EarningsQ2 2026 Earnings Report
MX:AAP Q2 2026 EPS Results
Actual EPS$18.84
Consensus EPS$14.76
Beat/MissBeat by +$4.08
One Year Ago EPS$12.62
MX:AAP Q2 2026 Revenue Results
Actual Revenue$36.59B
Expected Revenue$37.30B
Beat/MissMissed by -$707.14M
YoY Revenue Growth-0.50%
Earnings Announcement Details
QuarterQ2 2026
Date08/20/2026
TimeBefore Open
Conference CallThursday, August 20, 2026
MX:AAP Upcoming Earnings
Advance Auto Parts's next earnings date is estimated for November 18, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:AAP Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed meaningful operational progress and financial stabilization — return to positive free cash flow, margin expansion, EPS improvement, DC consolidation, SKU expansion, improving customer metrics (NPS, attachment rates) and Pro channel momentum — while acknowledging persistent near-term pressures in the DIY channel, higher commodity-driven inflation and elevated supply-chain costs. Management reaffirmed full-year targets and outlined concrete actions (pricing, merchandising, market hubs, DC productivity and store labor standards) to drive further improvement.Company Guidance
Return to Positive Free Cash Flow and Strong Liquidity
Generated $120 million of free cash flow year-to-date versus a $201 million outflow in the prior year (swing of ~$321 million). Ended Q2 with a cash balance of approximately $3.1 billion and reaffirmed full-year free cash flow guidance of ~$100 million.
Profitability and Margin Expansion
Reported adjusted operating income of $112 million (5.6% of net sales) with ~260 basis points of year-over-year operating margin expansion. Adjusted gross profit was $924 million (46.2% of net sales), ~240 basis points of gross margin expansion year-over-year; tariff/IEEPA refunds contributed $26 million (~130 basis points). Excluding IEEPA refunds, adjusted operating income margin expanded nearly 130 basis points to 4.3%.
Earnings Per Share Improvement
Adjusted diluted EPS of $1.03 in Q2 versus $0.69 in the prior-year quarter, an increase of $0.34 (~49% higher year-over-year). Raised full-year adjusted diluted EPS guidance to $2.60–$3.30.
Revenue and Sales Guidance
Reported Q2 net sales of $2.0 billion. Reaffirmed full-year net sales guidance of ~ $8.5 billion with comparable sales growth guidance of 1%–2% for FY2026.
Operational and Strategic Progress — Assortment and Supply Chain
Added ~80,000 new SKUs year-to-date (following ~100,000 added last year). Completed distribution center consolidation from nearly 40 DCs to 15 and unified warehouse management systems to improve asset productivity.
Market Hub and Store Operations Acceleration
Opened 5 market hubs YTD (total 38), plan to open 15–20 market hubs this year (9 planned in Q3) and target 60 hubs by mid-2027. NPS improved to nearly 80 points from the high-60s year-over-year; in-store attachment rates improved to nearly 30% from mid–high-20% last year; average time to deliver Pro orders consistently below 40 minutes in Q2.
Pro Channel Momentum — Main Street Outperformance
Pro channel delivered low single-digit comparable sales growth in Q2 and Main Street Pro comp outpaced total Pro comp by more than 200 basis points, indicating share gains with independent repair shops.
Balance Sheet Deleveraging
Repurchased approximately $30 million of 2028 senior notes in Q2 and reduced net debt leverage to 2.1x from 2.4x last quarter (target range 2.0–2.5x). Rating agencies stabilized outlooks on the company.
MX:AAP Earnings History
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.
Beat
Missed