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Sep 30, 2021

Genuine Parts Q3 2021 Earnings Report

Genuine Parts Company reported strong financial results driven by growth initiatives and global market recovery.

Key Takeaways

Genuine Parts Company reported strong financial results for the third quarter of 2021, with sales reaching $4.8 billion, a 10.3% increase year-over-year. The company's adjusted diluted EPS from continuing operations was $1.88, a 15% increase and a new record. The company also raised its 2021 outlook for revenue growth, diluted EPS, adjusted diluted EPS, and free cash flow.

Sales increased by 10.3% to $4.8 billion.

Diluted EPS from continuing operations was $1.59.

Adjusted diluted EPS from continuing operations increased by 15% to $1.88, setting a new record.

The company raised its 2021 outlook for revenue growth, diluted EPS, adjusted diluted EPS and free cash flow.

Total Revenue
$4.82B
Previous year: $4.37B
+10.3%
EPS
$1.88
Previous year: $1.63
+15.3%
Gross Profit
$1.71B
Previous year: $1.53B
+12.0%
Cash and Equivalents
$919M
Previous year: $900M
+2.1%
Free Cash Flow
$256M
Previous year: $1.32B
-80.7%
Total Assets
$14B
Previous year: $13.5B
+3.7%

Genuine Parts

Genuine Parts

Genuine Parts Revenue by Segment

Forward Guidance

The Company is updating its full-year 2021 guidance previously provided in its earnings release on July 22, 2021.

Positive Outlook

  • Total sales growth 12% to 13%
  • Automotive sales growth 14% to 15%
  • Industrial sales growth 10% to 11%
  • Diluted earnings per share $5.92 to $5.97
  • Adjusted diluted earnings per share $6.60 to $6.65

Challenges Ahead

  • Effective tax rate Approx. 25%
  • Net cash provided by operating activities $1.2 billion to $1.4 billion
  • Free cash flow $950 million to $1.15 billion
  • Considered its recent business trends and financial results
  • Global economic outlook and the continued uncertainty of COVID-19 and its potential impact on our results

Revenue & Expenses

Visualization of income flow from segment revenue to net income