O’Reilly Automotive, Inc. Reports Third Quarter 2025 Results

Third quarter comparable store sales growth of 5.6%9% increase in third quarter operating income12% increase in third quarter diluted earnings per share to $0.85

SPRINGFIELD, Mo., Oct. 22, 2025 (GLOBE NEWSWIRE) -- O’Reilly Automotive, Inc. (the “Company” or “O’Reilly”) (Nasdaq: ORLY), a leading retailer in the automotive aftermarket industry, today announced record revenue and earnings for its third quarter ended September 30, 2025.

3rd Quarter Financial Results

Brad Beckham, O’Reilly’s CEO, commented, “We are pleased to report another quarter of solid performance and profitable growth, highlighted by a 5.6% increase in comparable store sales and a 12% increase in diluted earnings per share for the third quarter. Our Team continues to execute our proven business model at a very high level, generating robust sales growth by delivering share gains on both sides of our business. Team O’Reilly’s commitment to providing unparalleled service to our customers drove our strong results, and I would like to thank each of our over 93,000 Team Members for their unrelenting hard work and dedication.”

Sales for the third quarter ended September 30, 2025, increased $341 million, or 8%, to $4.71 billion from $4.36 billion for the same period one year ago. Gross profit for the third quarter increased 8% to $2.44 billion (or 51.9% of sales) from $2.25 billion (or 51.6% of sales) for the same period one year ago. Selling, general and administrative expenses (“SG&A”) for the third quarter increased 8% to $1.46 billion (or 31.1% of sales) from $1.35 billion (or 31.0% of sales) for the same period one year ago. Operating income for the third quarter increased 9% to $976 million (or 20.7% of sales) from $897 million (or 20.5% of sales) for the same period one year ago.

Net income for the third quarter ended September 30, 2025, increased $60 million, or 9%, to $726 million (or 15.4% of sales) from $665 million (or 15.2% of sales) for the same period one year ago. Diluted earnings per common share for the third quarter increased 12% to $0.85 on 853 million shares versus $0.76 on 875 million shares for the same period one year ago. The Company completed a 15-for-1 forward stock split on June 10, 2025, and accordingly all share and per share data in current and comparable periods have been adjusted to reflect the split.

Year-to-Date Financial Results

Mr. Beckham concluded, “As a result of our year-to-date performance and updated outlook for the remainder of 2025, we are raising our full-year 2025 comparable store sales guidance to a range of 4.0% to 5.0%. We remain confident in the underlying demand drivers of our industry and our Team’s ability to grow our share of the market by delivering industry-leading customer service.”

Sales for the first nine months of 2025 increased $755 million, or 6%, to $13.37 billion from $12.61 billion for the same period one year ago. Gross profit for the first nine months of 2025 increased 7% to $6.89 billion (or 51.5% of sales) from $6.45 billion (or 51.2% of sales) for the same period one year ago. SG&A for the first nine months of 2025 increased 8% to $4.26 billion (or 31.8% of sales) from $3.94 billion (or 31.2% of sales) for the same period one year ago. Operating income for the first nine months of 2025 increased 5% to $2.63 billion (or 19.7% of sales) from $2.51 billion (or 19.9% of sales) for the same period one year ago.

Net income for the first nine months of 2025 increased $97 million, or 5%, to $1.93 billion (or 14.5% of sales) from $1.84 billion (or 14.6% of sales) for the same period one year ago. Diluted earnings per common share for the first nine months of 2025 increased 8% to $2.25 on 858 million shares versus $2.08 on 884 million shares for the same period one year ago.

3rd Quarter Comparable Store Sales Results

Comparable store sales are calculated based on the change in sales for U.S. stores open at least one year and exclude sales of specialty machinery, sales to independent parts stores, and sales to Team Members, as well as sales from Leap Day for the nine months ended September 30, 2024. Online sales for ship-to-home orders and pick-up-in-store orders for U.S. stores open at least one year are included in the comparable store sales calculation. Comparable store sales increased 5.6% for the third quarter ended September 30, 2025, on top of 1.5% for the same period one year ago. Comparable store sales increased 4.5% for the nine months ended September 30, 2025, on top of 2.4% for the same period one year ago.

