Advance announces increased revenue, sales for second quarter

Advance Auto Parts recently released its second quarter earnings report, in which earnings per diluted share increased 23 percent over last year.

Total revenue for the second quarter increased 5.6 percent to $1.24 billion, compared with revenue of $1.17 billion for the second quarter last year.

Included in the revenue increase was the addition of 138 new stores over the past year and a comparable store sales increase of 2.9 percent during the quarter, when compared to an increase of 1.2 percent in the second quarter last year.

The Company’s gross profit rate was 48.6 percent in the second quarter as compared to 48.1 percent last year.

Net interest expense was $7.3 million in the quarter, compared to $6.9 million last year. The company’s current borrowing costs remain at approximately 5 percent, according to a news release.

Operating cash flow for the year increased $70 million to $350 million, and free cash flow for the year increased 25 percent to $244.6 million, reflecting a $48.7 million improvement as compared to last year. Capital expenditures were $106 million for the year, as compared to $115.7 million last year. The decrease is primarily due to a reduction in new store development, the company adds.

During the second quarter, the Company opened 36 stores, bringing the total for the year to 70. Advance also closed two and relocated four stores. As of July 12, total store count was 3,325.