LKQ Reports Fourth Quarter and Full Year 2024 Results: Record Europe Margin, Strong Capital Return, 2025 Outlook Issued

LKQ Investor Relations | February 20, 2025

Antioch, Tenn. | February 20, 2025

LKQ Corporation (Nasdaq: LKQ) reported fourth quarter and full year 2024 results today and issued its outlook for 2025.

Full-year headlines

• Revenue: $14.4 billion, up 3.5% from 2023 (organic parts and services revenue down 2.2%).
• Diluted EPS: $2.62 (vs. $3.51 in 2023). Adjusted diluted EPS: $3.48 (vs. $3.83).
• Cash generation: $1.1 billion in operating cash flow and $0.8 billion in free cash flow.
• Capital return: $678 million returned to shareholders, through $360 million of share repurchases (8.6 million shares) and $318 million in dividends. That exceeded the Company's commitment to return 50% of free cash flow, coming in at more than 80%.

Fourth quarter at a glance

Revenue fell 4.1%. Parts and services organic revenue declined 3.6% (4.5% on a per-day basis), with acquisitions and divestitures reducing revenue by 0.7% and currency by 0.3%.

What management said

"The LKQ team focused on our core strengths to manage difficult market conditions in 2024 and position the Company for greater success in the future," said Justin Jude, President and CEO. He highlighted Europe, where the segment achieved a 10.1% EBITDA margin, a record for a fourth quarter. It was the third straight quarter of double-digit margins there, and 2024 produced Europe's highest full-year EBITDA dollars. Mr. Jude said LKQ will continue to emphasize portfolio simplification, operational excellence and profitable growth.

Segment snapshot (Q4)

Balance sheet and capital return

• Total debt was $4.2 billion at year-end, with leverage of 2.3x EBITDA.
• In Q4, LKQ repurchased 2.1 million shares for about $80 million and paid $78 million in dividends.
• Since the buyback program began in October 2018, LKQ has repurchased about 65 million shares for $2.8 billion. About $1.7 billion remains authorized through October 25, 2026.
• A $0.30 per share dividend was declared on February 18, payable March 27, 2025 to holders of record on March 13.

Board updates

• James S. Metcalf was appointed an independent director on December 11, 2024.
• On February 6, 2025, independent directors Sue Gove and Michael Powell were appointed, and the Board formed a Finance Committee to make recommendations on capital allocation strategy and the business portfolio.
• Blythe McGarvie and Dominick Zarcone will retire from the Board when their terms expire at the 2025 Annual Meeting.

2025 outlook

CFO Rick Galloway said the guidance reflects current market conditions while the Company drives operational excellence and lean management through the industry recovery, and reaffirmed the long-term commitments laid out at the September 2024 investor day: above-market revenue growth, margin improvement, strong free cash flow and returns on invested capital.

The outlook assumes a 27.0% global effective tax rate, scrap and precious metals prices near the Q4 2024 average, and exchange rates of $1.04 (euro), $1.25 (pound) and $0.70 (Canadian dollar).

Adjusted figures are non-GAAP measures; reconciliations are available in the full press release on the LKQ Investor Relations site. This post contains forward-looking statements that are subject to risks and uncertainties described in LKQ's SEC filings. Note: this outlook was later revised on July 24, 2025 and October 30, 2025. Investor contact: Joseph P. Boutross, Vice President, Investor Relations, (312) 621-2793, [email protected].