CarParts.com 2025 Q3 Earnings Misses Revenue Targets as Loss Widens to $0.19 per Share

CarParts.com (PRTS) reported its fiscal 2025 Q3 earnings on Nov 11, 2025, revealing a challenging quarter marked by declining revenue and widened losses. The company’s strategic investments and partnerships aim to address long-term growth, but near-term execution remains under scrutiny.

, , . The company maintained its 2026 free cash flow positive outlook despite the earnings shortfall.

Revenue

, . This decline was attributed to reduced marketing spend and margin pressures from tariffs and product mix shifts.

Earnings/Net Income

. Meanwhile, , . Despite the EPS beat, , reflecting ongoing operational challenges.

Post-Earnings Price Action Review

, , . Post-earnings, shares fell slightly in after-hours trading, with investors reacting cautiously to the revenue miss and margin compression.

CEO Commentary

, CEO of CarParts.com, highlighted strategic partnerships with A Premium, Zongteng Group, and CDH Investments as key growth drivers, emphasizing Zongteng’s logistics network for reduced fulfillment costs and A Premium’s 100,000+ SKUs to boost revenue. He acknowledged challenges like tariffs on Chinese/Taiwanese imports (55–75%), which pressure gross margins, but noted progress in optimizing operational efficiency.

Guidance

Management reiterated its goal of achieving free cash flow positivity in 2026, citing cost reductions and strategic integrations.

Additional News

1. Strategic Investment, A-Premium, and CDH Investments in early September, enhancing logistics and product offerings.

2. CFO Resignation: Ryan Lockwood, CFO, resigned effective Nov 21, 2025, to pursue new opportunities. The board will oversee financial operations during the transition.

3. Partnership Impact.

The stock’s technical outlook remains bearish, , . Investors will closely monitor quarterly revenue trends, margin recovery, and the pace of integration for strategic partners.