Form 8-K - Current report

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 30, 2024

STANDARD MOTOR PRODUCTS, INC.

(Exact Name of Registrant as Specified in its Charter)


New York	001-04743	11-1362020
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(I.R.S. Employee Identification Number)

37-18 Northern Boulevard, Long Island City, New York 11101

(Address of Principal Executive Offices, including Zip Code)

Registrant’s Telephone Number, including Area Code: 718-392-0200

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425).

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12).

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)).

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)).

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, par value $2.00 per share	SMP	New York Stock Exchange LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Item 2.02. Results of Operations and Financial Condition.

On October 30, 2024, Standard Motor Products, Inc. (the “Company”) issued a press release announcing its financial results for the three months and nine months ended September 30, 2024. A copy of such press release is furnished as Exhibit 99.1 hereto.

Such press release shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(d)Exhibits.


99.1			Press release dated October 30, 2024 announcing Standard Motor Products, Inc.’s financial results for the three months and nine months ended September 30, 2024.

104			Cover Page Interactive Data File--the cover page XBRL tags are embedded within the Inline XBRL document.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


			STANDARD MOTOR PRODUCTS, INC.



			By:			/s/ Nathan R. Iles
						Nathan R. Iles
						Chief Financial Officer

Date: October 30, 2024

Exhibit Index


Exhibit No.						Description


99.1						Press release dated October 30, 2024 announcing Standard Motor Products, Inc.’s financial results for the three months and nine months ended September 30, 2024.

104						Cover Page Interactive Data File--the cover page XBRL tags are embedded within the Inline XBRL document.

Exhibit 99.1

For Immediate Release

For more information, contact:

Anthony (Tony) Cristello

Standard Motor Products, Inc.

(972) 316-8107

tony.cristello@smpcorp.com

Standard Motor Products, Inc. Announces

Third Quarter 2024 Results and Quarterly Dividend

•Net Sales of $399.3M, up 3.3%, with all three operating segments showing increases

•Adjusted diluted earnings per share of $1.28, up 15%

•Adjusted EBITDA up 80 basis points to 12.2%

•Nissens Automotive acquisition expected to close in near future

•Full year guidance remains unchanged

New York, NY, October 30, 2024......Standard Motor Products, Inc. (NYSE: SMP), a leading automotive parts manufacturer and distributor, reported today its consolidated financial results for the three and nine months ended September 30, 2024.

Net sales for the third quarter of 2024 were $399.3 million, compared to consolidated net sales of $386.4 million during the comparable quarter in 2023. Earnings from continuing operations for the third quarter of 2024 were $26.6 million or $1.20 per diluted share, compared to $24.9 million or

$1.12 per diluted share in the third quarter of 2023. Excluding non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, earnings from continuing operations for the third quarter of 2024 were $28.3 million or $1.28 per diluted share, compared to $24.7 million or $1.11 per diluted share in the third quarter of 2023.

Consolidated net sales for the nine months ended September 30, 2024, were $1.12 billion, compared to consolidated net sales of $1.07 billion during the comparable period in 2023. Earnings from continuing operations for the nine months ended September 30, 2024, were $54.4 million or $2.45 per diluted share, compared to $55.9 million or $2.52 per diluted share in the comparable period of 2023. Excluding non-operational gains and losses identified on the attached reconciliation of GAAP and non-GAAP measures, earnings from continuing operations for the nine months ended September 30, 2024 and 2023 were $59.9 million or $2.70 per diluted share and $56.6 million or $2.55 per diluted share, respectively.

Mr. Eric Sills, Standard Motor Products’ Chairman and Chief Executive Officer stated, “We are very pleased with our third quarter results, both in our top line growth as well as our earnings performance. Overall, sales increased 3.3% versus last year’s third quarter, while adjusted diluted earnings per share were up 15%. Year-to-date sales are up 5.0% compared to 2023, with adjusted diluted EPS up almost 6%. Sales for all three operating segments are ahead of last year both for the quarter and the year.”

By segment, Vehicle Control sales increased 5.2% in the quarter against an easy comparison in 2023. Sales in the segment are up 2.8% on a year-to-date basis as customer demand remains positive, indicating general market strength as our trading partners make ongoing investments to their assortments in our products.

