LKQ Corporation, a leading provider of alternative and specialty parts, reported fourth quarter revenue of USD3.0 billion in 2019, a marginal increase of 0.2 percent over 2018. Net income for the fourth quarter was USD140 million compared to USD40 million in 2018, an increase of 247 percent.
For the full year, revenue was USD12.5 billion, an increase of 5.3 percent over the USD11.9 billion recorded in 2018, although parts and services revenue growth, net of acquisitions, was a modest 0.3 percent. Net income for the full year was USD541 million, an increase of 12 percent over the 2018 result.
Dominick Zarcone, president and chief executive officer said: “Looking back on 2019, our team worked hard to deliver on our three key initiatives: focusing on profitable revenue growth, sustainable margin expansion and enhancing levels of cash flow. In 2019, our effective working capital management allowed us to produce the highest annual operating and free cash flow figures in the company’s history. I am also pleased with our North America segment, which improved year-on-year segment EBITDA margins by 100 basis points”
Zarcone added: “In 2020, we will continue to focus on our productivity initiatives across each operating segment while managing the ongoing macro headwinds in Europe and the uncertainties relating to other geopolitical events.”
On an adjusted basis for the full year of 2019, net income was USD736 million, an increase of 7 percent on the USD691 million recorded in 2018, while adjusted diluted earnings per share for the full year was USD2.37 as compared to USD2.19 for 2018, an 8 percent increase.
This article courtesy of Russell Thrall III, publisher CollisionWeek. Check out their website at: www.collisionweek.com.