O’Reilly Automotive Inc (NASDAQ:ORLY) stock rose 2.80% (As on Feb 10, 11:35:27 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the fourth quarter of FY 21. Net income for the fourth quarter ended December 31, 2021, increased 32%, to $519 million (or 15.8% of sales) from $393 million (or 13.9% of sales) for the same period one year ago. Comparable store sales increased 14.5% for the fourth quarter ended December 31, 2021, on top of 11.2% for the same period one year ago.

ORLY in the fourth quarter of FY 21 has reported the adjusted earnings per share of $7.64, beating the analysts’ estimates for the adjusted earnings per share of $6, according to Zacks Investment Research. The company had reported the adjusted revenue growth of 16 percent to $3.29 billion in the fourth quarter of FY 21, beating the analysts’ estimates for revenue of $3.07 billion. Gross profit for the fourth quarter increased 18% to $1.73 billion (or 52.7% of sales) from $1.47 billion (or 52.0% of sales) for the same period one year ago. Selling, general and administrative expenses for the fourth quarter increased 13% to $1.06 billion (or 32.2% of sales) from $938 million (or 33.2% of sales) for the same period one year ago. Operating income for the fourth quarter increased 27% to $676 million (or 20.5% of sales) from $534 million (or 18.9% of sales) for the same period one year ago.

Additionally, during the fourth quarter ended December 31, 2021, the Company repurchased 0.7 million shares of its common stock, at an average price per share of $637.15, for a total investment of $469 million. Subsequent to the end of the fourth quarter and through the date of this release, the Company repurchased an additional 0.3 million shares of its common stock, at an average price per share of $660.23, for a total investment of $215 million.

O’Reilly Automotive expects full-year earnings to be $32.35 to $32.85 per share, with revenue in the range of $14.2 billion to $14.5 billion. For fiscal year 2022, the company expects Net, new store openings to be between 175 to 185, Comparable store sales to be between 5% to 7%, Gross profit as a percentage of sales to be between 50.8% to 51.3%, Operating income as a percentage of sales            to be between 20.6% to 21.1%, Net cash provided by operating activities          to be between $2.1 billion to $2.5 billion, Capital expenditures to be between $650 million to $750 million and Free cash flow to be between $1.3 billion to $1.6 billion.