Strong Temperature Control demand continued as sales grew 1.9% in the quarter against last year’s record results. The segment has performed well year-to-date with sales up nearly 10% over last year, as the selling season started early this year and remained strong throughout the summer.

Our Engineered Solutions segment continues to perform well, as sales increased nearly 1% in the quarter against a very difficult comparison to last year’s quarterly increase of over 8%, and are up 3.8% year-to-date. Modest softening in some end markets is being more than offset by the ramp up of recent wins, and while we expect ongoing market headwinds related to certain customers’ production schedules, we remain quite bullish as we see ongoing cross-selling opportunities and strengthening customer relationships.

Looking at profitability, Adjusted EBITDA improved from the third quarter last year, up 80 basis points to 12.2%. Margin improvement resulted from leverage gained on the solid sales performance, as well as from various cost containment actions to offset inflationary pressures, including the benefit from our previously disclosed early retirement program. We remain focused on our cost savings initiatives and continue to look at ways to drive margin improvement going forward.

From a cash flow perspective, we were pleased with the impact of our initiatives on managing both our inventory and borrowing levels. At quarter-end, our inventory was $503.0 million, down from $507.1 million at year-end, while our total debt at quarter-end stood at $142.8 million down $13.4 million from year-end.

With respect to our previously announced acquisition of Nissens Automotive in Europe, we have received final regulatory approvals and would expect to close on the transaction in the very near future. We are very excited about this major step forward for SMP, and look forward to working closely with the talented Nissens team to create an aftermarket leader in North America and Europe across our key product categories.

Regarding our sales and profit expectations for the full year of 2024, we anticipate sales growth will be in the low- to mid-single digits, and Adjusted EBITDA will be in a range of 9.0-9.5%, consistent with what we noted previously, and excludes any potential impact from the acquisition of Nissens Automotive. This outlook considers expenses related to customer factoring programs that will be roughly $48-$50 million at current implied rates, as well as the impact of startup costs and duplicate overhead expense associated with the new distribution center in Shawnee, KS, discussed in prior quarters.

The Board of Directors has approved payment of a quarterly dividend of 29 cents per share on the common stock outstanding, which will be paid on December 2, 2024 to stockholders of record on November 15, 2024.

In closing, Mr. Sills commented, “Looking ahead, while there is always a degree of uncertainty across a variety of external factors, we are excited about where we are headed. North American aftermarket fundamentals remain strong, we are hitting our stride in our Engineered Solutions business, our new distribution center is coming on line, and we are soon to have Nissens on-

board with all the opportunities that it will bring. We want to thank all our employees for our current success and helping us achieve our goals for the future.”

Conference Call

Standard Motor Products, Inc. will hold a conference call at 11:00 AM, Eastern Time, on Wednesday October 30, 2024. This call will be webcast and can be accessed on the Investor Relations page of our website at www.smpcorp.com and clicking on the SMP 3Q 2024 Earnings Webcast link. Investors may also listen to the call by dialing 800-343-4136 (domestic) or 203-518-9843 (international). Our playback will be made available for dial in immediately following the call. For those choosing to listen to the replay by webcast, the link should be active on our website within 24 hours after the call. The playback number is 800-374-0328 (domestic) or 402-220-0663 (international).

Under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, Standard Motor Products cautions investors that any forward-looking statements made by the company, including those that may be made in this press release, are based on management’s expectations at the time they are made, but they are subject to risks and uncertainties that may cause actual results, events or performance to differ materially from those contemplated by such forward looking statements. Among the factors that could cause actual results, events or performance to differ materially from those risks and uncertainties discussed in this press release are those detailed from time-to-time in prior press releases and in the company’s filings with the Securities and Exchange Commission, including the company’s annual report on Form

10-K and quarterly reports on Form 10-Q. By making these forward-looking statements, Standard Motor Products undertakes no obligation or intention to update these statements after the date of this release.


