Thu, May 30, 10:03 AM (144 days ago)
Advance Auto Parts, Inc. filed an amended Form 10-K/A for the fiscal year ending December 30, 2023, to address an additional material weakness in its internal controls over financial reporting. The amendment reflects ineffective control activities, including account reconciliations, which led to immaterial errors in previously issued financial statements. Despite these errors, the company concluded that the financial statements could still be relied upon and did not require restatement. Key financial highlights: - Net sales: $11.3 billion - Gross profit: $4.5 billion - Net income: $29.7 million - Operating income: $114.4 million - Basic EPS: $0.50 - Diluted EPS: $0.50 The company identified issues related to turnover of key accounting positions and non-compliance with cash reconciliation policies. Remediation efforts include hiring experienced personnel, reviewing organizational structures, and implementing additional internal controls. The company expects to complete remediation by the second half of fiscal 2024. Risk factors include leadership transitions, potential divestitures, competitive industry dynamics, and macroeconomic conditions. The company's financial condition remains robust with total assets of $12.3 billion and stockholders' equity of $2.5 billion.