BRENTWOOD, Tenn., April 7, 2010 /PRNewswire via COMTEX/ — Tractor Supply Co. (Nasdaq: TSCO), the largest retail farm and ranch store chain in the United States, today provided a business update for the first quarter ended March 27, 2010.
Tractor Supply Co.’s sales for 1Q increased 9.3% to $710.9 million from $650.2 million in the 1Q of 2009. Same-store sales increased 2.8% compared with a same-store sales increase of 4.2% in the first quarter of 2009.
The company anticipates that net income for the first quarter will be approximately $8.0 million to $9.0 million, or $0.22 to $0.24 per diluted share, compared to $0.5 million, or $0.01 per diluted share, in the prior year’s first quarter.
Jim Wright, chairman and CEO, stated, “We are pleased with our exceptional first-quarter performance. Comp-sales continued to be driven by footsteps with a 7.3% comp transaction count increase. Weather conditions were favorable throughout the quarter; however, our seasonal presentation, product assortment and in-stock levels also helped drive sales growth and gross margin expansion. As a result, we leveraged SG&A expenses and delivered record first quarter earnings.”
The company will release its full first quarter 2010 results after the market close on Wednesday, April 21, 2010.
Based on the company’s anticipated first quarter results, the Company has updated its outlook for fiscal 2010. The company raised its expectations for annual net sales of $3.44 billion to $3.50 billion compared to its original expectations of $3.42 billion to $3.48 billion. Same-store sales are now expected to increase by 1% to 3%, up from the company’s prior guidance of 0.5% to 2.5%. The company now anticipates net income to range from $3.48 to $3.60 per diluted share compared to its previous guidance of $3.30 to $3.42 per diluted share.
Mr. Wright concluded, “As a result of our strong first quarter execution, we are increasing our sales and earnings expectations for 2010. We have increased confidence that our relentless focus on serving customers’ rural lifestyle while delivering value everyday and managing our stated objectives proactively will continue to benefit Tractor Supply Co. and our shareholders.”