Monro Q3 sales slightly miss on store closures

Monro

28/01/2026 12:38

Overview

Automotive service provider's Q3 revenue slightly missed analyst expectations

Adjusted EPS for Q3 beat analyst expectations

Company's gross margin expanded 60 basis points yr/yr

Outlook

Monro expects positive comp store sales for full fiscal 2026

Company anticipates higher consumer tax refunds to boost sales

Sales momentum continues into fiscal January with comp store sales up nearly 1%

Result Drivers

STORE CLOSURES - Closure of 145 underperforming stores in Q1 fiscal 2026 led to a 4% decline in total sales

COMPARABLE STORE SALES - 1.2% increase in comparable store sales driven by strong tire and front end/shocks performance

GROSS MARGIN EXPANSION - Gross margin improved by 60 basis points due to lower material and occupancy costs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Slight Miss*
$293.39 mln
$295.19 mln (5 Analysts)
Q3 Adjusted EPS
Beat
$0.16
$0.14 (5 Analysts)
Q3 EPS
$0.35
Q3 Net Income
$11.14 mln
Q3 COMPARABLE STORE SALES Growth
1.20%


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

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 $20.00, about 0.1% below its January 27 closing price of $20.03

The stock recently traded at 31 times the next 12-month earnings vs. a P/E of 25 three months ago

Press Release: ID:nBw3nj6rSa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(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.)