Slide 1: Second Quarter 2025 Earnings Call Presentation
JULY 24, 2025 Second Quarter 2025 Earnings Call Presentation
Slide 2: Forward Looking Statements and Non-GAAP Financial Measures
Forward Looking Statements and Non-GAAP Financial Measures Statements and information in this presentation that are not historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are made pursuant to the “safe harbor” provisions of such A
Slide 3: Opening Remarks
Opening Remarks JUSTIN JUDE President and Chief Executive Officer
Slide 4: Executing on Strategic Initiatives – Making Progress
Executing on Strategic Initiatives – Making Progress Expand Lean Operating Model Globally & Grow Organically Returning Cash To Shareholders, Maximizing TSR Continued To Drive Multi-year Transformation & Growth Plan Delivering Consistent Shareholder Returns Achieved more than $125 million in cost sav
Slide 5: Q2 2025 Financial Performance Summary
Q2 2025 Financial Performance Summary ($ in millions, except per share data) Operating Performance Q2 2025 YoY Change Total Revenue $3,642 q (1.9)% Organic Parts and Services Revenue Growth (Decline) q (3.4)% (1) Segment EBITDA $430 q (10.9)% (1) Segment EBITDA Margin 11.8% q (120) bps Diluted EPS(2
Slide 6: Q2 2025 Results
Q2 2025 Results RICK GALLOWAY Senior Vice President and Chief Financial Officer
Slide 7: Consolidated Operating Results – Q2 2025
Consolidated Operating Results – Q2 2025 ($ in millions, except per share data) Parts & Services Organic Total Revenue Segment EBITDA(1) Growth (Decline) $484 $3,711 $3,642 $430 (0.3)% (2.6)% (3.4)% 13.0% $3,552 $3,477 (4.9)% 11.8% (6.9)% Q2 2024 Q2 2025 Wholesale Europe Specialty Self Total Q2 2024
Slide 8: Wholesale – North America – Q2 2025
Wholesale – North America – Q2 2025 ($ in millions) Total Revenue Gross Margin Commentary $1,474 $1,442 $648 Parts and Services Revenue Change $619 • Organic Decline: 2.6% (2.2% decline per day) • Acquisitions / Divestitures: 0.3% $1,398 $1,362 43.9% • Foreign Exchange: (0.2)% 42.9% Organic Drivers
Slide 9: Europe – Q2 2025
Europe – Q2 2025 ($ in millions) Total Revenue Gross Margin Commentary $1,639 $1,607 $619 $619 Parts and Services Revenue Change • Organic Decline: 4.9% (3.8% decline per day) • Acquisitions / Divestitures: (2.2)% 38.5% • Foreign Exchange: 5.2% 37.8% $1,633 $1,601 Organic Drivers Lower volumes equal
Slide 10: Specialty – Q2 2025
Specialty – Q2 2025 ($ in millions) Total Revenue Gross Margin Commentary $466 $465 $118 $118 Parts and Services Revenue Change • Organic Decline: 0.3% $466 $464 Organic Drivers 25.4% 25.4% Revenue largely flat as demand softness in the recreational vehicle product lines was partially offset by grow
Slide 11: Self Service – Q2 2025
Self Service – Q2 2025 ($ in millions) Total Revenue Gross Margin Commentary $133 $129 $56 $56 Parts and Services Revenue Change • Organic Decline: 6.9% (5.9% decline per day) $55 $50 43.5% Organic Drivers 42.3% Lower parts volumes from a reduced number of customer admissions $78 $79 Gross Margin Q2
Slide 12: Capital Allocation, Leverage & Liquidity
Capital Allocation, Leverage & Liquidity YTD 2025 Capital Deployment Key Metrics as of June 30, 2025 ($ and shares in millions) Cash $289 Total Debt(1) $4,460 Capex Effective Interest Rate(2) 5.2% Total Leverage Ratio(3) 2.6x $107M Available Liquidity $1,425 $156M Share Repurchase Program Dividends
Slide 13: Outlook 2025
Outlook 2025(1) (effective only on the date issued: July 24, 2025) 2025 Full Year Outlook Organic P&S Revenue Growth (3.5%) to (1.5%) Prior Outlook(5) 0% to 2% 2H 2025 Headwinds Included in Outlook Diluted EPS: GAAP(2) $2.47 to $2.77 North America (5) Prior Outlook $2.91 to $3.21 • Economic conditio
Slide 14: Closing Remarks
Closing Remarks JUSTIN JUDE President and Chief Executive Officer
Slide 15: Key Strategic Priorities
Key Strategic Priorities Operational Excellence Maximize TSR Drive Cash Flow Simplify Business Portfolio and Invest in organic growth Operations Execute high synergy tuck-in Expand lean operating model acquisitions globally Return cash to shareholders, while Grow organically maintaining investment g
Slide 16: Appendix
Appendix L Ka Keeping you moving
Slide 17: Collision Trends in Wholesale - North America
Appendix 1 Collision Trends in Wholesale - North America Collision volumes remain steady while increased self-pays, unrepaired vehicles and TLVs/ELVs* reduced repairable claims from 2022 to present USA Accident Volumes Key Drivers of Volume Changes Since 2022 Units in M Factor CAGR Market Forces 22
Slide 18: Revenue and Segment EBITDA by segment
Appendix 2 Revenue and Segment EBITDA by segment Three Months Ended June 30 We have presented Segment EBITDA solely as a supplemental (in millions) 2025 % of revenue 2024 % of revenue disclosure that offers investors, securities analysts and other interested parties useful information to evaluate ou
Slide 19: Reconciliation of Net Income to Segment EBITDA
Appendix 3 Reconciliation of Net Income to Segment EBITDA Three Months Ended June 30 We have presented Segment EBITDA solely as a (in millions) 2025 2024 supplemental disclosure that offers investors, securities analysts and other interested parties useful information to Net income $193 $186 evaluat
Slide 20: Reconciliation of Net Income and Diluted EPS to Adjusted Net Income and Adjusted Diluted EPS
Appendix 4 Reconciliation of Net Income and Diluted EPS to Adjusted Net Income and Adjusted Diluted EPS Three Months Ended June 30 (in millions, except per share data) 2025 2024 Net income $193 $186 Less: net income attributable to noncontrolling interest 1 1 Net income attributable to LKQ stockhold
Slide 21: Reconciliation of Net Income and Diluted EPS to Adjusted Net Income and Adjusted Diluted EPS
Appendix 4 Reconciliation of Net Income and Diluted EPS to Adjusted Net Income and Adjusted Diluted EPS We have presented Adjusted Net Income and Adjusted Diluted Earnings per Share as we believe these measures are useful for evaluating the core operating performance of our continuing business acros
Slide 22: Forecasted EPS and Free Cash Flow Reconciliation
Appendix 5 Forecasted EPS and Free Cash Flow Reconciliation Forecasted Fiscal Year 2025 (in millions, except per share data) Minimum Outlook Maximum Outlook Net income(1) $639 $717 Adjustments: Amortization of acquired intangibles 142 142 Restructuring and transaction related expenses 42 42 Other ad
Slide 23: Reconciliations of Net Cash Provided by Operating Activities to Free Cash Flow and Net Income to Adjusted EBITDA
Appendix 6 Reconciliations of Net Cash Provided by Operating Activities to Free Cash Flow and Net Income to Adjusted EBITDA We have presented free cash flow solely as a supplemental disclosure that offers investors, securities analysts and other interested parties useful information to evaluate our
Slide 24: Metals Prices & Foreign Exchange
Appendix 7 Metals Prices & Foreign Exchange Average Metals Prices Q2 2025 vs Q2 2024 Segment EBITDA Impact $250 Wholesale - North ($ in millions) Self Service America Total Scrap Steel $3 $— $3 $229 $200 $212 $203 $200 Precious Metals $1 $1 $2 $196 $193 $150 Total $4 $1 $5 $113 $98 $100 $97 $101 $97