Advance Auto Parts reports preliminary Q2 results, plans debt refinancing

Advance Auto Parts Inc. (NYSE: AAP) announced preliminary second quarter 2025 financial results and plans for debt financing transactions, according to a company statement.

The automotive aftermarket parts provider expects to report net sales between $1.98 billion and $2.00 billion for the quarter ended July 12, 2025. Year-over-year comparable store sales are projected to range from flat to a 0.1% increase. The company anticipates adjusted operating income margin of 2.8% to 3.0%.

"Our team remains focused on implementing our strategic initiatives to improve business performance," said Shane O'Kelly, president and chief executive officer. "We are pleased to share preliminary second-quarter financial results, which align with the upper range of our expectations, demonstrating progress in our turnaround efforts."

The company announced it is pursuing debt financing transactions aimed at maintaining financial flexibility. Ryan Grimsland, executive vice president and chief financial officer, stated the company is working with banking partners to establish a revised debt financing structure.

"We are working closely with our banking partners to establish a revised debt financing structure that we believe serves as a bridge toward re-attainment of an investment grade credit rating in the future," Grimsland said.

The financing plans will support a new asset-backed revolving loan facility and commitments under the supply chain financing program used by vendors. Advance Auto Parts expects to report complete second quarter results on August 14, 2025.

As of April 19, 2025, the company operated 4,285 stores primarily in the United States, with additional locations in Canada, Puerto Rico, and the U.S. Virgin Islands. The company also serves 881 independently owned Carquest branded stores.

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