MONRO INC
For the period ended Jun 29, 2024. Filed Jul 31, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 29, 2024 · Filed Jul 31, 2024
MNRO$10.95-3.2%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2023-12-23; filed 2024-01-24.
0001562762-24-000011
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-06-29; filed 2024-07-31.
0001562762-24-000189
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 87 previous paragraphs and 77 current paragraphs.
42 unchanged; 30 reworded; 5 added; 15 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 25 previous and 24 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (5)
Current report
On May 23, 2024, we entered into a Fourth Amendment to our Credit Facility, which, among other things, amends the terms of certain of the financial and restrictive covenants in the credit agreement to provide us with additional flexibility to operate our business from the first quarter of fiscal 2025 through the fourth quarter of fiscal 2026. See additional discussion in Note 8 to our consolidated financial statements.
Current report
On July 3, 2024, we completed the sale of our corporate headquarters. We received proceeds of approximately $9.1 million and will record an immaterial net gain in the second quarter of fiscal 2025. See additional discussion in Note 1 to our consolidated financial statements.
Current report
Net income was $5.9 million.
Current report
The sales decrease was primarily due to adecrease in comparable store sales resulting from lower store traffic. The decrease in comparable store sales is primarily driven by a strained low-to-middle income consumer that disproportionately traded-down to tires at opening price points as the industry worked to clear-through an oversupply of lower-margin tires. This put pressure on overall tire units industry-wide across all regions of the country, leading to weaker store traffic, which was not supportive to sales of our higher-margin service categories. The following table shows the primary drivers of the change in sales for the three months ended June 29, 2024, as compared to the same period ended June 24, 2023.
Current report
Cash used for investing activities
Removed paragraphs (15)
Previous report
There were no recent developments during the quarter ended December 23, 2023 that materially affected, or are reasonably likely to materially affect, our financial reporting.
Previous report
Net income was $12.2 million.
Previous report
Note: Amounts may not foot due to rounding.
Previous report
The sales decrease was due to a decrease in comparable store sales, including a comparable store sales decrease in approximately 300 of our small or underperforming stores, resulting from lower store traffic due to milder weather as well as a pressured low-to-middle income consumer that continued to defer purchases in the Company’s high-ticket tire category, and a decrease in sales from closed stores. The decrease in sales from closed stores during the nine months ended December 23, 2023 from the prior year comparable period was primarily driven by the sale of our wholesale tire locations of approximately $23.9 million. These decreases were partially offset by an increase in sales from new stores and franchise royalties. The following table shows the primary drivers of the change in sales for each of the three months and nine months ended December 23, 2023, as compared to the same periods ended December 24, 2022.
Previous report
(a)The change in closed stores for the nine months ended December 23, 2023 is primarily due to sales from the wholesale locations sold to American Tire Distributors (“ATD”).
Previous report
(b)Sales from the fiscal 2023 acquisitions primarily represent the change.
Previous report
(a)The comparable store product category sales change for the three months and nine months ended December 24, 2022 are adjusted for selling days.
Previous report
Gross profit, as a percentage of sales, increased 70 basis points for the nine months ended December 23, 2023, as compared to the prior year comparable period. Retail material costs, as a percentage of sales, decreased due primarily to tire mix improvement and opportunistic pricing actions, in addition to the impact from the sale of our wholesale operations to ATD during June 2022. Partially offsetting this increase in gross profit, as a percentage of sales, were increased technician labor costs, as a percentage of sales, due to the impact from wage inflation, as well as an increase in retail distribution and occupancy costs, as a percentage of sales, as we lost leverage on these largely fixed costs with lower overall comparable store sales.
Previous report
Net interest expense of $15.1 million for the nine months ended December 23, 2023 decreased $2.3 million as compared to the prior year period, and decreased as a percentage of sales from 1.7 percent to 1.6 percent. Weighted average debt outstanding for the nine months ended December 23, 2023 decreased by approximately $121 million and the weighted average interest rate increased approximately 80 basis points as compared to the same period of the prior year.
