Shares of Monro Muffler Brake (NASDAQ: MNRO) plummeted 7.25% in pre-market trading on Wednesday following the release of its second-quarter fiscal 2026 financial results. Despite reporting earnings that beat analyst expectations, the company's revenue fell short of estimates and declined year-over-year, raising concerns among investors.

Monro reported adjusted earnings per share of $0.21, surpassing the analyst consensus estimate of $0.18 by 17.98%. This represents a 23.53% increase from the same period last year when the company earned $0.17 per share. However, the company's quarterly sales of $288.914 million missed the analyst consensus estimate of $297.372 million by 2.84% and decreased by 4.14% compared to $301.391 million in the same quarter of the previous year.

Adding to investor concerns, Monro announced that it is not providing financial guidance for fiscal 2026 at this time, which may have contributed to the stock's sharp decline. However, the company did state that it expects to deliver positive comparable store sales growth in fiscal 2026. The lack of specific guidance and the sales miss appear to have overshadowed the positive earnings surprise, leading to the significant drop in share price as investors reassess the company's near-term prospects in an uncertain economic environment.