Atlanta, GA - Genuine Parts Company reported sales and earnings for the third quarter and nine months ended September 30, 2013.
Thomas C. Gallagher, Chairman and Chief Executive Officer, announced that sales totaling $3.69 billion were up 9% compared to the third quarter of 2012. Net income for the quarter was $173.7 million, up slightly from $172.9 million recorded in the same period of the previous year. Earnings per share on a diluted basis were $1.12, up 1% compared to $1.11 for the third quarter last year.
For the nine months ended September 30, 2013, sales totaled $10.56 billion, up 7% compared to the same period in 2012. Net income for the nine months was $534.5 million, an increase of 10% from $487.8 million recorded in the previous year. Earnings per share on a diluted basis were $3.43, up 10% compared to $3.11 for the same period last year.
In review of the quarter, Mr. Gallagher commented, "While we achieved another quarter of record sales for the Company, the third quarter proved to be challenging for us. This was especially true in our non-automotive businesses, as the demand patterns across these segments decelerated in the quarter. Fortunately, our Automotive Group performed reasonably well for us and continues to report solid progress in their operations."
Mr. Gallagher added, "In the third quarter, sales for the Automotive Group were up 22% for the second consecutive period. This increase includes core North American growth of approximately 5% and the positive impact of the Australasian acquisition. We were pleased by the ongoing positive sales trends in both North America and at GPC Asia Pacific. Sales for Motion Industries, our Industrial Group, were down by 2.5%; and EIS, our Electrical/Electronic Group, showed sales down approximately 5%. S. P. Richards, our Office Products Group, had a 3% sales decrease for the quarter."
Mr. Gallagher concluded, "In these challenging times, we are especially focused on our sales initiatives and expense controls across all of our businesses. For the long-term we remain committed to our core objectives of growing sales and earnings, showing operating margin improvement, generating solid cash flows and maintaining a strong balance sheet. Our cash flows are very strong again this year and the Company is in excellent financial condition."
