Genuine Parts Earnings: Here’s Why Investors are Selling Shares Now
Genuine Parts Company (NYSE:GPC) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 1.37%.
Genuine Parts Company Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 28.7% to $1.39 in the quarter versus EPS of $1.08 in the year-earlier quarter.
Revenue: Rose 10.13% to $3.68 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Genuine Parts Company reported adjusted EPS income of $1.39 per share. By that measure, the company beat the mean analyst estimate of $1.21. It missed the average revenue estimate of $3.68 billion.
Quoting Management: Thomas C. Gallagher, Chairman and Chief Executive Officer, commented, “We are pleased to report record levels of sales and earnings for the second quarter. The progress in our operations was driven by the improved results in our automotive business. Sales for the Automotive Group were up 22%, consisting of core North American growth of approximately 6% and the positive impact of the Australasian acquisition. We were encouraged by the sequential improvement in our core sales growth in the quarter. Likewise, GPC Asia Pacific performed as planned for the quarter and we continue to be excited about the growth opportunities we see in the Australasian aftermarket.”
Key Stats (on next page)…