Tractor Supply income falls; cuts 2025 earnings outlook amid ‘uncertainty’
Tractor Supply Company reported disappointing first-quarter results and slashed its 2025 profit projections.
“Since issuing our initial 2025 outlook, there has been a notable increase in uncertainty, in particular the introduction of new tariffs,” said Tractor Supply president and CEO Hal Lawton. “In response, we are updating the range of our full-year outlook and providing guidance for the second quarter.”
The nation’s largest rural lifestyle retailer reported that its net income decreased 9.5% to $179.4 million for the quarter ended March 29. Earnings per share decreased 8.0% to $0.34, missing analysts estimates of $0.37 per share.
Net sales increased 2.1% to $3.47 billion, below estimates of $3.53 billion. The increase was driven by new store openings and the contribution from Allivet, partially offset by a decrease in comparable store sales. Same-store sales decreased 0.9%. (In December 2024, Tractor Supply completed its acquisition of Allivet, a privately-held online pet pharmacy.)
The average transaction count increased 2.1%, which was offset by a comparable average ticket decline of 2.9%.
Comparable average transaction growth reflects strength in year-round categories including consumable, usable and edible products and winter seasonal merchandise. The growth was offset by declines in spring seasonal goods, including related big ticket categories.
“As the year unfolds amid increasing volatility, our conviction in Tractor Supply’s resilient and durable business model remains strong,” said Lawton. “We have a long track record of navigating uncertain environments, and we believe we are well-positioned to do so once again. Tractor Supply is uniquely differentiated by our needs-based product categories, our predominantly U.S.-sourced assortment, deep and trusted vendor relationships and a nimble, scalable supply chain."
For the full year, Tractor Supply now expects earnings per share between $2.00 and $2.18, down from its previous range of $2.10 to $2.22 a share. It expects net sales growth of 4% to 8%, compared to its previous estimate of a 5% to 7% increase.
“With more than two and a half decades of experience with Tractor Supply, I have seen the company navigate multiple business cycles,” said CFO Kurt Barton. ”We know the playbook and are committed to our results standing tall in retail. We are closely monitoring consumer demand indicators and forward-looking signals. Tractor Supply’s long-standing track record of resilience and success positions us as a leader in the retail sector, ready to seize the market share opportunities ahead and continue to deliver shareholder value.”
As of March 29, 2025, the company operated 2,311 Tractor Supply stores in 49 states and 206 Petsense by Tractor Supply stores in 23 states.
