Genuine Parts Company’s Motion-led industrial business delivered another quarter of accelerating growth in 2Q26, outperforming the company’s automotive operations as GPC continues preparing to separate its industrial and automotive businesses into standalone publicly traded companies in the first quarter of 2027.

The Industrial segment posted second-quarter sales of $2.41 billion, up 7.1% year-over-year, while comparable sales increased 6.1%. Segment EBITDA climbed 9.8% to $316.4 million, and EBITDA margin expanded 30 basis points to 13.1%. For the first half of 2026, Industrial sales increased 6.2% to $4.73 billion, with EBITDA rising 11.2% to $630.6 million.

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GPC said Motion generated approximately 7% growth in its MRO business, driven by strength across both large corporate accounts and small-to-medium-sized local customers. The company also reported growth in 11 of its 14 industrial end markets — compared to 10 in 1Q26 and just five in 1Q25 — with sequential improvement in 10 of those markets. The company said Motion saw particular strength in key end markets of equipment & machinery, and food products, while also seeing healthy growth in iron & steel, automotive, mining, fabricated metals, DC and logistics, oil & gas and equipment rental & leasing. That movement was partially offset by softer demand in pulp & paper, lumber & wood and rubber & plastics.

Motion’s core MRO business, which accounts for about 80% of its total sales, were up approximately 7% year-over-year during 2Q26 and accelerated from 1Q26.

Motion’s value-added solutions business grew about 9% — its strongest performance since the first quarter of 2023.

Genuine Parts’ automotive operations also posted growth during the quarter. North America Automotive sales increased 3.8% to $2.54 billion, with comparable sales up 2.6%, while EBITDA increased 6.0% to $208.3 million. International Automotive sales rose 8.2% to $1.59 billion, with comparable sales up 0.6% and EBITDA increasing 6.0% to $150.0 million.

GPC said its company-owned U.S. stores continued to outperform, delivering approximately 4% comparable sales growth and about 5.5% growth in commercial sales. The Benson acquisition remained ahead of financial and operational targets, while Europe improved sequentially and Australasia posted positive sales growth despite challenging market conditions.

Overall, GPC reported second-quarter sales of $6.54 billion, up 6.0% year-over-year. Adjusted EBITDA increased 3.6% to $567.0 million, while adjusted diluted EPS rose 2.4% to $2.15. The company reaffirmed its full-year adjusted EPS outlook of $7.50 to $8.00 and maintained its Industrial outlook, calling for 3% to 6% sales growth and EBITDA of $1.22 billion to $1.28 billion.

GPC reiterated that its planned separation of the Global Industrial and Global Automotive businesses remains on track for completion in the first quarter of 2027, adding that it continues to make “meaningful progress” on key separation workstreams. During the quarter, the company also outlined its planned corporate cost allocation framework for the two standalone businesses.

GPC Comments on Report of O’Reily Automotive Bid

The earnings report comes weeks after reports surfaced that O’Reilly Automotive submitted a roughly $10 billion bid to acquire GPC’s automotive business, which primarily operates under the NAPA Auto Parts brand. During the company’s 2Q26 earnings call, Chairman and CEO Will Stengel stated the following:

“We are aware of recent market speculation about a potential transaction between the global automotive business and a competitor. I want to take this opportunity to officially confirm that we are not currently in discussions with any competitor. We remain committed to maximizing shareholder value and will always evaluate all potential options in that pursuit.”