Share Repurchase Program

During the third quarter ended September 30, 2025, the Company repurchased 4.3 million shares of its common stock, at an average price per share of $98.08, for a total investment of $420 million. During the first nine months of 2025, the Company repurchased 17.6 million shares of its common stock, at an average price per share of $90.95, for a total investment of $1.60 billion. Excise tax on shares repurchased, assessed at one percent of the fair market value of shares repurchased, was $16.0 million for the nine months ended September 30, 2025. Subsequent to the end of the third quarter and through the date of this release, the Company repurchased an additional 0.8 million shares of its common stock, at an average price per share of $102.96, for a total investment of $79 million. The Company has repurchased a total of 1.46 billion shares of its common stock under its share repurchase program since the inception of the program in January of 2011 and through the date of this release, at an average price of $18.46, for a total aggregate investment of $26.93 billion.   As of the date of this release, the Company had approximately $820 million remaining under its current share repurchase authorization.

Updated Full-Year 2025 Guidance

The table below outlines the Company’s updated guidance for selected full-year 2025 financial data:

For the Year Ending December 31, 2025Net, new store openings 200 to 210Comparable store sales 4.0% to 5.0%Total revenue $17.6 billion to $17.8 billionGross profit as a percentage of sales 51.2% to 51.7%Operating income as a percentage of sales 19.2% to 19.7%Effective income tax rate 21.6%Diluted earnings per share(1) $2.90 to $3.00Net cash provided by operating activities $2.6 billion to $3.0 billionCapital expenditures $1.1 billion to $1.2 billionFree cash flow(2) $1.5 billion to $1.8 billion

During the third quarter, the Company accelerated the payment timing of transferable renewable energy tax credits that were originally planned to settle in early 2026, resulting in a reduction to its full-year net cash provided by operating activities guidance to the updated range of $2.6 billion to $3.0 billion. The Company has also revised its expected full-year income tax rate from 22.3% to 21.6%, reflecting incremental benefits received from the accelerated payment.

(1) Weighted-average shares outstanding, assuming dilution, used in the denominator of this calculation, includes share repurchases made by the Company through the date of this release. (2) Free cash flow is a non-GAAP financial measure. The table below reconciles Free cash flow guidance to Net cash provided by operating activities guidance, the most directly comparable GAAP financial measure:

For the Year Ending(in millions) December 31, 2025Net cash provided by operating activities $2,625 to $3,035Less:Capital expenditures 1,100 to 1,200 Excess tax benefit from share-based compensation payments 25 to 35Free cash flow $1,500 to $1,800

Non-GAAP Information

This release contains certain financial information not derived in accordance with United States generally accepted accounting principles (“GAAP”). These items include adjusted debt to earnings before interest, taxes, depreciation, amortization, share-based compensation, and rent (“EBITDAR”) and free cash flow. The Company does not, nor does it suggest investors should, consider such non-GAAP financial measures in isolation from, or as a substitute for, GAAP financial information. The Company believes that the presentation of adjusted debt to EBITDAR and free cash flow provide meaningful supplemental information to both management and investors that is indicative of the Company’s core operations. The Company has included a reconciliation of this additional information to the most comparable GAAP measure in the table above and the selected financial information below.

Earnings Conference Call Information

The Company will host a conference call on Thursday, October 23, 2025, at 10:00 a.m. Central Time to discuss its results as well as future expectations. Investors may listen to the conference call live on the Company’s website at www.OReillyAuto.com by clicking on “Investor Relations.” Interested analysts are invited to join the call. The dial-in number for the call is (888) 506-0062 and the conference call identification number is 674813. A replay of the conference call will be available on the Company’s website through Thursday, October 22, 2026.

About O’Reilly Automotive, Inc.

O’Reilly Automotive, Inc. was founded in 1957 by the O’Reilly family and is one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States, serving both the do-it-yourself and professional service provider markets. Visit the Company’s website at www.OReillyAuto.com for additional information about O’Reilly, including access to online shopping and current promotions, store locations, hours and services, employment opportunities, and other programs. As of September 30, 2025, the Company operated 6,538 stores across 48 U.S. states, Puerto Rico, Mexico, and Canada.

