O'Reilly Auto (ORLY)
NASDAQ:ORLY
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Earnings Data
Report Date
Jul 29, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.86Last Year’s EPS
0.78Same Quarter Last Year
Strong Buy
Based on 18 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlighted a strong operational and financial start to 2026 with robust comps (+8.1%), double-digit total sales growth (+10.2%), meaningful margin and EPS improvement, healthy free cash flow, significant share repurchases, and continued store expansion and private-label adoption. Management tempered enthusiasm with prudent caution around consumer sensitivity to fuel prices, Q1 seasonality (weather and tax refunds), supply-chain/commodity risks (motor oil/freight) and some elevated absolute SG&A and liability-related costs. Overall, the positives (solid growth, margin expansion, cash generation, buybacks, and capacity investments) materially outweigh the outlined risks, which management views as manageable within existing guidance.Company Guidance
Strong Comparable Store Sales
Comparable store sales increased 8.1% in Q1 2026, driven by mid-single-digit average ticket growth and higher transaction counts; professional comps remained double-digit for the third consecutive quarter while DIY delivered mid-single-digit comps.
Double-Digit Total Sales Growth
Total sales grew 10.2% in Q1 2026, driven by comps, new store sales and international contributions; Q1 sales increased $424 million year-over-year with a $91 million non-comp contribution from recent openings.
Operating Profit and Margin Improvement
Operating profit rose 14% in the quarter; gross margin was 51.5% (up 19 basis points year-over-year) and management raised full-year operating profit guidance by 10 basis points to a range of 19.3%–19.8%.
Earnings Per Share Upgrade and Share Repurchases
Diluted EPS increased 16% in the quarter and full-year EPS guidance was increased to $3.15–$3.25; the company repurchased 10 million shares in Q1 at an average price of $92.45 for $923 million, supporting EPS accretion.
Cash Flow and Balance Sheet Strength
Free cash flow through the period was $785 million versus $455 million in 2025; full-year free cash flow guidance remains $1.8 billion–$2.1 billion. Adjusted net leverage finished Q1 at 2.03x EBITDA, below the 2.5x target.
Private Label Penetration and Sourcing Advantage
Private label penetration climbed to over 50% of total revenue, enabling improved margin, sourcing flexibility and multi-supplier SKU deployment to mitigate supply disruptions.
Inventory Productivity and Store Growth
Inventory per store was $874k (up 8.5% year-over-year) with turns at 1.6x; the company opened 59 net new stores in Q1 and remains on track for 225–235 net new stores in 2026.
Maintained and Conservative Full-Year Sales Guidance
Full-year comparable store sales guidance was maintained at 3%–5% (management noted Q1 puts the company toward the top half of that range) while taking a cautious stance on consumer variability.
SG&A Discipline and Leverage
Management generated 34 basis points of SG&A leverage in Q1 despite higher absolute SG&A spend to support elevated volumes; full-year SG&A per store growth is expected to moderate to 3%–4% (Q1 was 5.5%).
Capital Expenditure Plans on Track
Q1 capital expenditures were $244 million and full-year CapEx guidance remains $1.3 billion–$1.4 billion with major projects on schedule to support expansion.
ORLY Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
ORLY Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 29, 2026 | $91.69 | $99.40 | +8.41% |
Feb 04, 2026 | $96.74 | $92.86 | -4.01% |
Oct 22, 2025 | $101.21 | $98.27 | -2.90% |
Jul 23, 2025 | $95.42 | $98.16 | +2.87% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does O'Reilly Auto (ORLY) report earnings?
O'Reilly Auto (ORLY) is schdueled to report earning on Jul 29, 2026, After Close (Confirmed).
What is O'Reilly Auto (ORLY) earnings time?
O'Reilly Auto (ORLY) earnings time is at Jul 29, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is ORLY EPS forecast?
ORLY EPS forecast for the fiscal quarter 2026 (Q2) is 0.86.