Tractor Supply Company · NASDAQ:TSCO
Tractor Supply — Q3 2021 Earnings Presentation
13 slides from Tractor Supply's earnings presentation, Oct 21, 2021
Slide 1: Supplemental Financial Presentation
Supplemental Financial Presentation October 21, 2021
Slide 2: Safe Harbor
SAFE HARBOR The information in this presentation contains certain forward-looking statements. The Company claims the protection of the safe-harbor of the Private Securities Litigation Reform Act of 1995 for such forward-looking statements. These statements discuss, among other things, expectations w
Slide 3: Thank You Team Tractor!
iw-\| THANK YOU TEAM TRACTOR! FOR LIFE OUT HERE
Slide 4: Q3 2021 Performance Highlights
Q3 2021 Performance Strong Sales Growth Net Sales Growth ($ in Billions) HIGHLIGHTS +15.8% $3.02 6th Consecutive Quarter with 10%+ Comparable Store Sales Growth $2.61 Q3 2020 Q3 2021 Average Ticket Up 9.5% Comp Sales Growth Customer Traffic Increased 3.6% +39.9% 2-Year Stack Double-digit E-commerce
Slide 5: Broad-Based Strength in Customer Trends
Broad-Based Strength in Customer Trends New Customers Neighbor’s Club More Customers Shopping Tractor Supply YTD than Ever Before 22M+ Members 5
Slide 6: Q3 2021 Performance: Gross Margin and SG&A
Q3 2021 Performance Gross Margin SG&A Expenses as a % of net sales as a % of net sales -41 bps Decrease +58 bps Improvement 36.4% 36.0% 26.7% 26.1% Q3 2020 Q3 2021 Q3 2020 Q3 2021 Key Drivers Key Drivers • Approximately 100bps Higher than Q3 2019 • Leverage in Occupancy & Other Fixed Costs • Price M
Slide 7: Q3 2021 Performance: Profitability
Q3 2021 Performance Profitability Operating Income Net Income Diluted EPS +17.9% +17.7% +20.4% $297.2 $224.4 $1.95 $252.2 $190.6 $1.62 Q3 2020 Q3 2021 Q3 2020 Q3 2021 Q3 2020 Q3 2021 7
Slide 8: 2021 Guidance
Net Sales ~$12.6 Billion Comparable Store Sales ~+16% Operating Margin Rate 10.2% to 10.3% Net Income $972M to $985M Diluted Earnings Per Share $8.40 to $8.50 Capital Expenditures $550M to $600M Effective Tax Rate 22.1% to 22.3% Share Repurchases $750M to $800M 8
Slide 9: Side Lot
Side Lot 2021 Plan: 150 Complete 9
Slide 10: Project Fusion
Project Fusion 2021 Plan: 15% of Store Base Complete 10
Slide 11: ESG Updates
ESG Updates • Announced New Sustainability and Diversity, Equity and Inclusion Goals • Reduce Emissions by 20% by 2025 and 50% by 2030 • Committed to Net Zero Emissions Across All Operations by 2040 • Established 5-Year Diversity, Equity and Inclusion Goals • Achieved Fourth Consecutive Year of Incl
Slide 12: Life Out Here Strategy
LIFE’ HERE STRATEGY We are committed to being an integral part of our customers’ lives as the dependable supplier of Out Here Lifestyle solutions. Anytime e Anywhere e Anyway TRACTOR SUPPLY C? ~e a Deliver Legendary Customer Experiences Advance Our ONETractor Capabilities Operate the Tractor Way | G
Slide 13: Slide 13
Tractor Supply Company — Q3 2021 Earnings Presentation on 6ix