MEMPHIS, Tenn., Dec. 5 /PRNewswire/ -- AutoZone, Inc. (NYSE: AZO), today
reported diluted earnings per share of $0.46 for its first fiscal quarter (12
weeks) ended November 18, 2000, up 15% from $.40 per share for the prior year
quarter ended November 20, 1999.
Sales were $1.064 billion for the quarter, an increase of 6% from
$1.006 billion in fiscal 2000. Same store sales, or sales for domestic auto
parts stores open at least one year, increased 2% during the quarter,
including 1% for retail sales and 10% for commercial sales. Same store sales
at TruckPro were down 1% for the quarter, while stores in Mexico reported a
same store sales increase of over 40%. In fiscal 2000, first quarter same
store sales for domestic auto parts stores increased 7%, including 7% for
retail sales and 9% for commercial sales. Earnings before interest and taxes
of $110.8 million increased 5% from $105.7 last year. Net income for the
quarter decreased 4% to $53.8 million from $56.0 million in the prior year due
to higher interest and taxes.
"I am pleased to announce we met our goal of 15% earnings per share growth
despite a difficult sales environment," said John C. Adams Jr., chairman and
chief executive officer. "Our acquired stores continue to gain leverage on
payroll and occupancy, and we are particularly excited about the success of
our stores in Mexico and the progress we've made with ALLDATA. We continue to
test new sales initiatives in all of our businesses. We also expect to
control costs but not at the expense of customer service."
During the quarter, AutoZone opened 41 new and replaced 5 auto parts
stores in the U.S. AutoZone plans to open a total of 175 domestic auto parts
stores and at least 7 new stores in Mexico in fiscal 2001. Aggregate share
repurchases under the currently authorized $1.35 billion share repurchase
program are $1.23 billion or 47.5 million shares at the end of the first
quarter, including $205 million or 9.0 million shares under forward purchase
contracts.
AutoZone will host a one hour conference call beginning at 4 p.m. (CST)
today to discuss the results of the quarter. Investors may listen to the
conference call live and review supporting slides on the AutoZone website,
www.autozone.com, by clicking "About Us," "Investor Relations," "Conference
Calls," or by going directly to http://www.autozone.com/Investors. The call
will also be available by dialing (630) 395-0173. A replay of the call and
slides will be available on the website. In addition, a replay of the call
will be available by dialing (402) 220-3014 through Tuesday, December 12,
2000, at 5 p.m.(CST).
AutoZone sells auto and light truck parts, chemicals and accessories
through 2,956 AutoZone stores in 42 states plus the District of Columbia in
the U.S. and 13 AutoZone stores in Mexico. AutoZone also sells heavy-duty
truck parts through 49 TruckPro stores in 15 states, and automotive diagnostic
and repair software through ALLDATA. On the web, AutoZone sells diagnostic
and repair information through alldatadiy.com, and auto and light truck parts
through AutoZone.com.
Certain statements contained in this press release are forward-looking
statements. These statements discuss, among other things, expected growth,
domestic and international development and expansion strategy, business
strategies and future performance. These forward-looking statements are
subject to risks, uncertainties and assumptions, including without limitation,
competition, product demand, domestic and international economies, government
approvals, inflation, the ability to hire and retain qualified employees,
consumer debt levels and the weather. Actual results may materially differ
from anticipated results. Please refer to the Risk Factors section of Form
10-K for the year ended August 26, 2000, for more details.
AUTOZONE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
Subject to Reclassification
ASSETS
Nov. 18, Aug. 26,
2000 2000
(Unaudited)
Current assets:
Cash and cash equivalents $7,041 $6,969
Accounts receivable 24,772 21,407
Merchandise inventories 1,179,999 1,108,978
Prepaid expenses 25,077 30,214
Deferred income taxes 19,469 19,212
Total current assets 1,256,358 1,186,780
Property and equipment:
Property and equipment 2,339,830 2,320,376
Less accumulated depreciation
and amortization 590,416 561,936
1,749,414 1,758,440
Other assets:
Cost in excess of net
assets acquired 324,470 324,494
Deferred income taxes 48,120 52,182
Other assets 31,346 11,322
403,936 387,998
$ 3,409,708 $ 3,333,218
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $791,611 $788,825
Accrued expenses 221,504 227,682
Income taxes payable 34,259 18,037
Total current liabilities 1,047,374 1,034,544
Long-term debt 1,408,378 1,249,937
Other liabilities 58,105 56,558
Stockholders' equity 895,851 992,179
$ 3,409,708 $ 3,333,218
AUTOZONE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(in thousands, except per share amounts)
Twelve Weeks Ended
Nov. 18, Nov. 20,
2000 1999
Net sales $1,063,566 $1,006,472
Cost of sales, including
warehouse and delivery
expenses 618,001 584,956
Operating, selling, general
and administrative expenses 334,797 315,768
Operating profit 110,768 105,748
Interest expense, net 22,980 14,604
Income before income taxes 87,788 91,144
Income taxes 34,000 35,100
Net income $53,788 $56,044
Weighted average shares
for basic earnings per share 116,717 139,261
Effect of dilutive stock options 333 795
Adjusted weighted average shares
for diluted earnings per share 117,050 140,056
Basic earnings per share $.46 $0.40
Diluted earnings per share $.46 $0.40
AutoZone's 1st Quarter - Fiscal 2001
Other Selected Balance Sheet Information
November 18, November 20, August 26,
2000 1999 2000
Working Capital $ 208,984 $ 285,320 $ 152,236
Treasury stock $1,024,012 $ 415,283 $ 870,915
Selected Cash Flow Information
12 Weeks Ended 12 Weeks Ended
November 18, 2000 November 20, 1999
Capital spending $55,048 $66,210
Depreciation & amortization $30,464 $30,124
Store Count & Square Footage
12 Weeks Ended 12 Weeks Ended
November 18, 2000 November 20, 1999
Domestic auto parts stores:
Store count:
Stores opened 41 87
Stores closed -- 2
Replacement stores 5 13
Total domestic auto parts stores 2,956 2,796
Square footage (in thousands) 18,962 17,935
Auto parts stores in Mexico:
Stores opened -- 2
Total auto parts stores in Mexico 13 8
TruckPro stores:
Stores opened -- --
Replacement stores -- 1
Total TruckPro stores 49 46
Sales & Inventory Statistics (Domestic auto parts):
12 Weeks Ended 12 Weeks Ended
November 18, 2000 November 20, 1999
Sales per average store ($ in thousands) $345 $349
Sales per average sq foot $54 $54
Same store sales - rolling 13 periods
Domestic auto parts - total 2% 7%
Organic 0% 5%
Acquired 12% 25%
Retail 1% 7%
Commercial 10% 9%
Inventory turns:
Based on average inventories 2.2X 2.2X
Based on ending inventories 2.2X 2.0X
Accounts payable/inventory(total company) 67% 62%
SOURCE AutoZone, Inc.
CONTACT: media, Andrew Burns, 901-495-7313, or financial, Emma Jo
Kauffman, 901-495-7005, both of AutoZone, Inc./