Genuine Parts Company reported 2022 first-quarter sales of $5.3 billion, just over four months after industrial products subsidiary Motion acquired Kaman Distribution Group for $1.3 billion.
For the industrial parts group — operating under the Motion brand (formerly Motion Industries) — sales increases reflect a 17.9% contribution from the acquisition of Kaman Distribution Group and a 16.1% increase in comparable sales, slightly offset by a 0.4% unfavorable impact of foreign currency, GPC said. Industrial parts group sales were $2 billion, a 33.6% jump over the same period a year ago.
For the automotive parts group — powered by the NAPA Auto Parts brand — sales improved due to a 10.3% global increase in comparable sales and a 3.1% contribution from acquisitions, GPC said. Automotive parts group sales were $3.3 billion for the quarter, up nearly 11% from the same quarter in 2021.
“We are pleased with the continued strength in our results to start the year, and we could not be prouder of the hard work by all our 52,000 teammates,” said Paul Donahue, chairman and CEO of GPC. “The first quarter was highlighted by new sales records for GPC and our Automotive and Industrial segments, margin expansion and our seventh consecutive quarter of double-digit earnings growth. The GPC team successfully navigated through ongoing supply chain challenges and inflationary pressures at levels we haven’t seen in 40 years.”
GPC said its overall 18.6% sales increase compared with the first quarter of 2021 attributable to a 12.3% increase in comparable sales and an 8.1% benefit from acquisitions, partially offset by a 1.8% net unfavorable impact of foreign currency.
Overall net income for GPC in 1Q 2022 was $245.8 million, or a diluted earnings per share of $1.72. This compares to net income of $217.7 million, or $1.50 per diluted share, in the prior year period.
In an MDM podcast, Motion President Randy Breaux shared details on how the Kaman deal came together. Listen to that and read more about the $1.3-billion transformative acquisition, which combined the No. 1 and No. 3 power transmission/motion controls distributors in North America.