Genuine Parts Earnings: Here’s Why the Stock is Falling Now
Genuine Parts Company (NYSE:GPC) delivered a profit and missed Wall Street’s expectations, AND 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 2.54%.
Genuine Parts Company Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 0% to $0.93 in the quarter versus EPS of $0.93 in the year-earlier quarter.
Revenue: Rose 0.56% to $3.2 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Genuine Parts Company reported adjusted EPS income of $0.93 per share. By that measure, the company missed the mean analyst estimate of $0.99. It missed the average revenue estimate of $3.29 billion.
Quoting Management: Thomas C. Gallagher, Chairman and Chief Executive Officer, stated, “Entering 2013, we felt that the first quarter of the year would be our most challenging. Our earnings for the quarter are a direct reflection of the 0.6% sales increase. Among our segments, the Automotive Group reported a 3% sales increase, driven by our commercial growth and the positive impact of the Quaker City acquisition. Motion Industries, our Industrial Group, was down 2% in the quarter; and EIS, our Electrical/Electronic Group, was down 5%. S.P. Richards, our Office Products Group, reported a 1% decrease in sales for the quarter.”
Key Stats (on next page)…