Genuine Parts (GPC) Q2 Earnings Miss Estimates, In Line Y/Y
Zacks Investment Research | Jul 18, 2016 09:50PM ET
Genuine Parts Company (NYSE:GPC) reported earnings of $1.28 per share in second-quarter 2016, flat with the year-ago quarter. Earnings per share, however, missed the Zacks Consensus Estimate of $1.30.
The company recorded net income of $191.4 million in the second quarter of 2016, down from $195.4 million in the prior-year quarter.
Revenues in the reported quarter dropped 1% year over year to $3.90 billion and lagged the Zacks Consensus Estimate of $4.01 billion. The decline is attributable to a 1% negative currency impact, partially offset by benefits from acquisitions.
Operating profit decreased to $340.5 million from $349.4 million in the second quarter of 2015. Selling, general and administrative expenses fell to $829.5 million from $832.6 million a year ago.
Segment Results
Revenues at the Automotive Parts segment slipped 0.7% to $2.09 billion from the year-ago level of $2.10 billion. Revenues declined due to a drop in core automotive sales and currency headwinds, partially offset by benefits from acquisitions. The segment’s operating profit decreased to $203.6 million in the reported quarter from $207.4 million a year ago.
Revenues at the Motion Industries or Industrial segment dropped 1.7% to $1.17 billion owing to lower sales volume and currency headwinds, partially offset by synergies from acquisitions. Operating profit at the segment was $88.3 million, down from $88.9 million in the year-ago quarter.
The Electrical or EIS segment’s revenues fell 5% to $184.5 million due to the adverse impact of copper pricing. Operating profit decreased to $16 million from $18.6 million in the year-ago quarter.
The S. P. Richards or Office Products segment’s revenues improved 1% to $481.6 million, driven by benefits from acquisitions. Operating profit at the segment declined to $32.6 million from $34.5 million a year ago.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.