Tractor Supply Company ( (TSCO) ) has released its Q1 earnings. Here is a breakdown of the information Tractor Supply Company presented to its investors.
Tractor Supply Company is the largest rural lifestyle retailer in the United States, offering a wide range of products for recreational farmers, ranchers, homeowners, and pet enthusiasts. The company operates over 2,300 stores across 49 states, providing customers with essential goods for rural living and pet care.
In its first quarter of 2025, Tractor Supply Company reported a 2.1% increase in net sales, reaching $3.47 billion. Despite this growth, the company faced a slight decline in comparable store sales by 0.9%, and a decrease in net income by 9.5% to $179.4 million. The diluted earnings per share also saw a reduction from $0.37 to $0.34 compared to the previous year.
Key financial metrics from the quarter include a gross profit increase of 2.8% to $1.26 billion and a gross margin improvement to 36.2%. However, operating income decreased by 5.3%, and SG&A expenses rose by 5.1%, reflecting planned growth investments and increased depreciation. The company opened 15 new Tractor Supply stores and two new Petsense stores, while closing two Petsense locations.
Looking ahead, Tractor Supply has updated its fiscal year 2025 guidance, adjusting its net sales growth forecast to between 4% and 8% and earnings per diluted share to a range of $2.00 to $2.18. The company remains focused on navigating market uncertainties, including new tariffs, and is committed to maintaining its resilience in the retail sector.
Tractor Supply’s management expresses confidence in its business model and strategic initiatives, emphasizing its ability to adapt to changing market conditions and continue delivering value to shareholders.