Genuine Parts Sees Weak Earnings, Higher Sales In FY24; Lifts Dividend - Update

(RTTNews) - Genuine Parts Co. (GPC), while reporting higher fourth-quarter results, on Thursday issued fiscal 2024 outlook, expecting earnings to be weak on a reported basis, but higher on an adjusted basis with improved sales.

For fiscal 2024, the company projects earnings per share of $8.95 to $9.15 and adjusted earnings per share of $9.70 to $9.90.

Analysts on average expect the company to earn $9.84 per share for the year, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

Total sales growth is projected between 3 percent and 5 percent, with automotive sales growth of 2 percent to 4 percent and industrial sales growth of 3 percent to 5 percent.

In fiscal 2023, earnings per share were $9.33 on a reported and adjusted basis, with sales growth of 4.5 percent to $23.1 billion.

Further, GPC's Board of Directors approved an approximately 5 percent increase in its regular quarterly cash dividend for 2024. The quarterly cash dividend of $1.00 per share is payable April 1 to shareholders of record March 1.

In its fourth quarter, Genuine Parts' earnings increased from the same period last year and beat the Street estimates.

The company's bottom line totaled $316.88 million, or $2.26 per share. This compares with $251.98 million, or $1.77 per share, in last year's fourth quarter.

Adjusted earnings were $316.88 million or $2.26 per share for the period. Analysts had expected the company to earn $2.19 per share.

The company's revenue for the quarter rose 1.3 percent to $5.59 billion from $5.52 billion last year.

For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com.