Genuine Parts : First Quarter 2026 Earnings Presentation

First Quarter 2026 Earnings Presentation

April 21, 2026

GPC Snapshot (as of 3/31/2026)

17%

Europe

73%

North America

10%

Australasia

Key Statistics

Founded 1928

Headquarters Atlanta, GA

Countries Served 17

Global Footprint

TTM Revenue by Region

Locations

• Distribution Centers

• Branches/Service Centers

• Retail (Owned/Independent)

  ~10,840

  ~190

  ~710

  ~9,940

  Employees 65,000+

  TTM Financial Highlights

  Revenue

• North America Automotive

• International Automotive

• Industrial

$24.7B

39%

24%

37%

Adj. EBITDA Margin1 8.2%

Dividend Yield2 4.0%

Leading Global Distributor and Solutions Provider in Diversified "Break Fix" End Markets

1 See Appendix B 2 Calculated based on annual dividend per share divided by share price as of 3/31/26

GPC Q1'26 EARNINGS PRESENTATION | 3

Key Messages

• We want to thank our GPC teammates around the world for their continued dedication to serving our customers

• Despite navigating a dynamic global environment, first quarter results came in

  ahead of our expectations

• The recent conflict in Iran did not have a material impact on our financial results

• We continue to advance our strategy and control what we can control, delivering solid sales growth and gross margin expansion, while taking proactive action to offset cost inflation

Delivered Solid Results While Making Meaningful Progress On Separation Workstreams

GPC Q1'26 EARNINGS PRESENTATION | 4

Q1'26 Performance: GPC Executive Summary

Global Sales

$6.3B

Increased 6.8%

Gross Margin

37.3%

Improved 20 bps

Adj EBITDA1

$496M

Increased 4.8%

Adj EBITDA Margin1

7.9%

Decreased 20 bps

Adj Diluted EPS1

$1.77

Increased 1.1%

Financial Strength and Flexibility to Drive Growth

At March 31 As of March 31, 2026

Cash From Operations

$64M

Working Capital2

$928M

Capital Structure

2.5x

Total Debt to Adj EBITDA1

Total Liquidity

$1.3B Solid Sales Led to Higher Profit Despite Persistent Cost Inflation

All comparisons are YoY unless otherwise stated 1 Non-GAAP financial measures reconciled in Appendix B 2 Working capital is defined as current assets less current liabilities

GPC Q1'26 EARNINGS PRESENTATION | 5

Q1'26 Performance: Industrial

Total Sales

$2.3B

Increased 5.2%

Comp Sales1

+3.9%

Segment EBITDA2

$314M

Increased 12.7%

Segment EBITDA Margin2

13.6%

Improved 90 bps

Accomplishments:

Market	Total Sales3
North America	+5.1%
Australasia	(2.8%)

• Balanced growth across our large corporate account customers and small to medium-sized local accounts

• Growth in 10 of 14 end markets, up from 9 in the fourth quarter of 2025 and 3 in same period of the prior year

• MRO business grew over 5% and we continue to see an

  increase in planned outage projects to start the year

• Encouraging sequential improvement in our value-added solutions business, which grew approximately 4%

Strong Results Across The Board For Global Industrial

Q1'26 Performance: Automotive

N. America Automotive

Total Sales

$2.4B

Increased 4.3%

Comp Sales1

+2.2%

Segment EBITDA2

$156M

Increased 6.3%

Segment EBITDA Margin2

6.6%

Improved 10 bps

International Automotive

Total Sales

$1.6B

Increased 13.2%

Comp Sales1

+0.3%

Segment EBITDA2

$145M

Increased 4.6%

Accomplishments:

Segment EBITDA Margin2

9.1%

Decreased 80 bps

Market	Total Sales3	Comp Sales1,3
U.S.	+3.6%	+3.1%
Canada	+4.1%	(2.5%)
Europe	+0.9%	(0.6%)
Australasia	+4.2%	+3.7%

• Continued strong sales performance from company-owned stores in U.S., with comparable sales growth of approximately 5.5%

• Benson acquisition provided a nice tailwind and we are ahead of

  our financial and operational target plans

• Despite soft market conditions, Europe sequentially improved from the fourth quarter with improvement in each geography

• Australasia had another solid quarter with ongoing strength with both retail and trade customers

