Sector: Consumer Discretionary|Industry: Auto Parts|Market Cap: $9.56B|Employees: 49K
LKQ Corporation engages in the distribution of replacement parts, components, and systems used in the repair and maintenance of vehicles and specialty vehicle aftermarket products and accessories. It operates through four segments: Wholesale-North America, Europe, Specialty, and Self Service. The company distributes bumper covers, automotive body panels, and lights, as well as mechanical automotive parts and accessories; salvage products, including mechanical and collision parts comprising engines; transmissions; door assemblies; sheet metal products, such as trunk lids, fenders, and hoods; lights and bumper assemblies; scrap metal and other materials to metals recyclers; and brake pads, discs and sensors, clutches, steering and suspension products, filters, and oil and automotive fluids, as well as electrical products, including spark plugs and batteries. In addition, the company distributes recreational vehicle appliances and air conditioners, towing hitches, truck bed covers, vehicle protection products, marine electronics, cargo management products, wheels, tires, and suspension products. It serves collision and mechanical repair shops, and new and used car dealerships, as well as retail customers. The company operates in the United States, Canada, the United Kingdom, Germany, Belgium, the Netherlands, Luxembourg, Italy, the Czech Republic, Austria, Poland, Slovakia, Taiwan, and other European countries. LKQ Corporation was incorporated in 1998 and is headquartered in Chicago, Illinois.
Total revenue reached $14.355 billion, a 4.1% increase from $13.866 billion in the prior year. This growth was largely due to the net impact of acquisitions and divestitures, particularly the Uni-Select acquisition, offsetting an organic parts and services revenue decline.
Gross margin decreased to 39.1% of revenue, compared to 40.2% in the prior year. This decline is attributed to the dilutive nature of the Uni-Select acquisition, which shifted the product mix towards lower-margin paint, body, and equipment lines, as well as inflationary pressures.
Net income attributable to LKQ stockholders decreased to $690 million from $936 million in the prior year. This decrease was primarily due to a significant increase in restructuring and transaction-related expenses.