Before we begin, please note that today's call includes forward-looking statements that are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of future performance. Please refer to this morning's press release and the company's most recent annual report on Form 10-K and other filings with the Securities and Exchange Commission for a discussion of important risks and uncertainties that could cause actual results to differ materially from expectations. Forward-looking statements speak only as of the date made, and the company undertakes no obligation to update such statements. Today's call will also include certain non-GAAP measures. A reconciliation of GAAP to non-GAAP financial measures can be found in our press release. Good day, everyone, and welcome to AutoZone's 2024 quarter earnings release conference call. At this time, all participants have been placed on a listen-only mode, and we will open the floor for your questions and comments after the presentation. It is now my pleasure to turn the floor over to your host, Phil Daniele, CEO of AutoZone. Sir, the floor is yours. Thank you. Good morning, and thank you for joining us today for AutoZone's 2024 fourth quarter conference call. With me today are Jamere Jackson, Chief Financial Officer, and Brian Campbell, Vice President, Treasurer, Investor Relations, and Tax. Regarding the fourth quarter, I hope you had an opportunity to read our press release and learn about our quarter's results. If not, the press release, along with slides complementing our comments today, are available on our website at www.autozone.com under the Investor Relations link. Please click on the Quarterly Earnings Conference Call to see them. As we begin this morning, I wanna thank our more than 120,000 AutoZoners for their contributions during fiscal 2024 that resulted in our solid performance. As the first line of our pledge states, they continue putting our customers first, which resulted in total sales growth of 5.9% for the fiscal year, while earnings per share increased 13%. As a reminder, this fiscal year had an extra week of results, so excluding the 53rd week, our sales were up 3.8%, while our EPS was up 10.4%. In the fourth quarter, with our continued focus on what we call WOW! Customer Service, our total sales were up 9%, while EPS was up 11%. On a 16-week basis, our Q4 sales were up 2.6%, while our EPS was up 3.5%. We also delivered 1.3% total company same-store sales, domestic same-store sales growth of 0.2%, and international same-store sales up 9.9%. Our domestic commercial sales accelerated sequentially, finishing up 4.5% versus last year's Q4 of 3.9%. This is on a 16-week versus 16-week basis. We were up 10.9% on a 17-week versus 16-week basis. While our international business continued to comp up approximately 10% in local currencies, we faced a nearly 500 points of currency headwind, and our reported growth rate is approximately 5%. As you know, the weaker US dollar has been a tailwind for our reported results since we began reporting international comps last year in our fourth quarter earnings report. The stronger dollar had a meaningful impact on our reported sales, operating profit, and EPS this quarter. Jamere will update the potential impact of foreign currency on FY 2025 later in the call. While there will always be tailwinds and headwinds in a quarter's results, what has been consistent is that we could not have achieved both this quarter's and this year's success without exceptional efforts across the entire organization, so let me dive into our sales results. First off, I will say that our domestic DIY results were very similar to last quarter. Q4's DIY comp sales were down about 1%. The impact from the headwind on our discretionary merchandise categories drove the bulk of this decline, similar to last quarter. For our fourth quarter, discretionary category sales were approximately 18% of our mix, and they were down roughly 5% year- over- year. Again, similar to our results in previous quarters this fiscal year. We have seen this trend for the entire fiscal year, and our belief is that these categories will continue to be pressured until the consumer gets some economic relief and customer confidence improves. With regards to our inflation impact on the DIY comp, we saw both average ticket and like-for-like SKU inflation up approximately 1% for the quarter. While still low versus historical norms, the growth is a good trend for us, as we would expect inflation in our ticket average to be approximately 3% over time. We anticipate average ticket growth will return to historical industry growth rates as we move farther away from the hyperinflation of the last couple of years. We also saw DIY transactions count down 2%. While our industry overall sales growth rate for DIY appears to be down over the last quarter, it was very encouraging to see our market share growth in DIY. We believe we have a best-in-class offering, and this gives us confidence that when our consumers return to their historical, historical shopping habits, we will be the beneficiaries of that upswing. Secondly, I'll speak to our regional DIY performance. Simply put, it was consistent across the country as each of our 10 reporting census regions delivered approximately a 1% negative comp. Third, I will address weather and what we believe the impact was on our DIY business. We clearly saw hot weather across the U.S. this past summer, and in those markets where the weather was hot, our sales increased accordingly. However, across the majority of the country, the weather pattern was similar to the previous year, and therefore, did not have a meaningful impact on our performance. Next, I will touch on our U.S. commercial business. While we reported this morning that our commercial sales were up 10.9% for the quarter, on a 16-week comparable basis to last year, our sales were up 4.5%. We were encouraged to see our U.S. commercial sales growth. This past quarter marked another quarter of sequential increases to year-over-year DIFM sales. We saw very little variation in the commercial sales across regions, as the entire country was basically running at the overall sales growth rate of 4.5% on a 16-week basis. While we are encouraged by the progress we are making, we still have significant opportunities in front of us to grow market share with improved satellite store inventory availability, significant improvements in Hub and Mega Hub coverage, the strength of our Duralast brand, and good execution on our initiatives to improve speed of delivery and improve customer service. We are confident about our future. This quarter, inflation on a like-for-like SKU basis was essentially flat, which drove flat pricing and average ticket for commercial. We have seen pricing remain relatively flat as inflation has cooled for goods in our industry. We expect to see slightly more inflation next year, and our assumption is like-for-like SKU retail inflation will be in the low single digits in FY 2025. For the year, we opened eight Hubs and 11 Mega Hubs, which is roughly half of what we did in FY 2023. We are excited about the ability to resume aggressively opening these important assets in FY 2025, although openings will be somewhat second-half loaded. Hubs and Mega Hubs lead to comp results that grow faster than the balance of the chain, and we are going to continue to aggressively deploy these assets. For our first quarter of FY 2025, we expect both DIY and commercial sales trends to modestly improve. We expect better sales performance in Q2 and the Q3 time frames. We will, as always, be transparent about what we