Previous report
(a)Amounts include a loss on subsequent inventory adjustments and gain on sale of a related warehouse, net of associated closing costs.
Previous report
(b)Costs incurred in connection with restructuring and elimination of certain executive management positions upon completion of our sale of wholesale tire locations and distribution assets.
Previous report
(c)Certain discrete tax items related to the sale of our wholesale tire locations and distribution assets as well as the revaluation of deferred tax balances due to changes in the mix of pre-tax income in various U.S. state jurisdictions because of the sale.
Previous report
Share Repurchases
Previous report
We returned $44.5 million to shareholders through share repurchases during the nine months ended December 23, 2023. This amount is inclusive of excise tax of $0.4 million for the nine months ended December 23, 2023. The excise tax is assessed at one percent of the fair market value of net stock repurchases after December 31, 2022. For details regarding our share repurchase program, see Part II, Item 2, “Unregistered Sales of Equity Securities and Use of Proceeds” of this report and Note 11 to our consolidated financial statements.
Previous report
Cash used for / provided by investing activities
Reworded paragraphs (30)
Previous wording
The United States economy experienced higher inflation during fiscal 2023 and fiscal 2024 and there are market expectations that inflation may remain at elevated levels for a sustained period. In addition, labor availability has continued to be constrained and market labor costs have continued to increase. The U.S. Federal Reserve Board also increased interest rates during fiscal 2023 and into fiscal 2024. These conditions may give rise to an economic slowdown, and perhaps a recession, and could further increase our costs and/or impact our revenues. It is unclear whether the current economic conditions and government responses to these conditions, including inflation, changing interest rates, and geopolitical uncertainty, will result in an economic slowdown or recession in the United States. If that occurs, demand for our products and services may decline, possibly significantly, which may significantly and adversely impact our business, results of operations and financial position.
Current wording
The United States economy has experienced higher inflation during fiscal 2024 and into fiscal 2025 and there are market expectations that inflation may remain at elevated levels for a sustained period. In addition, labor availability has continued to be constrained and market labor costs have continued to increase. These conditions may give rise to an economic slowdown, and perhaps a recession, and could further increase our costs and/or impact our revenues. It is unclear whether the current economic conditions and government responses to these conditions, including inflation, changing interest rates, and geopolitical uncertainty, will result in an economic slowdown or recession in the United States. If that occurs, demand for our products and services may further decline, possibly significantly, which may significantly and adversely impact our business, results of operations and financial position.
Previous wording
Third quarter 2024 included the following notable items:
Current wording
First quarter 2025 included the following notable items:
Previous wording
Diluted earnings per common share (“EPS”) were $0.38.
Current wording
Diluted earnings per common share (“EPS”) were $0.19.
Previous wording
Adjusted diluted EPS, a non-GAAP measure, were $0.39.
Current wording
Adjusted diluted EPS, a non-GAAP measure, were $0.22.
Previous wording
Sales decreased 5.2 percent, due to lower overall comparable store sales resulting from lower store traffic.
Current wording
Sales decreased 10.3 percent, due to lower overall comparable store sales resulting from lower store traffic.
Previous wording
Comparable store sales decreased 6.1 percent, driven primarily by lower tire unit sales.
Current wording
Comparable store sales decreased 9.9 percent, driven primarily by lower tire unit sales.
Previous wording
Operating income of $21.4 million was 10.3 percent lower than the comparable prior-year period.
Current wording
Operating income of $13.2 million was 23.6 percent lower than the comparable prior-year period.
Previous wording
Adjusted net income, a non-GAAP measure, was $12.5 million.
Current wording
Adjusted net income, a non-GAAP measure, was $6.9 million.
