Monro Q1 sales rise 2.7%, beat estimates

Monro

30/07/2025 12:45

Overview

Monro fiscal Q1 sales rise 2.7% to $301 mln, beating analyst expectations

Adjusted EPS of $0.22 beats estimates, despite store closures impacting costs

Company closed 145 underperforming stores, focusing on operational improvements

Outlook

Monro is not providing fiscal 2026 financial guidance at this time

Company reports preliminary fiscal July comps up 2%

Monro to focus on improving performance in 1,115 continuing locations

Company aims to enhance merchandising productivity and customer experience

Result Drivers

COMPARABLE STORE SALES - Sales increased 5.7% driven by growth in high-margin service categories, including front-end shocks, brakes, and batteries

STORE CLOSURES - Closure of 145 underperforming stores impacted sales but reduced inventory levels by $10 mln

HIGHER COSTS - Gross margin decreased due to higher labor and material costs, partially offset by lower occupancy costs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$301.04 mln
$296.10 mln (5 Analysts)
Q1 Adjusted EPS
Beat
$0.22
$0.15 (5 Analysts)
Q1 EPS
-$0.28
Q1 Net Income
-$8.05 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy."

Wall Street's median 12-month price target for Monro Inc is $18.00, about 9.3% above its July 29 closing price of $16.32

The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nBw2QQ7yna

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)