Dec 31, 2020

Lincoln Electric Q4 2020 Earnings Report

Lincoln Electric reported a decrease in net sales, but an increase in EPS and adjusted EPS for Q4 2020.

Key Takeaways

Lincoln Electric reported a decrease in net sales by 5.8% to $693.8 million. EPS increased by 4.9% to $1.08, and adjusted EPS increased by 7.8% to $1.24. The company also reported record fourth quarter cash flows from operations of $135.8 million.

Net sales decreased by 5.8% to $693.8 million due to a 5.6% decrease in organic sales.

Operating income margin was 12.0%, while adjusted operating income margin was 13.4%.

EPS increased by 4.9% to $1.08, and adjusted EPS increased by 7.8% to $1.24.

Record fourth quarter cash flows from operations reached $135.8 million, with a 152% cash conversion rate.

Total Revenue
$694M
Previous year: $736M
-5.8%
EPS
$1.24
Previous year: $1.15
+7.8%
Operating Margin
12%
Previous year: 11.2%
+7.1%
Adjusted Operating Margin
13.4%
Previous year: 12.4%
+8.1%
Gross Profit
$229M
Previous year: $241M
-4.8%
Cash and Equivalents
$257M
Previous year: $200M
+28.9%
Total Assets
$2.31B
Previous year: $2.37B
-2.4%

Lincoln Electric

Lincoln Electric

Lincoln Electric Revenue by Segment

Forward Guidance

Looking ahead, the company is well-positioned to capitalize on growth and increase profitability and returns as it focuses on achieving its long-term Higher Standard 2025 Strategy goals and superior long-term value for its stakeholders.

Revenue & Expenses

Visualization of income flow from segment revenue to net income