Business Analysis of Genuine Parts

 Analyze Historical Performance, Strategic Priorities, And Business Improvement Opportunities of Genuine Parts

GENUINE PARTS

Business Overview

Genuine Parts Company distributes automotive replacement parts, industrial replacement parts, office products, and electrical/electronic materials in the United States, Canada, Australia, New Zealand, Mexico, and Puerto Rico. It distributes automotive replacement parts for imported vehicles, trucks, SUVs, buses, motorcycles, recreational vehicles, farm vehicles, small engines, farm equipment, and heavy duty equipment; and accessory items used in the automotive aftermarket, including repair shops, service stations, fleet operators, automobile and truck dealers, leasing companies, bus and truck lines, mass merchandisers, farms, industrial concerns, and individuals through 57 NAPA automotive parts distribution centers and 1,100 NAPA AUTO PARTS stores. The company also distributes industrial replacement parts and related supplies, such as bearings, mechanical and electrical power transmission products, industrial automation products, hoses, hydraulic and pneumatic components, industrial supplies, and material handling products primarily for food and beverage, forest products, primary metal, pulp and paper, mining, automotive, oil and gas, petrochemical, and pharmaceutical industries through 483 branches, 13 distribution centers, and 43 service centers. In addition, it distributes office furniture, technology products, general office and school supplies, cleaning, janitorial and breakroom supplies, safety and security items, healthcare products, and disposable food service products to resellers through 56 distribution centers. Further, the company distributes wires and cables, connectivity solutions, insulating and conductive materials, assembly tools, test equipment, custom fabricated parts, and specialty coated materials to original equipment manufacturers, motor repair shops, specialty wire and cable users, and various industrial assembly markets. Genuine Parts Company was founded in 1928 and is based in Atlanta, Georgia.

Genuine Parts

Genuine Parts


R&P Rank: 179
Sector: Automobiles and Parts
Industry:Auto Parts
H.Q Location:Georgia
Website: www.genpt.com
Company Address:
2999 WILDWOOD PARKWAY, ATLANTA GA 30339
Ph:770-953-1700

Business Analysis of Genuine Parts

The Automobiles and Parts Sector is witnessing a major shakeup, new age business models in the industry are transforming both customers and businesses. Faced with this uncertainity, companies are investing resources to transform their business. An in-depth business analysis is a valuable resource to identify and articulate the need for a business model change. At R&P Research we believe, the starting point for a business analysis is Benchmarking. Business benchmarking can be done at various levels: 1) Industry Benchmarking 2) Peer Benchmarking 3) Disruptors Benchmarking. In this report, we share the snapshot of how Genuine Parts compares against the industry on the major performance indicators. This analysis, along with peer group/disruptors benchmarking and revenue model understanding can help identify growth and cost optimization opportunities to maximize the value delivered by Genuine Parts to its stakeholders. R&P Research Industry Intelligence Platform provides historical data for last 15 years with an easy to use benchmarking interface for an in-depth comparative business analysis.

Here is the performance snapshot of Genuine Parts with an interactive chart.

  1. Revenue Growth: Genuine Parts reported a revenue growth of 0.4% year-on-year during 2016. Auto Parts Industry grew at 1.1% in the same period
  2. COGS share of Revenues: As a percentage of revenue, Genuine Parts spent 70.0% of its total revenues on COGS. Auto Parts industry average (COGS share of revenue) in the same period was 74.6%
  3. R&D share of Revenues: Genuine Parts R&D share of Revenues details are not available because either company does not share the data or we do not have it
  4. SG&A share of Revenues: As a percentage of revenue, Genuine Parts spent 22.0% of its total revenues on Sales, Marketing, and General Administration (SG&A). Auto Parts industry average SG&A spending in the same period was 13.9%
  5. Inventory share of Revenues: As a percentage of revenue, Genuine Parts spent 20.9% of its total revenues on Inventories. Auto Parts industry average Inventory spending in the same period was 14.7%
  6. Accounts Payable share of Revenues: As a percentage of revenue, Genuine Parts invested 20.7% of its total revenues on Accounts Payable (A/P) Auto Parts industry average Accounts Payable investment in the same period was 17.5%
  7. Accounts Receivable share of Revenues: As a percentage of revenue, Genuine Parts invested 12.6% of its total revenues on Accounts Receivable (A/R). Auto Parts industry average Accounts Receivable investment in the same period was 12.8%
  8. PP&E share of Revenues: As a percentage of revenue, Genuine Parts invested 4.7% of its total revenues on Property, Plants, and Equipments (PP&E). Auto Parts industry average PPE investment in the same period was 21.0%
  9. Intangibles share of Revenues: As a percentage of revenue, Genuine Parts invested 10.3% of its total revenues on Intangibles. Auto Parts industry average Intangibles investment in the same period was 14.2%
  10. Net Margins: Genuine Parts Net Margins in the year 2016 were 4.5%. Auto Parts industry average Net Margins in the same period were 5.3%

Sector and Industry Association of Genuine Parts

For the purpose of performance benchmarking of a company with a sector or industry average, R&P Research associates every company with one sector and one industry. An industry consists of companies with related/similar business models. A sector comprises of a group of related/similar industries. For high-level analysis purposes, related/similar sectors are grouped into sector groups.

