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TRACTOR SUPPLY COMPANY REPORTS RECORD SECOND QUARTER 2021 FINANCIAL RESULTS ; RAISES 2021 FINANCIAL OUTLOOK I TSC / TRACTOR SUPPLY CO www.TractorSupply.com Net Sales Increased 13.4 % ; Comparable Store Sales Increased 10.5 % on Top of 30.5 % Growth Last Year with a Two - Year Stack of 41.0 % Neighbor's Club Reaches Over 21 Million Members and Customer Retention at an All - Time High Diluted Earnings per Share ( " EPS " ) Increased 10.0 % to $ 3.19 Company Raises Fiscal 2021 Diluted EPS Range to $ 7.70 to $ 8.00 , Compared to Previous Range of $ 7.05 to $ 7.40 Brentwood , Tenn . , July 19 , 2021 - Tractor Supply Company ( NASDAQ : TSCO ) , the largest rural lifestyle retailer in the United States , today reported financial results for its second quarter ended June 26 , 2021 . " For both the second quarter and first half of the year , the Tractor Supply team delivered exceptionally strong performance as we successfully managed through challenging comparisons from the prior year , " said Hal Lawton , Tractor Supply's President and Chief Executive Officer . " Thank you to the more than 45,000 Tractor Supply Team Members who have done an amazing job of navigating through the pandemic . I am extremely proud of their relentless dedication to each other and our customers . " Lawton continued , “ As the country reopens , the Out Here lifestyle remains incredibly relevant as we continue to grow our active customer count and retain last year's new and reengaged customers . We are increasing our earnings guidance given our strong results and the outlook for our customer trends and ongoing market share gains . The team is executing at a high level and advancing our Life Out Here Strategy while navigating the cost pressures we are experiencing . With a resilient business model , ongoing market share growth and strategic investments to transform the Company , we are excited about the significant opportunities ahead of us and remain committed to disciplined financial returns and sustained profitable growth . " Second Quarter 2021 Results Net sales for the second quarter 2021 increased 13.4 % to $ 3.60 billion from $ 3.18 billion in the second quarter of 2020 . Comparable store sales for the second quarter 2021 increased 10.5 % driven by comparable transaction count and comparable average ticket growth of 4.5 % and 6.0 % , respectively . The increase in comparable store sales was driven by robust growth in everyday merchandise , including consumable , usable and edible ( “ C.U.E. " ) products , and solid demand for spring and summer seasonal categories . All geographic regions and major merchandising categories of the Company reported comparable store sales growth . In addition , the Company experienced a record sales quarter in its e - commerce business . Gross profit increased 11.3 % to $ 1.29 billion from $ 1.16 billion in the second quarter of 2020 , and gross margin decreased 67 basis points to 35.8 % from 36.4 % in the prior year's second quarter . The decrease in gross margin as a percent of net sales was primarily driven by higher transportation costs , the initial impact from the relaunch of the Company's Neighbor's Club loyalty program and product mix shift towards C.U.E. Partially offsetting the decrease was the Company's price management program . Selling , general and administrative ( SG & A ) expenses , including depreciation and amortization , increased 13.1 % to $ 801.6 million from $ 709.1 million in the second quarter of 2020. As a percent of net sales , SG & A expenses were 22.3 % , a 6 basis point improvement over the prior year's second quarter . The improvement in SG & A as a percent of net sales was primarily attributable to lower COVID - 19 pandemic response costs and decreased incentive compensation as well as leverage in occupancy and other fixed costs from the increase in comparable store sales .