Press release
LKQ Corporation Announces Results For Third Quarter 2023
Revenue of $3.6 billion (a 15% increase compared to the same period in 2022); parts and services organic revenue increased 3.0% (4.3% on a per day
About this update from Lkq Corporation
[{"type":"text","content":"Revenue of $3.6 billion (a 15% increase compared to the same period in 2022); parts and services organic revenue increased 3.0% (4.3% on a per day basis)Diluted EPS2 of $0.77; adjusted diluted EPS1,2 of $0.86Third quarter operating cash flow of $441 million; free cash flow1 of $344 millionIncreased dividend by 9%; $0.30 per share approved to be paid in the fourth quarter of 2023Completed Uni-Select Inc. acquisition on August 1, 2023Completed divestiture of GSF Car Parts Limited on October 25, 2023Europe Segment EBITDA margins impacted by 110 basis points due to a legacy value-added tax issue related to our Italian operations and strikes in GermanyAnnual guidance updated CHICAGO, Oct. 26, 2023 (GLOBE NEWSWIRE) -- LKQ Corporation (Nasdaq:LKQ) today reported third quarter 2023 financial results. “Our third quarter results reflected some tailwinds and headwinds. On the positive side, we experienced strong organic growth in our Wholesale - North America and Europe segments, drove excellent margins in Wholesale - North America, and generated robust free cash flow. Unfortunately, these strengths were offset by a combination of unusual, transitory items in Europe, continued softness in commodity prices, and difficult market conditions impacting our Specialty and Self Service segments. Our success since implementing the operational excellence strategy in 2019 gives us confidence in our ability to take decisive actions and drive improved execution. We have great assets and an exceptional team, which we believe will enable long-term growth and value creation. The fundamentals of our business remain strong,” noted Dominick Zarcone, President and Chief Executive Officer. Third Quarter 2023 Financial Results Revenue for the third quarter of 2023 was $3.6 billion, an increase of 15.0% as compared to $3.1 billion for the third quarter of 2022. For the third quarter of 2023, parts and services organic revenue increased 3.0% (4.3% on a per day basis), foreign exchange rates increased revenue by 3.6% and the net impact of acquisitions and divestitures increased revenue by 10.5% year over year, for a total parts and services revenue increase of 17.1%. Other revenue for the third quarter of 2023 fell 17.5% primarily due to weaker commodity prices relative to the same period in 2022. Net income2 for the third quarter of 2023 was $207 million as compa...