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Dec 31, 2020

Ingersoll Rand Q4 2020 Earnings Report

Ingersoll Rand reported a revenue increase driven by the Transaction, while net income and adjusted EBITDA also saw positive growth.

Key Takeaways

Ingersoll Rand reported Q4 revenues of $1.5 billion, a 149% increase versus the prior year. Net income attributable to Ingersoll Rand was $152 million, or $0.36 per share. Adjusted EBITDA was $344 million, up 10% from the prior year, with an Adjusted EBITDA margin of 22.8%. The company executed approximately $175 million of annualized Transaction-related cost synergies.

Reported revenues increased to $1.5 billion, up 149% year-over-year.

Net income attributable to Ingersoll Rand was $152 million, or $0.36 per share.

Adjusted EBITDA reached $344 million, a 10% increase year-over-year, with a margin of 22.8%.

Executed $175 million in annualized Transaction-related cost synergies.

Total Revenue
$1.51B
Previous year: $606M
+149.4%
EPS
$0.53
Previous year: $0.37
+43.2%
Total Orders
$1.53B
Previous year: $308M
+396.8%
Adjusted EBITDA
$344M
Previous year: $135M
+154.8%
Adj. EBITDA Margin
22.8%
Previous year: 22.3%
+2.2%
Gross Profit
$527M
Previous year: $225M
+133.9%
Cash and Equivalents
$1.75B
Previous year: $506M
+246.4%
Free Cash Flow
$397M
Previous year: $90M
+341.1%
Total Assets
$16.1B
Previous year: $4.63B
+247.0%

Ingersoll Rand

Ingersoll Rand

Ingersoll Rand Revenue by Segment

Forward Guidance

The company expects continued improving demand trends in 2021. The expectation for the Industrial Technologies and Services, Precision and Science Technologies and Specialty Vehicle Technologies Segments is mid-single digit organic revenue growth. Full-year 2021 revenue growth of high-single to low-double digits and Adjusted EBITDA of $1,230 to $1,260 million, up 14% to 17% over prior year.

Positive Outlook

  • Continued improving demand trends in 2021
  • Mid-single digit organic revenue growth in Industrial Technologies and Services, Precision and Science Technologies and Specialty Vehicle Technologies Segments
  • Low-single digit tailwind from FX for the total company
  • Tuthill Vacuum and Blower Systems acquisition expected to deliver approximately $60 million in revenue
  • Full-year 2021 revenue growth of high-single to low-double digits

Revenue & Expenses

Visualization of income flow from segment revenue to net income