NASDAQ$MNRO

Monro Inc · Q3 2026 earnings

Q3 2026 earnings · · Before market open · Investor relations

Briefing

Monro reported a decrease in sales and gross profit, but an increase in net income and diluted EPS for the third quarter of fiscal 2026.

Monro, Inc. announced its third quarter fiscal 2026 financial results, with sales decreasing by 4.0% to $293.4 million compared to the prior year. Despite the sales decline, net income increased significantly by 143.1% to $11.1 million, and diluted earnings per share rose by 133.3% to $0.35. The company also reported a 1.2% increase in comparable store sales from continuing store locations, partially offsetting the impact of store closures.

  • Sales for the third quarter of fiscal 2026 decreased by 4.0% to $293.4 million, primarily due to the closure of 145 underperforming stores.
  • Net income for the third quarter increased by 143.1% to $11.1 million, and diluted earnings per share rose to $0.35 from $0.15 in the prior year.
  • Comparable store sales from continuing locations increased by 1.2%, with strong performance in front end/shocks (7%) and tires (5%).
  • Gross margin expanded by 60 basis points year-over-year to 34.9%, driven by lower material costs and occupancy costs, despite higher technician labor costs.

Headline financials

Total Revenue

$293M

Previous: $306M-4.0%
EPS

$0.35

Previous: $0.19+84.2%
Comparable Store Sales

1.2%

Previous: -1.9%+163.2%
Gross margin

34.9%

No prior period
Stores Open

1.1K

Previous: 1.3K-11.7%
OpEx as % of sales

28.6%

Previous: 31.0%-7.7%
Adj. op. income as % of sales

3.5%

Previous: 3.8%-7.9%
Quarterly cash dividend

$0.28

No prior period
Capital Expenditures

-$21.8M

Previous: -$20.7M-5.6%
Free Cash Flow

-$10.7M

No prior period
Net Income

$11.1M

Previous: $4.6M+142.2%
Operating Income

$18.6M

Previous: $10M+85.7%
Gross Profit

$102M

Previous: $105M-2.3%
Cash & Equivalents

$4.91M

No prior period
Total Assets

$1.57B

No prior period

Revenue & EPS history

Monro · Revenue · Quarterly

$293M

Q3 2026-4%vs Q3 2025
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

Monro is not providing specific fiscal 2026 financial guidance at this time but expects positive comparable store sales for the full fiscal year, driven by continued sales momentum and anticipated consumer tax refunds.

Tailwinds

  • Sales momentum continued into fiscal January with preliminary comparable store sales up almost 1%.
  • Higher expected consumer tax refunds are anticipated to provide a tailwind to topline trends for the remainder of fiscal 2026.
  • The company expects to deliver positive comparable store sales for the full fiscal year.
  • Monro's team drove growth in comparable store sales in November and December, achieving positive comps on a 2-year stack for the first time in over two years.
  • The company successfully reduced inventory levels across the system by over $7 million in the third quarter, achieving an overall reduction of more than $28 million since March.

Headwinds

  • The company did not provide specific fiscal 2026 financial guidance at this time.
  • Softness in consumer demand was observed in October.
  • The closure of 145 underperforming stores in the first quarter of fiscal 2026 impacted overall sales.
  • Comparable store sales, unadjusted for days, decreased 1.9% in the prior year period.
  • Higher technician labor costs as a percentage of sales partially offset gross margin improvements.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2026

Historical avgQ3 2026

-1.1%

Avg return

Earnings day

-2.0%

Avg return

5 days after

-2.1%

Avg return

30 days after

42%

27 / 64 earnings

Positive

+31.4%

Q4 2025

Best reaction

-20.3%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026+0.2%-7.0%+7.5%
Q2 2026-16.6%-16.8%+3.5%
Q1 2026-20.3%-11.6%+1.6%
Q4 2025+31.4%+22.2%+14.9%
Q3 2025-7.7%-15.6%-19.1%
Q2 2025+2.3%+3.2%+5.0%
Q1 2025+11.4%+4.5%+4.0%
Q4 2024-9.4%-8.6%-11.0%
Q3 2024+5.3%+6.9%+8.2%
Q2 2024+4.3%+0.9%+18.4%
Q1 2024-6.4%-6.5%-15.1%
Q4 2023-8.8%-11.4%-19.3%
Q3 2023+11.9%+8.3%+12.3%
Q2 2023-6.3%-1.7%-5.0%
Q1 2023+8.7%+10.9%+3.8%
Q4 2022-11.1%-1.0%-8.4%
Q3 2022-12.8%-14.1%-18.8%
Q2 2022+6.2%+7.5%+0.1%
Q1 2022-6.7%-9.5%-12.3%
Q4 2021-3.2%-5.1%-7.4%
Q3 2021+2.1%+8.0%+9.2%
Q2 2021-1.6%-4.3%+10.5%
Q1 2021-5.8%-4.4%-23.6%
Q4 2020-11.2%-11.8%-13.6%
Q3 2020-10.8%-12.4%-20.2%
Q2 2020-14.9%-12.4%-9.4%
Q1 2020+0.7%+3.5%-7.0%
Q4 2019+4.7%+2.3%+8.6%
Q3 2019+1.0%+6.1%+7.7%
Q2 2019+15.2%+14.1%+20.2%
Q1 2019-4.9%+0.3%+4.8%
Q4 2018-7.0%-1.9%+8.0%
Q3 2018-7.1%-9.7%-16.2%
Q2 2018-3.6%-1.2%-3.4%
Q1 2018+14.0%+9.4%+4.5%
Q4 2017+0.7%-2.0%-8.3%
Q3 2017-8.0%-8.8%-4.8%
Q2 2017-3.5%-6.1%-3.4%
Q1 2017-1.2%-3.0%-9.8%
Q4 2016-6.4%
Q3 2016+2.9%
Q2 2016+4.0%
Q1 2016-1.4%
Q4 2015-4.7%
Q3 2015-3.9%
Q2 2015-3.6%
Q1 2015+0.1%
Q4 2014+6.6%
Q3 2014+0.3%
Q2 2014-1.0%
Q1 2014+1.0%
Q4 2013+10.1%
Q3 2013-4.6%
Q2 2013+1.4%
Q1 2013+0.2%
Q4 2010-1.9%
Q4 2012-1.9%
Q3 2012+4.2%
Q3 2011+4.2%
Q2 2012-1.2%
Q4 2011-1.2%
Q1 2012-2.3%
Q2 2011-2.3%
Q1 2011-2.3%

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