v3.26.1
Segment Reporting
 4 Months Ended
Apr. 25, 2026
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting

The Company conducts its operations principally in the geographical areas of the U.S. and Canada through its Advance Auto Parts and Carquest trade brands. The products sold by the Company, across all geographic areas, have similar economic characteristics, are sourced from the Company’s suppliers in a similar manner, and are available for sale to all of the Company’s customers through the Company’s stores and self-service e-commerce sites. All of the Company’s stores have similar characteristics, including the nature of the products and services, the type and class of customers, and the methods used to distribute products and provide service to its customers. Due to these reasons, the Company has one operating segment, referred to as Advance Auto Parts/Carquest and one reportable segment. As geographic information is not a key component of how the chief operating decision maker (“CODM”) reviews performance and allocates resources, such entity-wide information is not disclosed on a quarterly basis.

The Company’s CODM is the Chief Executive Officer, who regularly reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance for the Company’s single reportable segment. Discrete information is not regularly provided to and/or reviewed by the Company’s CODM at a lower level than the consolidated level, inclusive of segment asset level detail. The CODM primarily focuses on net income to evaluate its reportable segment. The CODM also uses net income for evaluating pricing strategy and to assess the performance for determining the compensation of certain employees. Significant segment expenses regularly provided to the CODM, which represent the difference between segment revenue and segment net income, consisted of the following:

 

 

 

Sixteen Weeks Ended

 

 

 

April 25, 2026

 

 

April 19, 2025

 

Net sales

 

$

2,614

 

 

$

2,583

 

Less:

 

 

 

 

 

 

Cost of sales

 

 

1,434

 

 

 

1,474

 

Selling, general and administrative expenses(1)

 

 

1,021

 

 

 

1,085

 

Restructuring and related expenses

 

 

32

 

 

 

118

 

Depreciation and amortization expense(2)

 

 

58

 

 

 

37

 

Interest expense

 

 

65

 

 

 

27

 

Other segment items(3)

 

 

(31

)

 

 

(27

)

Income tax expense (benefit)

 

 

11

 

 

 

(155

)

Net income

 

$

24

 

 

$

24

 

 

(1)
Selling, general and administrative expenses, excludes restructuring and related expenses and depreciation and amortization.
(2)
Excludes depreciation and amortization included in restructuring and related expenses and cost of sales, respectively.
(3)
Other segment items relates primarily to interest income and, in fiscal 2025, income recognized from the transition services (“TSA Services”) agreement with Worldpac that commenced in the fourth quarter of fiscal 2024, included in total other, net, in the accompanying condensed consolidated statements of operations.