Tractor Supply withdraws long-term target, cuts annual forecast

• Tractor Supply withdrew its long-term financial targets it had introduced in 2024 under the company's "Life Out Here 2030" strategy. It had then forecast net sales growth of 6% to 8% and earnings-per-share growth of 8% to 11%.
• "While we are not satisfied with our performance, we believe there are discrete headwinds impacting the majority of our end markets," said CEO Hal Lawton.
• The retailer opened stores at 28 new locations during the quarter, bringing its total to 2,463 stores as of June 27, as it continues to expand its footprint to reach a broader customer base.
• The Brentwood, Tennessee-based company's shares, which have fallen 41% so far this year, were up about 4% in premarket trading.
• The company reported an adjusted gross profit of $1.69 billion for the quarter ended June 27, up 3% from a year earlier, driven by product cost management and tariff-related benefits.
• The company's net sales rose 2.3% to $4.54 billion. Analysts on average had estimated a rise of 3.2% to $4.58 billion, according to data compiled by LSEG.
• The company also reported a second-quarter adjusted profit of 81 cents per share, missing estimates of 82 cents.
• Tractor Supply now expects fiscal 2026 net sales to grow between 2.5% and 3.5%, compared with a range of 4% to 6% it expected previously. Analysts were expecting a 3.5% rise.
• It projected annual comparable sales between a 1% decline and flat, compared with an earlier expectation for growth of 1% to 3%.
• It sees annual earnings per share in the range of $1.90 to $2.00, compared with its prior expectations of $2.13 to $2.23.

Tractor Supply withdrew its long-term profit and sales targets and lowered 2026 forecasts on Thursday, hurt by muted demand for seasonal and big-ticket items amid economic uncertainty and elevated interest rates.