Advance Auto Parts Opening Over 100 New Stores, Despite Recently Closing 700

By the end of 2027, Advance Auto Parts will have more than 100 new stores in the U.S. About 30 locations will be up and running later this year, with six already open in Florida, Tennessee, New Jersey, and Virginia. Ohio, Maryland, and Illinois are slated for openings soon.

Even though Advance Auto is opening new stores, the car parts retailer just closed over 700 locations. The company initially estimated all the closures would be completed by mid-2025, yet the process is now finished.

Among the Advance Auto openings, there will be new “market hub” stores, which typically carry more parts than its other stores. While smaller Advance Auto stores have about 25,000 products, market hubs have 75,000 to 85,000 items. Located mainly in the Midwest, these locations not only sell parts to retail customers, but also help other Advance stores with inventory.

“Advance Auto Parts is on the path to accelerate store growth and focused on the fundamentals of selling auto parts,” said CEO Shane O’Kelly, per USA Today. “Our team members are committed to providing the right parts and the right service for our PRO and DIY customers in their communities.”

Advance Auto Parts Outlook

According to Advance leadership, the new stores will be more efficient, with an updated line of products customized based on store location. Improvements in current locations will be made as well, including updated store equipment and repairs. Staff will get added customer service training as well.

The changes are part of a restructuring initiative to improve Advance’s financial performance. In February, the car parts giant released some disappointing earnings, but restated its focus toward better results had not faltered.

“During 2024, we initiated transformative actions to reposition Advance for long-term success and value creation,” O’Kelly noted in a Feb. 26 earnings statement.  “We remain committed to delivering an improved operating performance in 2025 and making progress toward our FY27 goal of achieving an adjusted operating margin of approximately 7%.”

In fiscal year 2024, Advance’s net sales reached $9.1 billion, a 1.2% drop year-over-year. Comparable sales, which measures income from stores open at least one year, fell 0.7%. The comparable sales number did not include the hundreds of stores the company was in process of closing.