Genuine Parts Company (GPC) investor relations material

Separation and execution

• Planned separation targets Q1 2027, with each business expected to benefit from a clearer standalone story and capital priorities tailored to its strategy.

• A cross-functional, global separation PMO meets weekly; a two-company dry run is planned for December 2026, and major milestones are on track.

• Separation dis-synergies are tracking within the estimated $50M-$75M range; Motion public-company setup costs are also estimated at $50M-$75M, or $100M-$150M combined.

• Standalone structures may create medium-term efficiency opportunities as each business evolves its cost base.

Automotive growth and investment

• Half of automotive sales are outside the U.S.; leading positions include Canada, Australia and New Zealand, while Europe is gaining share and outgrowing the market and competition.

• The U.S. business is the largest player in the pro segment; NAPA Auto Care includes 30,000 locations globally and 18,000 in the U.S., supporting shop and commercial DIFM demand.

• Supply-chain and technology investments are beginning to benefit U.S. operations; improving local availability and fill rates remains an early-stage opportunity in priority markets.

• A highly automated York, Pennsylvania, facility is expected to support product availability for pro mechanics and drive revenue, gross-margin and OpEx productivity benefits.

• Distribution center construction has run at two to three per year in recent years; further modernization will be measured and disciplined, with store-level inventory availability the priority.

Motion opportunity

• Motion is the leading industrial distributor in its served markets, with 6% share across roughly 150 markets and a $70B serviceable market; sales are expected to be roughly $9B.

• Growth opportunities include expanding share of wallet, organic growth and M&A; pricing, sourcing and technology offer further margin and productivity potential.

• Industrial manufacturing fundamentals and AI-related manufacturing build-out are viewed as medium-term tailwinds; margins have improved significantly since 2019.