Monro Releases Latest Financials
Monro Inc.’s sales during the third quarter of its fiscal year fell by 4% on a year-over-year basis to $293.4 million.
The decline “was primarily driven by a reduction in sales from the closure of 145 underperforming stores in the first quarter of fiscal 2026, partially offset by a 1.2% increase in comparable store sales from continuing store locations,” say Monro officials.
Comparable tire sales increased by 5% and front end/shock sales grew by 7% during Monro’s third quarter. "Comparable store sales decreased 1% for brakes, 2% for maintenance services, 13% for alignments, and 16% for batteries compared to the prior year period.”
Monro reports that its total operating expenses for the third quarter of fiscal 2026 were $83.8 million, or 28.6% of sales, as compared to $94.8 million, or 31.0% of sales in the prior year period.
"The decrease was primarily driven by an increase of $14 million of net gains from closed store real estate dispositions and $7.3M of lower costs from the closure of 145 underperforming stores in the first quarter of fiscal 2026," say Monro officials.
"This was partially offset by $6.2 million of increased marketing costs to support topline growth and $4.7 million of costs incurred in connection with consultants related to the company’s operational improvement plan.”
Monro’s operating income for the third quarter of fiscal 2026 totaled $18.6 million, or 6.3% of sales, as compared to operating income of $10 million, or 3.3% of sales in the prior year period.
During its third quarter, Monro closed one store, ending the quarter with 1,115 company-operated stores and 48 franchised locations.
"Our sales momentum has continued into fiscal January, with preliminary comp store sales up almost 1%," says Peter Fitzsimmons, the company's president and CEO. "After we saw some softness in consumer demand in October, the Monro team drove growth in comparable store sales in November and December.
"When adjusting for a shift in the timing of the Christmas holiday in the prior year, the months of November and December, as well as the third quarter, mark the first time we delivered positive comps on a two-year stack in over two years. This has also enabled us to report our fourth consecutive quarter of positive comps for the first time in several years."
Fitzsimmons reports that Monro also reduced companywide inventory levels by more than $7 million during the company’s third quarter.
"We have now achieved an overall inventory reduction of more than $28 million, which is 16% since the end of March, just nine months ago. This is a clear indication of how we’ve continued to manage our inventories more efficiently in fiscal 2026.”