Forward-Looking Statements

The Company claims the protection of the safe-harbor for forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by forward-looking words such as “estimate,” “may,” “could,” “will,” “believe,” “expect,” “would,” “consider,” “should,” “anticipate,” “project,” “plan,” “intend,” “guidance,” “target,” or similar words. In addition, statements contained within this press release that are not historical facts are forward-looking statements, such as statements discussing, among other things, expected growth, store development, integration and expansion strategy, business strategies, future revenues, and future performance. These forward-looking statements are based on estimates, projections, beliefs, and assumptions and are not guarantees of future events and results. Such statements are subject to risks, uncertainties, and assumptions, including, but not limited to, the economy in general; inflation; consumer debt levels; product demand; a public health crisis; the market for auto parts; competition; weather; trade disputes and changes in trade policies, including the imposition of new or increased tariffs; availability of key products and supply chain disruptions; business interruptions, including terrorist activities, war and the threat of war; failure to protect our brand and reputation; challenges in international markets; volatility of the market price of our common stock; our increased debt levels; credit ratings on public debt; damage, failure, or interruption of information technology systems, including information security and cyber-attacks; historical growth rate sustainability; our ability to hire and retain qualified employees; risks associated with the performance of acquired businesses; and governmental regulations. Actual results may materially differ from anticipated results described or implied in these forward-looking statements. Please refer to the “Risk Factors” section of the annual report on Form 10-K for the year ended December 31, 2024, and subsequent Securities and Exchange Commission filings, for additional factors that could materially affect the Company’s financial performance. Forward-looking statements speak only as of the date they were made, and the Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by applicable law.

For further information contact:Investor Relations Contacts Leslie Skorick (417) 874-7142 Eric Bird (417) 868-4259 Media Contact Sonya Cox (417) 829-5709

O’REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share data) September 30, 2025 September 30, 2024 December 31, 2024 (Unaudited) (Unaudited) (Note)Assets Current assets: Cash and cash equivalents $204,513 $115,613 $130,245 Accounts receivable, net 422,849 401,950 356,839 Amounts receivable from suppliers 178,155 154,300 139,091 Inventory 5,610,118 4,913,237 5,095,804 Other current assets 181,340 113,187 117,916 Total current assets 6,596,975 5,698,287 5,839,895 Property and equipment, at cost 9,982,785 8,969,137 9,192,254 Less: accumulated depreciation and amortization 3,849,021 3,532,755 3,587,098 Net property and equipment 6,133,764 5,436,382 5,605,156 Operating lease, right-of-use assets 2,404,612 2,269,929 2,324,638 Goodwill 945,587 997,226 930,161 Other assets, net 198,689 175,698 193,891 Total assets $16,279,627 $14,577,522 $14,893,741 Liabilities and shareholders’ deficit Current liabilities: Accounts payable $7,060,609 $6,359,619 $6,524,811 Self-insurance reserves 180,138 123,505 149,387 Accrued payroll 154,288 141,361 107,495 Accrued benefits and withholdings 256,835 201,351 199,593 Income taxes payable 10,696 206,776 6,274 Current portion of operating lease liabilities 436,672 408,571 419,213 Other current liabilities 610,521 743,982 876,732 Total current liabilities 8,709,759 8,185,165 8,283,505 Long-term debt 5,915,530 5,359,810 5,520,932 Operating lease liabilities, less current portion 2,049,454 1,938,162 1,980,705 Deferred income taxes 240,728 325,869 247,599 Other liabilities 258,832 207,580 231,961 Shareholders’ equity (deficit): Common stock, $0.01 par value: Authorized shares – 1,250,000,000 Issued and outstanding shares – 846,832,348 as of September 30, 2025, 867,583,800 as of September 30, 2024, and 862,232,760 as of December 31, 2024 8,468 8,676 8,622 Additional paid-in capital 1,519,584 1,441,349 1,454,518 Retained deficit (2,438,352) (2,875,955) (2,791,288)Accumulated other comprehensive income (loss) 15,624 (13,134) (42,813)Total shareholders’ deficit (894,676) (1,439,064) (1,370,961) Total liabilities and shareholders’ deficit $16,279,627 $14,577,522 $14,893,741

Note: The balance sheet at December 31, 2024, has been derived from the audited consolidated financial statements at that date but does not include all of the information and footnotes required by United States generally accepted accounting principles for complete financial statements.

