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Mar 31, 2022

ChampionX Q1 2022 Earnings Report

ChampionX reported solid results led by robust top-line growth.

Key Takeaways

ChampionX reported first quarter 2022 results with revenue of $866.0 million, a 26% increase year-over-year. Net income was $36.7 million and adjusted EBITDA was $124.8 million. The company delivered targeted annualized cost synergies of $125 million exiting the first quarter.

Revenue of $866.0 million, increased 26% year-over-year, and 5% sequentially

Net income attributable to ChampionX of $36.7 million; adjusted net income of $45.5 million

Adjusted EBITDA of $124.8 million, increased 32% year-over-year, and decreased 6% sequentially

ChampionX initiated a regular quarterly dividend of $0.075 per share of common stock.

Total Revenue
$866M
Previous year: $685M
+26.4%
EPS
$0.22
Previous year: $0.08
+175.0%
Gross Profit
$208M
Previous year: $162M
+27.9%
Cash and Equivalents
$177M
Previous year: $260M
-31.8%
Free Cash Flow
-$61M
Previous year: $64.6M
-194.4%
Total Assets
$3.57B
Previous year: $3.48B
+2.8%

ChampionX

ChampionX

ChampionX Revenue by Segment

Forward Guidance

For the second quarter, ChampionX expects revenue to be between $875 million and $905 million, with growth expected in each of its businesses. They expect adjusted EBITDA of $134 million to $142 million.

Positive Outlook

  • Top-line momentum to continue
  • Volume improvements and price increase realization to offset raw material cost inflation
  • Sequential margin improvement
  • Growth expected in each of our businesses
  • Constructive demand tailwinds in our businesses that support a favorable multi-year outlook for our sector

Revenue & Expenses

Visualization of income flow from segment revenue to net income