Genuine Parts Q4 Profit Drops - Quick Facts

(RTTNews) - Automotive replacement parts distributor Genuine Parts Co. (GPC) posted lower fourth-quarter 2013 net income of $150.47 million, or $0.97 per share, versus last year's $160.23 million, or $1.03 per share. The company said the 2012 results include the $23.5 million one-time pension gain, or $0.10 per share, previously disclosed. Excluding the gain, earnings per share in the 2013 fourth quarter were up 4% from 2012, Genuine Parts noted.

On average, 11 analysts polled by Thomson Reuters expected earnings per share of $0.93 for the quarter. Analysts' estimates typically exclude one-time items.

On the other hand, the firm clocked $3.52 billion of net sales in the recent quarter, up 13%, compared with $3.12 billion in the 2012 period. Nine analysts estimated revenues of $3.43 billion for the quarter.

In reviewing the quarter, the company's Chief Executive commented, "Revenue growth in the fourth quarter proved to be the strongest of the year, with acquisitions contributing 10% to our sales growth and our underlying sales were up 4%, which was offset by a 1% currency headwind. Automotive sales were up 25% in the quarter, including 7% underlying growth, offset by a 1% negative translation effect. Industrial Group sales were up 3% and sales for the Electrical/Electronic Group increased by 6%, which includes a 10% contribution from acquisitions. Sales for the Office business were down 4%."

Additionally, Genuine Parts announced a 7% increase in the regular quarterly cash dividend for 2014. At its February 17, 2014 Board meeting, the board increased the cash dividend payable to an annual rate of $2.30 per share compared with the prior dividend of $2.15 per share. The quarterly cash dividend of $0.575 per share is payable April 1, 2014 to shareholders of record March 7, 2014.