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Mar 31, 2022

Park-Ohio Q1 2022 Earnings Report

Park-Ohio experienced revenue growth and improved profitability driven by strong customer demand and effective cost management.

Key Takeaways

Park-Ohio Holdings Corp. reported strong first quarter 2022 results with a 16% increase in revenues to $418.4 million compared to Q1 2021. GAAP EPS increased to $0.50 from $0.45 in Q1 2021, and adjusted EPS rose to $0.73 from $0.53 in the same period. The company benefited from strong customer demand, improved product pricing, and cost reduction efforts.

Revenues increased by 16% year-over-year, reaching $418.4 million.

GAAP EPS improved to $0.50, up from $0.45 in the first quarter of 2021.

Adjusted EPS increased to $0.73, compared to $0.53 in the first quarter of 2021.

The company expects continued revenue growth and profitability improvements throughout 2022.

Total Revenue
$418M
Previous year: $360M
+16.4%
EPS
$0.73
Previous year: $0.53
+37.7%
EBITDA
$27.6M
Previous year: $27.2M
+1.5%
Gross Profit
$53.7M
Previous year: $52M
+3.3%
Cash and Equivalents
$61.6M
Previous year: $58.9M
+4.6%
Free Cash Flow
-$10.1M
Previous year: $3.3M
-406.1%
Total Assets
$1.43B
Previous year: $1.32B
+8.6%

Park-Ohio

Park-Ohio

Park-Ohio Revenue by Segment

Forward Guidance

Park-Ohio anticipates record revenue levels in 2022, with approximately 15% year-over-year growth driven by robust customer demand across all segments. The company also expects significant profitability improvements for the full year and positive adjusted net income each quarter.

Positive Outlook

  • Strong customer demand in each segment.
  • Expected revenue growth of approximately 15% year-over-year.
  • Significant improvement in profitability compared to 2021.
  • Positive adjusted net income expected in each quarter of 2022.
  • Highest-ever bookings level in capital equipment business.

Challenges Ahead

  • Continuing macroeconomic headwinds.
  • Demand volatility.
  • Supply chain constraints.
  • Challenges throughout the supply chain are expected to persist throughout the year.
  • Uncertainties related to the global economic environment.

Revenue & Expenses

Visualization of income flow from segment revenue to net income