Major auto parts provider will shutter more than 700 stores by mid-2025

Advance Auto Parts recently announced its decision to close more than 700 stores and four distribution centers by mid-2025 as part of a significant restructuring effort. This move comes as the automotive parts provider aims to enhance its profitability, drive growth, and streamline its operations, as stated in its latest earnings report.

According to an SEC regulatory filing by the company, approximately 500 corporate stores will be shut down, along with 200 independent locations and four distribution centers by the middle of this year. The closures are part of Advance Auto Parts’ strategy to position itself for long-term success and value creation. While specific details on which stores will be affected have not been disclosed, the company currently operates 4,788 stores across the U.S., Canada, Puerto Rico, and the U.S. Virgin Islands. In Ohio alone, Advance Auto Parts operates 232 stores, underscoring the significant impact that these closures will have across various regions.

In addition to the store closures, Advance Auto Parts plans to consolidate its distribution centers to 12 large facilities by the end of 2026 and establish 60 market hub locations by mid-2027. These measures are aimed at optimizing the company’s supply chain operations and enhancing overall efficiency to better serve customers and drive sustainable growth.

The decision to close over 700 stores and distribution centers was first announced in the company’s third-quarter report back in November 2024 and has now been confirmed in its fourth-quarter earnings report. Shane O’Kelly, president and CEO of Advance Auto Parts, highlighted the company’s proactive approach to repositioning itself for long-term success through transformative actions undertaken in 2024.

As Advance Auto Parts embarks on this restructuring journey, it underscores the company’s commitment to adapting to the evolving business landscape and ensuring its competitiveness in the market. By realigning its operations, streamlining its store footprint, and optimizing its distribution network, Advance Auto Parts aims to strengthen its financial performance and position itself for sustainable growth in the years to come.

In conclusion, Advance Auto Parts’ decision to close more than 700 stores and distribution centers marks a significant milestone in its efforts to enhance profitability, drive growth, and streamline operations. With a strategic focus on long-term success and value creation, the company remains dedicated to delivering exceptional service to its customers and maximizing shareholder value through these transformative actions.