CHICAGO — LKQ Corp. today announced results for its second quarter, which ended June 30. The company reported revenue of $195 million, net income of $11.7 million and diluted earnings per share of 21 cents.

For the second quarter of 2006, revenue increased 43.4 percent to $195 million compared with $136 million for the second quarter of 2005. LKQ’s organic revenue growth for the quarter was 10.8 percent. Net income for the quarter increased 52.9 percent to $11.7 million compared with $7.6 million for the second quarter of 2005. Diluted earnings per share was 21 cents for the quarter compared with 16 cents for the second quarter of 2005.

For the six months ended June 30, revenue increased 43.5 percent to $387.2 million compared with $269.8 million for the same period in 2005. This included organic revenue growth of 11.6 percent. For the six months, net income increased 48.2 percent to $23.7 million compared with $16 million for the same period in 2005. Diluted earnings per share was 43 cents for the six months, compared with 35 cents for the same period a year ago.

Results for the six months include approximately $1.1 million of expenses related to the expensing of stock options in accordance with financial accounting standards. These expenses had the effect of lowering the company’s net income by approximately $657,000 and diluted earnings per share by approximately 1 cent for the six month period.

Consolidated aftermarket collision replacement parts revenue for the second quarter was $39.6 million and for the six months was $81.5 million.

The weighted average diluted shares outstanding for the second quarter was 55.7 million compared to 46.8 million for the second quarter of 2005 and for the six months was 55.6 million compared to 46.3 million for the six months ended June 30, 2005. The number of weighted average diluted shares of common stock outstanding in 2006 changed from 2005 due to the issuance of 6.4 million new shares in its October 2005 public offering, exercises of stock options and warrants, and the increase in its stock price.

The company said it expects that 2006 organic revenue growth will be in the low double digits, with the balance of the growth being the full year impact of 2005 business acquisitions and the nine acquisitions that the company has completed so far in 2006. LKQ expects net income to be within a range of $42.7 million to $44.7 million and diluted earnings per share to be between 76 cents and 80 cents. Included in the guidance is an estimated 3 cents per share effect of expensing stock options for the first time.

For the third quarter of 2006, the company expects net income to be within a range of $8.9 million to $9.7 million and diluted earnings per share to be between 16 cents and 17 cents.

The company anticipates that net cash provided by operating activities for 2006 will be more than $40 million. Full year 2006 capital expenditures related to property and equipment, excluding the expenditures of acquiring businesses, will be approximately $41 million to $43 million. This includes approximately $6 million in property and equipment related to businesses LKQ acquired in 2006. As of July 26, the company had outstanding debt under our bank credit facility of $103 million.

The company estimates the weighted average diluted shares outstanding for the full year 2006 will be approximately 56 million. These share numbers are estimates and will be affected by factors such as any future stock issuances, the number of options exercised in subsequent periods, and changes in stock price.

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