STANDARD MOTOR PRODUCTS, INC.
Consolidated Statements of Operations


(In thousands, except per share amounts)


	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2024		2023		2024		2023
	(Unaudited)				(Unaudited)
NET SALES	$	399,265	$	386,413	$	1,120,497	$	1,067,516

COST OF SALES	277,899		271,653		798,162		760,220

GROSS PROFIT	121,366		114,760		322,335		307,296

SELLING, GENERAL & ADMINISTRATIVE EXPENSES	81,204		79,781		239,822		223,257

RESTRUCTURING AND INTEGRATION EXPENSES	3,023		177		5,774		1,383
OTHER INCOME, NET	—		4		5		74

OPERATING INCOME	37,139		34,806		76,744		82,730

OTHER NON-OPERATING INCOME, NET	2,129		1,732		5,147		2,759

INTEREST EXPENSE	3,145		3,621		7,964		10,766

EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	36,123		32,917		73,927		74,723

PROVISION FOR INCOME TAXES	9,267		7,995		18,718		18,656

EARNINGS FROM CONTINUING OPERATIONS	26,856		24,922		55,209		56,067

LOSS FROM DISCONTINUED OPERATION, NET OF INCOME TAXES	(22,771)		(18,200)		(24,727)		(28,201)



NET EARNINGS	4,085		6,722		30,482		27,866

NET EARNINGS ATTRIBUTABLE TO NONCONTROLLING INTEREST	275		63		785		152

NET EARNINGS ATTRIBUTABLE TO SMP (a)	$	3,810	$	6,659	$	29,697	$	27,714


NET EARNINGS ATTRIBUTABLE TO SMP
EARNINGS FROM CONTINUING OPERATIONS	$	26,581	$	24,859	$	54,424	$	55,915
LOSS FROM DISCONTINUED OPERATION, NET OF INCOME TAXES	(22,771)		(18,200)		(24,727)		(28,201)
TOTAL	$	3,810	$	6,659	$	29,697	$	27,714


NET EARNINGS PER COMMON SHARE ATTRIBUTABLE TO SMP
BASIC EARNINGS FROM CONTINUING OPERATIONS	$	1.22	$	1.14	$	2.50	$	2.58


DISCONTINUED OPERATION	(1.04)		(0.84)		(1.14)		(1.30)

NET EARNINGS PER COMMON SHARE - BASIC	$	0.18	$	0.31	$	1.36	$	1.28


DILUTED EARNINGS FROM CONTINUING OPERATIONS	$	1.20	$	1.12	$	2.45	$	2.52
DISCONTINUED OPERATION	(1.03)		(0.82)		(1.11)		(1.27)

NET EARNINGS PER COMMON SHARE - DILUTED	$	0.17	$	0.30	$	1.34	$	1.25


WEIGHTED AVERAGE NUMBER OF COMMON SHARES	21,716,083		21,727,119		21,802,164		21,675,699
WEIGHTED AVERAGE NUMBER OF COMMON AND DILUTIVE SHARES	22,154,222		22,253,723		22,225,444		22,198,131

(a) "SMP" refers to Standard Motor Products, Inc. and subsidiaries.


STANDARD MOTOR PRODUCTS, INC.
Segment Revenues and Operating Profit


(In thousands)
	THREE MONTHS ENDED								NINE MONTHS ENDED
	SEPTEMBER 30,								SEPTEMBER 30,
	2024				2023				2024				2023
	(Unaudited)								(Unaudited)
Revenues
Engine Management (Ignition, Emissions
and Fuel Delivery)	$	121,432			$	113,188			$	353,046			$	342,860
Electrical and Safety	63,237				62,049				172,772				166,720
Wire sets and other	16,208				15,700				49,324				49,723
Vehicle Control	200,877				190,937				575,142				559,303

AC System Components	95,698				94,385				245,628				217,913
Other Thermal Components	30,287				29,258				76,446				75,210
Temperature Control	125,985				123,643				322,074				293,123

Commercial Vehicle	22,625				18,701				69,016				59,158
Construction / Agriculture	8,082				9,974				27,631				32,804
Light Vehicle	24,287				24,123				70,776				71,123
All Other	17,409				19,035				55,858				52,005
Engineered Solutions	72,403				71,833				223,281				215,090

