Tractor Supply to Close 75 Underperforming Petsense Stores

Tractor Supply Company is closing approximately 75 underperforming Petsense retail stores as part of a business restructuring to improve returns and simplify operations. The company announced the move during its second-quarter 2026 earnings call, reporting a 1.5% decline in comparable store sales attributed to record-high fuel prices and increased fertilizer costs. The restructuring has resulted in 65.8 million dollars in charges.

CEO Hal Lawton stated the closures target locations with negative four-wall cash flow, where sales failed to cover rent, labor, and inventory. The process will take 10 to 12 weeks, during which affected stores will remain open while the company attempts to transfer employees. This reduction shrinks the Petsense footprint from 209 locations across 23 states to 135. In South Carolina, five stores in Goose Creek, Conway, Orangeburg, Pickens, and Anderson will shutter, leaving only three in the state.

Tractor Supply is also slowing its 2027 expansion, reducing its target from 100 new store openings to between 85 and 90. The company intends to redeploy these funds toward Project Fusion, an initiative to remodel existing locations, and a broader pet ecosystem including Allivet and VIP Petcare. Despite the Petsense closures, the company continues to expand its primary brand, with a new store opening August 8 in Lafayette, Louisiana.