Diversified Global Sales Growth in Dynamic, Inflationary Environment

GPC Capital Allocation: Q1'26 and FY'26 Outlook

YTD 2026 Capital Deployment Key Priorities

Strategic Investments

56% ~$255M

39%

• $98M YTD Capital Expenditures

  • Estimated $450M - $500M FY'26 Capital Expenditures

    M&A

• $14M YTD Capital Deployed

• Estimated $300M - $350M FY'26 M&A Capital Outlay

Share Repurchases

5% ✓ ~7.5 million shares remain available for repurchase

Dividend

Strategic Investment

M&A Share Repurchases

Dividend

• $142M YTD Cash Dividends Paid

• FY'26 Cash Dividend of $4.25 Per Share, +3.2% From 2025

- 70th consecutive year of increased dividends paid to our shareholders

Disciplined and Consistent Approach to Strategic Capital Allocation

GPC 2026 Outlook Reaffirmed: Total GPC1

Total Sales Growth 3% to 5.5%

Comp Sales Growth 2% to 4.5%

Adj Gross Margin2 +40 bps to +60 bps

Adj SG&A as a % of Sales2 (50) bps to (30) bps

Adj EBITDA2 $2.0B to $2.2B

Adj EBITDA Growth2 2% to 9%

Diluted EPS $6.10 to $6.60

Adj Diluted EPS2 $7.50 to $8.00

Adj EPS Growth2 2% to 9%

Cash From Operations $1.0B to $1.2B

Free Cash Flow2 $550M to $700M

Other

• Capex $450M to $500M

• Depreciation & Amortization $515M to $540M

• Interest Expense $180M to $190M

• Corporate EBITDA as a % of Sales2 1.5% to 2%

• Tax Rate ~24%

GPC 2026 Outlook Reaffirmed: By Segment1

Automotive Industrial

North America Automotive

Industrial

• Total Sales Growth 3% to 5%

• Comp Sales Growth 1.5% to 3.5%

• EBITDA2 $700M to $730M

• EBITDA Growth2 5% to 9%

• Total Sales Growth 3% to 6%

• Comp Sales Growth 3% to 6%

• EBITDA2 $1.22B to $1.28B

• EBITDA Growth2 7% to 12%

  International Automotive

• Total Sales Growth 3% to 6%

• Comp Sales Growth 1.5% to 3.5%

• EBITDA2 $560M to $600M

• EBITDA Growth2 4% to 10%

  Global Automotive

• Total Sales Growth 3% to 5%

• Comp Sales Growth 1.5% to 3.5%

• EBITDA2 $1.26B to $1.33B

• EBITDA Growth2 4% to 9%

  Transaction Update Item: Standalone Costs and Dis-synergies

  $100M-$150M Incremental

  Run-Rate Cost as Part of

  Separation

  $50M-$75M

  Dis-synergies

  $50M-$75M

  Standalone Cost

  ~50%

  Automotive

  ~50%

  Industrial

  ~0% Automotive

  ~100%

  Industrial

  • Dis-Synergies Expected to be Manageable With Opportunities to Optimize Over the Medium-Term

  • Transition Services Agreements will be in Place, as Needed, to Support Both Organizations and Minimize Disruption

  • Existing Cloud IT Infrastructure Allows for an Easier Separation

  • Certain Indirect Sourcing and Back-Office Processes (A/P, A/R, Employee Service Center) are Shared With a Path to Establishing Independent Operations and Vendor Arrangements

  • Standalone Costs include Public Company

    Resources and Teams

  • Estimate Excludes Existing Corporate HQ Expenses and One-Time Transaction Costs (ex: professional fees, etc.)

Estimated $100M - $150M Run-Rate Impact Associated With Standalone Cost and Dis-synergies

Appendix

Other Information Appendix A

Comparable Sales: Comparable sales or "comp sales" is a key metric that refers to period-over-period comparisons of the company's net sales excluding the impact of acquisitions, foreign currency and other. The company's calculation of comparable sales is computed using total business days for the period and is inclusive of sales from company-owned stores and sales into independent stores. The company considers this metric useful to investors because it provides greater transparency into management's view and assessment of the company's core ongoing operations. This is a metric that is widely used by analysts, investors and competitors, however the company's calculation of the metric may not be comparable to similar measures disclosed by other companies, because not all companies and analysts calculate this metric in the same manner.

Segment Data Appendix B

North America Automotive

Three Months Ended March 31,

(in thousands) 2026 2025

Net sales $ 2,363,032 $ 2,264,781

Cost of goods sold 1,454,347 1,396,617

Gross profit 908,685 868,164

Operating expenses 752,480 721,169

EBITDA $ 156,205 $ 146,995

Gross margin 38.5% 38.3%

Operating expenses as a percentage of net sales 31.8% 31.8%

EBITDA margin 6.6% 6.5%

International Automotive

Three Months Ended March 31,

(in thousands) 2026 2025

Net sales $ 1,585,516 $ 1,400,107

Cost of goods sold 866,327 760,207 Gross profit 719,189 639,900

Operating expenses 574,344 501,388

EBITDA $ 144,845 $ 138,512

Gross margin 45.4% 45.7%

Operating expenses as a percentage of net sales 36.2% 35.8%

EBITDA margin 9.1% 9.9%

Segment Data Appendix B

Industrial

Three Months Ended March 31,

(in thousands) 2026 2025

Net sales $ 2,316,392 $ 2,201,181

Cost of goods sold 1,605,334 1,535,594 Gross profit 711,058 665,587

Operating expenses 396,938 386,876

EBITDA $ 314,120 $ 278,711

Gross margin 30.7% 30.2%

Operating expenses as a percentage of net sales 17.1% 17.6%

EBITDA margin 13.6% 12.7%

Segment Data

Appendix B

Reconciliation of Net Sales by Segment and Segment EBITDA to Net Income (Loss)

