Company: ORLY
Filing Date: 2025-07-14
Form Type: CORRESP
Source: 0000898173-25-000043
Chunk: 1

Company: O REILLY AUTOMOTIVE INC
Filing Date: 2025-07-14
Form: CORRESP
Chunk 1
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, which is utilized by the chief operating decision maker in assessing performance and allocating resources. As stated within Item 1 on page 5 of the Company’s Form 10-K for the fiscal year ended December 31, 2024, the stated goal of the Company as a whole is to “…continue to achieve growth in sales and profitability…”. As net income and segment profit have been determined to be the same, the Company believes that the stated overall goals of growth in sales and profitability should be expected to apply to the segment as well as the Company as a whole. To ensure clarity, the Company will revise future filings to clarify how segment profit is utilized in assessing performance and allocating resources. The proposed revised disclosure will prospectively be as follows (additions are marked in bold): The Company’s chief operating decision maker is its Chief Executive Officer. The Company evaluates its reportable segment primarily on the basis of sales and segment profit, which is net income. Net income is utilized by the chief operating decision maker to evaluate budget to actual results, as well as trends over time, to allocate resources, and evaluate performance. The loss of any single customer would not have a material adverse effect on the Company. See Note 3 for further information concerning the Company’s segment reporting. Note 2 – Business Combination, page 57

| 2. | Please tell us why it appears you did not provide disclosure pursuant to ASC 805-10-50-2.h.1, 805-20-50-1.c, and 805-30-50-1.a. and b. regarding your acquisition of Vast Auto, and provide us with the relevant disclosure for each. |

Response: The Company respectfully advises the Staff that it considers the provisions of ASC Topic 805, Business Combinations (“ASC 805”), when evaluating necessary disclosures related to acquisitions, including the acquisition of Vast Auto.

Amy Geddes / Doug Jones Office of Trade & Services Securities and Exchange Commission July 14, 2025 2

The Company performed an analysis of both quantitative and qualitative factors during the preparation of the disclosures in Note 2 – Business Combination, and concluded that the acquisition of Vast Auto was immaterial such that the disclosures prescribed by the relevant subtopics of ASC 805 were not applicable. In making this determination, the Company found that Vast Auto represented approximately one percent or less of the Company’s consolidated total revenues, earnings, assets, or liabilities. This evaluation included consideration of total revenue and earnings from the acquisition that were included in