O’REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(In thousands, except per share data) For the Three Months Ended For the Nine Months Ended September 30, September 30, 2025 2024 2025 2024 Sales $4,705,696 $4,364,437 $13,367,678 $12,612,878 Cost of goods sold, including warehouse and distribution expenses 2,265,750 2,113,212 6,479,709 6,159,421 Gross profit 2,439,946 2,251,225 6,887,969 6,453,457 Selling, general and administrative expenses 1,463,879 1,354,497 4,255,966 3,940,950 Operating income 976,067 896,728 2,632,003 2,512,507 Other income (expense): Interest expense (59,566) (55,166) (174,467) (167,145)Interest income 1,780 2,055 5,329 5,239 Other, net 5,369 4,304 6,591 9,266 Total other expense (52,417) (48,807) (162,547) (152,640) Income before income taxes 923,650 847,921 2,469,456 2,359,867 Provision for income taxes 197,754 182,457 536,480 524,317 Net income $725,896 $665,464 $1,932,976 $1,835,550 Earnings per share-basic: Earnings per share $0.86 $0.76 $2.26 $2.09 Weighted-average common shares outstanding – basic 848,292 869,971 853,909 878,442 Earnings per share-assuming dilution: Earnings per share $0.85 $0.76 $2.25 $2.08 Weighted-average common shares outstanding – assuming dilution 852,704 875,023 858,452 884,135

O’REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(In thousands) For the Nine Months Ended September 30, 2025 2024 Operating activities: Net income $1,932,976 $1,835,550 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization of property, equipment and intangibles 375,825 339,324 Amortization of debt discount and issuance costs 5,502 4,870 Deferred income taxes (7,873) 8,536 Share-based compensation programs 27,108 21,600 Other 7,381 5,928 Changes in operating assets and liabilities: Accounts receivable (66,898) (9,175)Inventory (486,368) (212,491)Accounts payable 532,599 252,454 Income taxes payable (1,882) 198,780 Other (189,869) (20,287)Net cash provided by operating activities 2,128,501 2,425,089 Investing activities: Purchases of property and equipment (899,783) (732,916)Proceeds from sale of property and equipment 16,882 10,268 Other, including acquisitions, net of cash acquired (13,664) (160,960)Net cash used in investing activities (896,565) (883,608) Financing activities: Proceeds from borrowings on revolving credit facility — 30,000 Payments on revolving credit facility — (30,000)Net proceeds (payments) of commercial paper 389,796 (706,850)Proceeds from the issuance of long-term debt — 498,910 Payment of debt issuance costs (3,829) (3,900)Payment of excise tax on share repurchases (17,012) — Repurchases of common stock (1,596,650) (1,604,509)Net proceeds from issuance of common stock 68,280 112,825 Other (433) (569)Net cash used in financing activities (1,159,848) (1,704,093) Effect of exchange rate changes on cash 2,180 (907)Net increase (decrease) in cash and cash equivalents 74,268 (163,519)Cash and cash equivalents at beginning of the period 130,245 279,132 Cash and cash equivalents at end of the period $204,513 $115,613 Supplemental disclosures of cash flow information: Income taxes paid $876,513 $419,331 Interest paid, net of capitalized interest 152,090 139,228

