Advance Auto Parts is closing hundreds of stores in a bid to turn its business around

Advance Auto Parts is closing more than 500 stores and shuttering another 200 freestanding stores as part of efforts to revitalize its struggling business.

North Carolina-based Advance Auto said Thursday it will reduce its U.S. footprint as part of a “strategic plan to improve business performance.” The company said it will close a total of 523 Advance corporate stores, as well as four distribution centers, and exit 204 freestanding locations by the middle of next year.

The specific locations and number of employees expected to be affected were not immediately disclosed. A spokesman for Advance Auto declined to comment further.

Advance Auto still outlined some broader turnaround efforts in Thursday’s announcement. Despite these major closures, the company emphasized goals such as “accelerating new store openings” and adopting a standard operating model. Noting supply chain consolidation plans, he said costs are expected to be incurred in converting certain stores and distribution centers into “market centres”.

Advance Auto on Thursday reported a third-quarter loss of $6 million on revenue of $2.15 billion. The company also lowered its full-year revenue outlook for the second consecutive quarter.

The retailer of car batteries, motor oil and more has seen some decline in sales since the beginning of the year and is making efforts to boost its bottom line. Earlier this month, the company completed the $1.5 billion sale of Worldpac, its automotive parts wholesale distribution business, to investment firm Carlyle.

Advance Auto operates primarily in the United States but also has some corporate stores and independent locations in Canada, Mexico and several Caribbean islands. As of Oct. 5, Advance Auto operated more than 4,780 stores and served 1,125 independently owned Carquest-branded locations.

The company’s shares closed down less than 1% on Thursday, but the stock is down 33% year to date.