Around the Industry: Valvoline Instant Oil Change Delivers 9 Percent Same-Store Growth
Valvoline recently reported record quarterly earnings for the fiscal third quarter ended June 30, 2015, attributable to strong same-store sales growth at Valvoline Instant Oil Change (VIOC), improvement in product mix and overall volume growth.
Segment earnings before interest, taxes, depreciation and amortization (EBITDA) increased by $17 million, or 17.2 percent, to $116 million. Valvoline’s operating income also increased by $17 million, or 18.9 percent, to $107 million.
VIOC reported same-store sales growth of more than 9 percent at company-owned sites. Average ticket increased 2 percent, driven by a 2-percentage-point uptick in premium oil changes and increased revenue from ancillary services. Oil changes per day were up 7 percent. In total, VIOC sales grew 11 percent versus a year ago.
The franchised VIOC system delivered similar results, according to management.