Strong first quarter in European segment with a segment EBITDA margin up 390 basis points to 9.6%.
LKQ Corporation reported first quarter 2021 results on April 29, 2021 that reflect records in a number of key metrics including overall profitability, segment margins and free cash flow.
Dominick Zarcone, President and Chief Executive Officer said: “We significantly exceeded our expectations for the quarter as our segment teams continue to embrace operational excellence and execute on our key initiatives. Our North America team delivered a 19.9% Segment EBITDA margin in the first quarter, the highest level in the company’s history. Additionally, our Specialty team delivered its highest quarterly organic revenue growth at 30.9% and first quarter Segment EBITDA margin of 13.4%. I am pleased with the Europe Segment EBITDA margin of 9.6% in the quarter, a year-over-year improvement of 390 basis points. This level of performance gives us confidence regarding the progress of our 1 LKQ Europe program and our team’s ability to achieve the longer-term margin targets we set forth in 2019.”
Global revenue for the first quarter of 2021 was $3.2 billion, an increase of 5.7% as compared to $3.0 billion in the first quarter of 2020.
LKQ Europe, a subsidiary of LKQ Corporation, had a strong first quarter with a segment EBITDA margin of 9.6%. “We are excited to start 2021 with strong first-quarter results and growth thanks to the outstanding commitment of our employees and the loyalty of our customers. We can also see a positive impact on our business by our 1 LKQ Europe program supporting the integration, and also our customer-centric approach and dedication. To drive operational excellence, we are focusing on our logistics without borders and enhancing our commercial organization. As we move forward, the pandemic will continue to occupy us in 2021. We are confident to keep up our operating strengths and the execution of our strategies, and we expect a recovery over the next few months in Europe,” said Arnd Franz, CEO of LKQ Europe.
LKQ Europe’s revenue for the first quarter of 2021 was $1.46 billion, an increase of 7.2% as compared to $1.36 billion in the first quarter of 2020.
About LKQ Europe
LKQ Europe GmbH, with its head office in Zug, Switzerland, a subsidiary of LKQ Corporation, is the leading distributor of automotive aftermarket parts for cars, commercial vans and industrial vehicles in Europe. It currently employs approximately 26,000 people in over 20 European countries with a network of 1,000 branches and approximately $5.5 billion in revenue in 2020. The organization supplies around 100,000 independent workshops in over 20 countries.
The group includes Euro Car Parts, Fource, RHIAG Group, Elit, Auto Kelly, and STAHLGRUBER Group, as well as recycling specialist, Atracco. LKQ also holds a minority interest in Mekonomen Group.