On Feb. 27, AutoZone (NYSE:AZO) released second-quarter earnings for the period ended Feb. 10.
- Net income rose by 6.2% as store improvements generated additional sales and lower inventory costs increased profits.
- On a per-store level, inventory decreased 20.2%.
- AutoZone repurchased 1 million shares of its common stock for $128.9 million during the quarter, at an average price of $123 per share.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q2 2007 |
Q2 2006 |
Change | |
|---|---|---|---|
|
Sales |
$1,300.4 |
$1,253.8 |
3.7% |
|
Net Profit |
$103.0 |
$97.0 |
6.2% |
|
EPS |
$1.45 |
$1.25 |
16.0% |
|
Diluted Shares |
71.2 |
77.5 |
(8.1%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q2 2007 |
Q2 2006 |
Change* | |
|---|---|---|---|
|
Gross Margin |
49.2% |
49.2% |
0.0 |
|
Operating Margin |
14.5% |
14.2% |
0.3 |
|
Net Margin |
7.9% |
7.7% |
0.2 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Inventory |
$1,910.8 |
$1,722.7 |
10.9% |
|
Total Assets |
$4,646.5 |
$4,401.9 |
5.6% |
|
Liabilities |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$1,663.0 |
$1,427.7 |
16.5% |
|
Debt |
$1,854.3 |
$1,779.3 |
4.2% |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
Q2 2007 |
Q2 2006 |
Change | |
|---|---|---|---|
|
Cash Flow* |
$139.1 |
$128.5 |
8.2% |
|
Capital Expenditures |
$50.1 |
$57.4 |
(12.8%) |
|
Structural Free Cash Flow |
$80.0 |
$71.1 |
12.5% |
Find out why Fools always follow the money.
Related Foolishness:
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