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CarParts.com Inc. (PRTS) has submitted its 10-K filing for the fiscal year ended December 28, 2024.
The filing reports net sales of $588.8 million, a decrease from $675.7 million in the previous year. The decline is attributed to a challenging consumer environment and a re-pricing strategy aimed at higher value customers.
Cost of sales for the year was $392.1 million, representing 66.6% of sales compared to 66.1% in the previous year. The increase in cost ratio is primarily due to unfavorable freight costs.
The company reported a gross profit of $196.7 million, down from $229.4 million in the previous year, with the decline attributed to increased freight costs.
Operating expenses decreased slightly to $237.4 million from $239.3 million, though as a percentage of sales, they increased to 40.3% from 35.4%. This was mainly due to investments in business operations and marketing.
Net loss for the year was $40.6 million, compared to a net loss of $8.2 million in the previous year. The increase in net loss was driven by lower sales and gross profit.
Cash provided by operating activities was $10.3 million, while cash used in investing and financing activities was $20.6 million and $4.4 million, respectively.
CarParts.com had a working capital of $48.4 million as of December 28, 2024. The company maintains that its existing cash, cash equivalents, and available credit facilities are sufficient to fund operations for at least the next twelve months.
The filing also highlights various risk factors, including dependency on suppliers in Taiwan and China, potential impacts from tariffs, and the competitive nature of the auto parts industry.
CarParts.com does not anticipate paying cash dividends on its common stock in the foreseeable future.
The company continues to focus on expanding its fulfillment operations and enhancing its eCommerce platform to improve customer experience and operational efficiency.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the CarParts.com Inc. annual 10-K report dated March 26, 2025. To report an error, please email earnings@qz.com.