Advance Auto Parts Reports First Quarter Results.ROANOKE, Va. -- Advance Auto Parts Founded in 1932, Advance Auto Parts (NYSE: AAP), headquartered in Roanoke, Virginia, is the second-largest retailer of automotive replacement parts and accessories in the United States. AAP had 2005 sales of approx. $4. , Inc. (NYSE NYSE See: New York Stock Exchange : AAP AAP - Association of American Publishers ), a leading retailer of automotive aftermarket Aftermarket See: Secondary market. aftermarket See secondary market. parts, accessories, batteries, and maintenance items, today announced its financial results for the fiscal first quarter ended April 21, 2007. Earnings per diluted share for the first quarter were $0.71, compared to $0.68 last year. In the first quarter, sales increased to $1.47 billion from $1.39 billion last year. Comparable-store sales increased 1.1% in the quarter, comprised of a 0.2% decrease in do-it-yourself (DIY DIY abbr. do-it-yourself DIY or d.i.y. Brit, Austral & NZ do-it-yourself DIY abbr DIY do it yourself a DIY shop/job. ) and a 5.2% increase in do-it-for-me (DIFM DIFM Do It for Me (as opposed to Do It Yourself) DIFM Due-In From Maintenance DIFM Digital Instantaneous Frequency Measurement DIFM Distributed Interactive Fire Mission ). The 1.1% comparable-store sales increase compares to a 3.9% increase in last year's first quarter. "For the first quarter, our comp store sales came in at the low end of our guidance range, which was disappointing," said Jack Brouillard, interim Chairman, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "However, largely due to our strong gross margin performance, our earnings per share of $0.71 came in at the higher end Coordinates: For other places with the same name, see Billinge. Higher End or Billinge Higher End is a district of the Metropolitan Borough of Wigan, in Greater Manchester, England. of our guidance range of $0.68 to $0.72 per share." First quarter gross margin was 48.3% of sales, a 57 basis-point improvement compared to last year's quarter, primarily reflecting improved procurement costs and lower logistics costs. First quarter selling, general and administrative (SG&A) expenses were 39.1% of sales, compared to 38.7% in first quarter 2006, a 46 basis point increase. This increase was primarily due to a 70 basis point loss of leverage on rent, depreciation and other fixed costs fixed costs, n.pl the costs that do not change to meet fluctuations in enrollment or in use of services (e.g., salaries, rent, business license fees, and depreciation). from modest comparable-store sales. Store Information During the first quarter, the Company opened 70 new stores, of which eight were Autopart International (AI) stores. The Company also relocated eight existing stores, remodeled 34 stores, and closed two stores. 2007 Guidance The Company reiterates its earnings guidance on comparable-store sales for the second quarter and the year in the low single-digit range. Quarter-to-date results are tracking in that range. The Company forecasts second quarter 2007 earnings per diluted share in the range of $0.65 to $0.69, which compares to $0.59 in last year's second quarter. The Company expects full year 2007 earnings per diluted share in the range of $2.38 to $2.48, an increase of 10% to 15% as compared to 2006. For 2007, the Company anticipates new-store growth in the 200-210 range, from the opening of both Advance and AI stores. Jack Brouillard, interim Chairman, President and CEO stated. "I will be serving as interim CEO while we undertake a nationwide search for a new CEO. I am proud to have served as a member of Advance's board of directors since 2004 and look forward to working with our very capable management team to pursue the many opportunities we believe we have to continue our growth and improve our performance. As a result of our comprehensive strategy review, we have been able to take a more in-depth look at the industry and our customers and we believe those understandings will help us to improve our sales growth. Through the lens of our strategy, we will be creating a more efficient business model enabling us to convert sales growth into increased profits." Annual Meeting Announcements The Company held its annual meeting of stockholders on May 16, 2007. * The following individuals will serve on the Company's Board of Directors: * John C. Brouillard * Lawrence P. Castellani * Darren R. Jackson * Nicholas J. LaHowchic * William S. Oglesby * Gilbert T. Ray * Carlos A. Saladrigas * William L. Salter salt·er n. 1. One that manufactures or sells salt. 2. One that treats meat, fish, or other foods with salt. Noun 1. * Francesca M. Spinelli Michael N. Coppola was also elected to the Board of Directors and resigned effective immediately following the annual meeting. Other proposals approved by the shareholders were the ratification of the appointment by the audit committee of Deloitte & Touche LLP LLP - Lower Layer Protocol as independent auditors for 2007, the approval of an amendment to the 2004 Long-Term Incentive plan and approval of the 2007 Executive Incentive Plan. Dividend On May 16, 2007, the Company's Board of Directors declared a regular quarterly cash dividend of six cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. to be paid on July 6, 2007 to stockholders of record as of June 22, 2007. Investor Conference Call The Company will host a conference call on May 17, 2007, at 8:00 a.m. Eastern Standard Time to discuss its quarterly results. To listen to the live call, please log on to the Company's Web site, www.AdvanceAutoParts.com, or dial (866) 908-1AAP. The call will be archived on the Company's Web site until May 16, 2008. About Advance Auto Parts Headquartered in Roanoke, Va., Advance Auto Parts is the second-largest retailer of automotive aftermarket parts, accessories, batteries, and maintenance items in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , based on store count and sales. As of April 21, 2007, the Company operated 3,150 stores in 40 states, Puerto Rico Puerto Rico (pwār`tō rē`kō), island (2005 est. pop. 3,917,000), 3,508 sq mi (9,086 sq km), West Indies, c.1,000 mi (1,610 km) SE of Miami, Fla. , and the Virgin Islands. The Company serves both the do-it-yourself and professional installer markets. Certain statements contained in this release are forward-looking statements, as that statement is used in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements address future events or developments, and typically use words such as believe, anticipate, expect, intend, plan, forecast, outlook or estimate. These statements discuss, among other things, expected growth and future performance, including store growth, comparable-store sales, gross margin and SG&A rates, and earnings per share for second-quarter 2007 and fiscal year 2007. These forward-looking statements are subject to risks, uncertainties and assumptions including, but not limited to, competitive pressures, demand for the Company's products, the market for auto parts Auto parts are components of automobiles. They mainly are, in alphabetic order (only car specific articles or articles with car section):
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