LKQ (LKQ) - 2024 Q4 - Annual Results

Revenue Performance - Fourth quarter revenue was $3.4 billion, a decrease of 4.1$3.5 billion in Q4 2023[3] - Full year revenue for 2024 was $14.4 billion, an increase of 3.5$13.9 billion in 2023[5] - Revenue for Q4 2024 was $3,357 million, a decrease of 4.1$3,501 million in Q4 2023[24] - For the full year 2024, revenue increased to $14,355 million, up 3.5$13,866 million in 2023[26] - Total revenue for the year ended December 31, 2024, increased to $14,355 million, a growth of 3.5$13,866 million in 2023[33] - Wholesale revenue in North America for the year increased by 9.9% to $5,465 million from$4,974 million in 2023[33] - Revenue growth at constant currency for parts & services was reported at (4.2)% for the three months ended December 31, 2024[34] - Revenue growth at constant currency for the year ended December 31, 2024, was 4.0% for parts & services[34] - The company reported a currency impact of $(9) million on total revenue for the three months ended December 31, 2024[34] Net Income and Earnings Per Share - Fourth quarter net income was$156 million, down from $184 million in Q4 2023, with diluted EPS of$0.60 compared to $0.69[4] - Full year net income for 2024 was$690 million, a decrease of 25.4% from $942 million in 2023, with diluted EPS of$2.62 compared to $3.51[5] - Net income attributable to LKQ stockholders for Q4 2024 was$156 million, a decline of 11.9% from $177 million in Q4 2023[24] - Net income attributable to LKQ stockholders for the full year 2024 was$690 million, a decrease of 26.3% from $936 million in 2023[26] - Basic earnings per share for Q4 2024 was$0.60, down 9.1% from $0.66 in Q4 2023[24] - Net income for 2024 was$693 million, down from $938 million in 2023, representing a decrease of 26.1$690 million, down from $936 million in 2023[36] - Adjusted net income for Q4 2024 was$207 million, a decrease from $226 million in Q4 2023, with full-year adjusted net income at$918 million versus $1,027 million in 2023[38] - Diluted earnings per share for Q4 2024 were$0.60, down from $0.69 in Q4 2023, while full-year diluted earnings per share were$2.62 compared to $3.51 in 2023[38] Cash Flow and Capital Management - Operating cash flow for 2024 was$1.1 billion, with free cash flow of $0.8 billion[6] - The company returned over$150 million to shareholders in Q4 2024, including $80 million in share repurchases and$78 million in cash dividends[8] - Free cash flow for fiscal year 2025 is forecasted to be between $750 million and$900 million, based on net cash provided by operating activities of $1,075 million to$1,275 million[41] - Free cash flow for 2024 was $810 million, down from$998 million in 2023, with net cash provided by operating activities at $1,121 million compared to$1,356 million in 2023[42] Expenses and Financial Metrics - The company incurred restructuring and transaction-related expenses of $36 million in Q4 2024, compared to$12 million in Q4 2023[24] - Interest expense for the full year 2024 was $262 million, an increase of 22.4$214 million in 2023[26] - The company incurred $149 million in amortization of acquired intangibles and$135 million in restructuring and transaction-related expenses for the year ended December 31, 2024[38] - Adjusted EBITDA for 2024 was $1,612 million, a decrease from$1,705 million in 2023, with net income from continuing operations at $690 million compared to$942 million in 2023[42] Shareholder Returns and Dividends - The Board of Directors declared a quarterly cash dividend of $0.30 per share, payable on March 27, 2025[8] - The company repurchased approximately 65 million shares for a total of$2.8 billion since initiating the stock repurchase program in late October 2018[8] Future Outlook - For 2025, the company anticipates organic revenue growth for parts and services of 0% to 2% and diluted EPS between $2.91 and$3.21[12] - Forecasted net income for fiscal year 2025 ranges from $755 million to$833 million, with adjusted net income expected between $883 million and$961 million[40] - Forecasted diluted earnings per share for fiscal year 2025 are projected to be between $2.91 and$3.21 for reported figures, and between $3.40 and$3.70 for adjusted figures[40]