my Thank hello opportunities comments on reiterating Supply. everyone you, did I in by we long-term Hal, did to for the X.X want Over on confidence and I've never business, Hal's had the Tractor the transitory XXXX to XXXX we've start that call. our headwinds many not point year. year some in during in break as a positively at decades seen where this and
address to Before get wanted items. into of I I my review quarter, the X
of purposes, quarter. sales a fourth First, in negatively full it representing by keep quarter, XXXX percentage provided the points benefit about had a sales year this to X.X comparability our year net X.X XXrd net million decline impacted fiscal sales percentage of that mind, for please net points. prior week $XXX a basis, On
In week. addition, XXXX the in the by quarter for XXrd from diluted EPS benefited year and $X.XX the
in strong performance. results going the as fourth weighed the quarter Second, of was late in warm challenging quarter. the categories on basis the winter fourth points pressure XXXX sales overall, pressure our We the the business year majority given impacted cycling of approximately our most provided impact performance to of the comp comp transactions, goods. our of benefit We year. nature knew the other winter the winter be were be on our storm unseasonably and a to was seasonal of prior the The this our estimate year, it X.X% in to quarter basis needs-based of across point XXX December and we that Q XXX given comp last
weather mix propane, business a pellets, bird has Q in seasonal for and such savings Our bulk of feed higher pine cold products wood the as fourth quarter bedding.
comp sales On of we comp weather. in relatively storm our sales performance. of categories, we the our biggest Coming would with against played quarter slight a adjusting in work out performance months lapping October was and our November much seeing a fourth to quarter expected. run sales rate the December us the of seasonal normalized Most commentary remaining very normalized and comp in Factoring sales. into comp it on basis, impacts anticipated decline my much were winter we all were year. the with from as the of decline impact From last performance, in always seasonal the play from the basis, from our a line the impact quarter, performance quarter like with last our performed into consistent weather, quarter. is for the similar fourth cadence product very
Turning to our product categories.
We we our performed the with gain chain categories continue Discretionary Q solid for performance expectations above line to to quarter. a with normalized as in continue a sales see sales flat on sales a Q comps, basis, X average quarters. positive low Comparable On basis. had essentially in share. ticket with the performance negative decline. comp improvement ticket in trends the showed were continued Big mid-single-digit and a big digits over a positive slightly for quarter the the previous of single normalized comparable ran
week holiday Christmas. sales we is holiday in the during after and business not sales Thanksgiving up strong of by driven primarily all the season, our encouraged time in performance highest leading recording our day by were Although on day including to QX, our the performance
the in As a deflation. we all net year, price experiencing year, a we retail QX have with saw slight experienced slowdown continued inflation throughout
In historical as We nearing we running have managed XXXX decline rolled through raw various above in successfully the in about the most in XX% material by commodities XXXX, over and throughout average. deflation and high believe corn are the its recent XXXX, evidenced trough inputs currently XX% now. from
product items wage factors are As costs higher declines prices. we exit XXXX, supporting higher our other costs. these already reflected feedstock inflationary Structural types in retail such as rates, of transportation all overhead still and are
on Moving margin. to gross
of XX.X% of a XXX performance improvement year-over-year For fourth of points our with sales. basis strong the margin gross quarter, trend continued to
from our new transportation margin by efficiencies rates expansion a opening led network, including improvements chain was and in supply lower gross the in Our DC.
benefit cost our continue everyday low from We prices, and management. product commitment to to disciplined
of higher modestly an promotional favorable we mix mix our While due by gross strategically partially was value shift and our than customers drivers able mix greater to Q prior a while great high-margin were the lower activity categories. unfavorable These offset to maintaining for provide a margin. our product were year, of seasonal
our fixed of primarily with and cost amortization, points to investments which leverage our percent and XXX the was a DC, included new along to comparable store attributable As This sales. the higher year-over-year growth SG&A due decline depreciation expenses, basis sales, some amortization onboarding in depreciation including that of XX.X%. and lost planned to increase increased
increase a Supply which extent stores, partially Additionally, although lesser decrease quarter the claims last points of was basis quarter. margin a X contributed quarter. XX than XX higher Tractor initiated benefit in by for also to sale-leaseback improved point X.X%. QX, we to the The to basis last SG&A. contributed the sold program compensation incentive Operating In medical the in SG&A, and to deleverage a benefits offset SG&A
the year. with Excluding XXrd cycling diluted essentially the of EPS $X.XX flat prior the of was week,
to pipeline new Our strong. store continues be
to store averages. Our sales continue historical new outperform and profitability numbers
the productivity to than sales is of productivity was new metric store Supply XXXX with have XX% in in mature the in for store year noncomp our performance external addition the chain. XX% the Tractor numbers, Orscheln our to about the new more Average of the X of line compared store calculations, XXXX, cloudy organic a new average. Given increased stores of our our By store sales stores new reporting. TSC in
profitable be the and positive to have a to X flow X cash about year continue point stores payback in same in Our X, at years.
