Sep 30, 2023

Lincoln Electric Q3 2023 Earnings Report

Net sales increased, operating income margin and adjusted operating income margin were up, and EPS and adjusted EPS reached record levels.

Key Takeaways

Lincoln Electric reported a strong third quarter with record sales, profit, earnings, and cash flow performance. Net sales increased by 10.5% to $1,033 million, driven by acquisitions and organic growth. The operating income margin was 16.6%, and the adjusted operating income margin reached a record 17.7%. EPS was $2.22, and adjusted EPS was $2.40.

Net sales increased 10.5% to record $1,033 million

Operating income margin of 16.6%; Record adjusted operating income margin of 17.7%

Record EPS of $2.22; Record adjusted EPS of $2.40

Cash flows from operations increase 71% to record $223 million with 141% cash conversion

Total Revenue
$1.03B
Previous year: $935M
+10.5%
EPS
$2.4
Previous year: $2.04
+17.6%
Operating Margin
16.6%
Previous year: 15.2%
+9.2%
Adjusted Operating Margin
17.7%
Previous year: 16.4%
+7.9%
Gross Profit
$366M
Previous year: $310M
+18.1%
Cash and Equivalents
$343M
Previous year: $141M
+142.5%
Free Cash Flow
$223M
Total Assets
$3.33B
Previous year: $2.65B
+25.4%

Lincoln Electric

Lincoln Electric

Lincoln Electric Revenue by Segment

Forward Guidance

Given the resilience of key end markets, strong October order rates, and a high backlog of fourth quarter automation shipments, the company expects to maintain strong sales performance through year-end.

Revenue & Expenses

Visualization of income flow from segment revenue to net income