Tractor Supply (TR4) Q3 2026 Earnings Report
DE:TR4 Q3 2026 EPS Results
- Actual EPS
- EUR 0.39
- Consensus EPS
- EUR 0.37
- Beat/Miss
- Beat by +EUR 0.02
- One Year Ago EPS
- EUR 0.44
DE:TR4 Q3 2026 Revenue Results
- Actual Revenue
- EUR 3.52B
- Expected Revenue
- EUR 3.44B
- Beat/Miss
- Beat by +EUR 79.22M
- YoY Revenue Growth
- +5.15%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/22/2026
- Time
- Before Open
- Conference Call
- Thursday, October 22, 2026
Tractor Supply's next earnings date is estimated for February 4, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call was cautiously positive. The company reported improving sales momentum, positive October trends, digital and pet growth, customer-response improvements, and several planned productivity and cost actions. However, third-quarter gross margin and operating margin declined, transactions were slightly lower, key categories remained soft, and consumer, transportation, inflation, and tariff-lap pressures continued. Management expressed confidence that its actions can restore operating margins above 9% over time.
Tractor Supply reaffirmed its 2026 guidance and currently plans for positive comparable sales during the fourth quarter, with fourth-quarter gross margin expected to be modestly down 10 to 30 basis points year over year and a new distribution center benefit of 15 to 20 basis points; 2026 net capital expenditures are expected in the range of $675 million to $700 million, share repurchases in the range of $425 million to $450 million, and sale leaseback proceeds in the range of $325 million to $350 million. For 2027, depreciation growth is expected to moderate to the mid single digit or lower, capital expenditures are expected to move below 4% of sales, new store openings are expected to moderate to approximately 85 to 90 stores, vendor support agreements are expected to generate more than $50 million in annualized benefits next year, and SG&A reductions are targeted at more than $75 million in additional annual reductions over 2027 and 2028; the company remains committed to generating operating margin leverage as comparable store sales move above approximately 2%, is not comfortable operating below 9%, and expects to restore operating margins above 9% over time.
- Quarterly Sales Increased and Comparable Sales ImprovedThird-quarter net sales increased 5.1% to $3.91 billion, driven by new store openings, VIP Petcare, and comparable sales growth. Comparable sales increased 0.4% on top of 3.9% growth in the third quarter a year ago, while average ticket increased 0.7%. The company said the quarter produced one of its strongest two-year comparable-sales stacks of the past five years.
- Sales Momentum Strengthened Through the QuarterMonthly comparable sales improved from a decline of less than 1% in July, to modest growth in August, to solid growth in September. The stronger September finish included positive performance across a broader set of merchandising divisions and regions. The company said this momentum continued into October, with positive comparable transactions and comparable sales during the first 3.5 weeks of the fourth quarter.
- Strength Across Essential and Seasonal CategoriesConsumable, usable, and edible categories continued to outperform the chain, with strong momentum in September. The company cited strength in wildlife supplies, equine and livestock, truck, tool and hardware, and seasonal products.
- Digital Sales Grew at a Double-Digit RateDigital sales increased approximately 16% in the third quarter, with growth in both traffic and conversion. The company continued expanding delivery and final-mile capabilities and said customers were increasingly using online shopping together with the nationwide store network for pickup and delivery.
- Customer Engagement and Market Share Indicators ImprovedHigher-spending customers delivered above-chain comparable-sales growth for the fourth consecutive quarter. Neighbor's Club members represented nearly 82% of third-quarter sales, with member comparable sales increasing and retention improving modestly. The company also reported improved performance among Gen Z and Millennials, more positive comparable growth in rural stores, and market-share gains across most metrics and categories.
- Value Investments Generated Unit GrowthThe company expects to realize $100 million in tariff refunds in 2026 and is investing about 40% of that benefit in customer value, with the remainder helping offset higher freight costs. Investments focused on approximately 50 everyday essentials SKUs, where the company saw strong unit growth, increased price perception of almost 200 basis points in its customer experience survey, and continued growth in transactions, units per transaction, and the broader basket.
