Monro Muffler Brake Inc. Updates Earnings Guidance for the Third Quarter Ended December 26, 2015; Maintains Earnings Guidance for the Fourth Quarter of Fiscal 2016
January 11, 2016 at 04:05 pm
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Monro Muffler Brake Inc. updated earnings guidance for the third quarter ended December 26, 2015. Third quarter sales were weaker than expected due to unseasonably warm weather in the northeastern and north central regions of the country, which resulted in lower demand for tires. The company experienced positive comparable store sales in regions not impacted by the warm weather conditions, including positive mid-single digit comparable store sales in its southern markets. As a result, the company now anticipates sales for the third quarter of fiscal 2016 to be approximately $239 million, with comparable store sales declining by approximately 2.5%. The company now expects diluted earnings per share for the third quarter to be $0.46, which includes $0.05 per share of due diligence costs. This compares to the company's previous third quarter expectations for sales of between $247 million to $254 million, comparable store sales growth of 2.0% to 4.0% and earnings per diluted share in the range of $0.53 to $0.58.
The company is maintaining its earnings guidance for the fourth quarter of fiscal 2016, including total sales of $232 million to $240 million, based on a comparable store sales increase of 2% to 4%, and diluted earnings per share of $0.40 to $0.45.
Monro, Inc. is an operator of retail tire and automotive repair stores in the United States. The Company offers replacement tires and tire related services, automotive undercar repair services, and a range of routine maintenance services, primarily on passenger cars, light trucks, and vans. The Company also provides other products and services for brakes; mufflers and exhaust systems, and steering, drive train, suspension, and wheel alignment. The Companyâs retail tire and automotive repair stores operate primarily under the brands Monro Auto Service and Tire Centers, Tire Choice Auto Service Centers, Mr. Tire Auto Service Centers, Car-X Tire & Auto, Tire Warehouse Tires for Less, Ken Toweryâs Tire & Auto Care, Mountain View Tire & Auto Service, and Tire Barn Warehouse. It has approximately 1,288 Company-operated retail stores located in 32 states and 50 Car-X franchised locations. Its subsidiaries include Monro Service Corporation; Car-X, LLC, and MNRO Holdings, LLC.
Monro Muffler Brake Inc. Updates Earnings Guidance for the Third Quarter Ended December 26, 2015; Maintains Earnings Guidance for the Fourth Quarter of Fiscal 2016