Monro (MNRO) investor relations material

Business profile and priorities

• Full-service aftermarket model across 1,113 stores in 32 states, selling replacement tires and preventive maintenance and repair services; revenue cited at $1.1B.

• Improvement plan centers on store execution, customer acquisition through marketing, and merchandising productivity, with the goal of improving customer frequency, sales and margins.

Store execution and customer acquisition

• Following 145 store closures last year, field realignment cut district managers from just over 100 to 74 and shifted their focus toward store-level coaching and training; management said turnover declined.

• ConfiDrive inspections and the DM Toolkit support customer education, service follow-up, vendor selection, discount reduction and higher repair-order attachment.

• The DM Toolkit was rolled out to 340 stores; roughly 150 stores showed 4%–6% sales increases and 20% higher bottom-line performance in Q2, the quarter ended September.

• Digital search marketing began last July, while CRM outreach aims to bring existing customers back for deferred services; management plans continued marketing investment and further CRM refinement.

Merchandising and market conditions

• Tire assortment added Continental and Pirelli in Tier 1 and Vantage at the opening price point; battery assortment and pricing improved, and brake assortment updates are underway.

• Calendar 2026 tire units were flat versus industry unit sales down 1%–2%; Tier 4 represented about one-third of tire units versus about 25% last year.

• Higher household costs contributed to fewer four-tire purchases and trade-downs; brake jobs averaging $500–$700 were increasingly deferred, though inspection-based follow-up may convert some into near-term revenue.

• Sales were flat in September and October, improving from summer softness; winter demand timing remains uncertain, while management expects market conditions to fluctuate and initiatives to add revenue.

• Continental and Nexen promotions combining four tires with free alignment and oil changes exceeded expectations, reinforcing the full-service positioning and attracting brand marketing support.