Autozone Inc (NYSE:AZO) reported fiscal third quarter earnings that topped Wall Street expectations, but revenue came in slightly below forecasts, sending the company’s shares down more than 10% in early trade on Tuesday.
The auto parts retailer posted adjusted earnings per share of $38.07 for the quarter ended May 9, ahead of the consensus estimate of $36.22
Revenue rose 8.4% year over year to $4.84 billion but fell short of the $4.86 billion analysts had expected. AutoZone said total company same-store sales increased 3.9% on a constant-currency basis during the quarter, while domestic same-store sales rose 4.1%. Total company same-store sales, including currency impacts, increased 5.5%.
During the quarter, AutoZone repurchased 164,000 shares for $586.3 million at an average price of $3,582 per share. The company had approximately $800 million remaining under its current share repurchase authorization at quarter-end. Inventory increased 10.8% from the prior year, driven mainly by growth initiatives and inflation, the company said.