Monro Inc delivered a constructive QQ2 2026 despite a softer consumer backdrop, underscored by three consecutive quarters of positive comparable store sales and a refined focus on higher-value customers. Reported revenue of $288.9 million, gross margin of 35.69%, and adjusted operating income of $14.0 million (4.8% of sales), with adjusted diluted EPS of $0.21 and GAAP EPS of $0.18. Management highlighted progress across four strategic pillars: (1) driving profitable customer acquisition and activation via enhanced digital marketing and CRM segmentation; (2) improving in-store experience and selling effectiveness, including ConfiDrive integration and a centralized call center rollout; (3) merchandising productivity with tariff risk mitigation and updated tire assortment planning; and (4) real estate optimization following the closure of 145 underperforming stores. The company exited 21 leases and sold 3 owned locations for approximately $5.5 million in Q2, with inventory reduced by about $11 million YoY. Net cash provided by operating activities totaled $32.3 million in H1 2026, and free cash flow was about $26.6 million, supporting a strong balance sheet and a confirmed dividend policy. While October comps were down about 2%, Monro maintains visibility to deliver positive full-year comps driven by ongoing marketing scaling (targeting ~600 stores in Q2 and broader rollout by December), store-level improvements, and pricing/mix optimizations related to tariffs. The year-end guidance remains conservative yet constructive, with expectations for flat full-year gross margin versus 2025 and a path to higher adjusted diluted EPS versus the prior year, supported by operating leverage and asset dispositions.