are seeing and provide color on our markets and outlook as trends change. Before turning the call to Jamere, I would like to take a moment to discuss our international business. We were busy opening stores this quarter. Between Mexico and Brazil, we opened 49 new stores and now have 921 international stores. As you can see from our press release, our same-store sales were just under 10%. We remain committed to growing the number of stores in both Mexico and Brazil. Today, we have 13% of our total store base outside of the U.S. and expect that number will continue to grow. We plan to accelerate our openings by 2028, and we are targeting around 200 international openings per year. We continue to take our U.S. store learnings and introduce them to the international store operations, and we are very excited about our future in international. In summary, we have continued to invest in making in-market inventory assortments better to drive future traffic growth and sales, enhancing our IT systems and our supply chain. In FY 2025, we'll continue to ramp up our store openings, specifically our Hubs and Mega Hubs, and drive efficiencies from our new DCs, which are expected to come online in 2025. At AutoZone, we are investing in our future growth initiatives. In FY 2024, we invested more than $1 billion in CapEx and are focused on our strategic growth priorities. In FY 2025, you will see more of the same. We are investing in accelerated store growth, specifically Hubs and Mega Hubs, placing inventory closer to our customers, distribution centers that will drive efficiency and reduce supply chain costs, IT systems that will improve customer service and improve our AutoZoners' ability to help our customers. We believe that our industry is strong, and we have an opportunity to grow market share domestically and internationally. Now I will turn the call over to Jamere Jackson. Thanks, Phil, and good morning, everyone. Before I unpack our results, I want to remind you that each year, our fiscal year ends on the last Saturday in August. Based on the way the calendar fell this year, we had an extra week in our fiscal year, and the fourth quarter is based on 17 weeks versus 16. For comparison, our same-store sales comps are based on a 16-week basis, while our total sales, EBIT, and EPS results will be discussed on a 17-week basis. As Phil has previously discussed, we reported 9% total company sales growth. On a 16-week basis, total company sales were up 2.6%, our domestic same-store sales grew 0.2%, and our international comp was up 9.9% on a constant currency basis. Total company EBIT grew 6.1%, and our EPS grew 11%. I also want to point out that we had a headwind from foreign exchange rates in this quarter. We had a 500 basis points drag on international sales that resulted in a $32 million headwind to sales, an $8 million headwind to EBIT, and a $0.32 a share drag on EPS versus the prior year. We continue to deliver solid results despite the economic backdrop, and the efforts of our AutoZoners in our stores and distribution centers have enabled us to grow our business and our earnings in a meaningful way. Let me take a few moments to elaborate on the specifics in our P&L for Q4. For the quarter, total sales were just over $6.2 billion, and as I just mentioned, was up 9%. For the year, our total sales were $18.5 billion, up 5.9% versus last fiscal year. Let me give a little color on our sales and our growth initiatives, starting with our domestic commercial business. For the fourth quarter, our domestic DIFM sales increased 10.9% to $1.7 billion. On a 16-week basis, our domestic commercial business grew 4.5%. For FY 2024, our commercial sales were $4.9 billion, up 6.2% versus last year. In the quarter, sales to our domestic DIFM customers represented 31% of our domestic auto parts sales and 27% of our total company sales. Our average weekly sales per program were $16,700, flat to last year as we lap new programs that we opened that are not at maturity. Our commercial acceleration initiatives are continuing to deliver good results as we grow share by winning new business and increasing our share of wallet with existing customers. We now have our commercial program in approximately 92% of our domestic stores, which leverages our DIY infrastructure, and we're building our business with national, regional, and local accounts. This quarter, we opened 55 net new programs, finishing with 5,898 total programs. Importantly, we have a lot of runway in front of us, and we will aggressively pursue growth in commercial, which represents a tremendous growth opportunity for our company. To support our commercial growth, we now have 109 Mega Hubs locations. While I mentioned a moment ago, our commercial weekly sales per program average was $16,700 per program. The 109 Mega Hubs average significantly higher sales and are growing much faster than the balance of the commercial business in Q4. As a reminder, our Mega Hubs typically carry over 100,000 SKUs and drive tremendous lift inside the store box, as well as serve as an expanded fulfillment source for other stores. The expansion of coverage and parts availability continues to deliver a meaningful sales lift to both our commercial and DIY business. These assets are performing well individually, and the fulfillment capability for the surrounding AutoZone stores is giving our customers access to thousands of additional parts and lifting the entire network. We have an objective to have well north of 200 Mega Hubs at full build-out. Our customers are excited by our commercial offering as we deploy more parts in the local markets closer to the customer while improving our service levels. On the domestic retail side of our business, our DIY comp was down 1.1% for the quarter. For all of FY 2024, our DIY comp was down 0.6%. Despite the industry softness, we continue to gain share in DIY, and we are well-positioned when the industry reaccelerates. As Phil mentioned, we saw traffic down 2%, along with 1% ticket growth. As we move forward, we would expect to see slightly declining transaction counts offset by low to mid-single digit ticket growth, in line with the long-term historical trends for the business, driven by changes in technology and the durability of new parts. Our DIY business has continued to gain share behind our growth initiatives. Importantly, the market is experiencing a growing and aging car park and a challenging new and used car sales market for our customers, which continues to provide a tailwind for our business. These dynamics, ticket growth, growth initiatives, and macro car park tailwinds, we believe, will continue to drive a resilient DIY business environment for FY 2025. Now I'll say a few words regarding our international business. We continue to be pleased with the progress we're making in our international markets. During the quarter, we opened 31 new stores in Mexico to finish with 794 stores and 18 new stores in Brazil, ending with 127. Our same-store sales grew 9.9% on a constant currency basis and 4.9% when taking into account foreign exchange rates. We remain committed to international, and given our success in these markets, we will accelerate the store opening pace going forward. We're bullish on international being an attractive and meaningful contributor to AutoZone's future sales and operating profit growth. Now, let me spend a few minutes on the rest of the P&L and gross margins. For the quarter, our gross margin was 52.5%, down 21 basis points, driven primarily by an unfavorable LIFO comparison to last year. Excluding LIFO from both years, we had a 32 basis