UPDATE: Advance Auto Parts Posts Better-Than-Expected Q2 Results, Lifts Outlook

Shares of Advance Auto Parts (NYSE: AAP) rose 2.9% in pre-market trading after the company reported upbeat second-quarter results and lifted its profit forecast for the full year.

The Roanoke, Virginia-based company posted a quarterly profit of $262.7 million, or $2.08 per share, versus a year-ago profit of $196.1 million, or $1.60 per share.

Its sales surged 51.5% to $2.35 billion. However, analysts were expecting a profit of $2.01 per share on revenue of $2.32 billion.

Advance Auto's same-store sales climbed 2.6% in the quarter.

Gross profit rate declined to 45.2% of sales, versus 50.3%. Advance Auto's comparable operating income climbed 34% y/y to $262.7 million.

Capital expenditures declined to $106.3 million in the quarter from $111.9 million.

As of July 12, 2014, Advance Auto Parts operated 5,289 company-operated stores and 106 Worldpac branches, and served around 1,400 independently-owned Carquest stores.

"We are pleased with our second quarter performance led by strong execution from our Team Members delivering Comparable Cash EPS growth of 30% and an increase in comparable store sales of 2.6% in the quarter," said Darren R. Jackson, Chief Executive Officer.
Advance Auto now expects full-year earnings of $7.50 to $7.60 per share, versus earlier forecast of $7.30 to $7.50 per share.

Advance Auto shares surged 2.9% to $126.50 in pre-market trading.