AutoZone Inc.: Will Its Focus on Tariff & Inflation Management Safeguard Financial Performance From External Pressures? 

AutoZone’s third quarter performance for fiscal year 2025 presented a mixed bag of results, underscoring both strengths and areas of potential concern for investors. The company, a major player in the aftermarket automotive parts industry, reported a revenue increase of 5.4% to $4.5 billion, driven predominately by strong growth in both its domestic and international markets. On the domestic front, AutoZone’s commercial sales recorded a notable 10.7% year-over-year increase. This marks a significant improvement, given that this is the first double-digit quarterly growth in commercial sales since the second quarter of FY 2023. The retail comp also saw growth, coming in at just over 3%, marking its best performance since the second quarter of FY 2022. Internationally, the company continued its momentum with a robust 8.1% same-store sales increase on a constant currency basis. However, it’s crucial to highlight a significant foreign currency headwind of 17 points, which resulted in a 9.2% decline when unadjusted.