point improvement in gross margin, driven by continued improvement in merchandising margins. For Q4 last year, we had a $30 million LIFO credit, while this year we did not have any credits. We previously said that we thought we would have approximately $10 million of LIFO credits in the quarter, which would have equated to 16 basis points of higher gross margins or $0.45 a share. At year-end, we had $19 million in cumulative LIFO charges yet to be reversed through our P&L. At the moment, we are not anticipating any charges or credits to our P&L for Q1 of FY 2025, as inflation has not materially impacted our LIFO inventory accounting results. I will remind you that in last year's first quarter, we booked $2 million LIFO credit, and as a reminder, once we credit back the $19 million through the P&L, we will not take any more credits, and we will begin to rebuild an unrecorded LIFO reserve. Moving to operating expenses. Our expenses were up 10.4% versus last year's Q4, as SG&A, as a percentage of sales, deleveraged 37 basis points. On a 16-week basis, our SG&A was up 4.6%. The growth in SG&A has been purposeful as we continue to invest at an accelerated pace in IT and payroll to underpin our growth initiatives. These investments will pay dividends in customer experience, speed, and productivity. We're committed to being disciplined on SG&A growth as we move forward, and we will manage expenses in line with sales growth over time. Moving to the rest of the P&L, EBIT for the quarter was $1.3 billion, up 6.1% versus the prior year. EBIT for FY 2024 was just under $3.8 billion, up 9.1% versus the prior year, driven by top-line growth and gross margin improvement. Interest expense for the quarter was $153.2 million, up 41% from Q4 a year ago, as our debt outstanding at the end of the quarter was $9 billion versus $7.7 billion at Q4 end last year. We're planning interest in the $108 million range for the first quarter of FY 2025 versus $91.4 million in this past year's first quarter. Higher debt levels and borrowing rates across the curve are driving this increase. For the quarter, our tax rate was 21.1% and down from last year's fourth quarter of 22.4%. This quarter's rate benefited 80 basis points from stock options exercised, while last year it benefited 22 basis points. For the first quarter of FY 2025, we suggest investors model us at approximately 23.4% before any assumption on credits due to stock option exercises. Moving to net income and EPS. Net income for the quarter was $902 million, up 4.3% versus last year. Our diluted share count of 17.5 million was 6% lower than last year's fourth quarter. The combination of higher net income and lower share count drove earnings per share for the quarter to $51.58, up 11% for the quarter. For FY 2024, net income was $2.7 billion, up 5.3%, and earnings per share was $149.55, up 13%. Now, let me talk about our free cash flow. For the fourth quarter, we generated $723 million in free cash flow, and for the year, we generated $1.9 billion in free cash. We expect to continue being in an incredibly strong cash flow generator going forward, and we remain committed to returning meaningful amounts of cash to our shareholders. Regarding our balance sheet, our liquidity position remains very strong and our leverage ratio finished at 2.5x EBITDA. Our inventory per store was up 3.7% versus Q4 last year, while total inventory increased 6.8% over the same period last year, driven by new store growth. Net inventory, defined as merchandise inventories less accounts payable on a per store basis, was - $163,000 versus - $201,000 last year, and - $168,000 last quarter. As a result, accounts payable as a percent of gross inventory finished the quarter at 119.5% versus last year's Q4 of 124.9%. Lastly, I'll spend a moment on capital allocation and our share repurchase program. We repurchased $711 million of AutoZone stock in the quarter, and at quarter end, we had just under $2.2 billion remaining under our share buyback authorization. The strong earnings balance sheet and powerful free cash we generated this year has allowed us to buy back 6% of the shares outstanding since the beginning of the fiscal year. We have bought back over 100% of the then outstanding shares of stock since our buyback inception in 1998, while investing in our existing assets and growing our business. We remain committed to this disciplined capital allocation approach that will enable us to invest in the business and return meaningful amounts of cash to shareholders. To wrap up, we remain committed to driving long-term shareholder value by investing in our growth initiatives, driving robust earnings and cash, and returning excess cash to our shareholders. Our strategy continues to work. We're growing our market share domestically and internationally, and improving our competitive positioning in a disciplined way. As we look forward to FY 2025, we're bullish on our growth prospects behind a resilient DIY business, a fast-growing international business, and a domestic commercial business that is continuing to grow share. I continue to have tremendous confidence in our ability to drive significant and ongoing value for our shareholders behind a strong industry, a winning strategy, and an exceptional team of AutoZoners. Before handing the call back to Phil, I want to remind you that we report revenue comps on a constant currency basis to reflect our operating performance. We generally don't take on transactional risks, so our results reflect the translation impact for reporting purposes. As I mentioned earlier in the quarter, foreign currency resulted in a headwind on revenue and EPS. If yesterday's spot rates held constant for Q1 FY 2025, then we expect an approximate $55 million drag on revenue, a $16 million drag on EBIT, and a $0.63 a share drag on EPS. And if rates remained at the current spot rates for the full fiscal year of 2025, we would expect an approximate $265 million impact to revenues, a $90 million impact to EBIT, and a $3.64 a share impact to full year EPS. And now I'll turn it back to Phil. Thank you, Jamere. We're proud of our AutoZoners across the globe and the results our team delivered this past quarter. In FY 2024, we focused on improving execution and driving WOW! Customer Service. We made meaningful progress and are well-positioned to grow sales across our domestic and international store bases, with both our retail and our commercial customers. Our gross margins are solid, and our operating expense is appropriate for future growth. We continue to put our capital to work where we'll have the biggest impact on sales, our stores, distribution centers, and leveraging technology to build a superior customer service experience where we are able to say yes to our customers' needs. The top focus areas for fiscal 2025 will remain growing share in our domestic commercial business and continuing our momentum in our international markets. We believe we have a solid plan in place for growth over the next 12 months. We know our focus on parts availability, flawless execution, and what we call WOW! Customer Service will lead to sales growth and gains in market share. We're excited to start 2025. This time of year, we also enjoy reflecting on the past. Our team achieved some impressive milestones this past fiscal year. $18.5 billion in sales, headed toward the $20 billion milestone. Commercial sales are about to eclipse $5 billion. It wasn't that long ago, we just crossed $2 billion. That was only 2017. Average weekly sales domestically of $47,000 a week, equating to just under $2.5 million per store annually. Our