ATLANTA – Genuine Parts Co. reports fourth quarter results and record sales and earnings for the year ended Dec. 31, 2011.
Tom Gallagher, chairman and CEO, announced today that sales in 2011 were $12.5 billion, up 11 percent compared to 2010. Net income for the year was $565 million, an increase of 19 percent compared to $476 million in 2010. Earnings per share on a diluted basis were $3.58, up 19 percent compared to $3 in 2010.
Gallagher stated, "Genuine Parts Co. had another excellent year in 2011, highlighted by double-digit sales and earnings growth and record sales and earnings per share for the second consecutive year. We further strengthened our financial condition with increased net income, an expanded operating margin and a continued emphasis on effectively managing the balance sheet. We are very proud of the job that was done throughout our organization."
He added, "All four of our business segments produced top line growth for the year. The Automotive Group reported an 8 percent sales increase for the year, and the positive sales trends for this segment in 2011 reflect the ongoing solid fundamentals in the automotive aftermarket, including the overall aging of the vehicle population. Motion Industries, our industrial distribution company, generated a 19 percent sales increase with the strong double-digit sales growth at Motion driven by the combination of good internal growth initiatives and the strength in the manufacturing sector of the economy. EIS, our Electrical distribution company, had another outstanding year as well, and sales were up 24 percent. S.P. Richards, our Office Products Group, reported a 3 percent increase in revenues in 2011. We were pleased to show some growth in such a difficult environment for the office products industry."
Sales increased 7 percent to $3 billion in the fourth quarter ended Dec. 31, 2011, compared to sales of $2.8 billion for the same period in 2010. Net income in the fourth quarter was $135 million, an increase of 14 percent compared to $119 million in 2010. Diluted earnings per share in the fourth quarter were 86 cents, up 15 percent compared to 75 cents per share for the fourth quarter of 2010.
In reviewing the quarter, Gallagher commented, "Overall, our businesses continued to perform well in the fourth quarter. Our Automotive sales were up 6 percent, our Industrial Group sales were up 13 percent, our Electrical Group sales were up 10 percent and our Office Products Group sales were down slightly for the quarter."
Gallagher concluded, "We enter 2012 with a continued commitment to growing sales and earnings, generating solid cash flows and maintaining a strong balance sheet. Further progress in each of these important areas will keep the company moving ahead and they will help to insure another successful year in 2012."
