Tractor Supply Company’s stock (NASDAQ: TSCO) was trading around $55.7, down modestly on the day, extending a recent period of volatility that has left the shares roughly below their 52-week high of about $64 and above their year low near $46.85.
The rural lifestyle retailer reported fourth-quarter and full-year fiscal 2025 results on Thursday that narrowly beat on sales growth but missed earnings and revenue expectations, a mixed showing that underscores continued pressure in discretionary categories amid changing consumer spending patterns.
Quarterly results
For the quarter ended Dec. 27, 2025, Tractor Supply posted net sales of $3.90 billion, up 3.3% year-over-year, driven by new store openings, modest comparable store sales growth of 0.3%, and contributions from its Allivet acquisition.
Diluted earnings per share were $0.43, down slightly from $0.44 in the prior-year period and below the consensus estimate near $0.46 to $0.47. Revenue also trailed Street forecasts.
Gross profit rose to approximately $1.37 billion, while gross margin ticked down slightly to roughly 35.1% from 35.2% a year earlier, as tariff costs, increased promotions and delivery expenses offset cost management efforts. SG&A expenses grew faster than sales, rising about 6.0% and increasing as a percentage of net sales. Operating income fell around 6.5%. Net income slipped to about $227 million from roughly $236 million a year earlier.
Full-year context
For fiscal 2025, Tractor Supply reported net sales of about $15.52 billion, up around 4.3% from 2024, with full-year comparable store sales rising about 1.2%. Gross profit for the year also increased modestly, while operating income was roughly flat. Diluted EPS for the full year rose modestly to about $2.06, compared with roughly $2.04 in 2024.
The company returned capital to shareholders through share repurchases and dividends, repurchasing about 6.6 million shares and returning roughly $848.5 million in total.
Outlook and guidance
Tractor Supply issued guidance for fiscal 2026 calling for net sales growth of 4% to 6% and EPS of $2.13 to $2.23, reflecting continued expansion but below some analyst expectations. Comparable store sales are forecast to grow modestly, and operating margins are expected to remain under pressure from cost dynamics.
Sector and macro backdrop
Tractor Supply’s results arrive as broader retail and consumer sectors contend with macroeconomic headwinds, including cautious discretionary spending. Elevated interest rates and inflationary pressures have weighed on sales of big-ticket and non-essential items. While Tractor Supply’s essential product categories showed resilience, discretionary demand remained soft in the quarter. At the same time, tech and software sectors have faced separate pressure from slowing enterprise spend and macro uncertainty, though Tractor Supply, a physical retail operator, is less directly tied to those trends.
52-week trend
Over the past year, TSCO shares have oscillated within a roughly $46.85 to $63.99 range, reflecting periods of investor optimism around strategic initiatives and expansion, followed by caution around margin pressures and consumer spending shifts.
