PHILADELPHIA -- Pep Boys has announced results for the third quarter and nine months ended Oct. 30.

Sales for the third quarter of fiscal 2010 increased by $23.7 million, or 5 percent, to $496.4 million from $472.6 million for the third quarter of fiscal 2009. Comparable store sales increased 3.5 percent, consisting of a 1.9 percent comparable service revenue increase and a 3.9 percent comparable merchandise sales increase.

Net earnings for the third quarter of fiscal 2010 more than doubled to $5.7 million (11 cents per share) from $2.1 million (4 cents per share) recorded in the same period last year.

Sales for the first nine months of fiscal 2010 were $1.511.3 million, as compared to $1,458.0 million for the first nine months of fiscal 2009. Comparable store sales increased 2.2 percent, consisting of increases of 0.4 percent in comparable service revenue and 2.7 percent in comparable merchandise sales.

Net earnings for the first nine months of fiscal 2010 increased to $28.3 million (53 cents per share) from the $20.8 million (40 cents per share) recorded in the same period last year. The 2010 results include, on a pre-tax basis, a net benefit of $2.6 million comprised of a $2.6 million gain from the disposition of assets and a $1 million reversal of an inventory related accrual offset by a $1 million asset impairment charge. The 2009 results included, on a pre-tax basis, a net benefit of $5.9 million, consisting of a $6.2 million gain resulting from bond repurchases, a $1.3 million gain from sale leaseback transactions, a $1 million reduction of an inventory related accrual and a $0.7 million gain from an insurance settlement partially offset by a $3.3 million asset impairment charge.

“Our third quarter results reflect sales growth, improved overall gross margin rate and operating expense leverage, which is consistent with our long-range goal of achieving a mid-to-high single-digit operating margin,” said President and CEO Mike Odell. “Our knowledgeable and enthusiastic associates and compelling tire, service and DIY offerings are delivering increases in comparable store sales and customer counts, while our disciplined spending ensures that those sales translate into improved profitability. We also opened an additional six Service & Tire Centers and two Supercenters during the quarter and remain on target to open 35 new locations this year while simultaneously refining our operating model.”