MRC Global Q4 2022 Earnings Report
Key Takeaways
MRC Global reported a strong finish to 2022, with fourth quarter revenue consistent with previous guidance and ahead of the normal seasonal decline. Full year 2022 performance was exceptional and benefitted greatly from the company's growth and diversification strategy.
Sales of $869 million, an increase of 27% compared to the same quarter of 2021
Adjusted EBITDA of $66 million, 7.6% of sales, a 70-basis point improvement over the prior year
Adjusted Gross Profit, as a percentage of sales, of 21.2%, the third consecutive quarter exceeding 21%
Cash flow provided by operations of $10 million during the fourth quarter, for a total of $43 million in the second half of 2022
MRC Global
MRC Global
Forward Guidance
The company maintains its positive outlook for 2023 with solid fundamentals anticipated for each of its business sectors and geographic segments. They reaffirm their previous 2023 guidance targeting double-digit revenue growth and adjusted EBITDA margins to exceed 8%. They are increasing their guidance for expected cash flow from operations in 2023 to now exceed $120 million, up from $100 million previously.
Positive Outlook
- Double-digit revenue growth
- Adjusted EBITDA margins to exceed 8%
- Cash flow from operations in 2023 to exceed $120 million
- Solid fundamentals anticipated for each business sector
- Solid fundamentals anticipated for each geographic segment