Revenues	$	399,265			$	386,413			$	1,120,497			$	1,067,516

Gross Margin
Vehicle Control	$65,652		32.7	%	$60,865		31.9	%	$184,520		32.1	%	$179,446		32.1	%
Temperature Control	42,323		33.6	%	37,785		30.6	%	98,621		30.6	%	83,452		28.5	%
Engineered Solutions	13,391		18.5	%	16,110		22.4	%	39,194		17.6	%	44,398		20.6	%
All Other	—				—				—				—
Gross Margin	$	121,366	30.4	%	$	114,760	29.7	%	$	322,335	28.8	%	$	307,296	28.8	%

Selling, General & Administrative
Vehicle Control	$43,021		21.4	%	$42,752		22.4	%	$130,123		22.6	%	$124,308		22.2	%


Temperature Control	25,876		20.5	%	24,624		19.9	%	66,641		20.7	%	61,736		21.1	%
Engineered Solutions	8,124		11.2	%	8,832		12.3	%	25,491		11.4	%	25,222		11.7	%
All Other	5,190				3,573				16,163				11,991
Subtotal	$	82,211	20.6	%	$	79,781	20.6	%	$	238,418	21.3	%	$	223,257	20.9	%
Acquisition Expenses	(1,007)		-0.3	%	—		—	%	1,404		0.1	%	—		—	%
Selling, General & Administrative	$	81,204	20.3	%	$	79,781	20.6	%	$	239,822	21.4	%	$	223,257	20.9	%

Operating Income
Vehicle Control	$22,631		11.3	%	$18,113		9.5	%	$54,397		9.5	%	$55,138		9.9	%
Temperature Control	16,447		13.1	%	13,161		10.6	%	31,980		9.9	%	21,716		7.4	%
Engineered Solutions	5,267		7.3	%	7,278		10.1	%	13,703		6.1	%	19,176		8.9	%
All Other	(5,190)				(3,573)				(16,163)				(11,991)
Subtotal	$	39,155	9.8	%	$	34,979	9.1	%	$	83,917	7.5	%	$	84,039	7.9	%
Restructuring & Integration	(3,023)		-0.8	%	(177)		—	%	(5,774)		-0.5	%	(1,383)		-0.1	%
Acquisition Expenses	1,007		0.3	%	—		—	%	(1,404)		-0.1	%	—		—	%
Other Income, Net	—		—	%	4		—	%	5		—	%	74		—	%
Operating Income	$	37,139	9.3	%	$	34,806	9.0	%	$	76,744	6.8	%	$	82,730	7.7	%


STANDARD MOTOR PRODUCTS, INC.
Reconciliation of GAAP and Non-GAAP Measures




(In thousands, except per share amounts)
	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2024		2023		2024		2023
	(Unaudited)				(Unaudited)
EARNINGS FROM CONTINUING OPERATIONS ATTRIBUTABLE TO SMP

GAAP EARNINGS FROM CONTINUING OPERATIONS	$	26,581	$	24,859	$	54,424	$	55,915

RESTRUCTURING AND INTEGRATION EXPENSES	3,023		177		5,774		1,383
ACQUISITION EXPENSES	(207)		—		2,204		—
CERTAIN TAX CREDITS AND PRODUCTION DEDUCTIONS FINALIZED IN PERIOD	(380)		(312)		(380)		(312)
INCOME TAX EFFECT RELATED TO RECONCILING ITEMS	(732)		(46)		(2,074)		(360)

NON-GAAP EARNINGS FROM CONTINUING OPERATIONS	$	28,285	$	24,678	$	59,948	$	56,626


DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS ATTRIBUTABLE TO SMP

GAAP DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS	$	1.20	$	1.12	$	2.45	$	2.52

RESTRUCTURING AND INTEGRATION EXPENSES	0.14		—		0.26		0.06
ACQUISITION EXPENSES	(0.01)		—		0.10		—
CERTAIN TAX CREDITS AND PRODUCTION DEDUCTIONS FINALIZED IN PERIOD	(0.02)		(0.01)		(0.02)		(0.01)
INCOME TAX EFFECT RELATED TO RECONCILING ITEMS	(0.03)		—		(0.09)		(0.02)


NON-GAAP DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS	$	1.28	$	1.11	$	2.70	$	2.55


