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Benzinga
Benzinga
Business
Anusuya Lahiri

Genuine Parts Delivers Strong Sales, Trims Profit Outlook As Margins Improve

Analyst

Genuine Parts Company (NYSE:GPC) reported third-quarter results on Tuesday.

The automotive and industrial replacement parts provider reported a quarterly adjusted earnings per share of $1.98, missing the analyst consensus estimate of $1.99.

Quarterly sales of $6.26 billion (+4.9% year-over-year) outpaced the Street view of $6.12 billion.

Also Read: Genuine Parts Sees Q1 Growth From Acquisitions, But Tariffs And Lower Sales Weigh On Results

The improvement is attributable to a 2.3% increase in comparable sales, a 1.8% benefit from acquisitions, and a 0.8% favorable impact from foreign currency and other factors.

Global Automotive sales were $4.0 billion, up 5.0% Y/Y. Industrial sales were $2.3 billion, up 4.6% Y/Y.

Quarterly gross margin improved 58 basis points Y/Y to 37.4%.

Global Automotive EBITDA of $335 million increased 5.9% Y/Y, with segment EBITDA margin of 8.4%, up 10 bps Y/Y.

Industrial sales were $2.3 billion, up 4.6% Y/Y. The segment EBITDA of $285 million increased 6.6% Y/Y, with a segment EBITDA margin of 12.6%, up 30 bps Y/Y.

As of Sept. 30, 2025, the company had $431 million in cash and equivalents. It also has $1.1 billion in undrawn capacity under its Revolving Credit Agreement, after taking into account commercial paper borrowings.

Long-term debt at the end of the quarter totaled $3.75 billion, compared with $3.74 billion as of Dec. 31, 2024.

Outlook: Genuine Parts lowered its fiscal 2025 adjusted EPS guidance from $7.50–$8.00 per share to $7.50-$7.75 per share, below the $7.67 analyst consensus estimate.

The company now expects total sales to grow 3%-4% (up from the prior forecast of 1%–3%).

Price Action: GPC shares are trading higher by 0.92% to $133.02 premarket at last check Tuesday.

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Photo: Shutterstock

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