| --- | --- | |----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------| | | | | | | | | | | | | | | | | | | | Fourth Quarter 2020 Earnings Call | | | February 18, 2021 Nick Zarcone – President & Chief Executive Officer Varun Laroyia – Executive Vice President & Chief Financial Officer Joe Boutross – Vice President, Investor Relations | | Forward Looking Statements an ...

Financial Data and Key Metrics Changes - Total revenue for Q4 2020 was $3 billion, a decline of 1.9% from Q4 2019 [15] - Net income for Q4 was $180 million, an increase of 29% year-over-year, with diluted earnings per share at $0.59, up 28% year-over-year [16] - Adjusted net income for Q4 was $212 million, a 27% increase over 2019, with adjusted diluted earnings per share at $0.69, up 28% year-over-year [16] - Record high annual earnings per share and free cash flow exceeded $1 billion for the first time [34] Business Line Data and Key Metrics Changes - North American organic revenue for parts and services declined 13.7% in Q4, but achieved the highest annual EBITDA margins in company history [18][19] - European organic revenue for parts and services declined 3.1% in Q4, with a segment EBITDA margin of 8.6%, up 100 basis points year-over-year [20][38] - Specialty segment reported organic revenue growth of 16.6% in Q4, driven by demand for RV parts [26] Market Data and Key Metrics Changes - Collision and liability-related auto claims in North America declined 27% in Q4 [18] - The second wave of COVID-19 and related restrictions impacted mobility and demand across markets [17] Company Strategy and Development Direction - Key initiatives include integrating businesses, focusing on profitable revenue, driving cash flow, and investing in future growth [11] - The company is committed to a comprehensive ESG program and will release its inaugural Corporate Sustainability Report in Q2 2021 [13] - The company aims to leverage its distribution network to capture growth in hybrids and electric vehicles [30] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for a recovery in demand in the second half of 2021 as vaccines are distributed [17] - The company does not expect to return to 2019 revenue levels until 2022 [48] - Management highlighted the importance of controlling costs and maintaining service levels amid ongoing uncertainties [91] Other Important Information - The company repurchased approximately $30 million of shares in Q4, totaling $117 million for the year [45] - The net leverage ratio decreased to 1.9 times, the first time below two times since 2015 [34][44] Q&A Session Summary Question: How is the company set up to absorb inflation? - Management acknowledged inflationary pressures, particularly in ocean freight and wages, but expressed confidence in their ability to manage these costs [63][64] Question: Has weather impacted demand in North America? - Management noted that demand is driven by total miles driven and expressed cautious optimism for a return to normal levels of mobility as the pandemic situation improves [72][75] Question: How does the company view parts demand for EVs? - Management believes the supply chain for EV parts will resemble that of internal combustion engines, with opportunities in hybrid parts and battery remanufacturing [80][84] Question: What are the priorities for free cash flow? - Management indicated that capital expenditures and investing in business capabilities are top priorities, with excess cash flow potentially used for debt repayment and share repurchases [97][98] Question: How is the company managing supply chain challenges? - Management highlighted strong vendor relationships and a class-leading inventory system, ensuring product availability despite supply chain disruptions [112][113]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2020 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ For the Transition Period from to Commission File Number: 000-50404 ____________________________ LKQ CORPORATION (Exact name o ...

LKQ Corporation (NASDAQ:LKQ) Q3 2020 Results Earnings Conference Call October 29, 2020 8:00 AM ET Company Participants Joe Boutross - VP, IR Dominick Zarcone - President and Chief Executive Officer Varun Laroyia - Executive Vice President and Chief Financial Officer Conference Call Participants Daniel Imbro - Stephens Scott Stember - CL King Brian Butler - Stifel Craig Kennison - Robert W. Baird Bret Jordan - Jefferies Stephanie Benjamin - Truist Operator Abrupt start… Joe Boutross Thank you, Operator. Good ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2020 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to Commission File Number: 000-50404 LKQ CORPORATION (Exact name of registrant as specified in its cha ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2020 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ For the Transition Period from to Commission File Number: 000-50404 ____________________________ LKQ CORPORATION (Exact name of re ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-K ________________________________________ (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to _______ Commission File Number: 000-50404 ____________________________ ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2019 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF ☐ For the Transition Period from to Commission File Number: 000-50404 ____________________________ LKQ CORPORATION (Exact name of reg ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2019 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 ☐ For the Transition Period from to Commission File Number: 000-50404 ____________________________ (Exact name of registrant as speci ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________________ FORM 10-Q ____________________________ x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2019 OR ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to Commission File Number: 000-50404 LKQ CORPORATION (Exact name of registrant as specified in its ...