- Pet Business Trends Improved SequentiallyCompanion-animal comparable sales improved from approximately -4% in Q1, to -3% in Q2, to -2% in Q3. Including new stores, Oliver, and the VIP Petcare acquisition, the total pet business grew 5% in the quarter. The company reported outsized strength in 4Health and triple-digit growth in its subscription business.
- Freshpet and Pet Services ExpansionBased on Freshpet's performance, the company increased its year-end rollout target from more than 700 stores to approximately 1,000 stores. It also completed the integration of Allivet as the fulfillment arm and prescription platform for VIP Petcare, and cited continued momentum in pet wash and other pet services.
- Supply Chain Productivity Initiatives Began Showing BenefitsThe company said the new distribution center in Nampa, Idaho was performing well operationally. It expects the facility to provide approximately 15 to 20 basis points of gross-margin benefit beginning in the fourth quarter and approximately 10 basis points of benefit next year, while last-mile savings are expected to contribute next year.
- Planned Vendor and SG&A Actions Support Margin RecoveryRenegotiated vendor support agreements are expected to generate more than $50 million in annualized benefits next year, or approximately 30 basis points of benefit. The company is also targeting more than $75 million in additional annual SG&A reductions over 2027 and 2028 through completed Petsense closures, benefits-program adjustments, store productivity initiatives, supply-chain actions, corporate efficiency, and technology and process improvements.
- Store Productivity ProgressThe company reported lower labor hours in the third quarter than in the prior year and said store wages were leveraging even at comparable sales below 2%. It also reported year-over-year and quarter-over-quarter improvement in top-box overall satisfaction and customer-service scores.
- Capital Expenditures Expected to ModerateAfter several years of elevated investment in the supply chain, Fusion stores, and new stores, the company expects capital expenditures to move below 4% of sales in 2027 and beyond. For 2026, net capital expenditures are expected to be $675 million to $700 million, including sale-leaseback proceeds of $325 million to $350 million.
- Share Repurchase Outlook IncreasedFor 2026, the company expects share repurchases toward the higher end of its range, at $425 million to $450 million, while maintaining its investment-grade balance sheet and lease-adjusted leverage framework of approximately 2.0x to 2.5x debt to EBITDAR.
- Fourth-Quarter Guidance ReaffirmedThe company reaffirmed its 2026 guidance and said current planning assumptions contemplate positive comparable sales in the fourth quarter. It expects fourth-quarter gross-margin performance to be better year over year than in the third quarter, with the decline expected to be modestly 10 to 30 basis points in the base case.
- Strategic Focus on Existing-Asset Productivity and Growth CapabilitiesThe company plans to increase emphasis on digital delivery, final mile, pet, and existing-store productivity. It also plans to expand outdoor recreation and wildlife supplies to a meaningful number of stores by the end of next year and move toward a more flexible seasonal garden-center format requiring less capital.
DE:TR4 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 04, 2027 | 2026 (Q4) | 0.36- | 0.39 | ― | ― |
| Oct 22, 2026 | 2026 (Q3) | 0.370.39 | 0.44 | -12.24% (-0.05) | |
| Jul 23, 2026 | 2026 (Q2) | 0.740.73 | 0.73 | 0.00% (+0.00) | |
| Apr 21, 2026 | 2026 (Q1) | 0.310.28 | 0.31 | -8.82% (-0.03) | |
| Jan 29, 2026 | 2025 (Q4) | 0.420.39 | 0.4 | -2.27% (-0.01) | |
| Oct 23, 2025 | 2025 (Q3) | 0.430.44 | 0.4 | 9.38% (+0.04) | |
| Jul 24, 2025 | 2025 (Q2) | 0.720.73 | 0.71 | 3.05% (+0.02) | |
| Apr 24, 2025 | 2025 (Q1) | 0.330.31 | 0.33 | -7.10% (-0.02) | |
| Jan 30, 2025 | 2024 (Q4) | 0.410.40 | 0.41 | -3.51% (-0.01) | |
| Oct 24, 2024 | 2024 (Q3) | 0.400.40 | 0.42 | -3.86% (-0.02) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.