Autozone (AZO) FY2026 results: revenue $20.3 billion, up 7.4% on the year

AutoZone is a retailer and distributor of automotive replacement parts and accessories in the Americas. It began operations in 1979 and at 29 August 2026 operated 8,031 stores: 6,863 in the United States, 1,001 in Mexico and 167 in Brazil. Each store carries parts and products for cars, sport utility vehicles, vans and light duty trucks. The company employed approximately 132,000 people, which it calls AutoZoners. It does not derive revenue from automotive repair or installation services.

What it sells

Each store carries new and remanufactured automotive hard parts, maintenance items, accessories and non-automotive products. Failure and maintenance related categories made up approximately 85% of total sales, and the filing reports no fundamental shift in that mix. One class of similar products accounted for approximately 14 percent of total revenues.

The company also sells under its own in-house brands, which include Duralast and the family of Duralast brands, Econocraft, ProElite, ShopPro, SureBilt, TotalPro, TruGrade and Valucraft. It describes these brands as a key difference from its competitors. Through www.alldata.com it sells ALLDATA automotive diagnostic, repair, collision and shop management software.

How the stores work

Substantially all stores follow standard formats. Most carry approximately 20,000 to 25,000 unique SKUs, with 40% to 50% of the space given to hard parts. Hub stores carry approximately 40,000 to 50,000 unique SKUs, and mega hub stores carry approximately 80,000 to 110,000 unique SKUs, with 70% to 85% of their space used for hard parts. Stores are replenished mainly by the nearest distribution center and typically have same-day access to one of 417 domestic and 74 international hub stores. Of the domestic hubs, 172 are mega hub stores, and there are 11 more in Mexico.

Every store uses Z-net, a proprietary electronic catalog that looks up parts by year, make, model and engine type and tracks inventory availability. Stores also run a proprietary Point-of-Sale System and Store Management System. Hard parts inventory is tailored to the vehicles in each store's trade area.

Who it sells to

Online orders can be picked up in store or shipped, with same day or next day delivery programs in most U.S. markets. Free services include Loan-A-Tool specialty tool loans, AutoZone Fix Finder check engine and anti-lock braking system light readings, testing of starters, alternators and batteries, battery charging and used oil collection for recycling.

The commercial program serves local, regional and national repair garages, dealers, service stations and fleet owners. It offers prompt delivery and commercial credit, and orders can be placed through www.autozonepro.com or the AutoZone Pro mobile application. It operated in 6,443 domestic stores and in the vast majority of stores in Mexico and Brazil. Domestic commercial sales were 33.1% of total Domestic sales. Dedicated sales teams cover independent repair shops, national and regional accounts, and fleet accounts, and the ProVantage loyalty program supports commercial sales.

Buying and distribution

Merchandise is bought through store support centers in Memphis, Tennessee; Monterrey, Mexico; Chihuahua, Mexico; and Sao Paulo, Brazil. Offices in Shanghai, China; Istanbul, Turkey; and Gurugram, India support global sourcing. One vendor provided 14 percent of total purchases, and no other vendor provided more than 10 percent. Most merchandise moves from distribution centers to stores by the company's own tractors and trailers or by third-party carriers, with replenishment up to multiple times per week depending on store sales volumes.

Where it opens stores

Other factors include population, demographics, vehicle profile, commercial businesses, competitors' stores and real estate cost. The company looks at vehicles seven years old and older, which it calls "our kind of vehicles," because they are generally out of warranty and need more maintenance and repair.

Competition, seasonality and people

AutoZone competes on customer service, merchandise quality, selection and availability, warranty, store layout and location, price and brand strength. Competitors include national, regional and local auto parts chains, independent parts stores, online sellers, wholesale distributors, repair shops, auto dealers and mass merchandise, hardware and convenience retailers.

Sales are highest from February through September and lowest in December and January. Of its employees, approximately 60 percent work full-time and 40 percent part-time. About 91 percent work in stores or direct field supervision, six percent in distribution centers and three percent in store support and other functions. Approximately 21,000 work in international operations.

From AutoZone's annual report on Form 10-K for the year ended 29 August 2026. The filing

Written from the 10-K filed 26 October 2026: read the full 10-K.