Valvoline

Valvoline (VVV) Q4 2024 Earnings

Reported Nov 19, 2024 at 7:04 AM ET · SEC Source

Q4 24 EPS

$0.46

BEAT +9.19%

Est. $0.42

Q4 24 Revenue

$435.5M

BEAT +0.70%

Est. $432.5M

vs S&P Since Q4 24

-29.0%

TRAILING MARKET

VVV -2.5% vs S&P +26.5%

Full Year 2024 Results

FY 24 EPS

$1.57

FY 24 Revenue

$1.62B

Market Reaction

Did VVV Beat Earnings? Q4 2024 Results

Valvoline closed out fiscal 2024 on a strong note, posting fourth-quarter adjusted earnings of $0.46 per share, beating the $0.42 consensus estimate by 9.19%, while revenue of $435.50 million edged past expectations and grew 11.7% year-over-year. The… Read more Valvoline closed out fiscal 2024 on a strong note, posting fourth-quarter adjusted earnings of $0.46 per share, beating the $0.42 consensus estimate by 9.19%, while revenue of $435.50 million edged past expectations and grew 11.7% year-over-year. The beat was anchored by a combination of nearly 9% store count expansion and system-wide same-store sales growth of 5.4%, even as the quarter absorbed headwinds from the CrowdStrike outage and hurricane disruptions. Adjusted EBITDA for the quarter climbed 14% to $124.10 million, with margin expanding 50 basis points to 28.5%, reflecting the operating leverage embedded in Valvoline's growing service network. The company is also leaning further into its franchise-centric model, having recently announced plans to refranchise 38 stores in Texas to a new franchise partner, part of a broader refranchising push that converted 28 stores during the quarter. Looking ahead, management guided fiscal 2025 net revenues of $1.67 billion to $1.73 billion, with adjusted EPS of $1.57 to $1.67, projecting 160 to 185 net new store additions and same-store sales growth of 5% to 7%.

Key Takeaways

  • System-wide same-store sales growth of 5.4% in Q4 and 6.7% for the full year
  • Store count growth of nearly 9% year-over-year, reaching 2,010 system-wide stores
  • 158 net new store additions in fiscal 2024, with over half from ground-up builds
  • Adjusted EBITDA margin expansion of 100 bps to 27.3% for the full year
  • Over 28 million services completed annually system-wide
24/7 Wall St

VVV YoY Financials

Q4 2024 vs Q4 2023, source: SEC Filings

24/7 Wall St

VVV Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 26 Q2 26

“During fiscal 2024 our more than 11,000 team members and strong franchise partners worked diligently to provide over 28 million services with the best possible customer experience to help our guests keep their cars safe and on the road. Fiscal 2024 was another year of compelling top and bottom-line growth with net sales increasing 12% and adjusted EBITDA growing 17%, while delivering our 18th consecutive year of system-wide same store sales growth.”

— Lori Flees, Q4 2024 Earnings Press Release