AutoZone Profit Jumps 20% on Strong Comp Store Gains

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Auto parts retailer AutoZone (AZO) grew its profit 20% year over year, beating analysts’ estimates. Shares rose 2.6% in early trading.

AutoZone posted $3.34 per share of earnings on $1.66 billion in revenue; analysts had expected $3.06 on $1.63 billion in revenue. Domestic same store sales rose 7.1% and gross margins rose to 50.9% from 50% a year earlier. Inventory also grew 7% as the company increased its store count and assortment of goods.

“This marks the ninth consecutive quarter of 20% plus growth in earnings per share and our eighteenth consecutive quarter of double digit growth,” said Chairman and CEO Bill Rhodes.



Original Article Source by Barrons.com