2026

2026

2025

(in thousands)

TTM

Q1

Q1

Q2

Q3

Q4

Net sales:
North America Automotive	$	9,618,293	$	2,363,032	$	2,264,781	$	2,444,377	$	2,484,591	$	2,326,293
International Automotive		6,043,975		1,585,516		1,400,107		1,467,904		1,505,197		1,485,358
Industrial		9,036,744		2,316,392		2,201,181		2,252,144		2,270,444		2,197,764
Segment EBITDA:
North America Automotive		681,392		156,205		146,995		196,500		199,626		129,061
International Automotive		550,506		144,845		138,512		141,492		135,078		129,091
Industrial		1,181,831		314,120		278,711		288,138		285,015		294,558
Corporate EBITDA		(385,575)		(119,525)		(91,125)		(78,632)		(93,374)		(94,044)
Interest expense, net		(170,243)		(43,953)		(37,216)		(40,211)		(40,342)		(45,737)
Depreciation and amortization		(553,616)		(131,028)		(115,435)		(123,018)		(127,475)		(172,095)
Other unallocated costs		(1,258,371)		(75,271)		(68,805)		(45,712)		(66,835)		(1,070,553)
Income (loss) before income taxes		45,924		245,393		251,637		338,557		291,693		(829,719)
Income taxes benefit (expense)		14,164		(56,858)		(57,245)		(83,677)		(65,522)		220,221
Net income (loss)	$	60,088	$	188,535	$	194,392	$	254,880	$	226,171	$	(609,498)
Segment EBITDA margin:
North America Automotive		7.1%		6.6%		6.5%		8.0%		8.0%		5.5%
International Automotive		9.1%		9.1%		9.9%		9.6%		9.0%		8.7%
Industrial		13.1%		13.6%		12.7%		12.8%		12.6%		13.4%
Total Adjusted EBITDA margin		8.2%		7.9%		8.1%		8.9%		8.4%		7.6%

Reconciliation of Non-GAAP Financial Measures

Appendix B

Reconciliation of Net Income (Loss) to Adjusted EBITDA

2026

2026

2025

(in thousands)

TTM

Q1

Q1

Q2

Q3

Q4

GAAP net income	$	60,088	$	188,535	$	194,392	$	254,880	$	226,171	$	(609,498)
Depreciation and amortization		553,616		131,028		115,435		123,018		127,475		172,095
Interest expense, net		170,243		43,953		37,216		40,211		40,342		45,737
Income taxes (benefit)		(14,164)		56,858		57,245		83,677		65,522		(220,221)
EBITDA:		769,783		420,374		404,288		501,786		459,510		(611,887)
Restructuring and other costs (1)		256,923		57,732		54,770		45,712		66,835		86,644
Separation and other costs (2)		17,539		17,539		-		-		-		-
Acquisition and integration related costs and other (3)		-		-		14,035		-		-		-
Asbestos-related product liability (4)		103,352		-		-		-		-		103,352
Pension settlement (5)		741,967		-		-		-		-		741,967
First Brands credit loss allowance (6)		150,500		-		-		-		-		150,500
Retirement obligation and other (7)		(11,910)		-		-		-		-		(11,910)
Adjusted EBITDA	$	2,028,154	$	495,645	$	473,093	$	547,498	$	526,345	$	458,666

Reconciliation of Non-GAAP Financial Measures (Cont.) Appendix B

Reconciliation of Net Income (Loss) to Adjusted Net Income

2026

Q1

$ 188,535

2025

Q1 Q2 Q3

$ 194,392 $ 254,880 $ 226,171 $

Q4

(609,498)

(in thousands)

GAAP net income (loss)

Adjustments:

Restructuring and other costs (1) 57,732 54,770 45,712 66,835 86,644

Separation and other costs (2)

17,539

-

-

-

-

Acquisition and integration related costs and other (3) - 14,035 - - -

Asbestos-related product liability (4)

-

-

-

-

103,352

Pension settlement (5) - - - - 741,967

First Brands credit loss allowance (6)

