LKQ Corporation, the parent company of LKQ Euro Car Parts, has announced key leadership changes and brought in specialist business advisors Alvarez & Marsal to support operational improvements across its European network.
The move was confirmed alongside preliminary third-quarter financial results that reflect softer parts volumes in key regions, including the UK, and supply chain headwinds on the continent.
As part of the leadership transition, Justin Jude has stepped down from his role as President and Chief Executive Officer with immediate effect. He will be succeeded by Salvatore A. Abbate, who officially takes the helm on 15 December.
In the interim, Board Chairman John Mendel and Audit Committee Chair Sue Gove are leading an interim Office of the CEO to oversee strategic execution.
UK automotive aftermarket
In a move notable to the UK aftermarket, Andy Hamilton, former President and Managing Director of LKQ Europe and currently Senior Advisor to the CEO, will depart the business on 31 December 2026.
Andy is widely known across the UK workshop sector, having previously served as CEO of LKQ Euro Car Parts before his European appointment.
LKQ’s preliminary third-quarter figures indicate group revenue of $3.32 billion, down from $3.50 billion in Q3 2025. European organic parts and services revenue contracted by 9.8%, with segment EBITDA margins moderating to between 4.1% and 5.1%.
LKQ attributed its European slowdown primarily to software integration fallout from an ongoing German ERP rollout, alongside falling parts volumes across mature markets, notably the UK and Benelux.
Following the leadership changes, operational hurdles in Europe, and preliminary Q3 figures, LKQ has withdrawn its full-year 2026 financial guidance ahead of its formal investor presentation scheduled for 29 October.
Operational support
To accelerate European operational performance, LKQ’s board has engaged Alvarez & Marsal (A&M).
The advisory firm’s mandate will focus directly on restoring customer service levels across branch networks and improving supply chain, warehouse, and logistics execution.
“LKQ’s performance, particularly in Europe, has fallen significantly short of the Board’s expectations, and the Board is taking decisive action to address it,” said Board Chairman John Mendel. “Together with LKQ’s talented teams, we are focused on improving execution and delivering improved results for our stakeholders.”
LKQ Corporation will host its formal Q3 earnings call on 29 October, where further details on European strategic initiatives are expected.
Why it Matters
High-level corporate adjustments are always viewed through the lens of day-to-day workshop reality: parts availability, delivery speed, and factor reliability.
The UK aftermarket has navigated a challenging economic backdrop over the past year, with workshops managing cash flow carefully and vehicle owners frequently deferring non-critical maintenance.
In this climate, garages depend heavily on swift, dependable factor delivery to keep ramp utilisation high.
LKQ’s clear intention in bringing in operational specialists is to reinforce supply chain resilience right down to the local delivery van.
Incoming CEO Sal Abbate brings extensive executive experience in large-scale distribution networks, which will be central to supporting branch capabilities into 2027.
