Loading...
•
Feb 28, 2023
Enerpac Q2 2023 Earnings Report
Reported strong performance driven by solid execution and progress on the ASCEND transformation program, resulting in increased full-year guidance.
Key Takeaways
Enerpac Tool Group reported strong second-quarter results, with a 6% year-over-year increase in core sales. The company raised its full-year guidance due to solid year-to-date performance and success of its ASCEND transformation program.
Net sales were $142 million, with a 6% year-over-year increase in core sales.
GAAP diluted earnings per share was $0.12 and adjusted diluted EPS was $0.35.
Adjusted EBITDA margin was 22.7%, an increase of nearly 1,100 basis points year over year.
The company increased the expected annual adjusted EBITDA benefit of the ASCEND program from the original goal of $40-$50 million to a new goal of $50-$60 million as we exit fiscal 2024.
Enerpac
Enerpac
Enerpac Revenue by Segment
Revenue by Segment
Other Revenue
CapyFin.com Forward Guidance
Enerpac Tool Group expects full-year net sales of $580 to $600 million and an adjusted EBITDA range of $118 to $128 million, including an ASCEND EBITDA benefit of $32 to $38 million.
Positive Outlook
- Solid year-to-date performance
- The strengthening of the Euro and British Pound and resulting current foreign exchange rates
- The success of our ASCEND transformation program which is well ahead of plan
- ASCEND EBITDA benefit of $32 to $38 million
- Guidance is based on current foreign exchange rates and assumes that there is not a broad-based recession.
Challenges Ahead
- Global macroeconomic environment remains uncertain
- Assumes that there is not a broad-based recession
- Uncertainty related to market conditions in the industrial, oil & gas, energy, power generation, infrastructure, commercial construction, truck and automotive industries
- Impact of geopolitical activity, including the invasion of Ukraine by Russia and international sanctions imposed in response thereto
- Any further economic impact of the COVID-19 pandemic