Business
Advance Auto Parts Reports First Quarter 2026 Results; Reaffirms Full Year 2026 Guidance
Advance Auto Parts Reports First Quarter 2026 Results; Reaffirms Full Year 2026
About this update from Advance Auto Parts Inc.
[{"type":"text","content":"\nAdvance Auto Parts, Inc. (NYSE: AAP), a leading automotive aftermarket parts provider in North America, that serves both professional installer and do-it-yourself customers, announced its financial results for the first quarter ended April 25, 2026.\n\n\n\"2026 is off to a solid start and we remain on track to execute our strategic priorities for the year,” said Shane O'Kelly, president and chief executive officer. \"During the quarter, comparable sales grew by 3.5% including mid-single-digit growth in Pro and low-single-digit growth in DIY. These results were driven by a sequential improvement in transactions reflecting the unwavering focus of our team to deliver strong customer service. I thank the Advance team for their hard work in the quarter and their commitment to strong operational execution, which is driving stronger asset productivity and margin expansion.\"\n\n\nFirst Quarter 2026 Results (1)\nFirst quarter 2026 net sales totaled $2.6 billion, compared with $2.6 billion in the first quarter of the prior year. First quarter 2025 net sales included approximately $51 million related to sales at stores closed during Q1'25 as a result of our optimization program associated with our 2024 Restructuring Plan. Comparable store sales for the first quarter 2026 increased 3.5%.\n\n\nThe Company's first quarter 2026 gross profit was $1.2 billion, or 45.1% of net sales compared with $1.1 billion, or 42.9% in the first quarter of 2025. Adjusted gross profit was $1.2 billion, or 45.1% of net sales compared with $1.1 billion, or 42.9% in the first quarter of 2025. The increase in gross profit as a percentage of net sales compared to the first quarter of 2025, was primarily driven by expansion in product margin supported by our merchandising initiatives and cycling of approximately 90 basis points of atypical margin headwind related to the store optimization program associated with our 2024 Restructuring Plan, that was completed in the first quarter of 2025.\n\n\nThe Company's first quarter 2026 selling, general and administrative (SG&A) expenses were $1.1 billion, or 42.5% of net sales compared with $1.2 billion, or 48.0% of net sales in the first quarter of 2025. Adjusted SG&A expenses were $1.1 billion, or 41.3% of net sales in the first quarter of 2026 compared with $1.1 billion, or 43.2% of net sales in the first quarter...