Your Source for Up-To-Date News and Research on the Collision Repair Industry 

 

click here to subscribe to the FREE INSIGHT Editor's Desk News Alert Email

SUBSCRIBERS-ONLY
Today's News
INSIGHT This Month
INSIGHT Archives
Survey Center
Letter to the Editor

Business Tools
Subscription Information
CSI Reporting
Financial Analysis
IRS Audit Guide

Management/
Technical Info
Market Watch Rates
INSIGHT Inside this month's issue...

Feedback
Letter to the Editor

Genuine Parts Company Reports 4% Decrease in 1Q Sales

Genuine Parts Company reported sales and earnings for the first quarter ended March 31, 2002.

Larry Prince, Chairman of the Board of Directors, announced that sales totaling $1.98 billion were down 4 percent compared to the first quarter of 2001. Net income, before the effect of a change in accounting principle discussed below, was $87 million, a decrease of 2.5 percent over $89.3 million for the first quarter of 2001 and, on a per share diluted basis, net income equaled 50 cents, down 4 percent compared to 52 cents reported in the comparable quarter of the prior year. After the cumulative effect of a change in accounting principle, the net loss for the quarter was $308.1 million, or $1.76 on a per share diluted basis.

Mr. Prince commented, "The Automotive Parts Group continued to show improvement with sales up 2 percent compared to the previous year. Fundamentals for the automotive aftermarket are sound and we were pleased to see our Automotive Parts operations report their fourth consecutive quarter of sales growth. Motion Industries, our Industrial Group, was down 6 percent, which is a slight improvement over their results for the past two quarters. Industrial production is starting to show small gains and this will have a positive impact for Motion as we look ahead. EIS, our Electrical/Electronic Group, was down 35 percent and even at this depressed level is showing a bit of improvement.

"S. P. Richards, our Office Products Group, was down 5 percent for the period and we anticipated a tough one for them. Last year their revenues were at record levels in the first quarter and they first started to feel the impact of the economy in the second half of the year."

Mr. Prince also announced a regular quarterly dividend of 29 cents per share on the company's common stock, payable July 1, 2002 to shareholders of record June 7, 2002.

Mr. Prince concluded, "We expect to move our sales and earnings back into a positive growth position in 2002. We can't be certain what the economy holds for us over the remainder of 2002. Our strategy will be to continue tight expense controls while maintaining an aggressive sales posture. The financial condition of the company continues to be strong and cash flow remains sound."

©2002 Collision Repair Industry INSIGHT
All Rights Reserved

FEATURED
LINKS:

INSIGHT Supports the NABC!
Do You?