Tractor Supply Cuts Outlook Following Tough 2Q

Dow Jones19:44
 

Tractor Supply cut its outlook for the year after facing challenges in the second quarter, but said it will take steps to improve performance moving forward.

The farm-and-ranch retailer said Thursday it now expects sales to rise 2.5% to 3.5% this year, down from a prior outlook of up 4% to 6%. Same-store sales are now projected to be down 1% to flat, compared with a previous forecast of up 1% to 3%.

The company expects earnings of $1.78 to $1.88 a share, or between $1.90 and $2 a share on an adjusted basis. It had previously guided for earnings of $2.13 to $2.23 a share.

Analysts polled by FactSet were looking for same-store sales to tick up 0.4%, and for earnings of $2.03 a share.

With its revised outlooks, Tractor Supply said it would withdraw its long-term financial framework, first disclosed during a December 2024 investor presentation.

Chief Executive Hal Lawton said he isn't satisfied with Tractor Supply's recent performance. He noted the recent quarter was hurt by unusually adverse conditions, as discrete headwinds impacted the majority of the company's end markets.

"We are responding with urgency by strengthening our companion animal business, reinforcing our value position and improving productivity across the business," Lawton said. "At the same time, we are sharpening our strategic focus, evaluating where we allocate capital and resources and making disciplined choices that we believe will strengthen Tractor Supply."

Shares ticked up 3.3%, to $30.32, in premarket trading.

Tractor Supply said second-quarter profit fell to $360.7 million, or 69 cents a share, from $430 million, or 81 cents a share, in last year's comparable period. Analysts had expected quarterly earnings of 81 cents a share.

Sales climbed 2.3% to $4.54 billion, in line with Wall Street models. Meanwhile, same-store sales slipped 1.5%, compared with analyst views for flat.

 

Write to Connor Hart at connor.hart@wsj.com

 

(END) Dow Jones Newswires

July 23, 2026 07:44 ET (11:44 GMT)

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