Dec 31, 2022

inTEST Q4 2022 Earnings Report

Solid execution of the 5-Point Strategy drove record revenue for the fourth quarter and full year 2022.

Key Takeaways

inTEST Corporation announced record fourth quarter revenue of $32.4 million, a 45% increase, and full year 2022 revenue of $116.8 million, a 38% increase. Q4 earnings per diluted share were $0.30, with orders of $31.3 million, up 3% year-over-year.

Record fourth quarter revenue increased 45% to $32.4 million.

Fourth quarter earnings per diluted share were $0.30.

Fourth quarter orders increased 3% to $31.3 million.

Demand was strong in semiconductor, automotive (including EV), defense/aerospace, and life sciences.

Total Revenue
$32.4M
Previous year: $22.4M
+44.9%
EPS
$0.34
Previous year: $0.07
+385.7%
Gross Profit
$14.7M
Previous year: $12.6M
+16.7%
Cash and Equivalents
$14.6M
Previous year: $21.2M
-31.1%
Free Cash Flow
$1.95M
Previous year: $2.29M
-15.1%
Total Assets
$110M
Previous year: $133M
-17.2%

inTEST

inTEST

Forward Guidance

The Company expects to deliver between $125 million to $130 million in revenue for 2023. Revenue for the first quarter of 2023 is expected to be in the range of $30 million to $32 million with gross margin of approximately 45%. First quarter 2023 EPS is expected to be in the range of $0.21 to $0.26, while adjusted EPS is expected to be in the range of $0.25 to $0.30.

Positive Outlook

  • Expects to deliver high single-digit organic growth in 2023.
  • Confident in the team and their ability to execute and deliver on strategic goals.
  • Gross margin in 2023 is expected to be consistent with 2022, or between 45% and 46%.
  • First quarter 2023 gross margin of approximately 45%.
  • First quarter 2023 EPS is expected to be in the range of $0.21 to $0.26, while adjusted EPS is expected to be in the range of $0.25 to $0.30.

Challenges Ahead

  • Quarterly cadence may vary.
  • Macroeconomic conditions remain unchanged through the end of the year.
  • Actual results may differ materially from what is provided.
  • Operating expenses are expected to be in the range of $44 million to $46 million.
  • The effective tax rate is expected to be consistent with 2022.