GENUINE PARTS CO (GPC) Earnings History

GENUINE PARTS CO - Q1 2026 EarningsMissed

Filed at: Apr 21, 2026, 7:21 AM EDT|Read from source

EXECUTIVE SUMMARY

Genuine Parts Company reported first-quarter results ahead of expectations, driven by solid sales growth across its segments and operating discipline. The company is making progress on its planned separation of Global Automotive and Global Industrial businesses, which remains on track for completion in early 2027.

POSITIVE HIGHLIGHTS

  • •

    Total sales increased 6.8% to $6.3 billion, driven by comparable sales growth, acquisitions, and favorable foreign currency impacts.

    positive
  • •

    North America Automotive segment EBITDA increased 6.3% with a 10 basis point improvement in segment EBITDA margin.

    positive
  • •

    Industrial segment EBITDA increased 12.7% with a 90 basis point improvement in segment EBITDA margin.

    positive
  • •

    Reaffirmed full-year 2026 outlook for total sales growth (3% to 5.5%) and adjusted diluted EPS ($7.50 to $8.00).

    positive

CONCERNS & RISKS

  • •

    GAAP Net income decreased to $188.5 million from $194.4 million in the prior year period.

    negative
  • •

    GAAP diluted earnings per share decreased to $1.37 from $1.40 in the prior year period.

    negative
  • •

    International Automotive segment EBITDA margin decreased by 80 basis points year-over-year.

    attention
  • •

    Free cash flow was a deficit of $33.6 million due to seasonally lower operating cash flow and continued investments.

    attention
  • •

    Total operating expenses increased by 8.9% year-over-year, outpacing net sales growth of 6.8%.

    attention
  • •

    Merchandise inventories increased to $6.1 billion from $6.07 billion sequentially.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$6.26B
+6.8%
Prior year: $5.87B
Net Income
Quarterly
$188.53M
-3.0%
Prior year: $194.39M
EPS (Diluted)
Quarterly
$1.37
-2.1%
Prior year: $1.40
Operating Income
Quarterly
$245.39M
-2.5%
Prior year: $251.64M
EPS (Basic)
Quarterly
$1.37
-2.1%
Prior year: $1.40

MARGIN ANALYSIS

Gross Margin
Current Quarter
37.3%
Prior Year
37.0%
YoY Change
+28 bps
Operating Margin
Current Quarter
3.9%
Prior Year
4.3%
YoY Change
-37 bps
Net Margin
Current Quarter
3.0%
Prior Year
3.3%
YoY Change
-30 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q1 2026 2026

VISUAL OVERVIEW

|
North America Automotive
0.0%
N/A
International Automotive
0.0%
N/A
Industrial
0.0%
N/A

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% Total
North America Automotive
N/A———
International Automotive
N/A———
Industrial
N/A———
Total Revenue$0.00M——100.0%

Segment performance shows business unit health and growth drivers.

MANAGEMENT GUIDANCE

FY2026

Total sales growth
$0.0M—$0.1M
Mid-point: $0.0M
"3% to 5.5%"
North America Automotive sales growth
$0.0M—$0.1M
Mid-point: $0.0M
"3% to 5%"
International Automotive sales growth
$0.0M—$0.1M
Mid-point: $0.0M
"3% to 6%"
Industrial sales growth
$0.0M—$0.1M
Mid-point: $0.0M
"3% to 6%"
Diluted earnings per share
$6.10—$6.60
Mid-point: $6.35
"$6.10 to $6.60"
Adjusted diluted earnings per share
$7.50—$8.00
Mid-point: $7.75
"$7.50 to $8.00"
Effective tax rate
0.2%
"Approx. 24%"
Net cash provided by operating activities
1,000,000,000—1,200,000,000
Mid-point: 1,100,000,000
"$1.0 billion to $1.2 billion"
Free cash flow
550,000,000—700,000,000
Mid-point: 625,000,000
"$550 million to $700 million"

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

EARNINGS CALL —

Call date
2026-04-21
Tone
N/A
Hedge density
N/A
Deflection rate
N/A

SPECIAL ITEMS & ADJUSTMENTS

Q1 2026
Restructuring and other costs
Includes employee severance and facility rationalization.
+$57.732M
$0.42 per share
Q1 2026
Separation costs
Costs related to planned separation of Global Automotive and Global Industrial businesses.
+$17.539M
$0.13 per share
Q1 2025
Acquisition and integration related costs and other
Lease and other exit costs related to integration of acquired independent automotive stores.
+$14.035M
$0.10 per share
Total Impact
+$89.306M$0.65 per share

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

The GPC team delivered first quarter results ahead of expectations, driven by solid sales growth and operating discipline across our business segments.

— GENUINE PARTS CO, Q1 2026 2026 Earnings Call

Our performance reflects the strength and resilience of our businesses despite a dynamic global environment.

— GENUINE PARTS CO, Q1 2026 2026 Earnings Call

We are simultaneously making strong progress on our announced separation which remains on track for completion in the first quarter of 2027.

— GENUINE PARTS CO, Q1 2026 2026 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.

OPERATIONAL METRICS

Comparable Sales Growth
2.4
%
Industrial Comparable Sales Growth
3.9
%
International Automotive Comparable Sales Growth
0.3
%
North America Automotive Comparable Sales Growth
2.2
%

Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.

Related Research

Analysis

GPC Q1 FY2026 Earnings: NAPA/Motion Split Makes First P&L Contact