AutoZone fiscal 2Q profit rises 6 percent on sales from new stores and cost management

AutoZone fiscal 2Q profit rises 6 percent

NEW YORK — Automotive parts retailer AutoZone Inc. said Tuesday that its fiscal second-quarter profit rose 6 percent as it managed costs and recorded higher sales from new stores.

The company earned $123.3 million, or $2.46 per share, compared with a year-ago profit of $115.9 million, or $2.03 per share.

Revenue rose to $1.51 billion from $1.45 billion in the period ended Feb. 13.

On average, analysts expected profit of $2.35 per share on $1.49 billion in sales, according to a survey by Thomson Reuters.

AutoZone, based in Memphis, Tenn., said sales at domestic stores open at least a year rose 1 percent. Sales at stores open at least a year are considered an important retail performance indicator because they measure growth from existing stores rather than newly opened ones.

The retailer opened 24 new stores in the U.S. and nine in Mexico during the quarter.

AutoZone, like other retailers of automotive replacement parts, has benefited during the recession as consumers delayed buying new vehicles and instead hold on to their existing cars longer. That has kept older vehicles in service longer and created higher demand for spare parts.

But parts retailers have posted mixed results lately. Last month, Advance Auto Parts reported an adjusted fourth-quarter profit of 39 cents per share, excluding the impact of store closures and other items. That’s down from 41 cents per share in the same quarter of 2008.

In the same period, O’Reilly Automotive Inc. said its fourth-quarter profit jumped 68 percent from the year-ago quarter as sales inched higher.

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AP Autos Writer Dan Strumpf contributed to this report.