ORLY Earnings Prediction
The chart below shows how ORLY performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ORLY sees a -1.79% change in stock price 10 days leading up to the earnings, and a +2.58% change 10 days following the report. On the earnings day itself, the stock moves by +0.08%. This data can give you a slight idea of what to expect for the next quarter's release.
ORLY Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
4.10B
6.88%
-6.16%
Gross Margin
51.30%
-0.08%
-0.54%
Operating Margin
18.04%
-3.84%
-12.21%
Net Margin
13.46%
-6.66%
-11.74%
EPS
9.50
2.59%
-16.74%
No Data Available
ORLY Earnings Analysis
O'Reilly Automotive Inc Corporation (ORLY.O) Earnings Conference Call
Positive
Q4 Comparable Store Sales Growth: Comparable store sales increased by 4.4% in Q4 2024, driven by strong performance in both professional and DIY segments, marking a solid finish to the year.
EPS Growth Milestone: Diluted earnings per share (EPS) grew by 5.7% for the full year 2024, representing the 32nd consecutive year of growth in this metric since becoming a public company.
Q4 Revenue Increase: Total revenues for Q4 2024 increased by $264 million, supported by a $66 million contribution from new stores opened in 2023 and 2024 that have not yet entered the comp base.
Strong Free Cash Flow: Free cash flow for 2024 remained strong at $2 billion, unchanged from 2023, reflecting growth in net income and a decrease in net inventory.
Store Expansion Plans: The company plans to open 200 to 210 net new stores in 2025, reflecting confidence in organic growth and market expansion opportunities.
Negative
EPS Growth Impacted by Charges: Fourth-quarter EPS growth was negatively impacted by a $35 million charge to adjust auto claims self-insurance liabilities, resulting in a headwind of approximately 5% to EPS growth for the quarter.
Gross Margin Decline: Full-year gross margin decreased by six basis points to 51.2%, primarily due to a mix headwind from strong performance in the professional business and the inclusion of the acquired Canadian business.
SG&A Expense Increase: SG&A expenses as a percentage of sales increased by 68 basis points to 33.3% in the fourth quarter, driven by a significant $35 million charge related to historic auto liability claims.
Sales Growth Guidance: The company’s 2025 comparable store sales guidance was set at a range of 2% to 4%, indicating a slowdown compared to the previous year’s growth expectations.
Free Cash Flow Outlook: Free cash flow for 2024 remained unchanged at $2 billion, with expectations for a decline to between $1.6 billion and $1.9 billion in 2025 due to increased capital expenditures and inventory investments.
ORLY FAQs
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ORLY Earning Call Sentiment
O’Reilly Automotive, Inc. (NASDAQ:ORLY) Q4 2024 Earnings Call Transcript
ORLY.O
1.73%Positive
The earnings call highlights strong financial performance with a 4.4% increase in comparable store sales and a 5.7% increase in EPS despite challenges. The share repurchase program and stable free cash flow are positive indicators. Despite some cautious guidance and vague responses in the Q&A, the overall sentiment remains positive due to strong sales growth, strategic investments in distribution, and efficient capital management.
