NASDAQ$LKQ
LKQ Corp · Q4 2022 earnings
Q4 2022 earnings · · Investor relations
Briefing
LKQ's fourth quarter results reflected a decrease in revenue but solid performance in North America and Europe.
LKQ Corporation reported a decrease in revenue for the fourth quarter of 2022, with revenue at $3.0 billion, a 5.8% decrease compared to Q4 2021. Diluted EPS was $0.72, down 11.1%, and adjusted diluted EPS was $0.78, down 10.3%. Despite the revenue decrease, the Wholesale - North America and Europe segments delivered strong organic revenue growth and solid margins.
- Fourth quarter revenue was $3.0 billion, a decrease of 5.8% year-over-year.
- Parts and services organic revenue increased by 4.5% (5.9% on a per day basis).
- Diluted EPS was $0.72, a decrease of 11.1% year-over-year, while adjusted diluted EPS was $0.78, a decrease of 10.3%.
- Net income for the fourth quarter was $193 million, compared to $235 million in the same period of 2021.
Headline financials
Revenue & EPS history
LKQ · Revenue · Quarterly
$3B
Revenue by segment
LKQ · $1.75B total across 2 segments · Q4 2022
- Europe$1.38B-7.0%79.2%
- Specialty$364M-11.1%20.8%
Forward guidance
LKQ provided its 2023 full year outlook, anticipating organic revenue growth for parts and services between 6.0% and 8.0%, diluted EPS between $3.68 and $3.98, adjusted diluted EPS between $3.90 and $4.20, operating cash flow of approximately $1.275 billion, and free cash flow of approximately $975 million.
Tailwinds
- Organic revenue growth for parts and services is expected to be between 6.0% and 8.0%.
- Diluted EPS is projected to be between $3.68 and $3.98.
- Adjusted diluted EPS is expected to be between $3.90 and $4.20.
- Operating cash flow is anticipated to be approximately $1.275 billion.
- Free cash flow is projected to be approximately $975 million.
Headwinds
- The outlook assumes a global effective tax rate of 26.3%.
- The outlook assumes the prices of scrap and precious metals hold near the December average.
- The outlook assumes no further deterioration due to the Ukraine/Russia conflict.
- The outlook assumes foreign currency exchange rates near January average levels, including $1.08 and $1.22 for the euro and pound sterling, respectively.
- The outlook assumes a $45 million to $55 million increase in annual interest expense relative to 2022.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q4 2022
+0.3%
Avg return
Earnings day
-0.5%
Avg return
5 days after
-1.3%
Avg return
30 days after
57%
39 / 69 earnings
Positive
+12.9%
Q2 2013
Best reaction
-15.8%
Q1 2018
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -2.4% | -7.8% | -11.6% | |
| Q4 2025 | -1.0% | +0.9% | -14.9% | |
| Q3 2025 | +3.7% | +1.2% | -1.2% | |
| Q2 2025 | -0.5% | -1.4% | +1.9% | |
| Q1 2025 | -11.6% | -10.6% | -4.6% | |
| Q4 2024 | +6.0% | +5.4% | +2.5% | |
| Q3 2024 | -0.6% | -1.1% | +1.9% | |
| Q2 2024 | -9.7% | -8.2% | -4.2% | |
| Q1 2024 | -11.5% | -10.8% | -13.3% | |
| Q4 2023 | +3.7% | +5.2% | +4.9% | |
| Q3 2023 | -7.2% | -6.4% | -2.3% | |
| Q2 2023 | -5.2% | -3.5% | -9.9% | |
| Q1 2023 | +2.7% | +1.8% | -4.7% | |
| Q4 2022 | +1.5% | +1.0% | -5.1% | |
| Q3 2022 | +3.8% | +0.1% | +2.7% | |
| Q2 2022 | +2.2% | +2.0% | +0.6% | |
| Q1 2022 | +0.3% | +2.7% | +5.8% | |
| Q4 2021 | -11.6% | -13.5% | -15.9% | |
| Q3 2021 | +1.6% | +4.3% | +6.2% | |
| Q2 2021 | +1.7% | +4.4% | +4.3% | |
| Q1 2021 | +2.6% | +5.8% | +12.0% | |
| Q4 2020 | +5.5% | +4.8% | +18.0% | |
| Q3 2020 | +7.5% | +15.5% | +20.9% | |
| Q2 2020 | -0.7% | +1.5% | +14.9% | |
| Q1 2020 | -1.9% | -1.3% | +8.5% | |
| Q4 2019 | -2.8% | -7.9% | -52.1% | |
| Q3 2019 | +11.6% | +13.4% | +12.1% | |
| Q2 2019 | +5.7% | +2.5% | -3.0% | |
| Q1 2019 | -4.5% | -4.3% | -15.6% | |
| Q4 2018 | +2.1% | +1.9% | +4.1% | |
| Q3 2018 | +2.7% | +3.9% | +6.5% | |
| Q2 2018 | +0.7% | -0.5% | -0.3% | |
| Q1 2018 | -15.8% | -19.5% | -18.2% | |
| Q4 2017 | -3.6% | -5.4% | -10.6% | |
| Q3 2017 | +0.5% | +3.1% | +4.1% | |
| Q2 2017 | +5.1% | +4.3% | +4.4% | |
| Q1 2017 | +3.5% | +4.2% | +4.5% | |
| Q4 2016 | -3.5% | -4.4% | -11.1% | |
| Q3 2016 | -3.4% | -3.9% | +0.5% | |
| Q2 2016 | +0.7% | +1.1% | +4.5% | |
| Q1 2016 | -6.2% | — | — | |
| Q4 2015 | +8.6% | — | — | |
| Q3 2015 | +0.5% | — | — | |
| Q2 2015 | +0.3% | — | — | |
| Q1 2015 | +10.1% | — | — | |
| Q4 2014 | -11.7% | — | — | |
| Q3 2014 | +3.4% | — | — | |
| Q2 2014 | +0.9% | — | — | |
| Q1 2014 | +7.0% | — | — | |
| Q4 2013 | -4.1% | — | — | |
| Q3 2013 | -1.9% | — | — | |
| Q2 2013 | +12.9% | — | — | |
| Q1 2013 | +7.1% | — | — | |
| Q4 2012 | -10.9% | — | — | |
| Q3 2012 | +3.2% | — | — | |
| Q2 2012 | +5.9% | — | — | |
| Q1 2012 | +11.4% | — | — | |
| Q4 2008 | -0.1% | — | — | |
| Q4 2011 | -0.1% | — | — | |
| Q3 2011 | -2.4% | — | — | |
| Q2 2011 | -1.2% | — | — | |
| Q1 2010 | +0.6% | — | — | |
| Q1 2011 | +1.5% | — | — | |
| Q4 2010 | -0.2% | — | — | |
| Q3 2009 | -1.1% | — | — | |
| Q3 2010 | -1.1% | — | — | |
| Q4 2009 | +3.4% | — | — | |
| Q2 2009 | +3.4% | — | — | |
| Q2 2010 | +3.4% | — | — |
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