Genuine Parts is associated with Industrials Sector Group, Automobiles and Parts Sector, and Auto Parts Industry.

Automobiles and Parts sector is comprised of the following industries: Automobiles; Auto Parts. The definitions for each of the industries is as follows:

  • Automobiles industry includes manufacturers of passenger vehicle that includes Cars, SUVs etc. and recreational vehicles including motorcycles like Harley Davidson. Companies making boats and other recreational vehicles are also part of Automobiles industry.
  • Auto Parts industry includes manufacturers and distributors of automobile parts including engines, batteries and also tires.

Industry Ranking of Genuine Parts

With $15.3 billion revenues, Genuine Parts ranked number 4 of all the companies in the US Auto Parts industry. There were a total of 38 public companies in the US Auto Parts industry that had revenues greater than $50 million during 2016.

The top-10 companies in the US Auto Parts industry by revenues during 2016 were:

  1. Lear ($18.6 billion)
  2. Adient ($16.8 billion)
  3. Delphi Automotive ($16.7 billion)
  4. Genuine Parts ($15.3 billion)
  5. Goodyear Tire & Rubber ($15.2 billion)
  6. AutoZone ($10.6 billion)
  7. Autoliv ($10.1 billion)
  8. Advance Auto Parts ($9.6 billion)
  9. BorgWarner ($9.1 billion)
  10. Tenneco ($8.6 billion)

Business Model Analysis (BMA) Framework

We use the following framework to assess the business model of a company. Business Model Analysis framework can be used by organizations to articulate growth strategies and identify cost optimization opportunities. Technology and consulting companies can use this framework to identify the value drivers and pain points of their targeted customers. Entrepreneurs can use this framework to understand the language of business and identify promising business opportunities. This framework can be used by any professional aspiring to take up a leadership role to better understand the businesses challenges, articulate growth strategy, and monitor the business improvement requirements for the organization.

Next Steps

  • Conduct a holistic benchmarking; to identify and target additional sources of value
  • Get in touch with us to learn more about Business Model Analysis Framework
  • Get free data, charts, and analysis of Genuine Partsand its peers on select key performance indicators by clicking the reports provided below

Industry Peers and Competitors of genuine-parts

Lear (LEA) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Lear Corp with $19 billion revenues in the year 2016 was the number 1 Auto Parts company. Read this report to know the top competitors of Lear and identify growth and cost optimization opportunities of Lear

Adient (ADNT) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Adient Plc with $17 billion revenues in the year 2016 was the number 2 Auto Parts company. Read this report to know the top competitors of Adient and identify growth and cost optimization opportunities of Adient

Delphi Automotive (DLPH) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Delphi Automotive Plc with $17 billion revenues in the year 2016 was the number 3 Auto Parts company. Read this report to know the top competitors of Delphi Automotive and identify growth and cost optimization opportunities of Delphi Automotive

Goodyear Tire & Rubber (GT) Business Analysis – Analyze Historical Performance,...

Goodyear Tire & Rubber Co with $15 billion revenues in the year 2016 was the number 5 Auto Parts company. Read this report to know the top competitors of Goodyear Tire & Rubber and identify growth and cost optimization opportunities of Goodyear Tire & Rubber

AutoZone (AZO) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

AutoZone Inc with $11 billion revenues in the year 2016 was the number 6 Auto Parts company. Read this report to know the top competitors of AutoZone and identify growth and cost optimization opportunities of AutoZone

Autoliv (ALV) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Autoliv Inc with $10 billion revenues in the year 2016 was the number 7 Auto Parts company. Read this report to know the top competitors of Autoliv and identify growth and cost optimization opportunities of Autoliv

Revenues Analysis

Genuine Parts (GPC) Revenues And Revenue Growth From 2012 To 2016

This report provides the last five years revenues and revenue growth of Genuine Parts Co (GPC) from 2012 to 2016. Genuine Parts generated a total of $15.3 billion revenues during 2016. Genuine Parts reported a revenue growth of 0.4% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

Genuine Parts (GPC) Revenues And Revenue Growth From 2002 To 2016

This report provides the last fifteen years revenues and revenue growth of Genuine Parts Co (GPC) from 2002 to 2016. Genuine Parts generated a total of $15.3 billion revenues during 2016. Genuine Parts reported a revenue growth of 0.4% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

Genuine Parts (GPC) Revenue Growth Comparison With Industry Growth From 2012...

This report provides a comparison of Genuine Parts Co (GPC) revenue growth with Auto Parts industry growth during the last five years from 2012 to 2016. Genuine Parts reported a revenue growth of 0.4% year-over-year during 2016. The Auto Parts industry growth was 1.1% year-over-year during 2016. Genuine Parts growth was slower than the industry during 2016.

Profit Analysis

Genuine Parts (GPC) Net Profit And Net Margin From 2012 To...

This report provides the last five years net profit and net margin of Genuine Parts Co (GPC) from 2012 to 2016. Genuine Parts reported a total net income of $687.2 million during 2016. Genuine Parts generated a total of $15.3 billion revenues during 2016. Genuine Parts net profit margin was 4.5% during 2016. The net profit and the net profit margin correspond to the fiscal year ending in December.