Rural goods retailer Tractor Supply (NASDAQ: TSCO) reported revenue ahead of Wall Street’s expectations in Q2 CY2025, with sales up 4.5% year on year to $4.44 billion. Its GAAP profit of $0.81 per share was in line with analysts’ consensus estimates.
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Tractor Supply (TSCO) Q2 CY2025 Highlights:
- Revenue: $4.44 billion vs analyst estimates of $4.40 billion (4.5% year-on-year growth, 0.9% beat)
- EPS (GAAP): $0.81 vs analyst estimates of $0.80 (in line)
- Adjusted EBITDA: $699.9 million vs analyst estimates of $691.4 million (15.8% margin, 1.2% beat)
- EPS (GAAP) guidance for the full year is $2.09 at the midpoint, roughly in line with what analysts were expecting
- Operating Margin: 13%, in line with the same quarter last year
- Free Cash Flow Margin: 13%, up from 8.6% in the same quarter last year
- Locations: 2,335 at quarter end, down from 2,459 in the same quarter last year
- Same-Store Sales rose 1.5% year on year (-0.5% in the same quarter last year)
- Market Capitalization: $31.61 billion
“We are pleased with our second quarter performance, reflecting the continued strength of our core categories and strong execution despite a delayed spring,” said Hal Lawton, President and Chief Executive Officer of Tractor Supply.
Company Overview
Started as a mail-order tractor parts business, Tractor Supply (NASDAQ: TSCO) is a retailer of general goods such as agricultural supplies, hardware, and pet food for the rural consumer.
Revenue Growth
A company’s long-term sales performance can indicate its overall quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years.
With $15.15 billion in revenue over the past 12 months, Tractor Supply is one of the larger companies in the consumer retail industry and benefits from a well-known brand that influences purchasing decisions.
As you can see below, Tractor Supply grew its sales at a decent 10.8% compounded annual growth rate over the last six years (we compare to 2019 to normalize for COVID-19 impacts) as it opened new stores and expanded its reach.

This quarter, Tractor Supply reported modest year-on-year revenue growth of 4.5% but beat Wall Street’s estimates by 0.9%.
Looking ahead, sell-side analysts expect revenue to grow 6% over the next 12 months, a deceleration versus the last six years. We still think its growth trajectory is attractive given its scale and suggests the market is forecasting success for its products.
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Store Performance
Number of Stores
A retailer’s store count often determines how much revenue it can generate.
Tractor Supply sported 2,335 locations in the latest quarter. Over the last two years, it has opened new stores quickly, averaging 3.1% annual growth. This was faster than the broader consumer retail sector.
When a retailer opens new stores, it usually means it’s investing for growth because demand is greater than supply, especially in areas where consumers may not have a store within reasonable driving distance.

Same-Store Sales
A company's store base only paints one part of the picture. When demand is high, it makes sense to open more. But when demand is low, it’s prudent to close some locations and use the money in other ways. Same-store sales provides a deeper understanding of this issue because it measures organic growth at brick-and-mortar shops for at least a year.
Tractor Supply’s demand within its existing locations has barely increased over the last two years as its same-store sales were flat. Tractor Supply should consider improving its foot traffic and efficiency before expanding its store base.

In the latest quarter, Tractor Supply’s same-store sales rose 1.5% year on year. This growth was a well-appreciated turnaround from its historical levels, showing the business is regaining momentum.
Key Takeaways from Tractor Supply’s Q2 Results
It was good to see Tractor Supply narrowly top analysts’ revenue expectations this quarter. That full-year EPS guidance came in line with Wall Street's estimates shows that the business is on track. This was a decent quarter. The stock traded up 3.6% to $61.76 immediately following the results.
Is Tractor Supply an attractive investment opportunity at the current price? What happened in the latest quarter matters, but not as much as longer-term business quality and valuation, when deciding whether to invest in this stock. We cover that in our actionable full research report which you can read here, it’s free.