ATLANTA (AP) — The distributor Genuine Parts Co. said Tuesday its fourth-quarter profit rose almost 20 percent as market conditions for its auto and industrial parts improved.
Genuine Parts' largest division, the automotive group, reported revenue up 9 percent over the fourth quarter of 2009, while the industrial parts group saw a 24 percent increase. Electrical parts revenue rose 40 percent, and office products rose 3 percent, the statement said.
"We enter 2011 with a degree of optimism in each of our four businesses," Chairman and CEO Tom Gallagher said in the statement.
Nonetheless, its shares fell $2.02, or 3.7 percent, to $53.23 in morning trading amid a broad market selloff.
Atlanta-based Genuine Parts distributes auto and industrial parts in the U.S., Canada and Mexico. It also sells business products and electrical and electronic components.
For the quarter ending Dec. 31, Genuine Parts' net income rose to $118.7 million, or 75 cents per share, compared with $99.2 million, or 62 cents per share, in the same quarter of 2009. Revenue was up 14 percent to $2.81 billion from $2.47 billion.
The company's performance was slightly better than Wall Street expected. Analysts surveyed by FactSet were looking for 70 cents per share on revenue of $2.73 billion.
For the full year, Genuine Parts reported net income of $475.5 million, or $3 per share, compared with $399.6 million, or $2.50 per share, in 2009. Revenue was $11.2 billion, up from $10.1 billion in 2009.