Genuine Parts (NYSE:GPC) delivered a mixed fourth-quarter performance, with revenue exceeding expectations but earnings falling short, leading to a 3% drop intra-day today.
For Q4 2024, the auto and industrial replacement parts provider reported earnings per share of $1.61, missing analyst expectations of $1.64. However, revenue came in at $5.77 billion, slightly above the projected $5.73 billion. Despite the revenue beat, comparable sales declined by 0.5%, signaling some softness in demand.
Management acknowledged macroeconomic pressures and weaker end-market conditions but emphasized its focus on operational efficiency and strategic growth initiatives to navigate challenges.
Looking ahead, Genuine Parts expects 2025 earnings per share between $7.75 and $8.25, falling just short of the $8.29 consensus estimate. The company projects revenue growth of 2% to 4% for the full year, as it continues to strengthen its market position amid industry headwinds.
While Genuine Parts remains resilient, the softer sales trends and cautious earnings outlook suggest a measured growth trajectory for 2025.
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