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Jun 30, 2024

Trimble Q2 2024 Earnings Report

Reported record annualized recurring revenue and second quarter gross margin, demonstrating business transformation and favorable mix shift.

Key Takeaways

Trimble announced strong Q2 2024 results, with revenue and EPS exceeding guidance. ARR reached a record $2.11 billion, and gross margin also hit a record level. The company is raising its full-year guidance for revenue and earnings per share.

Revenue was $870.8 million, down 12 percent year-over-year but up 1 percent organically.

ARR reached $2.11 billion, up 12 percent year-over-year and 14 percent organically.

GAAP EPS was $5.34, and non-GAAP EPS was $0.62.

Adjusted EBITDA was $214.0 million, representing 24.6 percent of revenue.

Total Revenue
$871M
Previous year: $994M
-12.4%
EPS
$0.62
Previous year: $0.64
-3.1%
Annual Recurring Revenue
$2.11B
Previous year: $1.88B
+12.2%
Operating Margin
7.1%
Previous year: 9.4%
-24.5%
Gross Profit
$546M
Previous year: $605M
-9.7%
Cash and Equivalents
$944M
Previous year: $237M
+297.9%
Free Cash Flow
$73.3M
Previous year: $130M
-43.5%
Total Assets
$9.6B
Previous year: $9.56B
+0.4%

Trimble

Trimble

Forward Guidance

For the full-year 2024, Trimble expects to report revenue between $3,590 million and $3,670 million, GAAP earnings per share of $6.41 to $6.54, and non-GAAP earnings per share of $2.67 to $2.81. For the third quarter of 2024, Trimble expects to report revenue between $840 million and $880 million, GAAP earnings per share of $0.28 to $0.34, and non-GAAP earnings per share of $0.58 to $0.64.

Positive Outlook

  • Full-year 2024 revenue expected between $3,590 million and $3,670 million.
  • Full-year 2024 GAAP earnings per share expected between $6.41 and $6.54.
  • Full-year 2024 non-GAAP earnings per share expected between $2.67 and $2.81.
  • Third quarter 2024 revenue expected between $840 million and $880 million.
  • Third quarter 2024 GAAP earnings per share expected between $0.28 and $0.34.

Challenges Ahead

  • Third quarter 2024 non-GAAP earnings per share expected between $0.58 and $0.64.
  • GAAP guidance assumes a tax rate of 24.0 percent for the full year 2024.
  • Non-GAAP guidance assumes a tax rate of 17.2 percent for the full year 2024.
  • GAAP guidance assumes a tax rate of 16.2 percent for the third quarter 2024.
  • Non-GAAP guidance assumes a tax rate of 17.2 percent for the third quarter 2024.