On Oct. 25, Tractor Supply (NASDAQ:TSCO) released third-quarter earnings for the period ended Sept. 30.

  • Revenues grew 16.6% to $559 million due to a same-store segment sales increase of 2.4%.
  • Net profit dipped 1.5% to $18 million as selling, general, and administrative expenses increased 24.4%.
  • Excluding stock-based compensation from earnings to create a direct comparison, earnings increased 6.7%.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005

Change

Sales

$553

$559

$480

16.6%

Net Profit*

--

$18

$18

(1.5%)

EPS

$0.47

$0.44

$0.45

(2.2%)

Diluted Shares

--

41

41

0.1%

*Net profit does not include income from discontinued operations.

Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005

Change*

Gross Margin

31.53%

30.63%

0.90

Operating Margin

5.20%

6.03%

(0.83)

Net Margin

3.23%

3.82%

(0.59)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q3 2006

Q3 2005

Change

Cash + ST Invest.

$26

$26

2%

Inventory

$606

$487

24.2%


Liabilities

Q3 2006

Q3 2005

Change

Accounts Payable

$242

$225

7.6%

Long-Term Debt

$31

$20

55.5%



Learn the ways of the balance sheet.

Cash Flow Highlights

The cash flow statement must be out in the "back 40." Someone will grab it and put it in the 10-Q.

Find out why Fools always follow the money.

Related companies:

  • Home Depot (NYSE:HD)
  • Lowe's (NYSE:LOW)
  • Industrial Distribution Group (NASDAQ:IDGR)

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