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Jun 30, 2024

Advanced Energy Q2 2024 Earnings Report

Second quarter financial results exceeded expectations, with sequential revenue growth in three of our four markets.

Key Takeaways

Advanced Energy reported Q2 2024 results with revenue at $364.9 million, GAAP EPS at $0.41, and non-GAAP EPS at $0.85. The company continues to work with customers to incorporate AE's technologies and execute its manufacturing consolidation plan.

Revenue was $364.9 million, at the higher end of guidance.

GAAP EPS from continuing operations was $0.41, above the mid-point of guidance.

Non-GAAP EPS was $0.85, above the mid-point of guidance

The company expects to incur employment-related charges for severance, benefits expenses, payroll taxes, and facility exit costs.

Total Revenue
$365M
Previous year: $416M
-12.2%
EPS
$0.85
Previous year: $1.11
-23.4%
Gross Profit
$128M
Previous year: $147M
-13.1%
Cash and Equivalents
$986M
Previous year: $455M
+116.6%
Free Cash Flow
$6.9M
Total Assets
$2.54B

Advanced Energy

Advanced Energy

Advanced Energy Revenue by Segment

Advanced Energy Revenue by Geographic Location

Forward Guidance

Advanced Energy provided guidance for Q3 2024, with revenue expected to be $370 million +/- $20 million, GAAP EPS from continuing operations expected to be ($0.10) +/- $0.25, and non-GAAP EPS expected to be $0.90 +/- $0.25.

Positive Outlook

  • Revenue is expected to be $370 million +/- $20 million.
  • Stock-based compensation for non-GAAP EPS is expected to be 0.28
  • Amortization of intangible assets for non-GAAP EPS is expected to be 0.19
  • Restructuring, asset impairments, and other charges for non-GAAP EPS is expected to be 0.77
  • Tax effects of excluded items for non-GAAP EPS is expected to be (0.24)

Challenges Ahead

  • GAAP EPS from continuing operations is expected to be ($0.10) +/- $0.25.
  • Non-GAAP EPS is expected to be $0.90 +/- $0.25.
  • GAAP earnings per share is expected to be $(0.35) on the low end
  • Tax effects of excluded items is expected to be (0.24)
  • Stock-based compensation, Amortization of intangible assets and Restructuring, asset impairments are negative factors for the company

Revenue & Expenses

Visualization of income flow from segment revenue to net income