Earnings Per Share In Line and FY EPS Growth
Q4 diluted EPS of $0.36 was in line with guidance midpoint; full fiscal year diluted EPS of $1.92 vs $1.90 prior year (prior year included a $0.05 benefit). Fiscal 2026 EPS guidance is $1.98 to $2.18.
Full-Year Revenue and Gross Margin Expansion
Fiscal 2025 sales grew 5.1% to $4.684 billion; full-year gross profit increased $115.7 million or 6.0% and gross margin improved ~30 basis points to 43.6% year-over-year.
Store Footprint Expansion and Lower New-Store CapEx
Opened 20 new warehouse-format stores in FY25 (8 in Q4), ending the year with 270 stores, an 8% increase from 251. Plan to open 20 stores in FY26. New-store capital spend per store for the 2026 class expected at $7M–$8M versus $10.2M for the 2025 class, reflecting ~11% lower construction costs versus earlier cohorts.
Commercial and Pro Momentum; Connected Customers
Pro customers represented ~50% of total sales (Q4 Pro sales grew slightly and +9% for the full year). Spartan Surfaces sales rose ~13% to $243 million. Connected customer sales increased ~2% and accounted for ~18.5% of total sales, with connected average ticket growing.
Operational Improvements and Customer Satisfaction
Company achieved record Net Promoter Scores in 2025, diversified sourcing (China receipts down to 3% from 12.5% prior year), and invested in distribution center capacity (Seattle and Baltimore) to support future growth and network responsiveness.
Strong Liquidity and Reduced CapEx
Year-end unrestricted liquidity of $909.8 million (cash $249.3M + $660.5M available ABL). Fiscal 2025 capital expenditures were $300.4M, down from $376.3M in 2024, and inventory remained stable at $1.1B.