LKQ Corporation ( (LKQ) ) has released its Q1 earnings. Here is a breakdown of the information LKQ Corporation presented to its investors.
LKQ Corporation is a leading provider of alternative and specialty parts for the automotive industry, offering a wide range of OEM recycled and aftermarket parts, replacement systems, and services across North America, Europe, and Taiwan.
In the first quarter of 2025, LKQ Corporation reported a revenue of $3.5 billion, marking a decrease from the previous year. Despite a decline in organic revenue for parts and services, the company maintained a positive outlook, focusing on operational excellence and cost optimization.
Key financial highlights include a net income of $169 million, up from $158 million in the same quarter of 2024, and a diluted earnings per share of $0.65, reflecting a 10.2% increase. However, adjusted net income saw a decline to $204 million from $220 million, and adjusted diluted earnings per share decreased to $0.79 from $0.82. The company returned $118 million to shareholders through stock repurchases and dividends.
The company faced challenges with a negative cash flow from operations and free cash flow, alongside a total debt of $4.4 billion. Nevertheless, LKQ remains committed to its stock repurchase and dividend programs, with a new quarterly dividend of $0.30 per share declared for the second quarter of 2025.
Looking ahead, LKQ Corporation maintains its full-year 2025 guidance, with expectations of organic revenue growth between 0% and 2% and adjusted diluted EPS ranging from $3.40 to $3.70. The company is prepared to navigate potential impacts from tariffs and remains focused on leveraging its strong balance sheet and liquidity to seize emerging opportunities.