OPERATING INCOME

GAAP OPERATING INCOME	$	37,139	$	34,806	$	76,744	$	82,730

RESTRUCTURING AND INTEGRATION EXPENSES	3,023		177		5,774		1,383
ACQUISITION EXPENSES	(1,007)		—		1,404		—
OTHER (INCOME) EXPENSE, NET	—		(4)		(5)		(74)		LAST TWELVE MONTHS ENDED				YEAR ENDED
									SEPTEMBER 30,				DECEMBER 31,
NON-GAAP OPERATING INCOME	$	39,155	$	34,979	$	83,917	$	84,039	2024		2023		2023
									(Unaudited)
EBITDA WITHOUT SPECIAL ITEMS

GAAP EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	$	36,123	$	32,917	$	73,927	$	74,723	$	80,920	$	86,025	$	81,716

DEPRECIATION AND AMORTIZATION	7,389		7,332		22,008		21,461		29,569		28,864		29,022
INTEREST EXPENSE	3,145		3,621		7,964		10,766		10,485		15,101		13,287
EBITDA	46,657		43,870		103,899		106,950		120,974		129,990		124,025

RESTRUCTURING AND INTEGRATION EXPENSES	3,023		177		5,774		1,383		7,033		3,230		2,642
ACQUISITION EXPENSES	(1,007)		—		1,404		—		1,404		—		—
CUSTOMER BANKRUPTCY CHARGE	—		—		—		—		—		7,002		—
SPECIAL ITEMS	2,016		177		7,178		1,383		8,437		10,232		2,642

EBITDA WITHOUT SPECIAL ITEMS	$	48,673	$	44,047	$	111,077	$	108,333	$	129,411	$	140,222	$	126,667


MANAGEMENT BELIEVES THAT NON-GAAP EARNINGS FROM CONTINUING OPERATIONS AND NON-GAAP DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS WHICH ARE ATTRIBUTABLE TO SMP, AND NON-GAAP OPERATING INCOME AND EBITDA WITHOUT SPECIAL ITEMS, EACH OF WHICH ARE NON-GAAP MEASUREMENTS AND ARE ADJUSTED FOR SPECIAL ITEMS, ARE MEANINGFUL TO INVESTORS BECAUSE THEY PROVIDE A VIEW OF THE COMPANY WITH RESPECT TO ONGOING OPERATING RESULTS. SPECIAL ITEMS REPRESENT SIGNIFICANT CHARGES OR CREDITS THAT ARE IMPORTANT TO AN UNDERSTANDING OF THE COMPANY'S OVERALL OPERATING RESULTS IN THE PERIODS PRESENTED. SUCH NON-GAAP MEASUREMENTS ARE NOT RECOGNIZED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND SHOULD NOT BE VIEWED AS AN ALTERNATIVE TO GAAP MEASURES OF PERFORMANCE.


STANDARD MOTOR PRODUCTS, INC.
Reconciliation of GAAP and Non-GAAP Measures by Segments






(In thousands)	THREE MONTHS ENDED SEPTEMBER 30, 2024
	Vehicle Control			Temperature Control			Engineered Solutions			All Other		Consolidated
	(Unaudited)
OPERATING INCOME

GAAP OPERATING INCOME	$	21,029		$	16,074		$	5,010		$	(4,974)	$	37,139

RESTRUCTURING AND INTEGRATION EXPENSES	1,602			373			257			791		3,023
ACQUISITION EXPENSES	—			—			—			(1,007)		(1,007)
OTHER EXPENSE, NET	—			—			—			—		—

NON-GAAP OPERATING INCOME	$	22,631		$	16,447		$	5,267		$	(5,190)	$	39,155

EBITDA WITHOUT SPECIAL ITEMS

GAAP EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	$	18,844		$	16,530		$	5,607		$	(4,858)	$	36,123

DEPRECIATION AND AMORTIZATION	3,850			802			2,308			429		7,389
INTEREST EXPENSE	2,166			791			434			(246)		3,145
EBITDA	24,860			18,123			8,349			(4,675)		46,657

RESTRUCTURING AND INTEGRATION EXPENSES	1,602			373			257			791		3,023
ACQUISITION EXPENSES	—			—			—			(1,007)		(1,007)
SPECIAL ITEMS	1,602			373			257			(216)		2,016