Previous wording
Adjusted net income and adjusted diluted EPS, each of which is a measure not derived in accordance with GAAP, exclude the impact of certain items. Management believes that adjusted net income and adjusted diluted EPS are useful in providing period-to-period comparisons of the results of our operations by excluding certain non-recurring items, such as costs related to shareholder matters from our equity capital structure recapitalization, transition costs related to back-office optimization, corporate headquarters relocation costs, and items related to store closings, as well as acquisition initiatives. Reconciliations of these non-GAAP financial measures to GAAP measures are provided beginning onpage 18 under “Non-GAAP Financial Measures.”
Current wording
Adjusted net income and adjusted diluted EPS, each of which is a measure not derived in accordance with GAAP, exclude the impact of certain items. Management believes that adjusted net income and adjusted diluted EPS are useful in providing period-to-period comparisons of the results of our operations by excluding certain non-recurring items, such as costs related to shareholder matters from our equity capital structure recapitalization, transition costs related to back-office optimization, store impairment charges, corporate headquarters relocation costs and items related to store closings. Reconciliations of these non-GAAP financial measures to GAAP measures are provided beginning onpage 17 under “Non-GAAP Financial Measures.”
Previous wording
Sales include automotive undercar repair, tire replacement and tire related service sales, net of discounts, returns, etc., and revenue from the sale of warranty agreements and commissions earned from the delivery of tires. See Note 7 to our consolidated financial statements for further information. We use comparable store sales to evaluate the performance of our existing stores by measuring the change in sales for a period over the comparable, prior-year period of equivalent length. There were 90 selling days in the three months ended December 23, 2023 and in the three months ended December 24, 2022, and 271 selling days in the nine months ended December 23, 2023 and in the nine months ended December 24, 2022.
Current wording
Sales include automotive undercar repair, tire replacement and tire related service sales, net of discounts, returns, etc., and revenue from the sale of warranty agreements and commissions earned from the delivery of tires. See Note 7 to our consolidated financial statements for further information. We use comparable store sales to evaluate the performance of our existing stores by measuring the change in sales for a period over the comparable, prior-year period of equivalent length. There were 90 selling days in the three months ended June 29, 2024 and in the three months ended June 24, 2023.
Previous wording
Broad-based inflationary pressures impacting consumers partly led to lower demand in tires and our higher margin service categories during the three months and nine months ended December 23, 2023. We expect the inflationary environment to continue to impact our customers throughout the remainder of fiscal 2024.
Current wording
Broad-based inflationary pressures impacting consumers partly led to lower demand in tires and our higher-margin service categories during the three months ended June 29, 2024, as compared to the same period ended June 24, 2023. We expect the inflationary environment to continue to impact our customers throughout the remainder of fiscal 2025.
Previous wording
Gross profit, as a percentage of sales, increased 170 basis points for the three months ended December 23, 2023, as compared to the prior year comparable period. Retail material costs, as a percentage of sales, decreased due primarily to tire mix improvement and opportunistic pricing actions. Technician labor costs, as a percentage of sales, decreased due primarily to reduced labor hours as we have optimized staffing levels. Partially offsetting these cost decreases was an increase in retail distribution and occupancy costs, as a percentage of sales, as we lost leverage on these largely fixed costs with lower overall comparable store sales.
Current wording
Gross profit, as a percentage of sales, increased 220 basis points (“bps”) for the three months ended June 29, 2024 as compared to the prior year comparable period. Technician labor costs, as a percentage of sales, decreased due primarily to improvements in labor productivity and efficiency. Retail material costs, as a percentage of sales, decreased due primarily to improved margins in our service categories. Partially offsetting these cost decreases was an increase in retail occupancy costs, as a percentage of sales, as we lost leverage on these largely fixed costs with lower overall comparable store sales.
