MEMPHIS, TN -- AutoZone today reported a 6.7 percent decrease in earnings for the first fiscal quarter ending Nov. 19, over the same period last year due to the impact of hurricanes Katrina and Rita. Net income was $114.4 million compared to $122.5 million at the same period last year. Operating margin decreased 148 basis points from last year to 15.3 percent, while operating profit decreased 5.1 percent over the prior year.

"Our quarter began back in September on a very unfortunate note," said Bill Rhodes, president and CEO. "Two hurricanes impacted our stores in Louisiana, Mississippi and Texas. In total, AutoZone had over 125 stores impacted in some form while over 160 AutoZoners were displaced from their homes following the storms.”

Same store sales, or sales for domestic stores open at least one year, were up 1 percent for the quarter. During the quarter, AutoZone opened 33 new stores and replaced 3 stores in the U.S. while opening 3 new stores in Mexico. Additionally, the company has 13 U.S. stores still closed due to hurricane-related damage. As of Nov. 19, the company had 3,612 domestic stores and 84 stores in Mexico.

Excluding this quarter's hurricane-and share-based expenses, adjusted operating profit decreased 2.1 percent, while adjusted diluted earnings per share increased 1.2 percent to $1.54 versus the year-ago quarter of $1.52. AutoZone’s sales revenue was $1.338 billion for its fiscal first quarter, up 4 percent from fiscal first quarter 2005.

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