Genuine Parts Company (NYSE:GPC) reported fourth-quarter 2025 sales of $6 billion, up 4.1% from the prior year, driven by modest comparable sales growth, contributions from acquisitions, and favorable currency impacts.
Full-year sales reached $24.3 billion.
The company posted a GAAP net loss of $609 million in the quarter, or $4.39 per diluted share, primarily due to a one-time, non-cash pension settlement charge related to the termination of its U.S. qualified defined benefit plan.
Adjusted net income for the quarter was $216 million, or $1.55 per diluted share.
For the full year, GAAP net income was $66 million, while adjusted net income stood at $1 billion.
The results highlight ongoing resilience in Genuine Parts' core "break-fix" replacement parts businesses, with the Automotive segment benefiting from stable vehicle repair demand and the Industrial segment supported by manufacturing and MRO activity.
Meanwhile, the board approved a 3.2% increase in the annual dividend to $4.25 per share from $4.12, payable quarterly at $1.0625 per share starting in April 2026.
This marks the 70th consecutive year of dividend increases, reinforcing the company's commitment to shareholder returns.
In a strategic move, Genuine Parts announced its intention to separate into two independent, publicly traded companies: one focused on its Global Automotive Parts Group (including NAPA and related operations) and the other on its Global Industrial Parts Group (Motion and related businesses).
The tax-free separation is targeted for completion in the first quarter of 2027, subject to customary conditions including regulatory approvals and a Form 10 filing.
For 2026, Genuine Parts issued guidance reflecting cautious optimism for continued growth: total sales growth of 3% to 5.5%, diluted EPS of $6.10 to $6.60, adjusted diluted EPS of $7.50 to $8, and free cash flow of $550 million to $700 million.
Segment-level outlooks include 3% to 5% growth for North America Automotive, 3% to 6% for International Automotive, and 3% to 6% for Industrial.