O'Reilly Automotive Announces Record Q1 Sales and Earnings
26 April 2000
O'Reilly Automotive Announces Record First-Quarter Sales and Earnings
SPRINGFIELD, Mo.--April 25, 2000--O'Reilly Automotive, Inc. ("O'Reilly") (Nasdaq-Amex:ORLY) today announced record revenues and earnings for the first quarter of 2000, representing the 25th consecutive quarter of record revenues and earnings for O'Reilly since becoming a public company in April 1993.For the three months ended March 31, 2000, net income totaled $11.6 million, up 34.5% from $8.6 million for the same period a year ago. Earnings per common share (diluted) for the first three months of 2000 increased 15.0% to $.23 on 51.2 million shares versus $.20 a year ago on 43.8 million shares. Product sales for the first three months of 2000 totaled $195.8 million, up 17.6% from $166.4 million in the previous year. Gross profit for the first quarter of 2000 increased to $84.7 million (or 43.3% of product sales) from $71.0 million (or 42.6% of product sales) for the first quarter of the prior year, representing an increase of 19.4%.
Comparable store product sales increased 5.0% for the three months ended March 31, 2000. Comparable store product sales are calculated based on the change in product sales of only those stores open during the periods being compared.
David O'Reilly, Co-Chairman of the Board and Chief Executive Officer, stated, "We are pleased with the 5.0% comparable store product sales increase for this quarter, especially in light of the unseasonably mild weather during January 2000."
Twenty-three new stores were opened in the first three months of 2000. O'Reilly plans to open an additional 77 stores in 2000, including the 14 Gateway stores acquired in April 2000 and 9 net KarPro stores to be acquired in September 2000. O'Reilly also plans to open approximately 120 new stores in 2001.
O'Reilly Automotive is one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment and accessories in the United States, serving both the do-it-yourself and professional installer markets. Founded in 1957 by the O'Reilly family, the company currently operates 594 stores within the states of Texas, Missouri, Oklahoma, Kansas, Iowa, Arkansas, Louisiana, Nebraska and Illinois as of March 31, 2000.
Statements contained in this press release, which are not historical facts, are forward-looking statements. Such forward-looking statements are necessary estimates reflecting the best judgment of the party making such statements based upon current information and involve a number of risks and uncertainties. Forward-looking statements contained in this press release or in other public statements of the company should be considered in light of those factors. There can be no assurance that such factors will not affect the accuracy of such forward-looking statements. We assume no obligation to update these forward-looking statements.
-0-
O'REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
March 31, December 31,
2000 1999
------------- -------------
(Unaudited) (Note)
In thousands
Assets
Current assets:
Cash $ 9,432 $ 9,791
Short-term investments 500 500
Accounts receivable, net 28,678 26,462
Amounts receivable from
vendors 21,796 28,304
Inventory 307,947 293,924
Refundable income taxes -- 2,333
Deferred income taxes 1,433 1,776
Other current assets 2,019 1,263
------------- -------------
Total current assets 371,805 364,353
Property and equipment, at
cost 313,855 292,806
Accumulated depreciation and
amortization 61,256 56,289
------------- -------------
252,599 236,517
Other assets 9,131 9,572
------------- -------------
Total assets $ 633,535 $ 610,442
============= =============
Liabilities and shareholders'
equity
Current liabilities:
Note payable to bank $ 5,000 $ 5,000
Income taxes payable 4,052 --
Accounts payable 61,651 64,885
Other current liabilities 28,703 30,759
Current portion of
long-term debt 2,148 14,358
------------- -------------
Total current
liabilities 101,554 115,002
Long-term debt, less current
portion 112,678 90,704
Deferred income taxes 1,546 1,215
Other liabilities 483 477
Shareholders' equity:
Common stock, $.01 par value:
Authorized shares
- 90,000,000
Issued and outstanding
shares - 50,995,972 at
March 31, 2000
and 50,799,353 at
December 31, 1999 510 508
Additional paid-in capital 224,289 221,628
Retained earnings 192,475 180,908
------------- -------------
Total shareholders' equity 417,274 403,044
------------- -------------
Total liabilities and
shareholders' equity $ 633,535 $ 610,442
============= =============
Note: The balance sheet at December 31, 1999, has been derived
from the audited financial statements at that date, but does not
include all of the information and footnotes required by generally
accepted accounting principles for complete financial statements.
O'REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
Three Months Ended
March 31,
2000 1999
(Numbers in thousands, except
per-share data)
Product sales $ 195,758 $ 166,404
Cost of goods sold,
including warehouse
and distribution expenses 111,046 95,447
Operating, selling, general
and administrative expenses 65,226 54,716
------------- -------------
176,272 150,163
------------- -------------
Operating income 19,486 16,241
Other income (expense), net (890) (2,296)
------------- -------------
Income before income taxes 18,596 13,945
Provision for income taxes 7,029 5,342
------------- -------------
Net income $ 11,567 $ 8,603
============= =============
Basic income per common share $ 0.23 $ 0.20
============= =============
Net income per common share
- assuming dilution $ 0.23 $ 0.20
============= =============
Weighted average common
shares outstanding 50,828 42,720
============= =============
Adjusted weighted average
common shares outstanding
- assuming dilution 51,236 43,846
============= =============