Tractor Supply Company is gearing up to shutter around 75 Petsense stores as it restructures its pet specialty business. The move was recently announced alongside its second-quarter 2026 financial results. The rural lifestyle retailer reported higher sales but lower profits for the quarter. The company attributed the decline to restructuring costs, acquisition-related expenses, and softer consumer spending.
Second-Quarter Results Reflect Mixed Performance
According to an official news release, Tractor Supply Company recorded net sales of approximately $4.54 billion for the quarter ended June 27, 2026. That was a 2.3% increase from the same period last year, when the company reported $4.44 billion in net sales.
The increase was driven by new store openings, while comparable store sales declined 1.5%. The company said strong sales in April and June were outweighed by a slow May, as customers cut back on spending on seasonal items, big-ticket items, and other discretionary purchases.
Tractor Supply Company’s customers continued to buy everyday essentials, while the company’s digital sales also increased. The retail company’s net income, as shown in the announcement, decreased 16.1% to $360.7 million. Last year in the same quarter, the value was $430 million.
Other than this, the diluted earnings per share came down to $0.69 from $0.81 a year ago.
Adjusted diluted earnings per share was $0.81 after excluding restructuring and acquisition costs.
President and CEO Hal Lawton said the company is confident in its long-term strategy despite near-term challenges.
“We are responding with urgency by strengthening our companion animal business, reinforcing our value position and improving productivity across the business,” Lawton said.
Approximately 75 Petsense Stores Set to Close
As part of its efforts to strengthen its pet business, Tractor Supply plans to close around 75 Petsense locations.
The company recorded $5.9 million in inventory write-down and $65.8 million in restructuring costs tied to the planned store closures. It also spent $9.5 million on expenses related to its recent acquisition of VIP Petcare.
To date, the retailer has not disclosed which Petsense outlets will close or a timeline for the closures.
Retailer Revises Fiscal 2026 Outlook
Following its year-to-date performance and plans for the remainder of the year, Tractor Supply lowered its fiscal 2026 outlook. The company now expects:
- Net sales growth: 2.5% to 3.5%
- Comparable store sales: Down 1% to flat
- Net income: $930 million to $990 million
- Diluted earnings per share: $1.78 to $1.88
The company also withdrew the long-term financial framework introduced in its December 2024 Investor Day. It plans to provide updated long-term targets when it shares the fourth-quarter 2026 earnings.
The announcement adds that the retailer opened 28 new Tractor Supply stores and three new Petsense by Tractor Supply stores during the second quarter.
As of June 27, 2026, the company operated 2,463 Tractor Supply outlets in 49 states and 209 Petsense by Tractor Supply stores spanning 23 states.
Founded more than 85 years ago, the retail company serves farmers, ranchers, homeowners, gardeners, pet owners, and DIY enthusiasts through more than 2,400 U.S. stores and employs over 54,000 people.
The planned Petsense closures mark a crucial point for the company as it works to enhance performance amid softer consumer demand.
