Genuine Parts Company (GPC) Goldman Sachs 31st Annual Global Retailing Conference summary

Leadership and strategic focus

• New CEO has prioritized talent, culture, and ensuring the right capabilities are in place during his first 100 days.

• 80% of the global workforce is engaged, with ongoing investment in technology platforms and business capabilities.

• Industrial business has seen significant margin improvement and remains a focus for continued support and growth.

• Refined strategy in the NAPA U.S. business includes increasing company-owned stores.

Market environment and demand trends

• Higher interest rates have moderated demand, especially among small businesses and lower-income consumers.

• Deferred demand in automotive and industrial segments is seen as a timing issue, with expectations for recovery.

• Some softness observed in major account business, reflecting consumer strain over the past few quarters.

Operational improvements and supply chain

• Significant progress made in inventory management and store operations, with ongoing focus on customer service metrics.

• Enhanced use of dashboards and data to improve store and sales force effectiveness.

• Supply chain disruptions post-pandemic led to improvements in inventory and supplier partnerships.