Mexico and our ALLDATA teams both broke multiple records, and Brazil has now more than 100 stores and is growing. We bought back $3.2 billion in AutoZone stock, marking $37 billion in buybacks since the start of our program back in 1998. As we start our new fiscal year, I'd like to take a moment and discuss our operating theme for this new year: Great People, Great Service. I am asked frequently what differentiates AutoZone from others. My answer always goes back to the same point over and over again, our AutoZoners and AutoZone's amazing culture. Our AutoZoners have built this culture. This year, we will focus on our AutoZoners like never before. We are determined to improve upon an already existing culture of service. Next week will mark the start of our national sales meeting here in Memphis. Just over 3,000 AutoZoners will be in Memphis to learn about our parts and products, celebrate this past year's accomplishments, as well as allowing our leadership to celebrate and recognize the best performing store and distribution center AutoZoners. We cannot wait to have everyone here. But we can't rest on our laurels, and we aren't without our challenges, that's for sure. We must make sure that every store is staffed right every hour of every day. Our processes need to function properly, always, and we have to meet our new store opening goals and timelines. Simply put, we have to remain the execution machine that we have always been. Fiscal 2025's top priorities will continue to be based on improving execution, and we will continue to invest in our following strategic projects: reaccelerate our new Hub and Mega Hub openings, effectively and efficiently open our new distribution centers and optimize our direct import facility, ramp up our domestic and international store growth. As discussed, our international teams posted same-store sales comps on a constant currency basis of 10.2%, continuing several years of very strong growth. Most importantly, reaccelerate our domestic commercial sales growth and continue to gain market share on DIY. Also this morning, I'd like to remind everyone that Ken Jacox joined AutoZone this past quarter as our Senior Vice President, Commercial. Ken is a strong addition for us, having served most recently at U.S. Steel, where he served as their Senior Vice President and Chief Commercial Officer. He has extensive experience in the B2B space and has developed and led world-class sales teams. He is a great cultural fit, and we are fortunate to have Ken join us. We are excited about what we can accomplish, and our AutoZoners are committed to delivering even better results. We believe in our potential for future growth. We believe in AutoZone's best days lie ahead of us. Now, we'd like to open up the call for questions. Certainly. Everyone at this time, we'll be conducting a question and answer session. If you have any questions or comments, please press star one on your phone at this time. We do ask that while posing your question, please pick up your handset if speaking on speakerphone to provide optimum sound quality. We do ask that participants please ask one question and one follow-up. Once again, if you have any questions or comments, please press star one on your phone. Your first question is coming from Simeon Gutman from Morgan Stanley. Your line is live. Good morning. Hey, Phil, you mentioned accelerating commercial sales growth. You made a hire recently, and we talked about Hubs on the call, and I think you're tweaking inventory. Can you talk about timing? What, you know, should investors expect, what you expect out of the organization, when we could see commercial sales move to that next level? Yeah, it's a great question. Thanks, Simeon. I, you know, I think we will sequentially improve from here. You know, again, like we've talked about on the last couple of calls, I think it's a, you know, it's a progressive improvement. I don't think it's gonna be a snapback. You know, you look at the environment out there, the consumer is still pressured, and we think that's showing up on both DIY and the commercial side of the business. But we like our strategies that we have in place as far as exactly what you said, incrementally improving the store side assortments at the satellite stores, opening up these Hubs and Mega Hubs, and adding inventory closer to the customers. And then, you know, we're also working on ways to streamline customer service, specifically improving speed to customer on those harder to find parts. So we like our strategy, and we think we'll continue to build from here. And then quick follow-up on gross margin, what's left and how high it can go? Because I think discretionary being down would have hurt you. Commercial being up would probably hurt you. So how do you... I guess, where's the strength coming from, and how much can it continue? Yeah, I think we got a couple of things working in our favor. One, our merchants are doing a fantastic job driving merchandising margin improvements, and negotiating with our supply base, and that team has done a tremendous job for us. So I think, you know, as we move forward, we'll continue to drive merch margin improvements. We'll have a little bit of a drag early on because we're adding a couple of DCs associated with the supply chain efforts that we have. But net-net, we think that, you know, the merchandising margin improvements will continue to power us moving forward. You know, the one area that we're watching very closely is, you know, what's happening in the industry from a pricing standpoint, as Phil alluded to and I alluded to as well, is that we're not seeing the average ticket growth. That's largely a function of what we're seeing on the inflation side. As we get some additional inflation that starts to make its way into the industry, you know, we're looking forward to having an opportunity to push retails a little bit harder. So a very disciplined approach, very strong merchandising margins, and we're looking forward to a pretty good outlook for FY 2025. Thank you. Good luck. Thank you. Thank you. Your next question is coming from Bret Jordan from Jefferies. Your line is live. Hey, good morning, guys. Morning, Bret. Could you talk about, you know, what, if any, are the hurdles to reaccelerating the Hub growth, now that the three major players are all using a Hub strategy? Is it a real estate access issue, or is it just sort of timing of your internal development team? Phil always smiles when we get this question because I own store development inside of our organization. We feel very good about what we've done. Essentially, what we've done over the last year or so is rebuilding our pipeline and our capabilities. You know, obviously, and we've talked about it here on the call, we struggled a little bit as we got through the pandemic. Everything was generally delayed during that time frame. But, you know, the reality is that there were things that we needed to improve from an operational standpoint to really improve that pipeline. We're pretty excited about where we are on Hubs and Mega Hubs. You know, we still have our plan to open 200+ Mega Hubs versus our original estimate of 110. We'll build 20+ in FY 2025. And I'm really excited about the fact that we have about 70 Mega Hubs in the pipeline today, most of which are under construction. So I feel good about the team, what we've executed on, et cetera. You know, these are big 30,000 sq ft boxes and tough to find locations, but we've reorganized our team and doubled down on our efforts to get those boxes into the marketplace. I'm excited about what they'll contribute