Why This Matters to Distributors: Motion’s growth across most of its customer markets points to improving demand for industrial supplies and services, particularly among large corporate customers. The business outpaced its parent company’s automotive divisions as it prepared to become an independent public company in early 2027.
Motion’s third-quarter sales rose 6.1% to $2.41 billion, supported by growth across most of its industrial customer markets as parent Genuine Parts Co. moved toward separating its industrial and automotive businesses.
For the first nine months of 2026, Motion’s sales increased 6.1% to $7.14 billion from $6.72 billion a year earlier. Third-quarter sales compared with $2.27 billion in the same period of 2025, Genuine Parts reported Oct. 20.
Motion’s growth outpaced both companies’ automotive divisions. Across Genuine Parts, third-quarter sales increased 4.2%, but net income declined slightly. Through September, the parent company’s sales rose 5.6%, while net income fell 5.2%.
Separation Remains on Schedule
Genuine Parts said the planned separation remains on track for the first quarter of 2027. Announced Feb. 17, the transaction would create two independent, publicly traded companies, separating Motion’s industrial distribution operations from the automotive businesses that include NAPA.
The company said leadership teams have been announced for both businesses. Investor presentations are scheduled for Dec. 8 and 9 in New York.
Motion represents a substantial share of the company being divided. Industrial operations generated approximately 37% of Genuine Parts’ $25.3 billion in sales during the 12 months ending Sept. 30. North American automotive operations accounted for 39%, and international automotive operations contributed 24%.
Preparing for the split is adding expenses. Genuine Parts recorded $21.2 million in separation costs during the third quarter and $54.9 million through September, primarily for legal and professional services and executive incentive plans associated with the transaction.
Motion Gains Across Customer Markets
Motion reported year-over-year growth in 12 of its 14 customer markets during the third quarter. Eight markets also improved from the second quarter, according to Genuine Parts.
Sales of maintenance, repair and operations supplies increased approximately 5%, with strength among large corporate accounts. Motion’s services and solutions business grew 10% and improved from the second quarter.
Excluding acquisitions, currency changes and other adjustments, Motion’s quarterly sales increased 5.5%. Total reported sales grew 6.1%.
Results varied by region. North American industrial sales increased 6.1%, while sales in Australasia declined 0.8%, measured in local currencies. Overall, Motion’s quarterly sales were unchanged from the second quarter’s $2.41 billion.
Genuine Parts maintained its forecast for full-year industrial sales growth of 3% to 6%. Motion’s growth through September was slightly above the upper end of that range.
The presentation did not disclose separate net income for Motion. Its industrial earnings figures exclude several costs included in Genuine Parts’ bottom-line results.
GPC Sales Increase, Earnings Decline
Genuine Parts’ third-quarter sales rose to $6.52 billion from $6.26 billion a year earlier. Net income declined 0.8% to $224.4 million from $226.2 million.
For the first nine months, sales increased to $19.32 billion from $18.29 billion. Net income fell to $640.5 million from $675.4 million.
North American automotive sales increased 2.2% to $2.54 billion in the third quarter, while international automotive sales rose 4.5% to $1.57 billion.
Within the U.S. automotive business, sales excluding acquisitions, currency changes and other adjustments increased 1.8%. Company-owned stores posted stronger growth of approximately 3.5% on that basis, including approximately 5% growth in sales to commercial customers.
Genuine Parts said its Benson acquisition continued to support Canadian results, with financial and operating performance ahead of plan. In Europe, sales excluding acquisitions, currency changes and other adjustments improved from the second quarter, led by improvement in the United Kingdom.
The company maintained its full-year sales growth forecast of 3% to 5.5% but reduced its earnings outlook. It now expects earnings of $5.60 to $5.85 per share, down from its previous forecast of $5.90 to $6.40. It also lowered the upper end of its earnings forecast excluding selected costs.
Genuine Parts spent $314.5 million on property, equipment, and other capital projects through September. It expects those investments to total $450 million to $500 million for the year.
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