EBITDA WITHOUT SPECIAL ITEMS	$	26,462		$	18,496		$	8,606		$	(4,891)	$	48,673
% of Net Sales	13.2		%	14.7		%	11.9		%			12.2		%

(In thousands)	THREE MONTHS ENDED SEPTEMBER 30, 2023
	Vehicle Control			Temperature Control			Engineered Solutions			All Other		Consolidated
	(Unaudited)
OPERATING INCOME

GAAP OPERATING INCOME	$	18,071		$	13,054		$	7,254		$	(3,573)	$	34,806


RESTRUCTURING AND INTEGRATION EXPENSES	45			107			25			—		177
OTHER INCOME, NET	(3)			—			(1)			—		(4)

NON-GAAP OPERATING INCOME	$	18,113		$	13,161		$	7,278		$	(3,573)	$	34,979

EBITDA WITHOUT SPECIAL ITEMS

GAAP EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	$	15,702		$	12,780		$	8,078		$	(3,643)	$	32,917

DEPRECIATION AND AMORTIZATION	3,482			908			2,450			492		7,332
INTEREST EXPENSE	2,563			942			620			(504)		3,621
EBITDA	21,747			14,630			11,148			(3,655)		43,870

RESTRUCTURING AND INTEGRATION EXPENSES	45			107			25			—		177
SPECIAL ITEMS	45			107			25			—		177

EBITDA WITHOUT SPECIAL ITEMS	$	21,792		$	14,737		$	11,173		$	(3,655)	$	44,047
% of Net Sales	11.4		%	11.9		%	15.6		%			11.4		%

MANAGEMENT BELIEVES THAT NON-GAAP OPERATING INCOME AND EBITDA WITHOUT SPECIAL ITEMS, EACH OF WHICH ARE NON-GAAP MEASUREMENTS AND ARE ADJUSTED FOR SPECIAL ITEMS, ARE MEANINGFUL TO INVESTORS BECAUSE THEY PROVIDE A VIEW OF THE COMPANY WITH RESPECT TO ONGOING OPERATING RESULTS. SPECIAL ITEMS REPRESENT SIGNIFICANT CHARGES OR CREDITS THAT ARE IMPORTANT TO AN UNDERSTANDING OF THE COMPANY'S OVERALL OPERATING RESULTS IN THE PERIODS PRESENTED. SUCH NON-GAAP MEASUREMENTS ARE NOT RECOGNIZED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND SHOULD NOT BE VIEWED AS AN ALTERNATIVE TO GAAP MEASURES OF PERFORMANCE.


STANDARD MOTOR PRODUCTS, INC.
Reconciliation of GAAP and Non-GAAP Measures by Segments






(In thousands)	NINE MONTHS ENDED SEPTEMBER 30, 2024
	Vehicle Control			Temperature Control			Engineered Solutions			All Other		Consolidated
	(Unaudited)
OPERATING INCOME

GAAP OPERATING INCOME	$	51,685		$	31,302		$	13,054		$	(19,297)	$	76,744

RESTRUCTURING AND INTEGRATION EXPENSES	2,712			678			654			1,730		5,774
ACQUISITION EXPENSES	—			—			—			1,404		1,404
OTHER INCOME, NET	—			—			(5)			—		(5)

NON-GAAP OPERATING INCOME	$	54,397		$	31,980		$	13,703		$	(16,163)	$	83,917

EBITDA WITHOUT SPECIAL ITEMS

GAAP EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	$	46,226		$	32,396		$	14,482		$	(19,177)	$	73,927

DEPRECIATION AND AMORTIZATION	10,981			2,480			7,240			1,307		22,008
INTEREST EXPENSE	5,492			2,048			1,804			(1,380)		7,964
EBITDA	62,699			36,924			23,526			(19,250)		103,899

RESTRUCTURING AND INTEGRATION EXPENSES	2,712			678			654			1,730		5,774
ACQUISITION EXPENSES	—			—			—			1,404		1,404
SPECIAL ITEMS	2,712			678			654			3,134		7,178

