Tractor Supply posted fourth-quarter results that missed analyst estimates and fell below company expectations as the retailer’s customers focused more on essential goods and less on discretionary merchandise.
Net income was $227.4 million, or 43 cents per diluted share, versus $236.4 million, or 44 cents per diluted share, in the year-previous quarter, the company noted.
An analyst consensus estimate from Zacks Investment Research called for earnings of 46 cents per diluted share and revenues of $4.01 billion.
Net sales advanced to $3.9 billion from $3.77 billion in the year-prior quarter. According to Tractor Supply, new store openings, a 0.3% growth in comparable sales and the contribution from the company’s Allivet pharmacy operation drove the net sales gain. The comp gain emerged from a comparable average ticket growth of 0.3%. Tractor Supply reported continued strength in consumable, usable and edible products, adding emergency response-related demand and ongoing pressure in discretionary categories, including big-ticket products, dragged on results.
Operating income slipped to $297.7 million from $318.3 million in the year-earlier quarter.
For the full fiscal year, net income was $1.1 billion, or $2.06 per diluted share, versus $1.1billion or $2.04 per diluted share, in the year previous. Net sales were $15.52 billion versus $14.88 billion in the year prior. Operating income was $1.47 billion, essentially flat year over year.
During fiscal 2025, Tractor Supply opened 99 new namesake and five new Petsense stores, and the company closed four Petsense locations. The retailer also continued its Project Fusion store remodel program.
In providing guidance for fiscal 2026, Tractor Supply stated it expects net sales to increase between 4% and 6%, net income to fall between $1.11 billion and $1.17 billion and earnings per diluted share to fall between $2.13 and $2.23.
“Our fourth-quarter results came in below our expectations and reflected a shift in consumer spending, with essential categories remaining resilient while discretionary demand moderated,” said Hal Lawton, Tractor Supply president and CEO. “Against that backdrop, our team stayed focused on executing the fundamentals of the business, growing share in the farm and ranch channel, and continuing to engage our customers. Overall, 2025 was a year of meaningful progress. We continued to gain market share, opened productive new stores and advanced Project Fusion and localization. At the same time, we built the capabilities needed to support direct sales, Final Mile and pet and animal prescriptions. As we move into 2026, we are prepared to operate with discipline across a range of economic conditions. With much of our strategic foundation now in place, we remain focused on executing our Life Out Here 2030 strategic initiatives and delivering a more consistent performance profile over time.”
