage to our reputation; challenges associated with doing business in and expanding into international markets; origin and raw material costs of suppliers; inventory availability; disruption in our supply chain; tariffs, trade policies and other geopolitical factors; new accounting standards; our ability to execute our growth initiatives; and other business interruptions. These and other risks and uncertainties are discussed in more detail in the “Risk Factors” section contained in Item 1A under Part 1 of our Annual Report on Form 10-K for the year ended August 30, 2025 . Forward-looking statements are not guarantees of future performance and actual results may differ materially from those contemplated by such forward-looking statements. Events described above and in the “Risk Factors” section could materially and adversely affect our business. However, it is not possible to identify or predict all such risks and other factors that could affect these forward-looking statements. Forward-looking statements speak only as of the date made. Except as required by applicable law, we undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Contact Information: Financial: Brian Campbell at (901) 495-7005, brian.campbell@autozone.com Media: Jennifer Hughes at (901) 495-6022, jennifer.hughes@autozone.com       AutoZone's 3rd Quarter Highlights - Fiscal 2026                       Condensed Consolidated Statements of Operations         3rd Quarter, FY2026             (in thousands, except per share data)                     GAAP Results             12 Weeks Ended   12 Weeks Ended             May 9, 2026   May 10, 2025                       Net sales   $ 4,840,950     $ 4,464,339       Cost of sales     2,316,376       2,110,816       Gross profit     2,524,574       2,353,523       Operating, SG&A expenses     1,600,818       1,487,349       Operating profit (EBIT)     923,756       866,174       Interest expense, net     110,490       111,285       Income before taxes     813,266       754,889       Income tax expense     171,775       146,449       Net income   $ 641,491     $ 608,440       Net income per share:               Basic   $ 38.95     $ 36.33         Diluted   $ 38.07     $ 35.36       Weighted average shares outstanding:               Basic     16,468       16,746         Diluted     16,852       17,207                                                             Year-To-Date 3rd Quarter, FY2026             (in thousands, except per share data)                     GAAP Results             36 Weeks Ended   36 Weeks Ended             May 9, 2026   May 10, 2025                       Net sales   $ 13,743,677     $ 12,695,991       Cost of sales     6,616,431       5,946,010       Gross profit     7,127,246       6,749,981       Operating, SG&A expenses     4,720,865       4,335,891       Operating profit (EBIT)     2,406,381       2,414,090       Interest expense, net     323,929       327,736       Income before taxes     2,082,452       2,086,354       Income tax expense     441,278       425,057       Net income   $ 1,641,174     $ 1,661,297       Net income per share:               Basic   $ 99.08     $ 98.80         Diluted   $ 96.69     $ 96.17       Weighted average shares outstanding:               Basic     16,564       16,815         Diluted     16,974       17,274                                                             Selected Balance Sheet Information             (in thousands)                     May 9, 2026   May 10, 2025   August 30, 2025                   Cash and cash equivalents   $ 253,729     $ 268,625     $ 271,803   Merchandise inventories     7,559,056       6,822,881       7,025,688   Current assets     8,934,569       7,985,711       8,341,379   Property and equipment, net     7,796,988       6,727,218       7,062,509   Operating lease right-of-use assets     3,413,970       3,145,590       3,194,666   Total assets     20,916,463       18,621,983       19,355,324   Accounts payable     8,401,277       7,887,417       8,025,590   Current liabilities     10,035,313       9,465,535       9,519,397   Operating lease liabilities, less current portion     3,278,354       3,020,664       3,093,936   Total Debt     9,016,477       8,853,110       8,799,775   Stockholders' deficit     (2,784,552 )     (3,974,405 )     (3,414,313 ) Working capital     (1,100,744 )     (1,479,824 )     (1,178,018 )                   AutoZone's 3rd Quarter Highlights - Fiscal 2026                                       Condensed Consolidated Statements of Operations                                           Adjusted Debt / EBITDAR                   (in thousands, except adjusted debt to EBITDAR ratio)                             Trailing 4 Quarters                     May 9, 2026   May 10, 2025           Net income   $ 2,478,124     $ 2,563,505             Add: Interest expense     472,017       480,888             Income tax expense       652,306       666,378             EBIT         3,602,447       3,710,771                                       Add: Depreciation and amortization     661,538       591,126             Rent expense (1)       486,779       465,339             Share-based expense       136,774       120,516             EBITDAR     $ 4,887,538     $ 4,887,752                                       Debt       $ 9,016,477     $ 8,853,110             Financing lease liabilities     455,363       407,487             Add: Rent x 6 (1)     2,920,674       2,792,034             Adjusted debt   $ 12,392,514     $ 12,052,631                                       Adjusted debt to EBITDAR     2.5       2.5                                       Adjusted Return on Invested Capital (ROIC)                   (in thousands, except ROIC)                             Trailing 4 Quarters                     May 9, 2026   May 10, 2025           Net income   $ 2,478,124     $ 2,563,505             Adjustments:                   Interest expense       472,017       480,888             Rent expense (1)       486,779       465,339             Tax effect (2)       (199,430 )     (194,922 )           Adjusted after-tax return   $ 3,237,490     $ 3,314,810                                       Average debt (3)   $ 8,839,905     $ 8,987,683             Average stockholders' deficit (3)     (3,262,129 )     (4,538,590 )           Add: Rent x 6 (1)     2,920,674       2,792,034             Average financing lease liabilities (3)     413,733       385,328             Invested capital   $ 8,912,183     $ 7,626,455                                       Adjusted After-Tax ROIC     36.3 %     43.5 %                                     (1) The table below outlines the calculation of rent expense and reconciles rent expense to total lease cost, per ASC 842, the most directly comparable GAAP financial measure, for the trailing four quarters ended May 9, 2026 , and May 10, 2025 .                                                         