LKQ Q3 revenue falls 5.1%
Overview
Auto parts distributor's Q3 revenue fell 5.1% yr/yr, citing weakness in Europe
Adjusted EPS for Q3 missed analyst expectations
Company repurchased $30 mln in shares and extended buyback program by two years
Outlook
LKQ previously announced it is withdrawing its full-year 2026 guidance, last updated on July 30, 2026
Company says new leadership will conduct a comprehensive assessment of the business
Board has suspended the strategic review, including the Specialty segment sales process
Result Drivers
EUROPEAN WEAKNESS - Co said results were hurt by operational issues related to ERP implementation in Germany and volume declines in UK and Benelux
NON-CASH IMPAIRMENT CHARGES - Co recorded $111 mln in pre-tax non-cash impairment charges, impacting net results
SOFT DEMAND IN NORTH AMERICA - North America performed in line with expectations despite a softer demand environment, per CFO
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Adjusted EPS | Miss | $0.50 | $0.56 (9 Analysts) |
Q3 Loss Per Share | $0.09 |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"
Wall Street's median 12-month price target for LKQ Corp is $25.00, about 45.4% above its October 28 closing price of $17.19
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)