Previous wording
The increase of $1.7 million and $2.2 million in OSG&A expenses for the three months and nine months ended December 23, 2023, respectively, from the comparable prior year period is primarily due to an increase in OSG&A expenses from comparable and new stores, transition costs related to back-office optimization, corporate headquarters relocation costs, as well as the gain on the sale to ATD of our wholesale tire locations and distribution assets, net of closing costs and costs associated with the closing of a related warehouse and inventory adjustments during the comparable prior period. Partially offsetting these increases were decreases in costs related to closed stores, a decrease from litigation reserve/settlement costs and, in the three months ended December 23, 2023, a decrease in costs related to shareholder matters from our equity capital structure recapitalization. However, for the nine months ended December 23, 2023, there was an increase in costs related to shareholder matters from our equity capital structure recapitalization. Additionally, there was a decrease in executive management restructuring costs incurred during the comparable prior period for the nine months ended December 23, 2023. The following table shows the impact of these costs on the change in OSG&A expenses for each of the three months and nine months ended December 23, 2023, as compared to the same periods ended December 24, 2022.
Current wording
The decrease of $1.1 million in operating, selling, general and administrative (“OSG&A”) expenses for the three months ended June 29, 2024, from the comparable prior year period is primarily due to a decrease in OSG&A expenses from comparable and closed stores as well as a decrease in costs related to shareholder matters from our equity capital structure recapitalization incurred during the comparable period. Partially offsetting these decreases were increases in costs related to closed store impairment charges. The following table shows the impact of these costs on the change in OSG&A expenses for the three months ended June 29, 2024, as compared to the three months ended June 24, 2023.
Previous wording
Net interest expense of $5.0 million for the three months ended December 23, 2023 decreased $0.9 million as compared to the prior year period, and decreased as a percentage of sales from 1.8 percent to 1.6 percent. Weighted average debt outstanding for the three months ended December 23, 2023 decreased by approximately $104 million as compared to the three months ended December 24, 2022. This decrease is primarily related to a decrease in debt outstanding under the Credit Facility. The weighted average interest rate increased approximately 60 basis points from the prior year comparable quarter due to an increase in the Credit Facility’s floating borrowing rates.
Current wording
Net interest expense of $5.1 million for the three months ended June 29, 2024 decreased $0.1 million as compared to the prior year period, and increased as a percentage of sales from 1.6 percent to 1.8 percent. Weighted average debt outstanding for the three months ended June 29, 2024 decreased by approximately $22.0 million as compared to the three months ended June 24, 2023. This decrease is primarily related to lower finance lease debt related to our stores, partially offset by an increase in debt outstanding under the Credit Facility. The weighted average interest rate increased approximately 20 basis points from the prior year comparable quarter due to an increase in the Credit Facility’s floating borrowing rates.
Previous wording
Our effective income tax rate for the three months and nine months ended December 23, 2023 was 25.8 percent and 26.7 percent, respectively, compared with 27.6 percent and 31.7 percent in the comparable prior-year periods. Our effective income tax rate for the three months and nine months ended December 23, 2023 was higher by 0.3 percent and 0.8 percent, respectively, and was higher by 0.9 percent and 0.7 percent for the three months and nine months ended December 24, 2022, respectively, due to the discrete tax impact related to share-based awards. Our effective income tax rate for the nine months ended December 24, 2022 was higher by 4.7 percent because of discrete tax impacts from the divestiture of assets relating to our wholesale tire operations and internal tire distribution operations as well as the revaluation of deferred tax balances due to changes in the mix of pre-tax income in various U.S. state jurisdictions because of the divestiture.
Current wording
Our effective income tax rate for the three months ended June 29, 2024 was 28.5 percent, compared with 27.6 percent for the three months ended June 24, 2023. The difference from the statutory rate is primarily due to state taxes and the discrete tax impact related to share-based awards.
Previous wording
In addition to reporting net income and diluted EPS, which are GAAP measures, this Form 10-Q includes adjusted net income and adjusted diluted EPS, which are non-GAAP financial measures. We have included reconciliations to adjusted net income and adjusted diluted EPS from our most directly comparable GAAP measures, net income and diluted EPS, below. Management views these non-GAAP financial measures as indicators to better assess comparability between periods because management believes these non-GAAP financial measures reflect our core business operations while excluding certain non-recurring items, such as costs related to shareholder matters from our equity capital structure recapitalization, transition costs related to back-office optimization, corporate headquarters relocation costs, and items related to store closings, as well as acquisition initiatives.
