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Dec 31, 2023

Dorman Q4 2023 Earnings Report

Dorman's Q4 2023 performance reflected record profits and robust cash flow driven by gross margin improvement.

Key Takeaways

Dorman Products reported a decrease in net sales by 1% to $494.3 million, influenced by an extra week in the previous year's quarter. However, excluding this impact, net sales would have increased by 3%. The company achieved record diluted EPS of $1.60, up 182%, and adjusted diluted EPS of $1.57, a 55% increase. They also generated $60 million in cash from operating activities, repaid $30 million in debt, and repurchased $15 million of shares.

Net sales decreased by 1% to $494.3 million, but would have increased 3% excluding the impact of an extra week in the prior year.

Diluted EPS increased by 182% to a record $1.60.

Adjusted diluted EPS increased by 55% to $1.57.

Generated $60 million in cash from operating activities, repaid $30 million in debt and repurchased $15 million of its shares.

Total Revenue
$494M
Previous year: $501M
-1.4%
EPS
$1.57
Previous year: $1.01
+55.4%
Gross Margin
39.3%
Previous year: 31.5%
+24.8%
Gross Profit
$194M
Previous year: $158M
+23.1%
Cash and Equivalents
$36.8M
Previous year: $46M
-20.0%
Free Cash Flow
$48.6M
Previous year: -$1.76M
-2863.8%
Total Assets
$2.29B
Previous year: $2.34B
-2.1%

Dorman

Dorman

Forward Guidance

The Company expects 2024 full year net sales growth in the range of 3% to 5% over 2023, diluted EPS in the range of $4.71 to $5.01, and adjusted diluted EPS* in the range of $5.40 to $5.70. This guidance assumes a tax rate of 24%, includes the impact of recent cost reduction actions and excludes any potential impacts from future acquisitions and divestitures, supply chain disruptions, significant inflation and interest rate changes, and share repurchases.