This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Pep Boys Reports Second Quarter 2013 Results

Six Months Sales

Sales for the twenty-six weeks ended August 3, 2013 increased by $13.5 million, or 1.3%, to $1,063.8 million from $1,050.3 million for the twenty-six weeks ended July 28, 2012. Comparable sales decreased 0.2%, consisting of a 2.2% comparable service revenue increase and a 0.8% comparable merchandise sales decrease. Re-categorizing sales (see above), comparable service center revenue increased 1.9%, while comparable retail sales decreased 2.4%.

Earnings

Adjusted operating profit for the first six months of 2013 was $24.1 million as compared to $25.0 million for the first six months of fiscal 2012. On a GAAP basis including $2.8 million in asset impairment charges in fiscal 2013 and a $0.7 severance charge in fiscal 2012, operating profit for the first six months of fiscal 2013 was $21.3 million as compared to $24.3 million for the first six months of fiscal 2012.

Net earnings for the first six months of 2013 were $9.2 million ($0.17 per share) as compared to $34.1 million ($0.63 per share) for the first six months of fiscal 2012. In addition to the above-referenced items, the 2012 net earnings included, on a pre-tax basis, $43.0 million of merger termination fees, net of related expenses.

Commentary

“Improved product gross margins drove our 25% improvement in adjusted operating income during the quarter,” said President and CEO, Mike Odell. “Our strategically important maintenance and repair services remain steady and grew in customer count, sales and margin rate. Tire sales were down in dollars and units, but grew in gross margin dollars. While not yet realized, we continue to be cautiously optimistic that we will see improving demand for tires this year.”

Mike also commented, “The expansion of our Service & Tire Centers continues with the acquisition of 17 locations in Southern California in September, bringing our total to 211 including one Service & Tire Center opened subsequent to the second quarter. Each of these new locations will be converted to our new 'Road Ahead' format designed with a more welcoming curb appeal and a comfortable and appealing customer lounge.”

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs