Why is Tractor Supply closing Petsense stores?

Seeing headlines about Tractor Supply shutting down a bunch of Petsense locations. What's actually driving this?

Tractor Supply announced during its second-quarter 2026 earnings call (July 23) that it's closing approximately 75 of its 209 Petsense by Tractor Supply pet stores, which will leave roughly 125 locations operating across 23 states. CEO Hal Lawton said the closures target stores with negative "four-wall cash flow" — meaning those specific locations' sales weren't covering their own local costs like rent, labor, and inventory. The closures are expected to result in about $71.7 million in impairment and other charges, including a $5.9 million inventory write-down. It comes alongside a broader pullback: Tractor Supply also trimmed its 2026 new-store opening target from 100 down to 85-90, after reporting a 1.5% decline in comparable store sales for the quarter. The company says the goal is to redirect capital toward higher-return parts of the business, including its recently acquired VIP Petcare veterinary services division.