Current wording
In addition to reporting net income and diluted EPS, which are GAAP measures, this Form 10-Q includes adjusted net income and adjusted diluted EPS, which are non-GAAP financial measures. We have included reconciliations to adjusted net income and adjusted diluted EPS from our most directly comparable GAAP measures, net income and diluted EPS, below. Management views these non-GAAP financial measures as indicators to better assess comparability between periods because management believes these non-GAAP financial measures reflect our core business operations while excluding certain non-recurring items, such as costs related to shareholder matters from our equity capital structure recapitalization, transition costs related to back-office optimization, store impairment charges, corporate headquarters relocation costs and items related to store closings.
Previous wording
The certain discrete tax items for the nine months ended December 24, 2022 are tax affected. The other adjustments to diluted EPS reflect estimated annual effective income tax rates of 25.8 percent and 25.1 percent for the three months ended December 23, 2023 and December 24, 2022, respectively, and 25.6 percent and 25.1 percent for the nine months ended December 23, 2023 and December 24, 2022, respectively. These estimated annual effective income tax rates exclude the income tax impacts from share-based compensation and for the nine months ended December 24, 2022 exclude certain discrete tax items. See adjustments from the Reconciliation of Adjusted Net Income table above for pre-tax amounts.
Current wording
The other adjustments to diluted EPS reflect estimated annual effective income tax rates of 27.2 percent and 25.1 percent for the three months ended June 29, 2024 and June 24, 2023, respectively. These estimated annual effective income tax rates exclude the income tax impacts from share-based compensation. See adjustments from the Reconciliation of Adjusted Net Income table above for pre-tax amounts.
Previous wording
We expect to continue to generate positive operating cash flow as we have done in each of the last three fiscal years. The cash we generate from our operations will allow us to continue to support business operations as well as invest in attractive acquisition opportunities intended to drive long-term sustainable growth, pay down debt, return cash to our shareholders through our dividend program and repurchase shares of our common stock under our common stock repurchase program.
Current wording
We expect to continue to generate positive operating cash flow as we have done in each of the last three fiscal years. The cash we generate from our operations will allow us to continue to support business operations as well as invest in opportunities intended to drive long-term sustainable growth, pay down debt, and return cash to our shareholders through our dividend program.
Previous wording
We currently expect our capital expenditures to support our projects, including upgrading our facilities and systems, to be $30 million to $35 million in the aggregate in fiscal 2024. Additionally, we have contractual finance lease and operating lease commitments with landlords through October 2040 for $494.3 million in lease payments, of which $96.7 million is due within one year. For details regarding these lease commitments, see Note 9 to our consolidated financial statements.
Current wording
We currently expect our capital expenditures to support our projects, including upgrading our facilities and systems, to be $25 million to $35 million in the aggregate in fiscal 2025. Additionally, we have contractual finance lease and operating lease commitments with landlords through October 2040 for $488.0 million in lease payments, of which $95.8 million is due within one year. For details regarding these lease commitments, see Note 9 to our consolidated financial statements.
Previous wording
As of December 23, 2023, we had $94.0 million outstanding under the Credit Facility, none of which is due in the succeeding 12 months. For details regarding our indebtedness that is due, see Note 8 to our consolidated financial statements.
Current wording
As of June 29, 2024, we had $112.0 million outstanding under the Credit Facility, none of which is due in the succeeding 12 months. For details regarding our indebtedness that is due, see Note 8 to our consolidated financial statements.
Previous wording
We paid cash dividends of $0.28 per share totaling $8.7 million and $8.9 million for the three months ended December 23, 2023 and December 24, 2022, respectively, and $0.84 per share totaling $26.8 million and $27.5 million for the nine months ended December 23, 2023 and December 24, 2022, respectively. We have paid dividends quarterly since fiscal 2006 and it is our intent to continue to do so in the future.
