Income Statement
The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.
AutoZone Inc., consolidated income statement
US$ in thousands
Based on: 10-K (reporting date: 2023-08-26), 10-K (reporting date: 2022-08-27), 10-K (reporting date: 2021-08-28), 10-K (reporting date: 2020-08-29), 10-K (reporting date: 2019-08-31), 10-K (reporting date: 2018-08-25).
- Net Sales
- Net sales have shown a consistent upward trend over the years, increasing from approximately $11.2 billion in 2018 to about $17.5 billion in 2023. This reflects steady growth in the company's revenue base.
- Cost of Sales
- The cost of sales, including warehouse and delivery expenses, has also increased correspondingly, from around $5.25 billion in 2018 to approximately $8.39 billion in 2023. The cost growth is closely aligned with the increase in net sales, indicating proportional scaling of operational costs.
- Gross Profit
- Gross profit has risen consistently from $5.97 billion in 2018 to $9.07 billion in 2023. The growth in gross profit demonstrates an improving ability to generate profit from sales, even as costs rise, suggesting effective cost management relative to revenue increases.
- Operating, Selling, General and Administrative Expenses
- Operating expenses have increased steadily from $4.16 billion in 2018 to $5.60 billion in 2023. Although these expenses have grown, they have done so at a slower pace compared to gross profit, which supports expansion in operating profit.
- Operating Profit
- Operating profit exhibits a positive trend, rising from $1.81 billion in 2018 to around $3.47 billion in 2023. This indicates improvements in operational efficiency and profitability, with the company successfully increasing earnings from core activities.
- Interest Expense (Net)
- Net interest expense fluctuated slightly but remained relatively stable around $175 million to $195 million until 2022, when it sharply increased to $306 million in 2023. This rise in interest expense could reflect increased borrowing or higher interest rates impacting financing costs.
- Income Before Income Taxes
- Pre-tax income has followed an upward trajectory, rising from $1.64 billion in 2018 to approximately $3.17 billion in 2023. This growth aligns with higher operating profits, though the impact of increased interest expenses in 2023 slightly tempered the margin improvement.
- Income Tax Expense
- Income tax expense has grown steadily from about $299 million in 2018 to $639 million in 2023, reflecting higher taxable income over the period. The tax burden has remained proportionate to income levels, with minor fluctuations.
- Net Income
- Net income has shown continuous growth, increasing from $1.34 billion in 2018 to $2.53 billion in 2023. The upward trend signifies strong overall profitability improvements, driven primarily by increased sales, effective cost control, and stable tax management despite rising financing costs.
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