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Jun 30, 2023

Mirion Q2 2023 Earnings Report

Mirion's financial performance was strong, marked by revenue growth and backlog expansion.

Key Takeaways

Mirion announced strong second quarter results with a 12.2% increase in revenues to $197.2 million. The company updated its full year 2023 guidance, expecting revenue growth of 8% to 10% and adjusted EBITDA of $175 million to $185 million.

Revenues for the second quarter increased 12.2% to $197.2 million, compared to $175.8 million in the same period last year.

Net loss was $28.4 million in the second quarter, compared to a net loss of 59.3 million in the same period last year.

Adjusted EBITDA was $44.3 million, a 4.0% increase from $42.6 million in the same period last year.

Net loss per share for the second quarter was $0.14, compared to $0.32 in the second quarter of 2022. Adjusted earnings per share for the quarter was $0.08, compared to $0.13 in the same period last year.

Total Revenue
$197M
Previous year: $176M
+12.2%
EPS
$0.08
Previous year: $0.13
-38.5%
Adjusted EBITDA
$44.3M
Previous year: $42.6M
+4.0%
Gross Profit
$88M
Previous year: -$60.6M
-245.2%
Cash and Equivalents
$87.4M
Previous year: $90.6M
-3.5%
Free Cash Flow
-$1.2M
Previous year: $24M
-105.0%
Total Assets
$2.7B
Previous year: $2.92B
-7.6%

Mirion

Mirion

Forward Guidance

Mirion updated its guidance for the fiscal year ending December 31, 2023, expecting revenue growth of 8% - 10%, adjusted EBITDA of $175 million - $185 million, and adjusted EPS of $0.28 - $0.34.

Positive Outlook

  • Revenue growth of 8% - 10%, compared to 6% - 9% previously
  • Organic revenue growth of 6% - 8%, compared to 4% - 7% previously
  • Adjusted EBITDA of $175 million - $185 million, compared to $172 million - $182 million previously
  • Adjusted EPS of $0.28 - $0.34, which is unchanged
  • Euro to U.S. Dollar foreign exchange conversion rate of 1.09

Challenges Ahead

  • Adjusted free cash flow of $45 million - $75 million, compared to $58 million - $78 million previously
  • Net interest expense of approximately $60 million (approximately $55 million of cash interest)
  • Approximately 199 million shares of Class A common stock outstanding
  • Inorganic revenue growth is expected to be approximately 1.0%, including benefits from the SIS acquisition, offset by the Biodex rehab divestiture, which closed early in the second quarter.
  • Foreign exchange rates are expected to result in a positive 0.5% impact to revenue growth.