Current wording
We paid cash dividends of $0.28 per share totaling $8.7 million and $8.9 million for the three months ended June 29, 2024 and June 24, 2023, respectively.
Previous wording
As of December 23, 2023, we had a working capital deficit of $214.9 million, an increase of $24.2 million from a deficit of $190.7 million as of March 25, 2023. The increase was primarily driven by an increase in accounts payable as a result of certain suppliers that participate in our supply chain finance program. We have agreed to contractual payment terms and conditions with our suppliers. As part of our working capital management, we facilitate a voluntary supply chain finance program to provide our suppliers with the opportunity to sell receivables due from Monro to a participating financial institution. For details regarding our supply chain finance program, see Note 10 to our consolidated financial statements.
Current wording
As of June 29, 2024, we had a working capital deficit of $190.6 million, a decrease of $11.3 million from a deficit of $201.9 million as of March 30, 2024. The overall working capital deficit is a result of our supply chain finance program. We have agreed to contractual payment terms and conditions with our suppliers. As part of our working capital management, we facilitate a voluntary supply chain finance program to provide our suppliers with the opportunity to sell receivables due from Monro to a participating financial institution. For details regarding our supply chain finance program, see Note 10 to our consolidated financial statements.
Previous wording
As of December 23, 2023, we had $23.8 million of cash and equivalents. In addition, we had $475.9 million available under the Credit Facility as of December 23, 2023.
Current wording
As of June 29, 2024, we had $18.7 million of cash and equivalents. In addition, we had $457.9 million available under the Credit Facility as of June 29, 2024.
Previous wording
For the nine months ended December 24, 2022, cash provided by operating activities was $171.2 million, which consisted of net income of $38.6 million, adjusted by non-cash charges of $60.6 million and by a change in operating assets and liabilities of $72.0 million. The non-cash charges were largely driven by $58.2 million of depreciation and amortization. The change in operating assets and liabilities was primarily due to our supply chain finance program being a source of cash as we improved our cash flow by $94.8 million. This source of cash was partially offset by our inventory balance being a use of cash of $12.3 million due to increased inventory purchases as well as accounts payable and accrued liabilities, net of vendor rebates, being a use of cash of $9.7 million driven by timing of payments.
Current wording
For the three months ended June 29, 2024, cash provided by operating activities was $25.6 million, which consisted of net income of $5.9 million, increased by non-cash adjustments of $20.9 million, offset by a net change in operating assets and liabilities of $1.1 million. The non-cash charges were largely driven by $17.8 million of depreciation and amortization, as well as $1.6 million in deferred income tax expense. The change in operating assets and liabilities was driven by timing of payments, primarily due to accrued expenses and other current assets being a use of cash of $21.2 million, as well as our inventory balance being a use of cash of $8.1 million. These uses of cash were partially offset by our supply chain finance program being a source of cash as we improved our cash flow by $28.3 million.
Previous wording
For the nine months ended December 23, 2023, cash provided by operating activities was $130.5 million, which consisted of net income of $33.9 million, adjusted by non-cash charges of $64.9 million and by a change in operating assets and liabilities of $31.7 million. The non-cash charges were largely driven by $54.4 million of depreciation and amortization as well as $9.6 million in deferred income tax expense. The change in operating assets and liabilities was primarily due toour supply chain finance program being a source of cash as we improved our cash flow by $17.8 million. Additionally, the change in operating assets and liabilities was also partially due to accounts payable and accrued liabilities, net of vendor rebate receivables, being a source of cash of $30.5 million driven by timing of payments. These sources of cash were partially offset by our inventory balance being a use of cash of $12.7 million due to increased inventory purchases.
