We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Genuine Parts (GPC) Tops Q4 Earnings Estimates, Ups Dividend
Read MoreHide Full Article
Genuine Parts Company (GPC - Free Report) reported fourth-quarter adjusted earnings of $1.52 per share, up 19.7% year over year. The bottom line also surpassed the Zacks Consensus Estimate of $1.32 per share. Higher-than-expected revenues and profit from the Industrial Parts segment resulted in this outperformance. Revenues and operating income from this segment came in at $1,429.7 million and $133.4 million, beating the Zacks Consensus Estimate of $1,390 million and $122 million, respectively.
This Atlanta-based automotive replacement parts supplier reported net sales of $4,251.6 million, missing the Zacks Consensus Estimate of $4,319 million. Moreover, the top-line figure was lower than the year-ago quarter’s $4,279.9 million. This downside resulted from a 2.8% decline in comparable sales, partly offset by 0.8% benefit from acquisitions, and a 1.3% net impact of foreign currency and other.
Genuine Parts Company Price, Consensus and EPS Surprise
The Automotive segment’s net sales — accounting for 66% of the firm’s total revenues — totaled $2,821.8 million for the reported quarter, up 0.7% year over year on the back of favorable forex translations and acquisition benefits. The segment’s comparable sales declined 2% for the fourth quarter. The segment’s operating profit increased 19.4% year over year to $240 million for the reported quarter.
The Industrial Parts segment’s net sales dropped 3.3% from the year-ago quarter to $1,429.7 million. The segment’s comparable sales also declined 4.4% for the reported quarter. Nonetheless, operating profit rose 5.1% from the prior-year quarter to $133.4 million.
Financial Tidbits
Total operating expenses declined 9.3% for the December-end quarter, primarily due to fall in SG&A costs. SG&A expenses for fourth-quarter 2020 slid 2.6% year over year to $1,132.3 million.
Genuine Parts — which shares space with LKQ Corporation (LKQ - Free Report) , Dorman Products (DORM - Free Report) and SPX Corporation (SPXC - Free Report) — had cash and cash equivalents worth $990.1 million as of Dec 31 30, 2020. Long-term debt decreased to $2,516.6 million from $2,802.1 million recorded in the year-ago period.
Genuine Parts hiked dividend for the 65th consecutive year in 2021. Quarterly dividend of eighty-one and one-half cents per share is payable on April 1, 2021 to shareholders as of Mar 5, 2021. Expected annual payout of $3.26 per share in 2021 implies more than 3% increase from the previous dividend of $3.16.
Guidance
Genuine Parts — which presently carries a Zacks Rank #2 (Buy) — issued 2021 outlook. The company projects revenues from automotive and industrial sales to witness year-over-year uptick of 4-6% and 3-5%, respectively, in 2021. Full-year earnings are envisioned in the band of $5.55-$5.75 per share. Operating cash flow and capex are projected within $1-$1.2 billion and $275-$325 million, respectively. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Image: Bigstock
Genuine Parts (GPC) Tops Q4 Earnings Estimates, Ups Dividend
Genuine Parts Company (GPC - Free Report) reported fourth-quarter adjusted earnings of $1.52 per share, up 19.7% year over year. The bottom line also surpassed the Zacks Consensus Estimate of $1.32 per share. Higher-than-expected revenues and profit from the Industrial Parts segment resulted in this outperformance. Revenues and operating income from this segment came in at $1,429.7 million and $133.4 million, beating the Zacks Consensus Estimate of $1,390 million and $122 million, respectively.
This Atlanta-based automotive replacement parts supplier reported net sales of $4,251.6 million, missing the Zacks Consensus Estimate of $4,319 million. Moreover, the top-line figure was lower than the year-ago quarter’s $4,279.9 million. This downside resulted from a 2.8% decline in comparable sales, partly offset by 0.8% benefit from acquisitions, and a 1.3% net impact of foreign currency and other.
Genuine Parts Company Price, Consensus and EPS Surprise
Genuine Parts Company price-consensus-eps-surprise-chart | Genuine Parts Company Quote
Segmental Performance
The Automotive segment’s net sales — accounting for 66% of the firm’s total revenues — totaled $2,821.8 million for the reported quarter, up 0.7% year over year on the back of favorable forex translations and acquisition benefits. The segment’s comparable sales declined 2% for the fourth quarter. The segment’s operating profit increased 19.4% year over year to $240 million for the reported quarter.
The Industrial Parts segment’s net sales dropped 3.3% from the year-ago quarter to $1,429.7 million. The segment’s comparable sales also declined 4.4% for the reported quarter. Nonetheless, operating profit rose 5.1% from the prior-year quarter to $133.4 million.
Financial Tidbits
Total operating expenses declined 9.3% for the December-end quarter, primarily due to fall in SG&A costs. SG&A expenses for fourth-quarter 2020 slid 2.6% year over year to $1,132.3 million.
Genuine Parts — which shares space with LKQ Corporation (LKQ - Free Report) , Dorman Products (DORM - Free Report) and SPX Corporation (SPXC - Free Report) — had cash and cash equivalents worth $990.1 million as of Dec 31 30, 2020. Long-term debt decreased to $2,516.6 million from $2,802.1 million recorded in the year-ago period.
Genuine Parts hiked dividend for the 65th consecutive year in 2021. Quarterly dividend of eighty-one and one-half cents per share is payable on April 1, 2021 to shareholders as of Mar 5, 2021. Expected annual payout of $3.26 per share in 2021 implies more than 3% increase from the previous dividend of $3.16.
Guidance
Genuine Parts — which presently carries a Zacks Rank #2 (Buy) — issued 2021 outlook. The company projects revenues from automotive and industrial sales to witness year-over-year uptick of 4-6% and 3-5%, respectively, in 2021. Full-year earnings are envisioned in the band of $5.55-$5.75 per share. Operating cash flow and capex are projected within $1-$1.2 billion and $275-$325 million, respectively. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Legal Marijuana: An Investor’s Dream
Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.
Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.
Download Marijuana Moneymakers FREE >>