Trailing 4 Quarters           (in thousands)     May 9, 2026   May 10, 2025           Total lease cost, per ASC 842   $ 657,326     $ 625,740             Less: Financing lease interest and amortization     (124,052 )     (117,287 )           Less: Variable operating lease components, related to insurance and common area maintenance     (46,495 )     (43,114 )                         Rent expense   $ 486,779     $ 465,339                                       (2) Effective tax rate over the trailing four quarters ended May 9, 2026 , and May 10, 2025 , was 20.8 % and 20.6%, respectively.           (3) All averages are computed based on trailing five quarter balances.                                     Other Selected Financial Information                   (in thousands)                             May 9, 2026   May 10, 2025           Cumulative share repurchases ($ since fiscal 1998)   $ 39,845,837     $ 38,070,948             Remaining share repurchase authorization ($)     804,163       1,079,052                                       Cumulative share repurchases (shares since fiscal 1998)     155,985       155,512                                       Shares outstanding, end of quarter     16,369       16,724                                                 12 Weeks Ended   12 Weeks Ended   36 Weeks Ended   36 Weeks Ended             May 9, 2026   May 10, 2025   May 9, 2026   May 10, 2025                             Depreciation and amortization   $ 160,292     $ 144,696     $ 464,126   $ 415,787                             Cash flow from operations     847,387       769,030       2,164,987     2,164,582                             Capital spending     391,681       345,886       1,043,658     885,623                             AutoZone's 3rd Quarter Highlights - Fiscal 2026             Condensed Consolidated Statements of Operations                   Selected Operating Highlights                                                     Store Count & Square Footage                                                               12 Weeks Ended     12 Weeks Ended     36 Weeks Ended     36 Weeks Ended           May 9, 2026     May 10, 2025     May 9, 2026     May 10, 2025 Domestic:                         Beginning stores       6,709         6,483         6,627         6,432   Stores opened       57         54         139         105   Stores closed       -         -         -         -   Ending domestic stores       6,766         6,537         6,766         6,537                                 Relocated stores       1         2         8         5                                 Stores with commercial programs       6,356         6,011         6,356         6,011                                 Square footage (in thousands)       45,205         43,459         45,205         43,459                                 Mexico :                           Beginning stores       913         813         883         794   Stores opened       20         25         50         44   Ending Mexico stores       933         838         933         838                                 Brazil :                           Beginning stores       152         136         147         127   Stores opened       5         5         10         14   Ending Brazil stores       157         141         157         141                                 Total         7,856         7,516         7,856         7,516                                 Total Company stores opened, net     82         84         199         163                                 Square footage (in thousands)       53,339         50,761         53,339         50,761   Square footage per store       6,790         6,754         6,790         6,754                                 Sales Statistics                       ($ in thousands, except sales per average square foot)       Total AutoZone Stores (Domestic, Mexico and Brazil ) 12 Weeks Ended     12 Weeks Ended     Trailing 4 Quarters     Trailing 4 Quarters May 9, 2026     May 10, 2025     May 9, 2026     May 10, 2025 (1) Sales per average store     $ 619       $ 586       $ 2,600       $ 2,514   Sales per average square foot     $ 91       $ 87       $ 384       $ 373                                 Domestic Commercial                       Total domestic commercial sales     $ 1,402,740       $ 1,270,332       $ 5,611,393       $ 5,112,930   % Increase vs. LY       10.4%         10.7%         9.7%         8.3%                                 Average sales per program per week     $ 18.5       $ 17.7       $ 17.5       $ 16.3   % Increase vs. LY       4.5%         7.9%         7.4%         1.9%                                 (1) Trailing 4 Quarters ending May 10, 2025 include an additional week of sales of approximately $359.1 million for Total AutoZone Stores with $95.7 million for Domestic Commercial. Sales per average store and sales per square foot benefited from the additional week by $49K , and $7K , respectively.               12 Weeks Ended     12 Weeks Ended     36 Weeks Ended     36 Weeks Ended Same store sales (2)   May 9, 2026     May 10, 2025     May 9, 2026     May 10, 2025 Domestic         4.1%         5.0%         4.2%         2.4%   International       16.6%         (9.2%)         15.0%         (5.7%)   Total Company       5.5%         3.2%         5.4%         1.4%                                 International - Constant Currency       1.6%         8.1%         2.6%         10.4%   Total Company - Constant Currency       3.9%         5.4%         4.0%         3.4%                                 (2) Same store sales are based on sales for all stores open at least one year. Constant Currency same store sales exclude the impact of fluctuations of foreign currency exchange rates by converting both the current year and prior year international results at the prior year foreign currency exchange rate.                                                                         Inventory Statistics (Total Stores)                                 as of     as of                       May 9, 2026     May 10, 2025             Accounts payable/inventory       111.1%         115.6%                                             ($ in thousands)                           Inventory       $ 7,559,056       $ 6,822,881               Inventory per store       962         908               Net inventory (net of payables)       (842,221 )       (1,064,536 )             Net inventory/per store       (107 )       (142 )                                                     Trailing 5 Quarters                       May 9, 2026     May 10, 2025             Inventory turns       1.3   x     1.4   x                                         Source: AutoZone, Inc. — Company newsroom — sourced from AutoZone. Matter furnished by the company. Not a Notice Nearby paid placement. This page reprints matter furnished by the company from its official newsroom. Notice Nearby did not write this release. Read the original: https://investors.autozone.com/news-releases/news-release-details/autozone-3rd-quarter-total-company-same-store-sales-increase-39