Tractor Supply boosts sales

Brentwood, Tennessee-based Tractor Supply posted first-quarter gains in net sales and comparable store sales, along with "several positive signs in our business," in the words of CEO Hal Lawton.

The company’s sales increased 2.9 percent to a record $3.39 billion, as comps increased 1.1 percent.

The comparable store sales growth reflects strength in seasonal merchandise, partially offset by declines for year-round discretionary categories, the company said. Consumable, usable and edible products performed in line with the company’s overall comparable store sales increase.

"For the first quarter, Tractor Supply’s results were in line with our expectations with positive comparable store sales and robust earnings growth," Lawton said.

Tractor Supply reiterated its full-year financial guidance, which calls for net sales of between $14.7 billion to $15.1 billion; comps of between  negative 1.0% to positive 1.5 percent, and net income of between $1.06 billion to $1.13 billion.

The farm-and-ranch retail giant’s plans for 2024 also include opening some 80 new Tractor Supply stores, continuing Project Fusion remodels and garden center transformations, opening the company’s tenth distribution center and opening 10 to 15 new Petsense by Tractor Supply stores.

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Bottom line: Net income increased 8.2% to $198.2 million from $183.1 million

What the CEO said: "We saw several positive signs in our business during the quarter, including ongoing market share gains, transaction growth and strength in big ticket sales," Lawton said. "Most importantly, we believe that our customer base remains healthy and engaged. We remain confident in our outlook for 2024 given our share gains and the continued scaling of our Life Out Here strategy. We remain committed to disciplined investments to capture the significant long-term growth opportunities in our market."

More information: The company's full earnings release is here.