| Metric | Value ($ M) | Q1 FY25 |
|---|---|---|
| Revenue | 461.80 | 11.5% |
| Total Income | 461.80 | 11.5% |
| Expenditure | 443.50 | 64.0% |
| PBT | -6.00 | 104.7% |
| Net Profit | -32.80 | 135.8% |
| OPM | 3.96% | 30.75pp |
| NPM | -7.10% | 29.21pp |
| EPS | -0.26 | 136.6% |
Valvoline Reports Q1 FY26: Revenue Up 11%, System-Wide SSS Growth 5.8%
04 May 2026 · 4 May, 1:29 am
Summary
Valvoline Inc. reported its first quarter fiscal year 2026 results, with sales of $462 million, up 11% year-over-year. System-wide store sales increased by 13% to $924 million, and system-wide same store sales grew by 5.8%. The company reported a loss from continuing operations of ($32) million, primarily due to the FTC required divestiture of certain Breeze stores. Adjusted EBITDA increased by 14% to $117 million. Management expressed confidence in the company's growth algorithm, citing resilient customer demand.
Key Highlights
- 1
Valvoline's sales reached $462 million, reflecting an 11% increase, or 15% considering the impact of Refranchising.
- 2
System-wide store sales increased by 13% to $924 million, while system-wide same store sales (SSS) grew by 5.8%.
- 3
Adjusted EBITDA increased by 14% to $117 million, and adjusted EPS increased by 16%, with respective increases of 18% and 28% considering Refranchising.
- 4
The company reported a loss from continuing operations of ($32) million, with a diluted loss per share of ($0.25), which is 134% below the prior year.
- 5
System-wide net store additions totaled 200 in the quarter, including 162 Breeze stores.
- 6
Operating cash flow from continuing operations was $65 million, and free cash flow was $7 million.
- 7
Valvoline completed the sale of 39 stores from company to franchise through a transaction that occurred in the first quarter of fiscal 2025.
Management Comments
Lori Flees
“We delivered a strong quarter to start the fiscal year. System-wide same store sales growth of 5.8%, along with our network expansion, drove double-digit profit growth and margin improvement. During the first quarter, we added 200 stores, including 162 from the Breeze acquisition. The Breeze business is performing in line with our expectations and integration activities are underway.” “We are encouraged by our first quarter results, and I want to thank our teams and franchise partners for their work to deliver them. The fundamentals of our business model and resilient customer demand continue to give us confidence in our growth algorithm.”
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