economics growth solidify a store Tractor the hallmark Our sustainable new Supply. of our new unlock lead and are Strong store economics channel. in
the reflect the back continue XXXX, business be on to As and I of resiliency I by encouraged structural our nature it. of
to move coming backdrop shared outlook let's Hal macro for the thinking our for about we are how year. the XXXX. Now
gradual a a a financial our to do the economic algorithm. We in remains. and lingering have of this is forecasted DNA. landing cycles a comparable question recession risk the our harder with long-term Navigating we are outlook With our in sales approach mind, if slowdown we anticipating performance XXXX below have of cautious taken have our or soft
including periods We have deflation. of successfully managed even through diverse disinflation inflation and market conditions, to
dynamics Our us the deep understanding allows to conditions. market to proactively of adapt these
such rates any unit for items the commodity stickiness in We modest term pricing. be mitigate expect input other neutral headwind anticipate to to retails we average reversion as wage costs and further to near to as a labor
sales the down of store an of be Comparable we increase to For billion $XX.X anticipated in net a $XX.X sales modest XXXX, are range X% X.X%. are forecasting billion. to fiscal of to
will are of we revert as for ticket positive the XX year are cautiously full cycling trends optimistic We declines. to that big months
We moderation of management margin And basis deleverage supply gross due a to primary the of expect impact continued couple efficiencies, XX cost margin be chain about of expansion offset mix benefits anticipate SG&A XX factors. effective from by a of gross to the We points and expansion from to Q.
First, depreciation and in the amortization is to anticipated increase mid-teens.
While improvement growth grows in investments than growth from will this strategic as initiatives deleverage our we recent an faster sales. underlying moderate D&A our as is
to center plan distribution open second our we quarter. tenth in Second, the
benefits for margin. supply gross reminder, are operating the SG&A, while in are reflected cost the a chain reflected new As in DC the
Our DC SG&A since not margin XX this the approximately takes fully The and XX basis gross network benefit will points. chain is offset ramp to benefits. expected in to maturity facility to the supply pressure completely for by to time it pressure new realize
our margin the As operating opening some we our lapping expect new not medical by a expect reoccur modest XXXX. higher-than-normal We programs. in on primary this do of partially These changes are X benefits to our offset from result, those benefit due pressure the factors DC. proactive to to of
our second contribution. In a these we existing XXXX, sale-leaseback year similar will with half of to our planned some the sell owned continue program and the sales stores. similar occur XXXX of to EPS on will in strategic cadence anticipate a We
continue X forecast these to be We next strategic sale years. for the to ongoing XX to leasebacks
operating XX.X%. we For an margin to the forecast year, X.X% of
and $XX.XX. healthy EPS approximately XX.X% of be for million. Gross forecast are be to of and anticipated range $XXX to are of proceeds to Diluted is forecast the maintain or We about X.X% to tax million existing the our $XXX million million $X.XX are approximately of This capital in the to interest Xx, $XXX to plan Net Tractor range sales. to in in reflects forecasting of to XX.X%. stores. $XXX newly $XX The effective a X% capital a Supply amount rate range sale developed forecast We million. of million expect the expense $XX we leverage be expenditures to ratio to net of expenditures
stores a We to reflect XXXX. ramp XX by new in in plans approximately capital store to Tractor openings opening Tractor Supply stores. XX our Our Supply Petsense XX anticipate
a with continues we new the and dividend growing cash to returning solid, combination be to to store through in XXXX. pipeline cadence share line and opening repurchases. of remain expect Our store committed shareholders We B
in X%. repurchases reduction a For XXXX, shares of million $XXX a we is of share approximately in of million have outstanding $XXX which estimated to to a net weighted range benefit anticipate average
walk Now through to to few our calendarization items of I'd a for like expectations. consider the
to and halves nature As at believe best business. business look always, way the we due in not our our of is the quarters to
of be in We quarters expect with sales guidance. tight a consistent the our range, for comp each overall relatively to XXXX
are for We the transactions for positive planning comp year.
to first to margins results QX. growth anticipate year-over-year operating As in to half. favorable more earnings, lower will the second certain opposed second the benefit factors There quarter as a we We half in the are that quarters. expect to to through be costs begin few impact starting our our EPS slightly in flatten tailwinds of transportation the and
the margin for gross to the may the anticipated result, high the low year annual of range, the be the a half of end be our end guidance of first near second As range. expansion is while half near
the quarters while to the the toughest EPS factors. the the operating from until third be of anticipate will Considering due to the these of gross and center, be our quarter factors, in be margin lapping keep realized not combination distribution we decline third mind, be new second in will these late SG&A, of to regards will an begin and chain benefit benefits Please in per in costs In supply a third last earnings each the $X.XX start-up quarter the share as margin change we will year. the quarter. depreciation from pressured for third in comparison
of cycle will added beginning store As comp to systems we the a as Supply. moving approach stores Orscheln timing to of reminder, quarter tiered these in and be with a stores our rebranding Tractor second the calculation the stores point-of-sale the to
inflation February the challenging it a as price January March. also in We relatively last retail had benefiting we was first from digits. quarter, Specific and year single quarter warm to were cold first and the in abnormally high
the first sales the start our defined positive good quarter. quarter. are clearly opportunities momentum have anticipating To temperatures of cold regions, we Arctic we most Given to are first the up, Overall, market. for long-term strategic we are and comp the as seeing investing priorities capture across wrap recent we the in
driving making are We this profit productivity to intend we our protect and appropriate XXXX. our approach and investments margins through committed to trade-offs to fuel while maintain We operating earnings. focused
are We to continuously committed striving stronger results. for
will over call back I to the that, Hal. turn With
