AutoZone delivered a solid QQ3 2024 performance characterized by a modest total sales increase and meaningful margin expansion, supported by ongoing international growth and a ramp in commercial initiatives. The quarter showcased: (1) 3.5% total sales growth to approximately $4.2 billion with domestic comps flat and international comps up strongly (9.3% in constant currency), (2) gross margin of 53.5% driven by core gross margin improvements and a favorable LIFO credit backdrop that contributed roughly 102 basis points to gross margin, and (3) robust free cash flow generation ($434 million) and a sizable share repurchase (~$735 million) alongside disciplined capital allocation. The company also advanced key capacity projects (two US distribution centers nearing completion for FY25 and expansion of international DCs in Mexico and Monterrey) and expanded its mega hub network (103 mega hubs, with a plan to exceed 200 at full build-out). Management framed the results within a cautious near-term outlook, highlighting weather and tax-refund timing as near-term headwinds but remaining confident in longer-term growth through domestic commercial expansion, improved parts availability, faster delivery, and international scale." ,