O’Reilly Automotive reported record revenues and earnings for its second quarter.
Sales for the second quarter jumped 7 percent to $2.46 billion, up from $2.29 billion in second-quarter 2017. Comparable store sales increased nearly 5 percent.
The company posted a 38-percent increase in diluted earnings per share, to $4.28.
O’Reilly CEO Greg Johnson said the quarter got off to a slow start in April, as winter-like weather held on in some parts of the country. However, business rebounded nicely in May and June.
“Our teams did an excellent job capitalizing on the pent-up demand and delivered our best performance of the quarter in May,” Johnson said during the company’s second-quarter conference call. “As we moved to the typical summer selling season in June, the hot weather in many of our markets was a contributor to the steady demand, and we have continued on a steady, solid trend thus far in July, which is inline with what we would typically expect to see from a normal weather backdrop.”
Factoring in store closures, O’Reilly opened 128 new stores in the first half of the year, and the company is on track to meet its goal of opening 200 new stores in 2018, according to Johnson.
“Our new stores continue to perform well, and we remain confident in our ability to grow our market share in both new and existing areas,” Johnson added. “Overall, the long-term demand drivers in our industry remain solid, including a growing and aging vehicle fleet driven over 3 trillion miles each year, and we are extremely confident in our team’s ability to continue to provide industry-leading customer service, supported by unsurpassed parts availability. We would like to again thank Team O’Reilly for our solid results in the first half of 2018, and we look forward to building on that success during the second half of the year.”