XM does not provide services to residents of the United States of America.

Advance Auto Parts to close stores, cut jobs amid sluggish demand



<html xmlns="http://www.w3.org/1999/xhtml"><head><title>Advance Auto Parts to close stores, cut jobs amid sluggish demand</title></head><body>

Nov 14 (Reuters) -Advance Auto Parts AAP.N said on Thursday it willclose about 500 stores by mid-2025 and cut some jobs undera restructuring effort, as demand for vehicle parts takes a hit from fewer consumers opting to repair their cars.

Shares of the auto parts retailerwere down about 4.7% in premarket trading after it also reported a surprise third-quarter adjusted loss of 4 cents per share.

Analysts on averagewere expecting a profit of 49 cents, according to data compiled by LSEG.

The automotive industry has had a difficult second half of the year, burdened by inflationary headwinds and stiff competition from Chinese automakers putting out affordable yet feature-packed vehicles.

Auto suppliers such as Aptiv PLC APTV.N and BorgWarner BWA.N cut theirannual sales forecastslast month on expectations of lower vehicle production as consumers cutback on purchases.

As part of its turnaround efforts, Advance Auto Parts announced plans to close 523 corporate stores, exit 204 independent locations, and shutter four distribution centers by mid-2025. The company aims to improve its adjusted operating income margin by over 500 basis points through fiscal 2027.

It expects to incur about $350 million to $750 million of total costs related to the restructuring.

Separately, the North Carolina-based company said it expects 2024 earningsfrom continuing operations of between a loss of 60 cents per share and breakeven, compared with estimates foran adjusted profit of $2.16 per share.





Reporting by Kannaki Deka in Bengaluru; Editing by Devika Syamnath

</body></html>

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.