Wednesday October 23rd, 2013 - 4:46PM
Retail farm and ranch store chain Tractor Supply Company has announced financial results for its third fiscal quarter ended September 28, 2013. Net sales increased 13.4% to $1.21 billion from $1.07 billion in the prior year's third quarter. Comparable store sales increased 7.5% versus a 2.9% increase in the prior year period.
The increase in comparable store sales was broad-based and driven by strong results in key consumable, usable and edible (C.U.E.) products as well as seasonal merchandise. Sales benefited from an extended spring selling season that resulted from mild temperatures through much of the quarter, noted the company.
Gross profit increased 16.4% to $415.7 million from $357.2 million in the prior year's third quarter. Net income for the quarter was $64.8 million, or $0.46 per diluted share, compared to net income of $50 million, or $0.35 per diluted share, in the third quarter of the prior year.
Greg Sandfort, president and CEO, stated, "We are very pleased with our strong third quarter results and continued momentum in our business. We reacted appropriately to the extended spring and summer selling season and our stores were well-stocked with the right products and inventory levels to drive sales. Mild temperatures and the appropriate product assortment drove strong sell-through of C.U.E. and seasonal merchandise, which, in turn, led to strong comparable store sales, fewer seasonal markdowns and a significant improvement in gross margin. We believe we are well-positioned heading into the important holiday selling season and will continue to execute the business around our sales and margin enhancing initiatives."
The company opened 23 new stores and closed one store in the third quarter of 2013 compared to 17 new store openings and one store closure in the prior year's third quarter. Tractor Supply Company operates 1,245 stores in 47 states.