to our future growth prospects. Okay, then a follow-up on the commercial business. I mean, can you talk about the cadence through the quarter and then any dispersion between national account business versus the up-and-down the street business? Yeah, if you talk about the quarter, like I said, both regionally and the cadence across the quarter were all pretty similar. You know, the very beginning of the quarter was a little bit lighter. June was great. Some of it due to, you know, the hot weather came a little bit earlier this year, and then when you got into July and August, it was pretty similar to last year from a weather perspective. So you didn't see meaningful change in July and August from a comp perspective. You know, where it was hot, we saw all the categories take off like you would expect. So we had a good summer. It wasn't demonstrably different than last year, though. And so that's kind of how we think about that from a quarter perspective. Sorry, what was the second part of the question? I guess national account versus the up-and-down the street business. Are you seeing any change in the independent, the WD competitive landscape out the around the net, around up and down the street? Yeah. So on national accounts, that's a great question. We kind of think of our, you know, the up-and-down the street customer, we think about national accounts, and then we have what we call some verticals. And I'll explain kind of how we saw performance across those segments. The up-and-down the street customer has been very resilient and been one of the best growing segments for us. The national accounts have improved quarter- over- quarter, and part of that improvement has come from, you know, a lot of those national accounts are heavily tied towards tires, and tires are not as bad as they used to be. The trends have improved. We're seeing more tire replacements, even though those customers generally, I think, are seeing down customer traffic. But tires are not the big drag that they have historically been. The one segment that has not performed very good for us, and as I say, I think you're gonna, it's gonna make sense, it's anything related to new cars, used cars, or buy here, pay here lots. As cars change hands, there's generally an uptick in maintenance to an, you know, a used car. They may refurb and put on, you know, put tires on, put on new brakes, suspension items, change all the filters, do some maintenance, et cetera, and as that new customer picks up the new car, they may continue to personalize it. So that segment of the business, which we're highly penetrated in, has not performed as well. We think as the environment and the economy improves a little bit, and we see more used cars change hands, and new cars being sold, that will help those two segments of the business. Great. Thank you. Thank you. Your next question is coming from Chris Horvers from JPMorgan. Your line is live. Thanks, and good morning. Can you talk about where you think the DIY, domestic DIY and domestic, you know, commercial markets are growing? You mentioned share gains in DIY, but you comped down one. So any thoughts on, you know, where you think those markets grew during the quarter and how we think about the improvement in the backdrop over FY 2025? Great question. Thank you. So on DIY, as we said, the biggest pressure point has really been in the discretionary part categories of the business. So think of that's, you know, accessories, truck towing, performance, things of that nature. That business has been pretty tough for us for at least a year. And, you know, when you look at the share gains, that sort of area is where we've seen the most challenging performance. You know, our maintenance categories and our failure categories on the DIY side of the business have been pretty resilient. But it's those headwinds from the discretionary categories that have been tough. And we frankly don't know that that's going to change too much until our pressured consumer starts to get some economic relief, and frankly, when their confidence starts to improve a bit. You know, on the commercial side, you know, we believe we're still one of the fastest growing in the industry. A little bit of a tougher comp scenario, but we believe we're growing share, and we like our strategies of deploying inventory through the Hub and the Mega Hub assortments, and we have several strategies that are focused on improving customer service in commercial, and we're seeing really good results from those. I would say just to build on that. I mean, if you think about the growth rates, you know, we actually believe that the DIY market has been down kind of low single digits because of those dynamics that Phil talked about, but also the fact that, you know, we're not seeing the same level of retail inflation. Tickets are still growing slower than the historical levels, and that's put some pressure on it. You know, a combination of the consumer sentiment, the fact that we, you know, are not seeing retail inflation, are sort of driving that business down a little bit. But what we're excited about is the fact that, you know, we continue to execute, as Phil mentioned. I mean, we're providing great service to the customer, and as that portion of the industry reaccelerates, you know, we'll be in great shape. And on the commercial side, I mean, as near as we can tell, I mean, commercial's been flat to declining for, or slightly declining for a few quarters here. And if we look at, you know, what we saw this quarter, it was probably in a similar sort of zip code. So we're excited about the fact that we've, you know, accelerated our commercial sales growth. And, as we move forward, the execution on our initiatives that Phil talked about, the fact that we'll get more Hubs and Mega Hubs in the marketplace, you know, all, all bode well for us as we move forward. Got it. And then a couple quick margin follow-ups. First, on the gross margin, it looks like that 53rd week, the gross margin was maybe 80 basis points lower. Is there something to read into that? You know, you talked about being positive on gross margin over the year, but some DC pressures. So is that just accounting nuance or something that we should think about in terms of cadence? And then secondly, on the potential FX headwind, the international implied operating margin for the year is materially higher than the quarter, so what you experienced in the fourth quarter. Is that the 53rd week impact, or is there something going on there? Yeah, so the 53rd week is always a little bit noisy for us, just in, just in general, in terms of how allocations happen, et cetera. So I wouldn't read much into how you think about it. I mean, overall, for the total company, we had about $365 million of sales and about $87 million of EBIT associated with that extra week when you look at it on a like-for-like basis. And I wouldn't. You know, the margin impacts and SG&A impacts and all those things can get a little bit skewed just based on how you do allocations in the quarter. What I'll say about international and the international margins as we think about it going forward, it's a very strong business for us. You know, our business in Mexico has basically doubled over the last three fiscal years or so. So, you know, given that significant revenue and EBIT impact of our international footprint, you know, swings in FX rates are gonna impact us, et cetera. The teams are doing a great job of executing, and you know, we wanted to be really transparent on what we see in terms of, you know, FX moving forward and, what the margin impact is gonna