AutoZone gets traction from omnichannel efforts
September 27, 2016 11:36 AM
Auto parts retailer AutoZone Inc. reported that online sales grew 4.3% in the fiscal fourth quarter to $116.1 million and 3.3% for the fiscal year, to $374.6 million.
Online sales represent a small part of the company’s total revenue, but AutoZone’s web operation is important to AutoZone, CEO Bill Rhodes said last week in a conference call with analysts.
“We see customers doing lots of research to learn about the products and how to do their repairs,” Rhodes said, according to a transcript from Seeking Alpha. “While these businesses are small for us at less than 5% of our total sales mix for the quarter, the omnichannel experience is important and we will continue to invest in our e-commerce platform.”
AutoZone is ranked No. 103 in the Internet Retailer 2016 Top 500 Guide,
AutoZone sells the AllData brand diagnostic and repair software through www.alldata.com as well as automotive hard parts, maintenance items, accessories, and non-automotive products through www.autozone.com. Via its www.autoanything.com site, the company sells accessories, performance and replacement parts. Commercial customers can make purchases through www.autozonepro.com and www.imcparts.net.
During the quarter ended Aug. 27, AutoZone opened 71 stores and relocated two stores in the United States, opened 25 stores in Mexico and one new branch of IMC, a distributor of original equipment import replacement parts. For the year, the company opened 156 domestic AutoZone stores, 43 AutoZone stores internationally and six branches of IMC.
As of Aug. 27, the company had 5,297 stores in the 50 U.S. states, the District of Columbia and Puerto Rico, 483 stores in Mexico, 26 IMC branches, and eight stores in Brazil for a total of 5,814.
For the fiscal fourth quarter ended Aug. 27, AutoZone reported:
- Online sales were $116.1 million, up 4.3% from 111.2 million a year-earlier quarter.
- Net sales were $3.399 billion, an increase of 3.3% from the $3.290 billion in the fourth quarter of fiscal 2015.
- Domestic commercial sales were $635.1 million, up 5.2%, from $603.6 million.
- Net income was $426.8 million, up 6.4% from $401.1 million.
- Domestic same-store sales increased 1.0%.
For the fiscal year of the fiscal year, Autozone reported:
- Online sales were $374.6 million, up 3.3% from $362.5 million for the previous fiscal year
- Net sales were $10.64 billion, an increase of 4.4% from $$10.19 billion the prior year.
- Net income increased to $1.24 billion, up 6.9% from $$1.16 billion.
- Domestic commercial sales were $1.95 billion, up 7.1%, from $1.82 billion.
- Domestic same-store sales increased 2.4%.