Advance Auto Parts Restates 2022 Financials

TL;DR

AAP restated 2022 financials due to errors, impacting cost of sales and SG&A.

AI Summary

Advance Auto Parts Inc. filed its 2024 10-K on February 26, 2025, reporting a restatement of prior period financial statements due to identified errors. For the year ended December 31, 2022, cost of sales was adjusted by $29,865, leading to a corrected gross profit of $4,932,235. Selling, general, and administrative expenses were also adjusted by $14,033.

Why It Matters

This restatement indicates potential accounting issues that could affect investor confidence and the accuracy of financial performance analysis.

Risk Assessment

Risk Level: medium — Restatements of financial statements, even if immaterial, can signal internal control weaknesses or accounting complexities.

Key Numbers

• $4,932,235 — Corrected Gross Profit (2022) (Reflects adjustments made due to identified errors.)
• $6,222,487 — Corrected Cost of Sales (2022) (Includes adjustments from prior period errors.)
• $4,261,982 — Corrected SG&A Expenses (2022) (Reflects adjustments made due to identified errors.)

Key Players & Entities

• Advance Auto Parts Inc. (company) — Filer of the 10-K
• 2024-12-28 (date) — Fiscal year end
• 2025-02-26 (date) — Filing date
• $29,865 (dollar_amount) — Adjustment to cost of sales for the year ended December 31, 2022
• $14,033 (dollar_amount) — Adjustment to selling, general, and administrative expenses for the year ended December 31, 2022

FAQ

From the Filing

0001158449-25-000064.txt : 20250226 0001158449-25-000064.hdr.sgml : 20250226 20250226162744 ACCESSION NUMBER: 0001158449-25-000064 CONFORMED SUBMISSION TYPE: 10-K PUBLIC DOCUMENT COUNT: 111 CONFORMED PERIOD OF REPORT: 20241228 FILED AS OF DATE: 20250226 DATE AS OF CHANGE: 20250226 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ADVANCE AUTO PARTS INC CENTRAL INDEX KEY: 0001158449 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-AUTO & HOME SUPPLY STORES [5531] ORGANIZATION NAME: 07 Trade & Services IRS NUMBER: 542049910 STATE OF INCORPORATION: DE FISCAL YEAR END: 1228 FILING VALUES: FORM TYPE: 10-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-16797 FILM NUMBER: 25670579 BUSINESS ADDRESS: STREET 1: 4200 SIX FORKS ROAD CITY: RALEIGH STATE: NC ZIP: 27609 BUSINESS PHONE: 5403624911 MAIL ADDRESS: STREET 1: 4200 SIX FORKS ROAD CITY: RALEIGH STATE: NC ZIP: 27609 10-K 1 aap-20241228.htm 10-K aap-20241228 false FY 0001158449 2024 P3Y P5Y P3Y http://fasb.org/us-gaap/2024#OtherLiabilitiesCurrent http://fasb.org/us-gaap/2024#OtherLiabilitiesCurrent http://fasb.org/us-gaap/2024#AccountsPayableCurrent Immaterial Restatement of Prior Period Financial Statements As discussed in Note 1. Nature of Operations and Basis of Presentation , d uring the year ended December 30, 2023, the Company identified errors in its consolidated financial statements. A summary of the corrections, inclusive of adjustments discovered in the periods presented below are as follows (tables may not foot or cross foot due to rounding): Condensed Consolidated Statement of Operations December 31, 2022 Year Ended As Previously Reported Adjustments As Corrected Discontinued Operations As Corrected, after Discontinued Operations Cost of sales $ 6,192,622  $ 29,865  $ 6,222,487  $ 1,306,483  $ 4,916,004  Gross profit 4,962,100  (29,865) 4,932,235  699,365  4,232,870  Selling, general and administrative expenses 4,247,949  14,033  4,261,982  553,730  3,708,252  Operating income 714,151  (43,898) 670,253  145,635  524,618  Other (expense) income, net     (6,996) (427) (7,423) (1,247) (6,176) Total other, net     (65,464) (427) (65,891) (1,466) (64,425) Income before provision for income taxes 648,687  (44,325) 604,362  144,169  460,193  Provision for income taxes 146,815  (6,855) 139,960  40,303  99,657  Net income $ 501,872  $ (37,470) $ 464,402  $ 103,866  $ 360,536  Basic earnings per share $ 8.32  $ (0.62) $ 7.70  $ 1.73  $ 5.97  Diluted earnings per common share $ 8.27  $ (0.62) $ 7.65  $ 1.71  $ 5.94  Condensed Consolidated Statement of Comprehensive Income December 31, 2022 Year Ended As Previously Reported Adjustments As Corrected Net income $ 501,872  $ (37,470) $ 464,402  Currency translation adjustments (22,330) 4,880  (17,450) Total other comprehensive loss (22,516) 4,880  (17,636) Comprehensive income $ 479,356  $ (32,590) $ 446,766  Condensed Consolidated Statements of Changes in Stockholders’ Equity December 31, 2022 Accumulated Other Comprehensive Loss Retained Earnings Total Stockholders' Equity Fifty-Two Weeks As Previously Reported Balance at January 1, 2022 $ (22,627) $ 4,605,791  $ 3,128,291  Net income —  501,872  501,872  Total other comprehensive loss (22,516) —  (22,516) Balance at December 31, 2022 $ (45,143) $ 4,744,624  $ 2,678,281  Adjustments Balance at January 1, 2022 $ (4,432) $ (42,067) $ (46,499) Net Income —  (37,470) (37,470) Total other comprehensive loss 4,880  —  4,880  Balance at December 31, 2022 $ 448  $ (79,537) $ (79,089) As Corrected Balance at January 1, 2022 $ (27,059) $ 4,563,724  $ 3,081,792  Net income —  464,402  464,402  Total other comprehensive loss (17,636) &#8