be, going forward. Got it. Thank you. Yep. Thank you. Thank you. Your next question is coming from Steven Forbes from Guggenheim Securities. Your line is live. Good morning, Phil, Jamere. Morning, Steve. Maybe just a follow-up to start on the commercial business. Maybe if we just focus on sort of weekly sales per commercial program. If we adjust for the extra week contribution, it looks like your sales were sort of down mid-single digits year- over- year. Any way to help contextualize sort of what's driving that? And/or right, any sort of additional thoughts on how your initiatives on the speed of delivery, right, customer service, you may help inflect that, right, as we look out over the coming quarters here and potentially get it back to growing. Yeah, well, again. You know, if you compare the 16 weeks to 16 weeks, we were up 4.5% versus last year or so. You know, and it sequentially from the last three quarters, that's three quarters in a row of growing trend on our commercial sales. If you look at what we're focused on with the, you know, obviously, improving our assortments is something we do all the time. I think our merchants have done a fantastic job of improving the store level assortments and also improving the Hub and Mega Hub assortments within any given market that may have one of those types of boxes. What we're focused on is utilizing deployed inventory in a given market, either in a Hub or a satellite, and getting that inventory quicker to the customer at the shop level. So we think of it in terms of time, speed to shop. How quickly can we get that inventory from wherever it may be to the shop, the fastest way to improve customer service? And as you know, you back up to a Hub or a Mega Hub, the assortments get deeper, and how do we get that product to those customers faster? We've deployed quite a bit of technology over the last couple of years. We continue to leverage that technology and learn how to improve the customer service for the AutoZoners, allowing them to help the customer better, as well as getting that inventory quicker to the customer, wherever that inventory may be. And we're seeing really good results. We like this, the strategy. What I'll tell you is, it's dependent on having a Hub and a Mega Hub, which is why this strategy of having more Hubs deployed with that, those inventory assets closer to the customer is so important. We wish we could go faster. We'll start reaccelerating those Hub and Mega Hubs later in the year. And then we've got a, as Jamere mentioned, we've got a great pipeline. We feel good about the future. We know where we want all of these, these big boxes to be. Of all the sites we select, well north of 200 of them on the Mega Hub side. We know where they are. It's just a matter of negotiating and getting them open. Appreciate the color. And then just a quick follow-up for Jamere, right? Appreciate the quantification of FX. Assuming all things constant, the release obviously quantified the EBIT contribution of the extra week. You also called out LIFO. Yeah, if we add these up, right, we have sort of a mid-single digit headwind to EBIT growth next year. Is that the right way to frame up sort of the non-controllable headwinds to EBIT growth or anything else you want to add as we think about sort of cleansing the models here? Yeah, there's really two pieces. One is, you know, we had about $40 million of LIFO credits that rolled through the P&L this year that become headwinds next year. Now, depending on what happens from an inflation standpoint, we've got about $19 million of credits still to come before we go back to an unrecorded balance. So you could offset maybe half of that $40 million benefit that you had this year on the LIFO side. So that should help you from a modeling standpoint. And then from an FX standpoint, you know, we try to be transparent about, you know, where the spot rates are. We're certainly not making a prediction on where FX is gonna land. There are lots of things that will impact that. Certainly, you know, things that happen in the U.S. economy, things that happen in the international economies, and some of the political dynamics. So what we wanted to do is just be really transparent about where the spot rates currently are, and what the impact could potentially be on our P&L. We'll update you as we move through the year. It's been pretty volatile. You've seen a pretty significant spike, probably to the tune of 20% or 25%, in a very short period of time. And again, as I said, given the size of international and our P&L and the profitability of that business, it does have an impact. So we'll be transparent and share with you exactly what we see as it rolls its way through the P&L. Thank you. Thank you. Your next question is coming from Robbie Ohmes, from Bank of America. Your line is live. Oh, hey, good morning. Thanks for taking my question. I was hoping, could you guys talk a little bit more about, you know, seeing inflation return and what the drivers, you know, to that normally are, or what they could be? And maybe as part of that, you know, remind us, you know, how historically tariffs and port strikes and things like that, impact, you know, inflation for you guys. Yeah. So let me, let me kind of back up, and we've talked about this a couple of different times. You know, the historical growth rates versus what we're seeing today in ticket average. You know, it's been fairly muted over the last year or so, at around, you know, this 1% retail inflation, and ticket average inflation that's been muted. Both on both sides of the business, similar numbers that are down from historical rates. Over the long term, I'm talking literally somewhere between 20 and 30 years, the industry has generally seen somewhere between 3%-5% inflation in average ticket, and around 1%-3% decline in transactions, typically driven by inflation of parts as well as technology enhancements and quality of the product. We believe that, you know, some time in the near time horizon, we would revert back to a historical growth rate on both of those metrics. What we typically see what drives inflation is ticket averages, this mix of business converting to higher technology parts, which, generally speaking, are more expensive, and inflation caused by product cost. Over the last year, there hasn't been much product cost come into the system, and we all believe that that's because of, you know, if you look back through the pandemic years, when we had the supply chain constraints, we had massive inflation in cost, and we took those retails and pushed them to the consumer, and we ended up with this hyperinflation. We're now lapping a lot of that, and that trend starts to slow down, you know, kind of now going through the end of the year, and we would expect that inflation would come back in, you know, sometime in 2025 and get back to normal. As far as tariffs, your question there, that, you know, those sorts of things have ebbed and flowed over the years. If we get tariffs, we will pass those tariff costs back to the consumer, and we'll pass them through. You know, as they turn through, we'll generally raise prices ahead of... We know what the tariffs will be, we generally raise prices ahead of that. You get some gross margin improvement as the cost of goods turn in, and then it flattens out. So that's historically what we've done. I see no reason this industry's been very, consistent on pricing and rational, and we believe that all those same metrics are still in place. Thanks. And just a quick follow-up, since you brought up the last 20-30 years. When over the last 20-30 years