---
title: "O'Reilly Automotive: Business Model"
description: "O'Reilly Automotive business model from its fiscal 2025 Form 10-K: one reportable segment, its revenue, significant expense categories and profit."
canonical: https://www.getswoopr.com/stocks/companies/oreilly-automotive/business-model/
source: "Swoopr Investment: https://www.getswoopr.com"
---

# O'Reilly Automotive: Business Model & Revenue Engine

## Direct Answer

O'Reilly Automotive reports a single business segment in its fiscal 2025 Form 10-K, so the whole company is managed and measured as one business. That segment's revenue was $17.8 billion (up 6.4% from the prior year), and its largest cost line was cost of goods and services sold at 48% of revenue, leaving net income of $2.5 billion.

## How Does O'Reilly Automotive Make Money?

Since 2024, US accounting rules (ASU 2023-07) require even a single-segment company to disclose the significant expense categories its management reviews. These are the amounts O'Reilly Automotive tags to its one segment, as a share of that segment's revenue.

| Line | FY2025 | FY2024 | Share of revenue |
| --- | --- | --- | --- |
| **Revenue from contract with customer excluding assessed tax** | $17.8 billion | $16.7 billion | 100.0% |
| Cost of goods and services sold | $8.6 billion | $8.2 billion | 48.4% |
| Depreciation and amortization | $415 million | $373 million | 2.3% |
| Interest expense debt | $235 million | $223 million | 1.3% |
| **Net income** | $2.5 billion | $2.4 billion | 14.3% |

## What a Single Segment Does and Does Not Tell You

One reportable segment means management runs O'Reilly Automotive as one business; it does not mean the company sells one product. Revenue can still be spread across products, customers and countries that the filing describes in its revenue note or Item 1 without tagging them as segments. Cost lines are the company's own categories, so they compare across years within O'Reilly Automotive more safely than against another company, and lines that are not listed are included in other expense totals rather than missing.

## Where These Numbers Come From

Every figure on this page is a value O'Reilly Automotive reported in the segment note and revenue disclosures of its Form 10-K filed February 27, 2026 (accession 0000898173-26-000009), read from the SEC's Financial Statement Data Sets. The prior-year column is the comparative figure from that same filing, so it reflects any restatement for a change in segments. Category names are the company's own XBRL labels, lightly reformatted for reading.

Rows that only total other rows (for example a "Products" line beside the individual products) are left out so nothing is counted twice. This page is educational and describes reported history for fiscal 2025; it is not a forecast or a recommendation.

## Frequently Asked Questions

### How many business segments does O'Reilly Automotive have?

One. In its fiscal 2025 Form 10-K, O'Reilly Automotive reports a single reportable segment, so its chief operating decision maker reviews the business as a whole rather than by division.

### What are O'Reilly Automotive's biggest costs?

The segment expenses O'Reilly Automotive reports, largest first: cost of goods and services sold ($8.6 billion, 48% of revenue), depreciation and amortization ($415 million, 2% of revenue) and interest expense debt ($235 million, 1% of revenue).

### How profitable is O'Reilly Automotive's business?

Net income was $2.5 billion in fiscal 2025, a margin of 14.3% on revenue of $17.8 billion.

## References

- [SEC EDGAR: O REILLY AUTOMOTIVE INC Form 10-K filed February 27, 2026](https://www.sec.gov/Archives/edgar/data/898173/000089817326000009/orly-20251231x10k.htm)
- [SEC EDGAR: O REILLY AUTOMOTIVE INC annual and quarterly filings](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=898173&type=10-K)
- [SEC: EDGAR application programming interfaces (XBRL frames and submissions data)](https://www.sec.gov/search-filings/edgar-application-programming-interfaces)
- [SEC: Financial Statement Data Sets](https://www.sec.gov/data-research/sec-markets-data/financial-statement-data-sets)

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Swoopr's editorial team produces independent investment education content reviewed for accuracy and clarity. We do not provide personalized financial advice. See our [editorial policy](https://www.getswoopr.com/legal/editorial-policy/) and [corrections policy](https://www.getswoopr.com/legal/corrections-policy/).