LKQ Corp. Notes Q3 Results

Chicago-based LKQ Corporation reported results for its third quarter ended Sept. 30, 2003, with revenue of $83.5 million and net income of $3.5 million, representing growth over the third quarter of 2002 of 16.2 percent and 49.1 percent, respectively.

“We reported another quarter of year over year double digit revenue and earnings growth,” said Joe Holsten, president and CEO.

2003 Reported Results
For the third quarter of 2003, revenue increased 16.2% to $83.5 million compared with $71.9 million for the third quarter of 2002. For the third quarter of 2003, net income increased 49.1% to $3.5 million compared with $2.4 million for the third quarter of 2002. Diluted earnings per share was $0.22 for the third quarter of 2003 compared with $0.12 for the third quarter of 2002.

For the nine months ended Sept. 30, 2003, revenue increased 12.9% to $243.7 million compared with $216.0 million for the same period in 2002. For the nine months ended Sept. 30, 2003, net income before cumulative effect of a change in accounting principle increased 32.7% to $11.6 million compared with $8.7 million for the same period in 2002. Diluted earnings per share before cumulative effect of a change in accounting principle was $0.68 for the nine
months ended Sept. 30, 2003 compared with $0.45 for the same period a year ago.

For the nine months ended Sept. 30, 2003, net income increased by $52.8 million to $11.6 million compared with a $41.2 million net loss for the same period in 2002. Diluted earnings per share was $0.68 for the nine months ended Sept. 30, 2003 compared with diluted loss per share of $2.12 for the same period in 2002. The 2002 net loss reflects the $49.9 million cumulative effect of change in accounting principle, net of tax in the first quarter of 2002 related to implementation of Statement of Financial Accounting Standards No. 142, “Goodwill and Other Intangible Assets.”

Company Outlook
The company expects full year 2003 revenue to be within a range of $323 million to $326 million, net income to be within a range between $14.2 million and $14.6 million and diluted earnings per share to be between $0.78 and $0.80.

LKQ Corporation is a provider of recycled OEM automotive replacement parts and related services, with 38 sales and processing facilities and 12 redistribution centers that reach most major markets in the United States.