Dorman Products, Inc. Reports Fourth Quarter and Full Year 2024 Results; Issues 2025 Guidance

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Highlights (All comparisons are to the prior year period unless otherwise noted):

• Net sales of $533.8 million for the quarter, up 8.0% compared to $494.3 million
• Diluted earnings per share ("EPS”) of $1.77, up 11% compared to $1.60
• Adjusted diluted EPS* of $2.20, up 40% compared to $1.57
• Generated $71 million of cash from operating activities; repaid $54 million of debt
• For full year 2024, achieved net sales of $2.0 billion, diluted EPS of $6.14 and adjusted diluted EPS* of $7.13

COLMAR, Pa., Feb. 26, 2025 (GLOBE NEWSWIRE) -- Dorman Products, Inc. (the "Company” or "Dorman”) (NASDAQ: DORM), a leading supplier in the motor vehicle aftermarket industry, today announced its financial results for the fourth quarter and full year ended December 31, 2024.

Kevin Olsen, Dorman's President and Chief Executive Officer, stated, "We finished the year with outstanding results in the fourth quarter. Total net sales increased 8%, driven by strong performance in our Light Duty and Specialty Vehicle segments. We also drove impressive earnings growth. Our success in 2024 was the direct result of our innovation strategy, operational excellence initiatives, and the hard work and dedication of our talented Contributors across the enterprise.

"These results, coupled with our asset-light operating model, drove significant cash generation. Cash from operating activities for the year was $231 million, allowing us to reduce debt by $94 million and return capital to shareholders through the repurchase of $78 million in common stock at an average price of $91.

"With our proven business model, ability to navigate dynamic markets, and strengthened balance sheet, we remain well-positioned to deliver long-term growth. For 2025, we expect net sales growth to be in the range of 3% to 5%. We expect diluted EPS to be in the range of $7.00 to $7.30 and adjusted diluted EPS* to be in the range of $7.55 to $7.85.”

Fourth Quarter Financial Results

The Company reported fourth quarter 2024 net sales of $533.8 million, up 8.0% compared to net sales of $494.3 million in the fourth quarter of 2023.

Gross profit was $221.7 million in the fourth quarter of 2024, or 41.5% of net sales, compared to $194.2 million, or 39.3% of net sales, for the same quarter last year. Adjusted gross margin* was 41.7% in the fourth quarter of 2024 compared to 39.3% in the same quarter last year.

Selling, general and administrative ("SG&A”) expenses were $135.0 million, or 25.3% of net sales, in the fourth quarter of 2024 compared to $117.0 million, or 23.7% of net sales, for the same quarter last year. Adjusted SG&A expenses* were $129.1 million, or 24.2% of net sales, in the fourth quarter of 2024, compared to $118.1 million, or 23.9% of net sales, in the same quarter last year.

Diluted EPS was $1.77 in the fourth quarter of 2024, up 11% compared to diluted EPS of $1.60 in the same quarter last year. Adjusted diluted EPS* was $2.20 in the fourth quarter of 2024, up 40% compared to adjusted diluted EPS* of $1.57 in the same quarter last year.

Segment results were as follows:

Full Year Financial Results

The Company reported full year 2024 net sales of $2,009.2 million, up 4.1% compared to net sales of $1,929.8 million in the prior year.

Gross profit was $806.4 million, or 40.1% of net sales, in 2024 compared to $685.4 million, or 35.5% of net sales, in the prior year. Adjusted gross margin* was 40.2% in 2024 compared to 36.1% in the prior year.

SG&A expenses were $513.4 million, or 25.6% of net sales, in 2024 compared to $470.7 million, or 24.4% of net sales, for the prior year. Adjusted SG&A expenses* were $484.2 million, or 24.1% of net sales, in 2024, compared to $464.0 million, or 24.0% of net sales, in the prior year.

Diluted EPS was $6.14 in 2024, up 50% compared to diluted EPS of $4.10 in the prior year. Adjusted diluted EPS* was $7.13 in 2024, up 57% compared to adjusted diluted EPS of $4.54 in the prior year.

Segment results were as follows:

2025 Guidance

The Company issued its full-year 2025 guidance, detailed in the table below, which excludes any impact from U.S. tariffs enacted or proposed in 2025 or potential retaliatory measures from U.S. trade partners. Additionally, our guidance excludes any potential impact from future acquisitions and divestitures, supply chain disruptions, significant inflation, interest rate changes, and share repurchases.

Conference Call and Webcast

The Company will hold a conference call and webcast for investors on Thursday, February 27, 2025 beginning at 8:00 a.m. Eastern time. The conference call can be accessed by telephone at (888) 440-4182 within the U.S. or +1 (646) 960-0653 outside the U.S. When prompted, enter the conference ID number 1698878. A live audio webcast along with the accompanying presentation materials can be accessed on the Company's website at Dorman Products, Inc. - Events. A replay of the session will be available on the Investor section of the Company's website after the call.

About Dorman Products

Dorman gives professionals, enthusiasts and owners greater freedom to fix motor vehicles. For over 100 years, we have been driving new solutions, releasing tens of thousands of aftermarket replacement products engineered to save time and money and increase convenience and reliability.

Founded and headquartered in the United States, we are a pioneering global organization offering an always-evolving catalog of products, covering cars, trucks and specialty vehicles, from chassis to body, from underhood to undercarriage, and from hardware to complex electronics.

*Non-GAAP Measures

In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings release also contains Non-GAAP financial measures. The reasons why we believe these measures provide useful information to investors and a reconciliation of these measures to the most directly comparable GAAP measures and other information relating to these Non-GAAP measures are included in the supplemental schedules attached.

Forward-Looking Statements

This press release contains "forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may,” "will,” "should,” "likely,” "probably,” "anticipates,” "expects,” "intends,” "plans,” "projects,” "believes,” "views,” "estimates” and similar expressions are used to identify these forward-looking statements. Readers are cautioned not to place undue reliance on those forward-looking statements, which speak only as of the date such statements were made. Such forward-looking statements are based on current expectations that involve known and unknown risks, uncertainties and other factors (many of which are outside of our control). Such risks, uncertainties and other factors relate to, among other things: competition in and the evolution of the motor vehicle aftermarket industry; changes in our relationships with, or the loss of, any customers or suppliers; our ability to develop, market and sell new and existing products; our ability to anticipate and meet customer demand; our ability to purchase necessary materials from our suppliers and the impacts of any related logistics constraints; widespread public health pandemics; political and regulatory matters, such as changes in trade policy, the imposition of tariffs and climate regulation; our ability to protect our information security systems and defend against cyberattacks; our ability to protect our intellectual property and defend against any claims of infringement; and financial and economic factors, such as our level of indebtedness, fluctuations in interest rates and inflation. More information on these risks and other potential factors that could affect the Company's business, reputation, results of operations, financial condition, and stock price is included in the Company's filings with the Securities and Exchange Commission ("SEC”), including in the "Risk Factors” and "Management's Discussion and Analysis of Financial Condition and Results of Operations” sections of the Company's most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings. The Company is under no obligation to, and expressly disclaims any such obligation to, update any of the information in this document, including but not limited to any situation where any forward-looking statement later turns out to be inaccurate whether as a result of new information, future events or otherwise.

Investor Relations Contact

Alex Whitelam, VP, Investor Relations & Risk Management

[email protected]

(445) 448-9522

Visit our website at www.dormanproducts.com. The Investor Relations section of the website contains a significant amount of information about Dorman, including financial and other information for investors. Dorman encourages investors to visit its website periodically to view new and updated information.