Despite closures, a well-known retailer intends to launch 100 new outlets in the U.S.
over 700 locations
nationwide.

Advance Auto Parts plans to open a minimum of 100 new outlets across the country by 2027.

The initial 30 sites will debut in the United States within this year.

Advance Auto Parts has already launched six new outlets in Florida, New Jersey, Tennessee, and Virginia so far this year.

It will expand to other states over the next several months, including Illinois, Maryland, Ohio, and Wisconsin.

The firm disclosed that bigger store launches will take place in the Midwest region, aiming to enhance service efficiency through same-day delivery options for components and boost product accessibility.

‘Shane O’Kelly, who serves as both the president and CEO, mentioned that Advance Auto Parts is committed to speeding up store expansion and concentrating on the basics of retailing automotive components,’ he stated.

‘The members of our team are dedicated to offering the correct components and superior services for both professional and do-it-yourself clients within their local areas.’

Advance Auto Parts’ store closings were part of a
restructuring plan
that began in 2024.

The company revealed the plan was put in place to help improve its business performance and ‘focus on core retail improvements.’

‘The company has identified opportunities that it believes can improve adjusted operating income margin by more than 500-basis points through fiscal 2027,’ its 2024 third quarter earnings report read.

‘This strategic plan is anchored on three pillars outlined below to put the company on the path to deliver consistent profitable growth.’

By March, roughly 523Advance corporate outlets, along with 204 standalone shops, had shut down for good. Additionally, four distribution hubs were also closed permanently during this period.

Following the announcement of a $6 million loss during its third quarter, the North Carolina-based firm issued this statement.

For the second consecutive time, it has reduced its 2024 annual forecast during the second quarter.

In addition to restructuring efforts, Advance Auto Parts completed a $1.5 billion sale of its distribution unit, Worldpac.
Carlyle investment firm
to boost profits.

Advance Auto Parts reported $2 billion in net sales for the 2024 fourth quarter, marking a 0.9 percent decline compared to the previous year’s figures.

Its comparable sales were lower compared to its 2023 fourth quarter.

Concerning its annual revenues, the firm verified that it generated approximately $9.1 billion in net sales, marking a 1.2 percent decline compared to the year 2023.

Even with the downturn,Advance Auto Parts remains unconcerned.

“We concluded 2024 with a robust balance sheet and ample liquidity to steer through our recovery,” Kelly stated in the February 26 report.

‘The team is acutely focused on execution and driving stronger accountability.’

Kelly continued by saying Advance Auto Parts is continuing to work on achieving its goal of having a 7 percent adjusted operating margin by 2027.

The company revealed it’s expecting to earn $2.5 billion in net sales and suffer another decline in comparable sales during this year’s first quarter.

Advance Auto Parts is one of multiple companies that have opted to close hundreds of stores.

US retailers closed
over 7,300 stores
in part due to inflation and its rivalry with e-commerce in 2024.

Macy’s is one of those chains that has suffered multiple sales slumps, and confirmed 66 of its 150 store
closures
will happen this year as part of its ‘
Bold New Chapter
‘ strategy.

Other retailers, such as
Joann
and
Party City
were not able to bounce back from
bankruptcy
and decided to close all their locations.

Forever21 is one of the latest store chains to fall from grace after announcing its plan to
shut down
its US operations this year.

Advance Auto Parts remains operational across more than 4,000 stores globally.

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