Advance Auto Parts to open 30 new stores in 2025; 100 through 2027

Advance Auto Parts is now plotting an expansion. The automotive aftermarket parts provider said Wednesday it was "entering its next phase of returning to growth" with plans to launch 30 new stores in the U.S. this year. Over the longer-term through 2027, Advance Auto Parts is seeking to add 100 more locations including bigger "market hub" stores, according to the company. "Advance Auto Parts is on the path to accelerate store growth and focused on the fundamentals of selling auto parts," CEO Shane O’Kelly said in a statement. "We are excited about what’s to come for Advance." GET FOX BUSINESS ON THE GO BY CLICKING HEREThe expansion, Advance Auto Parts said, comes after it successfully "completed the store closure phase of its transformation plan." The company had said in November that it would shutter over 700 locations –  more than 500 of which were corporate stores – and close four distribution centers. That move arose out of a three-year "strategic plan" that aims to "improve business performance" for Advance Auto Parts.ADVANCE AUTO PARTS CLOSING HUNDREDS OF LOCATIONS FOLLOWING SLUGGISH PERFORMANCEMeasures in the company’s strategic plan include the "standardization of store operating model" and "strategic sourcing to improve first costs and bring parts to market faster," among others, according to the company.Advance Auto Parts said Wednesday that over 75% of its locations are now "in markets where the company has the No. 1 or No. 2 position based on store density, strengthening its presence in strategic communities."It will debut new stores in Florida, Illinois, Maryland, Ohio, Virginia and Wisconsin in the coming "several" months, the company said. Six new Advance Auto Parts stores have launched in Florida, New Jersey, Tennessee and Virginia since the start of 2025. As part of the expansion, new "market hubs" are slated to come to the Midwest "soon," according to Advance Auto Parts. Kelly previously said during the company’s fourth-quarter earnings call in February that the company wants to have 60 new "market hubs" by halfway through 2027. Its "market hubs" are significantly larger in size than its normal stores. They "increase availability of parts by placing approximately 75,000 to 85,000 SKUs closer to customers and other local Advance stores, as well as improve Advance’s speed of service with same-day delivery of parts," the company said.Advance Auto Parts sells various vehicle parts, batteries, accessories, chemicals and engine maintenance items.CLICK HERE TO READ MORE ON FOX BUSINESSOver the course of 2024, the company generated $9.09 billion in net sales. Comparable store sales, meanwhile, posted a 0.7% decline that CFO Ryan Grimsland said was "driven by the deceleration in the second half of the year and attributed to the overall softness in consumer spending environment, including deferral and spending for maintenance items as seen across the industry in 2024." Its annual net loss for 2024 was $335.79 million. Weiter zum vollständigen Artikel bei FOX Business Weiter zum vollständigen Artikel bei FOX Business