Tractor Supply Company Reports 4.5% Net Sales Increase to $4.44 Billion in Q2 Fiscal 2025

Tractor Supply Company reported a net sales increase of 4.5% for the second quarter of fiscal 2025, reaching $4.44 billion compared to $4.25 billion in the same period last year. The growth was primarily driven by new store openings and a 1.5% rise in comparable store sales. Gross profit for the quarter also saw a 5.4% increase, totaling $1.64 billion, with a gross margin improvement to 36.9% from 36.6% in the prior year. However, net income for the quarter rose only slightly by 1.1% to $430.0 million, or $0.81 per diluted share, compared to $425.2 million, or $0.79 per diluted share, in the previous year.

For the first six months of fiscal 2025, Tractor Supply's net sales increased by 3.5% to $7.91 billion, up from $7.64 billion in the same period of fiscal 2024. The company reported a decrease in net income for the first half, which fell by 2.2% to $609.4 million, or $1.14 per diluted share, compared to $623.4 million, or $1.15 per diluted share, in the prior year. The decline in net income was attributed to increased selling, general, and administrative expenses, which rose 6.0% to $2.07 billion, reflecting planned growth investments and modest deleverage of fixed costs.

Operationally, Tractor Supply expanded its footprint, operating a total of 2,542 retail stores across 49 states as of June 28, 2025, including 2,335 Tractor Supply stores and 207 Petsense by Tractor Supply stores. The company opened 39 new Tractor Supply stores and four new Petsense stores during the first half of the fiscal year. The acquisition of Allivet, an online pet pharmacy, completed on December 30, 2024, contributed $126.7 million in sales for the second quarter and $224.6 million for the first half of fiscal 2025.

The company’s balance sheet showed total assets of $10.56 billion as of June 28, 2025, up from $9.78 billion a year earlier. Total liabilities increased to $8.07 billion, with long-term debt standing at $1.67 billion. Tractor Supply's cash and cash equivalents decreased to $225.8 million from $394.7 million a year prior. The company declared dividends of $0.23 per share for the second quarter, reflecting a commitment to returning capital to shareholders.

Looking ahead, Tractor Supply anticipates continued growth driven by new store openings and a focus on enhancing its product offerings. The company plans to leverage its sale-leaseback program to fund future expansions and improvements. Despite the challenges posed by market conditions and increased operational costs, Tractor Supply remains optimistic about its growth trajectory and operational efficiency in the coming quarters.