Astronics Q3 2022 Earnings Report
Key Takeaways
Astronics Corporation reported Q3 2022 financial results with sales of $131.4 million, an 18% increase over the prior-year period. The operating loss was $14.3 million, including $4.6 million in atypical costs. Bookings totaled $184.2 million, up 20% over the prior-year period, resulting in a book-to-bill ratio of 1.40. Backlog increased 32% from year-end 2021 to a record $547.1 million, with aerospace backlog reaching a record $464.3 million.
Sales for the quarter were $131.4 million, up 18% over the prior-year period.
Operating loss was $14.3 million, including $4.6 million in atypical costs, a portion of which is expected to be recovered in the fourth quarter.
Bookings totaled $184.2 million, up 20% over the prior-year period; achieved book-to-bill ratio of 1.40.
Backlog increased 32% from year end 2021 to a record $547.1 million; Aerospace backlog reached a record $464.3 million
Astronics
Astronics
Astronics Revenue by Segment
Forward Guidance
The Company expects sales of $140 million to $150 million in the fourth quarter of 2022 and initial look at 2023 suggests sales of $640 million to $680 million.
Positive Outlook
- Revenue has been starting to ramp and we believe it will accelerate as we move forward.
- Expecting sales of $140 million to $150 million in the fourth quarter of 2022, an increase of 10%, or $14 million, at the midpoint over the trailing third quarter.
- Estimated 2022 sales to be up approximately 17% from last year’s revenue of $445 million.
- Initial look at 2023 suggests sales of $640 million to $680 million.
- Anticipate continued recovery over the course of 2023.
Challenges Ahead
- Disappointed with the lower sales level for the year than we had previously anticipated.
- Supply chain has been a challenge during the last year.
- Refinancing process has taken much longer than expected given delays with property appraisals as well as the many elements of the structure.
- Margins were under pressure in the quarter because of inflation and supply chain challenges that are widespread these days.
- Significant legal and customer accommodation expenses of $4 million, part of which we expect to recover.
Revenue & Expenses
Visualization of income flow from segment revenue to net income