AutoZone (NYSE:AZO) reported its fourth-quarter earnings, falling short of analyst expectations and leading to a more than 2% drop in its stock intra-day today.
The auto parts retailer posted adjusted earnings per share of $48.11 for the quarter, missing the Street estimate of $53.61. Revenue for the quarter reached $6.2 billion, slightly below the expected $6.23 billion, though it marked a 9.0% year-over-year increase.
Same-store sales for the quarter grew by 0.7% over a 16-week period, with domestic same-store sales edging up just 0.2%. AutoZone pointed to ongoing challenges in its discretionary merchandise categories, which have faced deferrals, as a key factor affecting performance. Phil Daniele, AutoZone’s President and CEO, acknowledged the headwinds but noted that the company’s Commercial sales showed improving momentum.
For the full fiscal year 2024, AutoZone reported $18.5 billion in sales, up 5.9% from the prior year. Earnings per share grew by 13.0%, reaching $149.55.