O'Reilly Automotive Reports Strong Q3 2026 Earnings & Raises Full-Year Guidance

Executive Summary

On October 28, 2026, O'Reilly Automotive, Inc. filed a Current Report on Form 8-K under Item 2.02 (Results of Operations and Financial Condition), furnishing its financial results for the third quarter ended September 30, 2026, and updating its full-year 2026 outlook.

Key Financial Highlights

• Quarterly Revenue: Sales grew 9% year-over-year to $5.12 billion, compared to $4.71 billion in Q3 2025.
• Comparable Store Sales: Increased 7.2% for the quarter (stacking on 5.6% in Q3 2025, yielding a two-year stack of 12.8%).
• Operating Performance:
  • Gross profit expanded 10% to $2.68 billion (52.4% of sales, up 50 bps YoY).
  • Operating income climbed 13% to $1.10 billion (21.4% of sales, up 70 bps YoY).
  • Benefit of $39 million recognized from tariff refunds during the quarter.
• Earnings Per Share: Diluted EPS rose 14% to $0.97 compared to $0.85 in the prior-year period.
• Capital Allocation: Repurchased 11.8 million shares for $1.03 billion during Q3 2026; $727 million remains under the share repurchase authorization.

Full-Year 2026 Guidance Revisions

• Comparable Store Sales: Raised to a range of 5.5% to 6.5%.
• Total Revenue: Expected between $19.0 billion and $19.3 billion.
• Gross Margin: Raised to 51.6% – 52.1%.
• Operating Margin: Raised to 19.5% – 20.0%.
• Diluted EPS: Targeted at $3.25 to $3.35.
• Free Cash Flow: Projected at $1.9 billion to $2.2 billion (Operating Cash Flow of $3.2B – $3.6B minus CapEx of $1.3B – $1.4B).
• Store Expansion: Target of 225 to 235 net new store openings (173 opened year-to-date).