EBITDA WITHOUT SPECIAL ITEMS	$	65,411		$	37,602		$	24,180		$	(16,116)	$	111,077
% of Net Sales	11.4		%	11.7		%	10.8		%			9.9		%

(In thousands)	NINE MONTHS ENDED SEPTEMBER 30, 2023
	Vehicle Control			Temperature Control			Engineered Solutions			All Other		Consolidated
	(Unaudited)
OPERATING INCOME

GAAP OPERATING INCOME	$	54,719		$	20,938		$	19,064		$	(11,991)	$	82,730


RESTRUCTURING AND INTEGRATION EXPENSES	484			778			121			—		1,383
OTHER INCOME, NET	(65)			—			(9)			—		(74)

NON-GAAP OPERATING INCOME	$	55,138		$	21,716		$	19,176		$	(11,991)	$	84,039

EBITDA WITHOUT SPECIAL ITEMS

GAAP EARNINGS FROM CONTINUING OPERATIONS BEFORE TAXES	$	47,994		$	19,144		$	19,611		$	(12,026)	$	74,723

DEPRECIATION AND AMORTIZATION	10,267			2,439			7,417			1,338		21,461
INTEREST EXPENSE	7,608			2,677			1,616			(1,135)		10,766
EBITDA	65,869			24,260			28,644			(11,823)		106,950

RESTRUCTURING AND INTEGRATION EXPENSES	484			778			121			—		1,383
SPECIAL ITEMS	484			778			121			—		1,383

EBITDA WITHOUT SPECIAL ITEMS	$	66,353		$	25,038		$	28,765		$	(11,823)	$	108,333
% of Net Sales	11.9		%	8.5		%	13.4		%			10.1		%

MANAGEMENT BELIEVES THAT NON-GAAP OPERATING INCOME AND EBITDA WITHOUT SPECIAL ITEMS, EACH OF WHICH ARE NON-GAAP MEASUREMENTS AND ARE ADJUSTED FOR SPECIAL ITEMS, ARE MEANINGFUL TO INVESTORS BECAUSE THEY PROVIDE A VIEW OF THE COMPANY WITH RESPECT TO ONGOING OPERATING RESULTS. SPECIAL ITEMS REPRESENT SIGNIFICANT CHARGES OR CREDITS THAT ARE IMPORTANT TO AN UNDERSTANDING OF THE COMPANY'S OVERALL OPERATING RESULTS IN THE PERIODS PRESENTED. SUCH NON-GAAP MEASUREMENTS ARE NOT RECOGNIZED IN ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING PRINCIPLES AND SHOULD NOT BE VIEWED AS AN ALTERNATIVE TO GAAP MEASURES OF PERFORMANCE.


STANDARD MOTOR PRODUCTS, INC.
Condensed Consolidated Balance Sheets



(In thousands)


	SEPTEMBER		DECEMBER
	2024		2023
	(Unaudited)

ASSETS

CASH AND CASH EQUIVALENTS	$	26,348	$	32,526

ACCOUNTS RECEIVABLE, GROSS	225,827		168,327
ALLOWANCE FOR EXPECTED CREDIT LOSSES	8,697		8,045
ACCOUNTS RECEIVABLE, NET	217,130		160,282

INVENTORIES	503,015		507,075
UNRETURNED CUSTOMER INVENTORY	17,843		18,240
OTHER CURRENT ASSETS	28,873		26,100

TOTAL CURRENT ASSETS	793,209		744,223

PROPERTY, PLANT AND EQUIPMENT, NET	138,490		121,872
OPERATING LEASE RIGHT-OF-USE ASSETS	96,039		100,065
GOODWILL	134,725		134,729
OTHER INTANGIBLES, NET	85,837		92,308
DEFERRED INCOME TAXES	45,315		40,533
INVESTMENT IN UNCONSOLIDATED AFFILIATES	23,914		24,050
OTHER ASSETS	33,012		35,267

