Advance Auto Parts plans to close hundreds of stores, four distribution centers and slash jobs amid the sluggish demand for vehicle parts, the corporation said this week.

The announcement came with the release of the corporation’s third-quarter update on Thursday, when it reported an adjusted deficit of 4 cents per distribute, compared to a deficit of $1.19 one year ago.

The car part supplier’s gross profits increased 11% in the third quarter this year compared to the nearly 37% boost in last year’s third quarter. Executives said the drop in profits will force the closure of more than 700 locations by the middle of 2025.

On a post-profits call with analysts, Advance Auto Parts executives told analysts its quarterly results were also impacted by hurricanes and the CrowdStrike outage, Reuters reported.

The corporation said fewer consumers are opting to repair their cars, so it will introduce a recent three-year budgetary schedule in an attempt to revive its struggling business.

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How many Advance Auto Parts stores are there?

Headquartered in Raleigh, North Carolina, Advance Auto Parts operates more than 4,700 stores in the United States, Canada, Puerto Rico and the U.S. Virgin Islands. According to its website, the corporation also serves 1,125 independently owned Carquest-branded stores across these locations, in addition to Mexico and some Caribbean islands.

“We are pleased to have made advancement on our strategic actions, including the completion of the sale of Worldpac and a comprehensive operational productivity review of our business,” Shane O’Kelly, president and chief executive officer, said in a statement Thursday. “We are charting a obvious path forward and introducing a recent three-year budgetary schedule, with a focus on executing core retail fundamentals to enhance the productivity of all our assets and to make shareholder worth.”

On Nov. 1, 2024, the corporation completed its previously announced sale of Worldpac for nearly $1.5 billion. 

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How many jobs will be cut by Advance Auto Parts?

Advance Auto Parts did not explain how many jobs or which positions would be impacted.

USA TODAY has reached out to Advance Auto Parts for comment.

How many Advance Auto Parts stores are closing?

In a regulatory filing, the corporation reported it plans to close 523 corporate stores, leave 204 independent locations, and shut down four distribution centers.

Specific locations were not provided by the corporation.

Natalie Neysa Alund is a elder reporter for USA TODAY. Reach her at [email protected] and pursue her on X @nataliealund.