Q4'22

Earnings Presentation

February 23, 2023

Genuine Parts Company Snapshot (as of 12/31/2022)

Key Statistics

Founded

1928

Headquarters

Atlanta, GA

Countries Served

17

Locations

~10,600

Distribution Centers

~205

Warehouses

~765

Retail (Owned/Independent)

~9,630

Employees

~58,000

Market Capitalization

~$24.5B

2022 Financial Highlights

Revenue

$22.1B

Automotive

62%

Industrial

38%

Segment Profit Margin1

9.4%

Free Cash Flow2

~$1.1B

Dividend Yield3

2.1%

Global Footprint

2022 Revenue by Region

14%

Europe

77%

North

America

9%

Australasia

Leading Global Distributor in Diversified End Markets

1See Appendix C 2See Appendix D 3Calculated based on annual dividend per share divided by share price as of 12/31/22

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Safe Harbor Statement

FORWARD-LOOKINGSTATEMENTS: Some statements in this presentation, as well as in materials the company files with the Securities and Exchange Commission (SEC), release to the public, or make available on the company's website, constitute forward-looking statements that are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements in the future tense and all statements accompanied by words such as "expect," "likely," "outlook," "forecast," "preliminary," "would," "could," "should," "position," "will," "project," "intend," "plan," "on track," "anticipate," "to come," "may," "possible," "assume," or similar expressions are intended to identify such forward-looking statements. These forward-looking statements include the company's view of business and economic trends for the coming year, the company's ability to execute our strategic priorities and capitalize in light of these business and economic trends, and the established full-year 2023 financial guidance for the company provided above. Senior officers may also make verbal statements to analysts, investors, the media and others that are forward-looking. The company cautions that all forward-looking statements involve risks and uncertainties, and while the company believes that its expectations for the future are reasonable in view of currently available information, you are cautioned not to place undue reliance on our forward-looking statements. Actual results or events may differ materially from those indicated as a result of various important factors. Such factors may include, among other things, changes in general economic conditions, including unemployment, inflation (including the impact of tariffs) or deflation and geopolitical conflicts such as the conflict between Russia and Ukraine; volatility in oil prices; significant cost increases, such as rising fuel and freight expenses; public health emergencies such as the COVID-19 pandemic, including the effects on the financial health of our business partners and customers, on supply chains and our suppliers, on vehicle miles driven as well as other metrics that affect our business, and on access to capital and liquidity provided by the financial and capital markets; our ability to maintain compliance with our debt covenants; our ability to successfully integrate acquired businesses into our operations and to realize the anticipated synergies and benefits; our ability to successfully implement our business initiatives in our two business segments; slowing demand for our products; the ability to maintain favorable supplier arrangements and relationships; changes in national and international legislation or government regulations or policies, including changes to import tariffs, environmental and social policy, infrastructure programs and privacy legislation, and their impact to us, our suppliers and customers; changes in tax policies; volatile exchange rates; our ability to successfully attract and retain employees in the current labor market; uncertain credit markets and other macroeconomic conditions; competitive product, service and pricing pressures; failure or weakness in our disclosure controls and procedures and internal controls over financial reporting, including as a result of the work from home environment; the uncertainties and costs of litigation; disruptions caused by a failure or breach of our information systems, as well as other risks and uncertainties discussed in the company's Annual Report on Form 10-K for 2022 and from time to time in the company's subsequent filings with the SEC. Forward-looking statements speak only as of the date they are made, and the company undertakes no duty to update any forward-looking statements except as required by law. You are advised, however, to review any further disclosures we make on related subjects in our subsequent Forms 10-K,10-Q,8-K and other reports filed with the SEC.

NON-GAAPMEASURES: This presentation contains certain financial information not derived in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP"). These items include adjusted net income, adjusted diluted net income per common share and free cash flow. The company believes that the presentation of adjusted net income, adjusted diluted net income per common share and free cash flow, when considered together with the corresponding GAAP financial measures and the reconciliations to those measures, provide meaningful supplemental information to both management and investors that is indicative of the company's core operations. The company considers these metrics useful to investors because they provide greater transparency into management's view and assessment of the company's ongoing operating performance by removing items management believes are not representative of our continuing operations and may distort our longer-term operating trends. We believe these measures are useful and enhance the comparability of our results from period to period and with our competitors, as well as show ongoing results from operations distinct from items that are infrequent or not associated with the company's core operations. The company does not, nor does it suggest investors should, consider such non-GAAP financial measures as superior to, in isolation from, or as a substitute for, GAAP financial information. The company has included reconciliations of this additional information to the most comparable GAAP measure in the appendix of this presentation.

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Paul Donahue

Chairman & CEO

Key Messages

  • The GPC team capped off a record-settingyear with a strong fourth quarter highlighted by double-digitsales and earnings growth and continued margin expansion
  • Operations are benefiting from execution of strategies, continued resilience of our Automotive and Industrial businesses and strategic mix of our operations
  • We are thankful to our teammates across the globe for their ongoing commitment to excellence

Strategic Initiatives and Focused Team Execution Delivering Results

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Genuine Parts Company published this content on 23 February 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 February 2023 14:45:12 UTC.