DOW JONES NEWSWIRES AutoZone Inc.'s (AZO) fiscal second-quarter earnings rose 13% as the largest U.S. auto-parts retailer posted broad revenue growth, helped by a sharp improvement in domestic commercial sales. Shares jumped 5.6% to $386.55 premarket as results beat analyst expectations. "This marks the thirteenth consecutive quarter of 20% plus growth in earnings per share and our twenty second consecutive quarter of double digit growth," said Chairman and Chief Executive Bill Rhodes. AutoZone has posted improved results of late as new stores in the U.S. and Mexico have improved its market share and its commercial business grows. The company's revenue growth have also beat analyst expectations in recent quarters as cost-conscious consumers maintain their vehicles longer to buffer high gas prices and unemployment levels. Earlier this month, smaller rival Advance Auto Parts Inc.'s (AAP) fourth-quarter earnings rose 38% as the seller of automobile parts lowered overhead costs and saw revenue edge up. For the quarter ended Feb. 12, AutoZone reported a profit of $166.9 million, or $4.15 a share, up from $148.1 million, or $3.34 a share, a year earlier. Revenue improved 8.6% to $1.8 billion. Analysts polled by Thomson Reuters had most recently forecast per-share earnings of $4.04 on revenue of $1.78 billion. Gross margin widened to 51.3% from 50.9%, primarily due to lower shrink expense. Domestic same-store sales rose 5.9%. Total auto-parts sales increased 8.6%, while domestic commercial sales jumped 25%. Sales from its other businesses, which include the diagnostic-software unit Alldata and e-commerce, were up 11%. AutoZone ended the quarter with 4,867 stores in the U.S., Puerto Rico and Mexico, a 4.1% increase from a year earlier. -By Nathalie Tadena, Dow Jones Newswires; 212-416-3287; nathalie.tadena@dowjones.com
