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Jun 30, 2023

Pool Corp. Q2 2023 Earnings Report

Reported second largest revenue quarter in company history and updated its 2023 earnings guidance.

Key Takeaways

Pool Corporation reported a decrease in net sales by 10% to $1.9 billion compared to Q2 2022, but achieved its second largest revenue quarter in company history. Operating income decreased by 22% to $327.0 million, with an operating margin of 17.6%. The company updated its annual earnings guidance to $13.14 - $14.14 per diluted share.

Net sales reached $1.9 billion, marking the second largest revenue quarter in company history.

Operating income was $327.0 million with an operating margin of 17.6%.

Q2 2023 diluted EPS was $5.91, or $5.89 without tax benefits.

Annual earnings guidance range updated to $13.14 - $14.14 per diluted share.

Total Revenue
$1.86B
Previous year: $2.06B
-9.7%
EPS
$5.91
Previous year: $7.63
-22.5%
Gross Profit
$568M
Previous year: $667M
-14.8%
Cash and Equivalents
$53.2M
Previous year: $91.5M
-41.8%
Free Cash Flow
$259M
Previous year: $226M
+14.5%
Total Assets
$3.68B
Previous year: $3.96B
-7.1%

Pool Corp.

Pool Corp.

Forward Guidance

The company has adjusted its annual earnings guidance based on results to date and now expects diluted earnings per share to be in the range of $13.14 to $14.14, including the impact of year-to-date tax benefits of $0.14.

Positive Outlook

  • Industry will benefit from longer-term demographic and socioeconomic trends
  • Benefit from outdoor living
  • Benefit from southern migration
  • Benefit from technological advancements
  • Benefit from environmentally sustainable products

Challenges Ahead

  • Current macro trends to remain a challenge over the short term