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LKQ

LKQ Corporation

LKQ

LKQ Corporation • NASDAQ
$29.69 ▲ 0.37% (+0.11)
Market Cap $7.60 B
52w High $44.82
52w Low $28.42
Dividend Yield 1.20%
P/E 11
Volume 1.02M
Outstanding Shares 255.98M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $3.499B ▼ $1.067B ▼ $180M ▼ 5.144% ▼ $0.7 ▼ $373M ▼
Q2-2025 $3.642B ▲ $1.1B ▲ $192M ▲ 5.272% ▲ $0.74 ▲ $428M ▲
Q1-2025 $3.463B ▲ $1.09B ▲ $169M ▲ 4.88% ▲ $0.65 ▲ $398M ▲
Q4-2024 $3.357B ▼ $1.054B ▼ $156M ▼ 4.647% ▼ $0.6 ▼ $381M ▼
Q3-2024 $3.584B $1.083B $191M 5.329% $0.73 $418M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $289M $15.6B ▼ $9.046B ▼ $6.554B ▲
Q2-2025 $289M ▲ $15.944B ▲ $9.401B ▲ $6.518B ▲
Q1-2025 $227M ▼ $15.469B ▲ $9.28B ▲ $6.174B ▲
Q4-2024 $234M ▼ $14.955B ▼ $8.923B ▼ $6.017B ▼
Q3-2024 $353M $15.466B $9.216B $6.234B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $180M ▼ $440M ▲ $-45M ▲ $-393M ▼ $0 ▼ $387M ▲
Q2-2025 $193M ▲ $296M ▲ $-49M ▲ $-209M ▼ $62M ▲ $243M ▲
Q1-2025 $169M ▲ $-3M ▼ $-50M ▲ $40M ▲ $-7M ▲ $-57M ▼
Q4-2024 $157M ▼ $235M ▼ $-106M ▲ $-230M ▲ $-119M ▼ $149M ▼
Q3-2024 $193M $420M $-122M $-240M $77M $341M

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Europe Segment
Europe Segment
 $1.51Bn ▲$1.52Bn ▲$1.61Bn ▲$1.62Bn ▲
Specialty
Specialty
 $350.00M ▲$390.00M ▲$470.00M ▲$460.00M ▼
Wholesale North America Segment
Wholesale North America Segment
 $1.37Bn ▲$1.41Bn ▲$1.44Bn ▲$1.42Bn ▼
Self Service Segment
Self Service Segment
 $130.00M ▲$140.00M ▲$130.00M ▼$0 ▼

Five-Year Company Overview

Income Statement

Income Statement LKQ’s sales have grown steadily over the past five years, showing that demand for its parts and services has held up well, even through different economic conditions. However, profit quality has been more mixed. Operating profit and EBITDA were strongest a couple of years ago and have since slipped, suggesting some margin pressure from costs, pricing, or integration efforts. Net income and earnings per share have declined more noticeably from their peak, even as revenue has inched higher, which points to thinner profitability and possibly higher financing or integration-related costs. Overall, it looks like a healthy top line with a need to defend margins and restore earnings momentum.

Balance Sheet

Balance Sheet The balance sheet shows a business built through acquisitions, with sizable assets and a meaningful level of debt. Total assets have grown over time but flattened recently, while shareholders’ equity has climbed gradually, indicating that value has been added but not dramatically so in the most recent period. Debt levels are clearly higher than a few years ago, which raises the importance of consistent cash generation and disciplined capital allocation. Cash on hand is small relative to the size of the company but has been fairly stable, implying reliance on ongoing cash flows and credit lines rather than large cash reserves. Overall, the balance sheet is serviceable but not under‑levered, so financial flexibility depends on continued steady performance.

Cash Flow

Cash Flow LKQ’s cash flow profile is a clear strength. The company has generated solid operating cash flow every year, even as earnings have moved up and down. Free cash flow has consistently been positive after investments in property and equipment, although there is a gentle downward drift from the pandemic period peak. Capital spending has been moderate and creeping higher, which is typical for a distribution-heavy, logistics-driven business investing in facilities, systems, and fleet. The key takeaway is that LKQ reliably turns its accounting profits into real cash, giving it room to service debt, pay shareholder returns, and fund selective growth, as long as cash conversion remains strong.

Competitive Edge

Competitive Edge LKQ operates with a broad and durable competitive position in a fragmented auto parts market. Its scale, large facility footprint, and dense distribution network allow it to offer fast delivery and a very wide range of parts, which smaller rivals struggle to match. Being a one‑stop shop for recycled, aftermarket, and remanufactured parts makes LKQ especially attractive to repair shops that value convenience, availability, and predictable service. Programs that reduce liability risk and support advanced vehicle systems further deepen customer relationships. At the same time, the company faces industry realities: cyclical demand tied to miles driven and collision frequency, competition from original equipment brands, and technology changes in vehicles. But within this environment, its established network and scale give it a clear edge over many competitors.

Innovation and R&D

Innovation and R&D LKQ’s innovation is less about traditional lab research and more about smart use of technology and data across its operations. The company uses artificial intelligence and computer vision to improve quality control and salvage operations, helping it extract more value from each vehicle and cut waste. It has invested in digital tools for customers—online portals, connected garage systems, and e‑commerce platforms—which strengthen its role in repair shops’ daily workflows. Advanced logistics and telematics support route optimization and service reliability. Strategically, LKQ is building capabilities around electric vehicles, especially in battery remanufacturing and recycling, and expanding diagnostic and calibration services to handle more complex, software-heavy cars. The European integration program is another form of operational innovation, aiming to turn many acquisitions into a more unified, efficient network. Overall, the company appears focused on incremental, practical innovation that supports margins, service levels, and readiness for EVs rather than big, speculative R&D bets.

Summary

LKQ looks like a mature, scale-driven parts distributor with solid revenue resilience and reliable cash generation, but with earnings that have come off their highs as margins tightened. The balance sheet carries noticeable debt, making sustained cash flow and disciplined investment important. Competitively, LKQ benefits from its size, network, and comprehensive offerings in an industry where availability and speed matter a lot, giving it a meaningful moat versus smaller players. Its push into AI-enabled operations, digital customer tools, diagnostics, and EV-related services suggests it is actively preparing for the next phase of the automotive market. Key things to watch going forward are: whether profit margins stabilize or improve, how effectively LKQ manages its leverage, execution on European integration and EV initiatives, and its ability to maintain service advantages as vehicles become more complex and electrified.

NEWS

October 30, 2025 · 7:00 AM UTC

LKQ Corporation Announces Results for Third Quarter 2025

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October 27, 2025 · 10:00 AM UTC

LKQ Corporation to Present at Upcoming Investor Conference

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October 21, 2025 · 10:00 AM UTC

LKQ Corporation Advances Renewable Energy Strategy with Solar Project at German Logistics Hub

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October 1, 2025 · 10:36 AM UTC

LKQ Corporation Completes the Sale of its Self Service Segment

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September 25, 2025 · 10:00 AM UTC

LKQ Corporation to Release Third Quarter 2025 Results on Thursday, October 30, 2025

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