Shares of the auto parts chain fell on a disappointing earnings report.Shares of Genuine Parts (GPC -19.43%) were falling today after the Napa Auto Parts parent posted disappointing results in its third-quarter earnings report.While the company beat top-line estimates, it fell woefully short on the bottom line. As of 1 p.m. ET, the stock was down 19% on the news. Genuine Parts hits the brakesIn the quarter reported Tuesday, overall revenue rose 2.5% to $5.97 billion, though it would have declined slightly w ...

Genuine Parts Company (GPC) reported third-quarter 2024 adjusted earnings of $1.88 per share, which missed the Zacks Consensus Estimate of $2.44. The bottom line declined from year-ago earnings of $2.49 per share. Stay up-to-date with the quarterly releases: See Zacks Earnings Calendar.The company reported net sales of $5.97 billion, which marginally missed the Zacks Consensus Estimate of $5.98 billion but inched up 2.5% year over year. This increase was due to a 3.2% boost from acquisitions and a 0.1% impa ...

Financial Data and Key Metrics Changes - Total sales for Genuine Parts Company in Q3 2024 were approximately $6 billion, an increase of 2.5% year-over-year, driven by an extra selling day in the U.S. and acquisitions [12][30] - Adjusted diluted earnings per share in Q3 was $1.88, down from $2.49 in the previous year, reflecting various market pressures [13][35] - Gross margin improved to 36.8%, an increase of 60 basis points from last year, primarily due to acquisitions [32] Business Segment Data and Key Metrics Changes - Global Industrial segment sales were $2.2 billion, a decrease of approximately 1% year-over-year, with comparable sales down 2% [16] - Global Automotive segment sales were $3.8 billion, an increase of approximately 5%, with comparable store sales up slightly [19] - Industrial segment profit was $259 million, down approximately 8% year-over-year, while Global Automotive segment profit was $262 million, down approximately 19% [18][19] Market Data and Key Metrics Changes - In Europe, automotive sales growth was approximately 6% in local currency, but overall market growth remained muted, down low-single-digits [20] - Asia Pacific automotive sales increased approximately 7% in local currency, with comparable sales growth of 4% [22] - U.S. automotive sales increased 4% during the quarter, driven by acquisitions and an extra selling day [23] Company Strategy and Development Direction - The company is focused on evolving its business through investments in technology, supply chain, and sales effectiveness to create new competitive advantages [6][10] - Strategic acquisitions are a key element of growth, with over 450 NAPA stores acquired year-to-date, aiming for a balanced mix of company-owned and independently owned stores [28][47] - The company is committed to maintaining a disciplined capital allocation strategy while investing in long-term growth opportunities [7][46] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that the current market conditions are challenging, with expectations of continued softness in demand for the remainder of 2024 [40][44] - The company remains optimistic about long-term fundamentals and believes that current market softness is temporary [28][50] - Management highlighted the importance of ongoing investments in technology and supply chain to enhance customer experience and position for future growth [66] Other Important Information - The company incurred $45 million in pretax costs related to restructuring efforts during the quarter, with expectations of benefits from these initiatives in 2024 [31][34] - The impact of hurricanes and a CrowdStrike outage negatively affected sales and operations, contributing to an estimated $0.06 reduction in earnings for the quarter [37][43] Q&A Session Summary Question: Can you provide more detail on the inventory increase and investments in freight? - Management indicated that the inventory increase is part of a strategy to enhance availability and depth, with acquired inventory also contributing to the balance sheet [51][52] Question: Was U.S. auto a primary source of profit disappointment? - Management clarified that margin pressure was consistent across all markets, with no specific region isolated as a primary source of disappointment [55][56] Question: What drove the increase in SG&A dollars? - The increase in SG&A was largely attributed to acquired businesses, with expectations that these costs will abate over time as integration progresses [61][62] Question: What motivates the decision to make incremental investments? - Management emphasized the importance of investing in the business to stay competitive and adapt to changing market conditions and technology landscapes [66][67]

Genuine Parts (GPC) came out with quarterly earnings of $1.88 per share, missing the Zacks Consensus Estimate of $2.44 per share. This compares to earnings of $2.49 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -22.95%. A quarter ago, it was expected that this auto and industrial parts distributor would post earnings of $2.59 per share when it actually produced earnings of $2.44, delivering a surprise of -5.79%.Over the last ...

Sales of $6.0 billionDiluted EPS of $1.62Adjusted Diluted EPS of $1.88Revises 2024 Outlook:Revenue Growth of 1% to 2% from 1% to 3%Adjusted Diluted EPS of $8.00 to $8.20 from $9.30 to $9.50ATLANTA, Oct. 22, 2024 /PRNewswire/ -- Genuine Parts Company (NYSE: GPC), a leading global service provider of automotive and industrial replacement parts and value-added solutions, announced today its results for the third quarter ended September 30, 2024."I would like to thank our global GPC teammates for their hard wor ...

Wall Street analysts expect Genuine Parts (GPC) to post quarterly earnings of $2.45 per share in its upcoming report, which indicates a year-over-year decline of 1.6%. Revenues are expected to be $5.98 billion, up 2.7% from the year-ago quarter. The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period. Ahead of a company's earnings ...

ATLANTA, Oct. 15, 2024 /PRNewswire/ -- Genuine Parts Company (NYSE: GPC), a leading global service provider of automotive and industrial replacement parts and value-added solutions, announced today that Will Stengel, President & CEO, and Bert Nappier, EVP & CFO, will present at the Gabelli Funds 48th Annual Automotive Symposium at 2:00 p.m. ET on Tuesday, November 5, 2024. The presentation will be webcast live on the company's investor relations website. A replay of the webcast will be available after the e ...

ATLANTA, Oct. 1, 2024 /PRNewswire/ -- Genuine Parts Company (NYSE: GPC), a leading global service provider of automotive and industrial replacement parts and value-added solutions, plans to release third quarter financial results on October 22, 2024. Following the release, management will host a conference call at 8:30 a.m. ET. The public may access the webcast and supplemental earnings materials on the company's investor relations website. The call is also available by dialing 1-800-836-8184. A replay of t ...

Genuine Parts (GPC) is a Zacks Rank #5 (Strong Sell) after the company missed the Zacks Consensus Estimate when the last reported on July 23 of this year. The company distributes automov. This article will look at why this stock is a Zacks Rank #5 (Strong Sell) as it is the Bear of the Day. Description Pool Corp. engages in the wholesale distribution of swimming pool supplies, equipment, and related leisure products. It also offers non-discretionary pool maintenance products such as chemicals and replacemen ...

A NAPA auto parts warehouse. jetcityimage/iStock Editorial via Getty Images One of the most appealing advantages of the dividend growth investing strategy is the ability to bypass market volatility. What do I mean? Regardless of what the market is doing, I believe a well-diversified portfolio of dividend stocks can provide me with a consistently growing income stream. Certain business models like REITs and utilities could encounter difficulties in a prolonged bear market. But from my perspective, my allocat ...