has the consumer been like this? You know, you guys are, you know, talking about on the DIY side, a challenged consumer. You know, what happened last time the consumer was like this? Gosh, I don't know. That's a great question. You know, the consumer's under much different pressure. You know, the bottom-end consumer has been pressured for the last, you know, 20 months or so, or maybe more, but it's ebbed and flowed over recessions, et cetera. Have we seen the type of inflation that we saw over the last three years? No. Not, certainly not in my lifetime, but generally speaking, you know, in tougher economic times, people will generally defer, maintenance and discretionary items early in the cycle, and then as we get further through the cycle, they start to repair their cars because they realize a little investment today, maintaining their vehicle, defers a major repair into the future. So we think it's gonna ebb and flow over time, but we feel like our execution, our improvement in execution, and our strategies are the right strategies for us, and will work over the long term. Just a little more on the consumer. I mean, You know, a couple of things really stand out to us. One is, if you look at the economy, just in general, I've said this for a while, that you've had this two-speed world where the middle and upper-income consumers have strong balance sheets and are continuing to spend as normal, and the lower end is feeling the pinch, particularly in the discretionary categories. You know, the beauty of our business is that the lion's share of our business is relatively inelastic. It's break-fix, it's essential maintenance. Consumers need their vehicles for mobility, so, you know, we tend to power our way through those. What encourages us about the consumer is that, you know, even in this environment, you've got unemployment at 4.2%, you've got wage growth at 4%, so wage growth is, you know, finally keeping up or outpacing inflation. So we feel pretty good that as consumer sentiment improves, moving forward, that you'll see some return of normalcy in terms of spending, and, you know, our business will benefit from that. But, you know, the good news, again, is the lion's share of our business, that break-fix, essential maintenance, it's pretty resilient, really, through all cycles. Really helpful. Thank you. Thank you. Your next question is coming from Michael Lasser from UBS. Your line is live. Good morning. Thank you so much for taking my question. So the market's grown accustomed to AutoZone growing its earnings by a double-digit clip, with mid-single-digit operating income growth and the rest coming from share repurchases. It seems like your message today is that algorithm might prove elusive for the next few quarters as the headwind to our international business comes into play from FX and some of the other unique factors like LIFO. So when is it realistic that AutoZone can get back to this double-digit EPS growth algorithm? And is it really contingent on an acceleration in pricing that's gonna both help the top line as well as the margins moving through 2025? Thank you. Yeah, thanks for your question, Michael. You know, first thing I'll say is that the long-term algo is unchanged. I mean, this is a business that, you know, we believe as we look forward, will be a consistent, steady grower, has an opportunity to expand margins, that will have a ton of free cash flow at the bottom of the waterfall, and we'll buy back shares and do shareholder-friendly things associated with it. In the near term, the things that you've alluded to, things like LIFO, a little bit of pressure on from an FX standpoint, may impact that, on a quarterly basis, but that long-term algo doesn't change. I think what we're encouraged by is that, you know, the growth initiatives that we have, as the macro environment improves, you'll see the acceleration in the, in the top line, which is key to that algo working as we, as we move forward, so all the things we're working on from a growth initiative standpoint, will really start to show up in the, in the results, but in this environment where, you know, particularly the consumer's been pressured, DIY has been a little bit soft, it's a little tough to, you know, print that, print that number quarter- over- quarter, as we move forward, so we feel good about where we are. We feel good about the fundamentals of the business, the fundamentals of the industry, the fundamentals of our execution. But, you know, on a quarterly basis, you know, it's difficult to print the algo as it has been. So long term, no change. Short term, you'll certainly see some impacts from, you know, the top line and some of these other drivers in the business. Yeah. Just to reiterate. Okay. Go ahead. I mean, there definitely will be pressure on the given quarter, but the Mexico business and the international business is an incredible business and growing. We like the profitability of that market, and we like our strategies, both on the international markets and our opportunities that we still have here in the US. So we're happy with our strategies. Don't like the FX pressure, but we can't. That's not one we can deal with at the moment. My follow-up question is, the margin structure of AutoZone has evolved a bit over the years. It's now more incumbent upon the gross margin expansion to drive stable to flat overall operating margins and offset some growth in SG&A. So if AutoZone is running into obstacles to grow its gross margin, should the market expect that it can manage its SG&A to moderate that, to keep its overall operating margin flattish moving forward? Yeah, I think two things associated with that. One is we are continuing to run the gross margin play with intensity inside the company, and as I mentioned a little bit earlier, our merchandising teams are doing a fantastic job of finding a way to give us expanding margins, even in an environment where, you know, we haven't had an opportunity to raise retails as fast, which is a pretty significant achievement for the company. I've also said that, you know, in the middle of the P&L, that, you know, to the extent that the top lines or the gross margins don't materialize, that, you know, we have the muscle, and we'll make the decisions that are necessary to make sure that, you know, we're protecting our operating margins in total, and that includes the things that we do on the SG&A line. You know, what we've been able to do over the last couple of years is invest in a very disciplined way in things that are positioning us very well for the future in SG&A. So things like IT, payroll to improve service, the payroll that's necessary to support some of these growth initiatives, and those things are all gonna pay benefits for us. So, I think the message here is no change to the algo, no outlook that suggests that, you know, operating margins are gonna be on the decline here. We'll work our way through these, and as we see the top line return, and as we continue to work gross margins and work the middle of the P&L, the operating margin profile of the company is protected. Thank you very much. Thank you. Thanks, Michael. Your next question is coming from Michael Baker from D.A. Davidson. Your line is live. Okay. Thanks, guys. Two quick ones. You've alluded a little bit to pricing, competitive pricing. Can you just tell us, we know one of your competitors has been investing in price. Is that impacting the average ticket at all? Yeah, I would say that we heard that they're doing that, and at the end of the day, we monitor our pricing all the time. We haven't seen any radical