-

-

-

-

150,500

Retirement obligation and other (7) - - - - 30,111

Total adjustments

75,271

68,805

45,712

66,835

1,112,574

Tax impact of adjustments (19,255) (20,124) (8,805) (17,411) (287,110)

Adjusted net income

$ 243,073 $ 291,787 $ 275,595 $ 215,966

$ 244,551

Reconciliation of Non-GAAP Financial Measures (Cont.) Appendix B

Reconciliation of Diluted Net Income (Loss) Per Common Share to Adjusted Diluted Net Income Per Common Share

		2026					2025
(in thousands, except per share data)		Q1		Q1		Q2		Q3		Q4
GAAP diluted net income (loss) per common share		$	1.37	$	1.40	$	1.83	$	1.62	$	(4.39)
Adjustments:
Restructuring and other costs (1)			0.42		0.39		0.33		0.48		0.62
Separation and other costs (2)			0.13		-		-		-		-
Acquisition and integration related costs and other (3)			-		0.10		-		-		-
Asbestos-related product liability (4)			-		-		-		-		0.74
Pension settlement (5)			-		-		-		-		5.34
First Brands credit loss allowance (6)			-		-		-		-		1.08
Retirement obligation and other (7)			-		-		-		-		0.22
Total adjustments		0.55			0.49	0.33		0.48		8.00
Tax impact of adjustments		(0.15)			(0.14)	(0.06)		(0.12)		(2.06)
Adjusted diluted net income per common share		$ 1.77			$ 1.75	$ 2.10		$ 1.98		$ 1.55
Weighted average common shares outstanding - assuming dilution		138,030			139,200	139,244		139,406		138,903

Reconciliation of Non-GAAP Financial Measures (Cont.) Appendix B

Reconciliation of Selling, Administrative & Other Expenses to Adj Selling, Administrative & Other Expenses

Three Months Ended March 31,

(in thousands) 2026 2025

GAAP selling, administrative and other expenses

$

1,856,830

$

1,709,679

Adjustments:

Separation and other costs (2) (17,539) -

Acquisition and integration related costs and other (3) - (14,035) Total adjustments (17,539) (14,035)

Adjusted selling, administrative and other expenses $ 1,839,291 $ 1,695,644

Net sales $ 6,264,940 $ 5,866,069

GAAP SG&A expenses as a percent of net sales 29.6% 29.1%

Adjusted SG&A expenses as a percent of net sales 29.4% 28.9%

Reconciliation of Non-GAAP Financial Measures (Cont.) Appendix B

Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow

(in thousands)		Three Months Ended March 31, 2026
Net cash provided by operating activities	$	63,916
Purchases of property, plant and equipment		(97,552)
Free cash flow	$	(33,636)

Outlook

Net cash provided by operating activities

Purchases of property, plant and equipment

Free Cash Flow

$450 million to $500 million

$1.0 billion to $1.2 billion

For the Year Ending December 31, 2026

$550 million to $700 million

(in thousands)

Explanation of Adjustments Appendix B

1. Restructuring and other costs: Adjustment reflects costs related to our global restructuring initiative which includes employee severance

   and other termination benefits, and the rationalization and optimization of certain distribution centers, stores and other facilities.

2. Separation and other costs: Adjustment primarily reflects legal and professional services and executive incentive plan costs related to the planned separation of the company's Global Automotive and Global Industrial businesses that was announced on February 17, 2026 and is targeted for completion in the first quarter of 2027.

3. Acquisition and integration related costs and other: Adjustment primarily reflects lease and other exit costs related to the integration of acquired independent automotive stores.

4. Asbestos-related product liability: Adjustment reflects a remeasurement of the company's asbestos-related product liability for a revised estimate of the number of claims to be incurred in future periods based on adverse current year changes in the claims environment, among other assumptions.

5. Pension settlement: Adjustment reflects a pension charge related to the settlement of the company's U.S. qualified defined benefit plan (U.S. pension plan).

6. First Brand credit loss allowance: Adjustment reflects a charge for expected credit losses on volume purchase rebates and other amounts due from First Brands, a key automotive parts supplier who filed for Chapter 11 bankruptcy.

7. Retirement obligation and other: Adjustment reflects certain nonroutine charges recorded during the quarter ended December 31, 2025, including a charge related to certain asset retirement obligations.

GPC 2026 Outlook: U.S. Business Days

Appendix C

U.S. Business Days*	Q1	Q2	Q3	Q4	FY
2026	63	64	64	63	254
2025	63	64	64	63	254
Difference	0	0	0	0	0

*Our calculation of comparable sales is computed using total business days for the period, not calendar days. We believe a business day approach is a better representation given the fluctuations of weekend operating hours, particularly at our Motion facilities and independently owned NAPA stores in the U.S.

FY'26 Outlook: Number of U.S. Business Days in 2026 Unchanged from 2025