O’REILLY AUTOMOTIVE, INC. AND SUBSIDIARIES
SELECTED FINANCIAL INFORMATION
(Unaudited) For the Twelve Months Ended September 30,Adjusted Debt to EBITDAR: 2025 2024(In thousands, except adjusted debt to EBITDAR ratio) GAAP debt $5,915,530 $5,359,810Add:Letters of credit 156,259 127,234 Unamortized discount and debt issuance costs 24,470 30,190 Six-times rent expense 2,894,580 2,664,996Adjusted debt $8,990,839 $8,182,230 GAAP net income $2,484,106 $2,388,054Add:Interest expense 229,870 223,293 Provision for income taxes 670,547 643,344 Depreciation and amortization 498,393 451,802 Share-based compensation expense 34,439 27,163 Rent expense(i) 482,430 444,166EBITDAR $4,399,785 $4,177,822 Adjusted debt to EBITDAR 2.04 1.96

(i) The table below outlines the calculation of Rent expense and reconciles Rent expense to Total lease cost, per ASC 842, the most directly comparable GAAP financial measure, for the twelve months ended September 30, 2025 and 2024 (in thousands):

For the Twelve Months Ended September 30, 2025 2024Total lease cost, per ASC 842 $581,898 $530,689Less:Variable non-contract operating lease components, related to property taxes and insurance 99,468 86,523Rent expense $482,430 $444,166

September 30, 2025 2024Selected Balance Sheet Ratios: Inventory turnover(1) 1.6 1.7Average inventory per store (in thousands)(2) $858 $781Accounts payable to inventory(3) 125.9% 129.4%

For the Three Months Ended For the Nine Months Ended September 30, September 30, 2025 2024 2025 2024Reconciliation of Free Cash Flow (in thousands): Net cash provided by operating activities $616,535 $772,015 $2,128,501 $2,425,089Less:Capital expenditures 312,098 258,309 899,783 732,916 Excess tax benefit from share-based compensation payments 7,441 13,666 27,714 35,044Free cash flow $296,996 $500,040 $1,201,004 $1,657,129

For the Three Months Ended For the Nine Months Ended September 30, September 30, 2025 2024 2025 2024Revenue Disaggregation (in thousands): Sales to do-it-yourself customers$2,304,804 $2,219,727 $6,585,229 $6,376,212Sales to professional service provider customers 2,307,782 2,043,394 6,502,215 5,930,744Other sales and sales adjustments 93,110 101,316 280,234 305,922Total sales $4,705,696 $4,364,437 $13,367,678 $12,612,878

For the Three Months Ended For the Nine Months Ended For the Twelve Months Ended September 30, September 30, September 30, 2025 2024 2025 2024 2025 2024 Store Count: Beginning domestic store count 6,360 6,152 6,265 6,095 6,187 6,063 New stores opened 46 35 141 92 219 125 Stores closed — — — — — (1)Ending domestic store count 6,406 6,187 6,406 6,187 6,406 6,187 Beginning Mexico store count 98 69 87 62 78 48 New stores opened 9 9 20 16 29 30 Ending Mexico store count 107 78 107 78 107 78 Beginning Canada store count 25 23 26 — 26 — New stores opened — 3 — 3 — 3 Stores acquired — — — 23 — 23 Stores closed — — (1) — (1) — Ending Canada store count 25 26 25 26 25 26 Total ending store count 6,538 6,291 6,538 6,291 6,538 6,291

For the Three Months Ended For the Twelve Months Ended September 30, September 30, 2025 2024 2025 2024Store and Team Member Information: Total employment 93,269 92,709 Square footage (in thousands)(4) 50,980 47,949 Sales per weighted-average square foot(4)(5) $90.80 $89.17 $344.65 $340.84Sales per weighted-average store (in thousands)(4)(6) $720 $689 $2,701 $2,620

(1) Calculated as cost of goods sold for the last 12 months divided by average inventory. Average inventory is calculated as the average of inventory for the trailing four quarters used in determining the denominator.(2) Calculated as inventory divided by store count at the end of the reported period.(3) Calculated as accounts payable divided by inventory.(4) Represents O’Reilly’s U.S. and Puerto Rico operations only.(5) Calculated as sales less jobber sales, divided by weighted-average square footage. Weighted-average square footage is determined by weighting store square footage based on the approximate dates of store openings, acquisitions, expansions, or closures.(6) Calculated as sales less jobber sales, divided by weighted-average stores. Weighted-average stores is determined by weighting stores based on their approximate dates of openings, acquisitions, or closures.