Genuine Parts Company sales decline 3.4 percent
Genuine Parts Company reported sales of $4.4 billion in the third quarter decreased 3.4 percent compared to $4.5 billion in the same period of the prior year.
The decrease in sales is attributable to a 1.8 percent decline in comparable sales and a 4.2 percent impact from divestitures. These items were partially offset by a 1.3 percent benefit from acquisitions and a 1.3 percent net impact of foreign currency and other. Excluding divestitures, net sales from continuing operations were up 0.8 percent in the third quarter, which compares to a 10.1 percent sales decrease in the second quarter.
Net income of $232.9 million, or a diluted earnings per share of $1.61, compares to $212.3 million, or $1.45 per diluted share in the prior year period.
Sales for the Industrial Parts Group were $1.4 billion, down 18.6 percent, or down 8.7 percent excluding the EIS divestiture, and representing 32 percent of total company revenues. The decrease in sales and sales excluding divestitures includes an approximate 9.2 percent decrease in comparable sales, slightly offset by a 0.4 percent benefit from acquisitions and a favorable foreign currency impact. Segment profit of $126 million was down 8.7 percent, with profit margin up at 8.9 percent, up 100 basis points from 2019.
Sales from continuing operations for the nine months ended Sept.30 were $12.3 billion, a 7.2 percent decrease compared to $13.2 billion for the same period in 2019.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
