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Jun 30, 2022

Genuine Parts Q2 2022 Earnings Report

Genuine Parts Company achieved record sales and earnings growth, driven by the resilience of its Automotive and Industrial businesses and the strategic mix of its operations.

Key Takeaways

Genuine Parts Company reported record sales of $5.6 billion, a 17.1% increase, and diluted EPS of $2.62, up 92.6%. Adjusted diluted EPS was $2.20, a 26.4% increase. The company also raised its 2022 outlook for revenue growth and diluted and adjusted diluted EPS.

Record sales of $5.6 billion, up 17.1%.

Diluted EPS of $2.62, up 92.6%.

Adjusted Diluted EPS of $2.20, up 26.4%.

Significant progress on integration of Kaman Distribution Group.

Total Revenue
$5.6B
Previous year: $4.78B
+17.1%
EPS
$2.2
Previous year: $1.74
+26.4%
Gross Profit
$1.96B
Previous year: $1.69B
+16.1%
Cash and Equivalents
$519M
Previous year: $987M
-47.4%
Free Cash Flow
$638M
Previous year: $614M
+3.8%
Total Assets
$16.2B
Previous year: $14.1B
+15.3%

Genuine Parts

Genuine Parts

Genuine Parts Revenue by Segment

Forward Guidance

The Company is updating full-year 2022 guidance previously provided in its earnings release on April 21, 2022. Total sales growth 12% to 14%, Automotive sales growth 6% to 8%, Industrial sales growth 26% to 28%, Diluted earnings per share $8.08 to $8.23, Adjusted diluted earnings per share $7.80 to $7.95, Net cash provided by operating activities $1.5 billion to $1.7 billion, Free cash flow $1.2 billion to $1.4 billion.

Positive Outlook

  • Total sales growth updated to 12% to 14%.
  • Automotive sales growth updated to 6% to 8%.
  • Industrial sales growth updated to 26% to 28%.
  • Diluted earnings per share updated to $8.08 to $8.23.
  • Adjusted diluted earnings per share updated to $7.80 to $7.95.

Challenges Ahead

  • Global economic outlook.
  • Geopolitical conflicts.
  • Potential impact on results.
  • Dynamic and uncertain external landscape.
  • Uncertainties related to business trends and financial results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income