Exhibit 99.1
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CONTACT: | | Kim Rudd |
| | Executive Assistant |
| | (585)784-3324 |
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| | Investors and Media: Melanie Dambre |
| | FTI Consulting |
| | (212)850-5600 |
FOR IMMEDIATE RELEASE
MONRO, INC. ANNOUNCES SECOND QUARTER
FISCAL 2019 FINANCIAL RESULTS
~ Second Quarter Sales Increase 10.5% to a Record $307.1 Million, Comparable Store Sales Increase 3.2% ~
~ Second Quarter Diluted EPS Increases 25.0% to a Record $.65, Including $.02 ofOne-Time Costs Related to Monro.Forward Investments ~
~ Expands Collaboration with Amazon.com to Provide Tire Installation Services ~
~ Signs Definitive Agreements to Acquire 18 Stores, Bringing Annualized Sales from Fiscal 2019 Acquisitions to $80 Million ~
~ Guides to Upper End of Fiscal 2019 Comparable Store Sales Guidance and Reiterates EPS Guidance ~
ROCHESTER, N.Y. – October 25, 2018 –Monro, Inc. (Nasdaq: MNRO), a leading provider of automotive undercar repair and tire services, today announced financial results for its second quarter ended September 29, 2018.
Second Quarter Results
Sales for the second quarter of the fiscal year ending March 30, 2019 (“fiscal 2019”) increased 10.5% to $307.1 million, as compared to $278.0 million for the second quarter of the fiscal year ended March 31, 2018 (“fiscal 2018”). The total sales increase for the second quarter of $29.1 million was driven by a comparable store sales increase of 3.2% and sales from new stores of $19.9 million, including sales from recent acquisitions of $15.6 million. Comparable store sales increased approximately 12% for brakes, 3% for tires, were flat for both maintenance services and front end/shocks and decreased approximately 1% for alignments.
Gross margin increased 30 basis points to 39.1% in the second quarter of fiscal 2019 from 38.8% in the prior year period, primarily due to leverage from higher comparable store sales and benefits from the Company’s initiatives to optimize its brake package pricing and its store staffing model, partially offset by the impact of sales mix from the Free Service Tire acquisition. Total operating expenses increased by $11.3