Genuine Parts Company (0IUX.L) reported a mixed QQ4 2024, with revenue of $5.77 billion marking a 3.3% year-over-year uptick, but a material decline in profitability, evidenced by a drop in net income to $133.1 million and EPS to $0.96, down about 58% YoY. The quarter benefited from a modest expansion in gross margin (approx. 35.9%), yet operating income and EBITDA declined sharply; EBITDA fell to $308.5 million from $519.9 million in the prior-year period, delivering an EBITDARatio of 5.35% and operating margin of 4.31%. The drop in earnings was driven by a substantial deterioration in total other income/expenses and higher operating costs, despite a still favorable gross margin. Free cash flow for the quarter was negative at roughly $(26.7) million despite positive operating cash flow of $155.0 million, as capex and acquisitions weighed on cash generation. Net debt remained elevated at approximately $5.26 billion, with a total debt-to-capitalization of about 58.4% and interest coverage around 7.3x, signaling leverage risk against a still sizable cash-generating base. The balance sheet shows robust asset accumulation (Total assets ~ $19.28B) and a strong current base (current ratio ~1.16, quick ratio ~0.51), but liquidity dynamics and working capital efficiency warrant close monitoring. The stock trades at a headline P/E around 30x, suggesting premium valuation given the earnings volatility. In sum, near-term earnings quality is challenged, yet the company retains a durable distribution network, scale, and long-run aftermarket opportunities that could support a path toward margin stabilization and deleveraging, contingent on operating-expenditure discipline and working-capital optimization.