Current wording
For the three months ended June 24, 2023, cash provided by operating activities was $71.7 million, which consisted of net income of $8.8 million, increased by non-cash adjustments of $19.9 million and a net change in operating assets and liabilities of $43.0 million. The non-cash charges were largely driven by $18.4 million of depreciation and amortization, as well as $1.9 million in deferred income tax expense. The change in operating assets and liabilities was primarily due to our supply chain finance program being a source of cash as we improved our cash flow by $24.5 million. Additionally, the change in operating assets and liabilities was driven by timing of payments partially due to accounts payable and accrued liabilities, net of vendor rebate receivables, being a source of cash of $12.3 million, as well as our inventory balance being a source of cash of $6.3 million.
Previous wording
For the nine months ended December 24, 2022, cash provided by investing activities was $35.6 million. This was primarily due to cash from the sale of our wholesale tire locations and tire distribution assets for $60.9 million, partially offset by cash used for capital expenditures, including property and equipment, and acquisitions of $28.5 million and $1.0 million, respectively.
Current wording
For the three months ended June 29, 2024, cash used for investing activities was $4.2 million. This was primarily due to cash used for capital expenditures, including property and equipment, of $8.9 million, partially offset by subsequent proceeds from the sale of our wholesale tire locations and distribution assets and proceeds from the disposal of property and equipment of $4.4 million and $0.3 million, respectively.
Previous wording
For the nine months ended December 23, 2023, cash used for investing activities was $0.3 million. This was primarily due to cash used for capital expenditures, including property and equipment, of $18.9 million, partially offset by cash provided by the escrow and earnout payments from the sale of our wholesale tire locations and distribution assets and the disposal of property and equipment of $15.8 million and $2.8 million, respectively.
Current wording
For the three months ended June 24, 2023, cash used for investing activities was $2.6 million. This was primarily due to cash used for capital expenditures, including property and equipment, of $7.7 million, partially offset by cash provided by subsequent proceeds from the sale of our wholesale tire locations and distribution assets and proceeds from the disposal of property and equipment of $3.9 million and $1.1 million, respectively.
Previous wording
For the nine months ended December 24, 2022, cash used for financing activities was $201.7 million which was primarily due to payment on our Credit Facility, net of amounts borrowed during the period, of $46.4 million, as well as payment of finance lease principal and dividends of $29.8 million and $27.5 million, respectively. Also, we used $96.9 million to repurchase common stock during the period.
Current wording
For the three months ended June 29, 2024, cash used for financing activities was $9.3 million. This was primarily due to payment of finance lease principal and dividends of $9.9 million and $8.7 million, respectively, as well as deferred financing costs of $0.7 million. These were offset by amounts borrowed on our Credit Facility, net of payments made during the period, of $10.0 million.
Previous wording
For the nine months ended December 23, 2023, cash used for financing activities was $111.2 million which was primarily due to payment on our Credit Facility, net of amounts borrowed during the period, of $11.0 million, as well as payment of finance lease principal and dividends of $29.4 million and $26.8 million, respectively. Also, we used $44.0 million to repurchase common stock during the period.
Current wording
For the three months ended June 24, 2023, cash used for financing activities was $58.7 million. This was primarily due to payment on our Credit Facility, net of amounts borrowed during the period, of $40.0 million, as well as payment of finance lease principal and dividends of $9.8 million and $8.9 million, respectively.
Previous wording
This Quarterly Report on Form 10-Q contains “forward-looking statements” as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments, and results and do not relate strictly to historical facts. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by, or including words such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “strategy,” “will,” “would” and variations thereof and similar expressions. Forward-looking statements are subject to risks, uncertainties, and other important factors that could cause actual results to differ materially from those expressed. For example, our forward-looking statements include, without limitation, statements regarding:
Current wording
This Quarterly Report on Form 10-Q contains “forward-looking statements” as that term is used in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the fact that they address future events, developments, and results and do not relate strictly to historical facts. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements include, without limitation, statements preceded by, followed by, or including words such as “anticipate,” “believe,” “can,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “should,” “strategy,” “will,” “would” and variations thereof and similar expressions. Forward-looking statements are subject to risks, uncertainties, and other important factors that could cause actual results to differ materially from those expressed. For example, our forward-looking statements include, without limitation, statements regarding: