EarningsQ3 2026 Earnings Report
MX:GPC Q3 2026 EPS Results
Actual EPS$38.75
Consensus EPS$38.13
Beat/MissBeat by +$0.62
One Year Ago EPS$37.07
MX:GPC Q3 2026 Revenue Results
Actual Revenue$122.08B
Expected Revenue$121.55B
Beat/MissBeat by +$527.63M
YoY Revenue Growth+4.17%
Earnings Announcement Details
QuarterQ3 2026
Date10/20/2026
TimeBefore Open
Conference CallTuesday, October 20, 2026
MX:GPC Upcoming Earnings
Genuine Parts Company's next earnings date is estimated for February 18, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:GPC Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly positive, supported by 4% sales growth, 5% adjusted EPS growth, gross margin expansion, strong Industrial and Motion performance, progress in automotive initiatives, restructuring savings, healthy cash generation, and an on-track separation. However, automotive retail demand, North American Automotive profitability, geopolitical impacts, and broad cost inflation remained meaningful challenges, with management expecting 2026 results toward the lower end of the narrowed guidance range.Company Guidance
Solid Third-Quarter Companywide Results
Total GPC sales were $6.5 billion, an increase of over $250 million or 4% versus the third quarter of 2025. Adjusted earnings per share was $2.07, up 5% year over year, while gross margin expanded 70 basis points to 38.1%, in line with expectations.
Industrial Segment Growth and Margin Expansion
Industrial sales increased 6% to $2.4 billion, with comparable sales up 5.5%. Industrial segment EBITDA increased approximately 11% to $317 million, and EBITDA margin increased 60 basis points to 13.2%, driven by strategic pricing and sourcing initiatives and disciplined cost management.
Broad-Based Industrial End-Market Performance
Industrial delivered growth in 12 of 14 tracked end markets, up from 11 in the second quarter and 7 in the same period of the prior year. Equipment and machinery grew high single digits, while food products, iron and steel, automotive fabricated metals, DC and logistics, oil and gas extraction, and equipment rental and leasing grew mid single digits to double digits.
Motion Demand and Project Activity Remained Strong
Motion reported continued growth across large corporate accounts, small to medium sized local customers, and value-added solutions. Core break-fix MRO sales, approximately 80% of Motion sales, increased 5%, while the remaining 20% from more capital-intensive projects increased nearly 10%. Larger customer orders and capital project activity were solid during the quarter.
Positive Industrial Market Indicators
Management cited 9 consecutive PMI readings over 50, solid year-to-date performance, and customers beginning to address deferred maintenance and delayed investments after a prolonged period of industrial market contraction. Data center and AI infrastructure investment was also said to be having a positive impact on the broader manufacturing economy.
North American Automotive Sales Growth
North America Automotive total sales and comparable sales each increased 2%. U.S. total sales increased 1.5%, with comparable sales up 2% and price contribution of 2.5%.
Company-Owned Stores and Commercial Automotive Strength
Comparable sales at company-owned stores increased 3.5%, with commercial sales up 5%. NAPA system sales growth was 3%, commercial comparable sales increased 4%, and all four commercial customer segments delivered solid growth, particularly other wholesale, fleet, and government customers.
Independent Owner Initiatives Showing Progress
Top-quartile independent owners grew at comparable levels to company-owned stores, while the bottom two quartiles improved sequentially from the second quarter to the third quarter. Management said initiatives involving inventory, technology tools, and closer partnerships with stronger owners were producing early positive returns.
NAPA Distribution Center Launch
NAPA went live on time and on budget with a new distribution center in Eastern Pennsylvania. The heavily automated facility uses robotics, with operational metrics on track; another planned building is expected to go live in 2026.
Canadian Automotive Performance
Canada delivered approximately 9% total sales growth in local currency, while comparable sales increased 1%. The Benson acquisition continued to support performance, with financial and operational results tracking ahead of plan.
International Automotive Progress
International Automotive sales increased 4.5%, comparable sales rose approximately 1%, and segment EBITDA increased approximately 5% to $141 million. EBITDA margin remained flat at 9%. Europe improved sequentially through 2026, with notable recent improvement in the U.K., while supply-chain and infrastructure investments were driving cost efficiency and improved inventory productivity.
Asia-Pacific Motorcycle Growth
Asia-Pacific total sales increased 2% in local currency and comparable sales increased approximately 1%, with trade business outperforming retail. The two-wheel motorcycle business delivered another strong quarter with double-digit sales growth in local currency.
Separation Plan Remains on Track
The planned separation of the automotive and industrial businesses into two independent public companies remains on track for completion in the first quarter of 2027. Operational separation work across people, systems, and contracts was tracking to plan and remained in line with previously disclosed cost estimates.
Leadership Appointments and Organizational Readiness
Leadership teams for both businesses were announced during the quarter. Cort Carruthers will become CEO of GPC with Bert as CFO and COO, while William Stengel will become Chairman and CEO of Motion. The go-forward Motion executive team has over 300 years of cumulative industrial, product, and customer experience.
Restructuring Savings and Cost Discipline
Year-to-date restructuring costs were approximately $200 million, while realized cost savings were $105 million, including approximately $36 million in the third quarter, or a benefit of $0.20 per share. People-related costs remained flat as a percentage of sales despite merit increases and higher healthcare costs.
Cash Flow and Capital Returns
Year-to-date cash from operations was $817 million and free cash flow was approximately $500 million. Net working capital improvement contributed approximately $260 million to operating cash flow. The company invested approximately $315 million in capital expenditures and returned approximately $434 million to shareholders through dividends.
Continued Supply Chain and Automation Investment
The company continued investing in supply-chain infrastructure and IT systems, including two NAPA U.S. distribution centers. Management stated that robotics, automation, broader product availability, improved fill rates, and real-estate consolidation are expected to provide measurable service, revenue, productivity, and operating leverage benefits.
2026 Adjusted EPS Guidance Narrowed
Full-year 2026 adjusted diluted EPS guidance was narrowed to $7.50 to $7.75, up 3.5% at the midpoint versus 2025. Diluted EPS guidance, including restructuring and year-to-date separation costs, was set at $5.60 to $5.85.
MX:GPC Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed