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Jun 30
Genuine Parts Q2 2025 Earnings Report
Genuine Parts reported Q2 2025 results with modest revenue growth but lower profitability due to restructuring costs.
Key Takeaways
Genuine Parts posted $6.2 billion in revenue, slightly higher year-over-year, but net income fell due to restructuring expenses. Adjusted EPS outperformed GAAP EPS, reflecting core operations strength.
Revenue rose 3.4% to $6.2 billion, driven by acquisitions.
Net income declined to $255 million, impacted by restructuring costs.
Adjusted EPS was $2.10, excluding $37 million in after-tax restructuring expenses.
Automotive segment outperformed with 5% sales growth, while Industrial sales rose just 0.7%.
Genuine Parts
Genuine Parts
Genuine Parts Revenue by Segment
Revenue by Segment
Automotive Parts Revenue
CapyFin.comIndustrial Parts Revenue
CapyFin.com Forward Guidance
Genuine Parts revised full-year 2025 guidance, lowering revenue and EPS expectations due to tariffs and moderated market conditions.
Positive Outlook
- Adjusted EPS guidance remains solid at $7.50 to $8.00.
- Automotive sales growth outlook remains positive at 1.5% to 3.5%.
- Industrial sales growth expected at 1% to 3%.
- Strong liquidity position with $2 billion undrawn credit capacity.
- Operational cost management continues through restructuring initiatives.
Challenges Ahead
- Total sales growth outlook reduced to 1% to 3% from 2% to 4%.
- GAAP EPS guidance lowered to $6.55 to $7.05.
- Free cash flow guidance reduced to $700 million to $900 million.
- Operating cash flow outlook trimmed to $1.1 billion to $1.3 billion.
- Tariff-related uncertainties may pressure margins in the second half.
Revenue & Expenses
Visualization of income flow from segment revenue to net income