Mar 31, 2021

Sotera Health Q1 2021 Earnings Report

Sotera Health's first quarter of 2021 resulted in double-digit revenue growth, meaningful net income growth, and double-digit Adjusted EBITDA growth.

Key Takeaways

Sotera Health reported a strong start to 2021 with double-digit revenue and Adjusted EBITDA growth. Net revenues for Q1 2021 increased by 13% to $212 million, and net income was $11 million, or $0.04 per diluted share. The company reaffirmed its 2021 outlook.

Q1 2021 net revenues increased 13% to $212 million compared to Q1 2020.

Q1 2021 net income was $11 million, or $0.04 per diluted share, compared to a net loss of $2 million in Q1 2020.

Q1 2021 Adjusted EPS increased 80% to $0.18, compared to $0.10 in Q1 2020.

The company reaffirmed its 2021 outlook.

Total Revenue
$212M
Previous year: $188M
+12.7%
EPS
$0.18
Previous year: -$0.01
-1900.0%
Adjusted EBITDA
$105M
Previous year: $91.9M
+14.3%
Net Leverage Ratio
4.1
Gross Profit
$115M
Previous year: $96.5M
+19.5%
Cash and Equivalents
$108M
Previous year: $105M
+2.7%
Free Cash Flow
$35.2M
Previous year: -$7.3M
-582.5%
Total Assets
$2.78B

Sotera Health

Sotera Health

Sotera Health Revenue by Segment

Forward Guidance

Sotera Health reaffirmed its 2021 outlook, which was first provided on March 9, 2021.

Positive Outlook

  • Net revenues in the range of $890 million to $920 million, representing growth of approximately 9% to 12%, compared to the prior year.
  • Adjusted EBITDA in the range of $465 million to $485 million, representing growth of approximately 11% to 16%, compared to the prior year.
  • Tax rate applicable to Adjusted Net Income of approximately 28%.
  • Adjusted EPS in the range of $0.78 to $0.86.
  • Net leverage reduction of approximately 3⁄4 of a turn.

Revenue & Expenses

Visualization of income flow from segment revenue to net income