change. You know, I think specifically on the commercial side of the business, the vast majority of the share is with the WDs, and that's who we focus on in our pricing strategies, and we haven't seen any material change there. And I would say that, you know, if you ask if that's the pressure point for a lack of average ticket growth, the answer is no. The impetus for, you know, average ticket growth and retail inflation is really comes from cost. And, you know, as the cost comes in, we'll push that cost to the consumer, and that's where you get some of that retail average ticket inflation. So I would say it's not, that is not the primary reason for the lack of inflation on ticket average. It goes back to this hyperinflation that we had, you know, since the supply chain issues of the pandemic. Yeah, I mean, you heard me say in the past, particularly during the pandemic, where we saw pretty significant increases in ticket, that inflation is a bit of our friend when it comes to retail. And that dynamic is because, as Phil alluded to, this is a very disciplined rational industry in terms of pricing. And so even when you are looking at changes that you are making dynamically from a pricing standpoint, because you are largely in a break-fix business where you do not necessarily stimulate demand from pricing downward pressures on pricing, you generally do not see that happening in our industry. And this industry is rational today. It has been rational for decades. Exactly. Yep. Okay. Pretty clear. One follow-up, I guess maybe in two quick parts. You said you expect first quarter comps to be, I think you said improving. Why? Is that based on what you're seeing quarter to date? And then you also said accelerating or more store growth. Can you quantify that? How many stores? You gave us a Mega Hub number for next year. How many total stores should we expect in 2025? Thanks. Yeah. So Jamere said, I think, we're expecting somewhere north of 20 on the Mega Hubs. As I said, they'll also be kind of back-end loaded, so think, you know, kind of after Christmas or so would be where the vast majority of those will come in in the latter part of the year. So we like that we'll reaccelerate those. We wish they were gonna be earlier in the year. They just, from a timing perspective, are gonna come in the back half of the year. As far as the first quarter, what we said was we expect the Q1 to look pretty similar to the last quarter. We don't see a whole lot of... You know, the consumer is still under the same pressure they were back in, you know, over the summertime. The consumer confidence, I think, is pretty stable at the moment. We wish it would improve, but we don't see a whole lot of catalyst for it to improve, frankly, you know, maybe until, you know, December timeframe, after the election, et cetera. So we expect it to be pretty similar, and we think it'll improve. We'll get back to a normal growth average, ticket growth later in the year. So that's kind of when we see things maybe having a better inflection point. We'd love for winter to get here and have a harsh winter. Just in terms of- I thought you said you expect first quarter to modestly improve, so. Yeah, modestly improve from a DAP perspective. That's correct. Yeah. Okay. Thank you. Thank you. Our last question this morning is coming from Zach Fadem from Wells Fargo. Your line is live. Hey, good morning, and thanks for squeezing me in. So Jamere, you mentioned the car park as a tailwind, but since we're entering a period where new cars from 2018, 2019 are starting to come off warranty and new car sales lagged during the pandemic, just curious why you wouldn't view this as an air pocket or headwind for the industry. Any thoughts on why that wouldn't be the case? Yeah, I think simply put, you know, the cars are lasting longer, and they're staying on the road. Even though the SAAR comes down, you're not seeing cars go to the boneyard. As a result of that, the car park has continued to tick up. And you can see that from the data that's out there. I mean, the average age of a vehicle on the road has ticked up to 12.6 years, and what all the data suggests, based on what we know today, is that, you know, it's likely gonna be one or two ticks higher next year. And that's a combination of, you know, what consumer behavior is, but it's also, you know, the factor of what's happening with technology. The cars just simply last longer, and you're seeing them stay in the car park much longer, which means the average household is fractionally going up a little bit more in terms of the number of vehicles that they have. Yeah, I think going to kind of your air pocket, I think that did happen to some degree back in the, you know, the financial crisis, 2007, 2008, 2009. But your new car SAAR literally dipped below 10 million annually, and I... We haven't seen anywhere near that type of a decline in SAAR, so I don't think it's necessarily gonna be an issue. Again, we love the fact that cars are now over 12 years on average, and the American consumer is driving a lot. Those are great tailwinds for us. We like that. Got it. That makes sense. So maybe, you know, fewer newer cars entering the addressable market, but also fewer scraps. So that makes sense. Just separately, when you look at your SG&A growth on a per store basis, it was about 1% normalized, you know, stepped down, you know, from about 3% in Q4. And when you think about managing your business for 2025, could you talk about why this, you know, low single-digit range is the right level for you, particularly in light of, you know, the investments that you're making in commercial and also in light of some of the peers stepping up to mid-single digit to drive share gains? I mean, what we've said about SG&A is that we'll continue to invest in a disciplined way to support our growth initiatives. And so to the extent that there are opportunities for us to invest in things like store payroll, the work that we're continuing to do in IT to improve the customer experience and improve our AutoZoners experience, we're gonna invest into that, all day long. But we also, you know, very responsible in terms of how we manage that SG&A as we move forward. So in a softer sales environment, you know, we do the things that we need to do, to make sure that we're running efficiently from an SG&A standpoint. So it's a balanced approach. We're not hesitating to invest in growth initiatives. We haven't pulled back on any investment in growth initiatives, but we are disciplined about how we manage it when the top line is a little bit softer. Appreciate the time. Thank you. Appreciate the question. Thank you. That concludes our Q&A session. I will now hand the conference back to Phil Daniele, CEO of AutoZone, for closing remarks. Please go ahead. Thank you, everyone, for the questions today. Before we conclude the call, I'd like to take a moment to reiterate we believe our industry is in a strong position and our business model is solid. We are excited about our growth prospects for the year, but we will take nothing for granted, as we understand our customers have alternatives. We have exciting plans that should help us succeed into the future, but I want to stress that this is a marathon and not a sprint. As we continue to focus on flawless execution and WOW! Customer Service and strive to optimize shareholder value for the future, we are confident AutoZone will be successful. Thank you for participating in today's call. Thank you, everyone. This concludes today's event. You may disconnect at this time, and have a wonderful day. Thank you for your participation.