TOTAL ASSETS	$	1,350,541	$	1,293,047


LIABILITIES AND STOCKHOLDERS' EQUITY


CURRENT PORTION OF REVOLVING CREDIT FACILITY	$—		$—
CURRENT PORTION OF TERM LOAN AND OTHER DEBT	2,685		5,029
ACCOUNTS PAYABLE	112,404		107,455
ACCRUED CUSTOMER RETURNS	62,326		38,238
ACCRUED CORE LIABILITY	15,226		18,399
ACCRUED REBATES	53,163		42,278
PAYROLL AND COMMISSIONS	37,050		29,561
SUNDRY PAYABLES AND ACCRUED EXPENSES	69,666		63,303

TOTAL CURRENT LIABILITIES	352,520		304,263

LONG-TERM DEBT	140,163		151,182
NONCURRENT OPERATING LEASE LIABILITY	86,259		88,974


ACCRUED ASBESTOS LIABILITIES	89,544		72,013
OTHER LIABILITIES	28,611		25,742

TOTAL LIABILITIES	697,097		642,174

TOTAL SMP STOCKHOLDERS' EQUITY	638,833		635,064
NONCONTROLLING INTEREST	14,611		15,809
TOTAL STOCKHOLDERS' EQUITY	653,444		650,873

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	1,350,541	$	1,293,047


STANDARD MOTOR PRODUCTS, INC.
Condensed Consolidated Statements of Cash Flows



	(In thousands)


		NINE MONTHS ENDED
		SEPTEMBER 30,
		2024		2023
		(Unaudited)

	CASH FLOWS FROM OPERATING ACTIVITIES

	NET EARNINGS	$	30,482	$	27,866
	ADJUSTMENTS TO RECONCILE NET EARNINGS TO NET CASH
	PROVIDED BY OPERATING ACTIVITIES:
	DEPRECIATION AND AMORTIZATION	22,008		21,461
	LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES	24,727		28,201
	OTHER	4,473		4,701
	CHANGE IN ASSETS AND LIABILITIES:
	ACCOUNTS RECEIVABLE	(59,040)		(38,850)
	INVENTORY	2,895		54,286
	ACCOUNTS PAYABLE	4,487		15,852
	PREPAID EXPENSES AND OTHER CURRENT ASSETS	(2,739)		2,916
	SUNDRY PAYABLES AND ACCRUED EXPENSES	45,470		12,345
	OTHER	5,437		4,115
	NET CASH PROVIDED BY OPERATING ACTIVITIES	78,200		132,893


	CASH FLOWS FROM INVESTING ACTIVITIES

	ACQUISITIONS OF AND INVESTMENTS IN BUSINESSES	—		(3,954)
	CASH ACQUIRED IN STEP ACQUISITION	—		6,779
	CAPITAL EXPENDITURES	(34,136)		(17,977)
	OTHER INVESTING ACTIVITIES	18		95
	NET CASH USED IN INVESTING ACTIVITIES	(34,118)		(15,057)


	CASH FLOWS FROM FINANCING ACTIVITIES

	NET CHANGE IN DEBT	(13,422)		(92,149)
	PURCHASE OF TREASURY STOCK	(10,409)		—
	DIVIDENDS PAID	(19,004)		(18,846)
	PAYMENTS OF DEBT ISSUANCE COSTS	(4,183)		—
	OTHER FINANCING ACTIVITIES	(651)		(2)
	NET CASH USED IN FINANCING ACTIVITIES	(47,669)		(110,997)


	EFFECT OF EXCHANGE RATE CHANGES ON CASH	(2,591)		496
	NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(6,178)		7,335


CASH AND CASH EQUIVALENTS at beginning of period	32,526		21,150
CASH AND CASH EQUIVALENTS at end of period	$	26,348	$	28,485

Cover	Oct. 30, 2024
Cover [Abstract]
Document Type	8-K
Document Period End Date	Oct. 30, 2024
Registrant Name	STANDARD MOTOR PRODUCTS, INC.
Entity Incorporation, State or Country Code	NY
Entity File Number	001-04743
Entity Tax Identification Number	11-1362020
Entity Address, Address Line One	37-18 Northern Boulevard
Entity Address, City or Town	Long Island City
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	11101
City Area Code	718
Local Phone Number	392-0200
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	Common Stock, par value $2.00 per share
Trading Symbol	SMP
Security Exchange Name	NYSE
Entity Emerging Growth Company	false
Amendment Flag	false
Central Index Key	0000093389