Strong System-Wide Sales and Store Growth
System-wide sales increased by 11% to $826 million, with same-store sales growth of 5.8%. The total net sales rose by 11% to $403 million after adjustments. The company expanded its store count by 8% to 2,078 locations.
Operational Efficiency and Strategic Initiatives
Valvoline Inc. successfully transitioned its customer and marketing database to the cloud, enhancing marketing efficiency. The company also launched university athletic partnerships in Ohio and Tennessee to boost customer acquisition.
Refranchising and Strategic Partnerships
New franchise partners increased their store opening pace, with some ramping from one store every couple of years to four new stores this year. This has been a part of Valvoline Inc.'s strategy to accelerate network growth.
Positive Customer Feedback and Brand Strength
Valvoline Inc. received a customer satisfaction rating of 4.7 out of 5 stars based on over a million surveys, highlighting strong customer service and brand loyalty.
Minimal Impact from Tariffs
Valvoline Inc. expects the impact of tariffs to be minimal, estimating an operating cost impact of less than $4 million system-wide for fiscal year 2025.