Loading...
•
Sep 30, 2021
Mistras Q3 2021 Earnings Report
Top-line growth recovered, and bottom-line performance significantly improved with revenue up by 18%, operating income expanded by 61%, and net income increased by 122%.
Key Takeaways
MISTRAS Group, Inc. reported strong third-quarter results with revenue growth of 18% and significant improvements in operating and net income. The company's proprietary technologies, OneSuite™ and Sensoria™, are gaining traction.
Revenue increased by 18.0% to $174.6 million.
Gross profit increased by 10.2% to $52.2 million, with a gross profit margin of 29.9%.
Operating income increased by 60.8% to $9.2 million.
Net income increased by 122% to $3.4 million, or $0.11 per diluted share.
Revenue by Segment
Forward Guidance
For the fourth quarter of 2021, the Company expects revenue to be flat with the prior year quarter, primarily due to the energy markets’ immediate focus on peak uptime and a lagging commercial aerospace recovery. Adjusted EBITDA is expected to contract modestly in the fourth quarter of 2021.
Positive Outlook
- Continuing stabilization in crude oil markets
- Ongoing effectiveness of COVID-19 vaccination and booster rollout
- No significant global supply chain disruptions or labor shortages
Challenges Ahead
- Ongoing COVID-19 pandemic continues to impact the Company
- Effect is most pronounced on the Company’s second largest market Aerospace and Defense, especially in the commercial sector
- Energy markets’ immediate focus on peak uptime
- Lagging commercial aerospace recovery
- Substantially all of the remaining temporary cost reductions initiated in 2020 having been fully reversed during the third quarter of 2021, and a lower level of Canadian wage subsidies in 2021 versus 2020.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...