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Mar 31, 2022

Myers Industries Q1 2022 Earnings Report

Myers Industries reported a record earnings quarter driven by successful execution of its 3-Horizon strategy and raised its full year fiscal 2022 outlook.

Key Takeaways

Myers Industries reported a strong first quarter in 2022, with net sales increasing by 29% to $225.5 million and adjusted EBITDA increasing by 82% to $31.0 million. The company's success is attributed to the execution of their 'One Myers' strategic vision, leading to double-digit top-line expansion and margin expansion. As a result, the company raised its outlook for 2022, including increasing its adjusted EPS range from $1.20 - $1.40 to $1.30 - $1.50.

Net sales increased 29% to $225.5 million compared to the first quarter of 2021.

Organic net sales increased 23% compared to the first quarter of 2021.

Adjusted EBITDA increased 82% to $31.0 million compared to the first quarter of 2021.

Net income per diluted share increased 135% to $0.47, compared with $0.20 for the first quarter of 2021

Total Revenue
$225M
Previous year: $174M
+29.3%
EPS
$0.5
Previous year: $0.22
+127.3%
Gross Margin
31.9%
Previous year: 28.9%
+10.4%
Gross Profit
$71.9M
Previous year: $50.4M
+42.7%
Cash and Equivalents
$17.6M
Previous year: $16.7M
+5.5%
Free Cash Flow
$2.2M
Previous year: $1.35M
+63.0%
Total Assets
$517M
Previous year: $420M
+23.1%

Myers Industries

Myers Industries

Myers Industries Revenue by Segment

Forward Guidance

The Company updated its outlook for fiscal 2022, and currently forecasts: •Net sales growth in the low to mid double-digit range with approximately one quarter of the increase due to the acquisition of Trilogy Plastics •Diluted EPS in the range of $1.28 to $1.48; adjusted diluted EPS in the range of $1.30 to $1.50 •Capital expenditures to be in the range of $25 to $28 million •Effective tax rate to approximate 26%

Positive Outlook

  • Net sales growth in the low to mid double-digit range.
  • Approximately one quarter of the increase due to the acquisition of Trilogy Plastics
  • Diluted EPS in the range of $1.28 to $1.48
  • Adjusted diluted EPS in the range of $1.30 to $1.50
  • Capital expenditures to be in the range of $25 to $28 million

Challenges Ahead

  • Effective tax rate to approximate 26%
  • impacts from the COVID-19 pandemic on our business, conditions, customers and capital position
  • the impact of COVID-19 on local, national and global economic conditions
  • the effects of various governmental responses to the COVID-19 pandemic, raw material availability, increases in raw material costs, or other production costs
  • impacts of price increases, risks associated with our strategic growth initiatives or the failure to achieve the anticipated benefits of such initiatives

Revenue & Expenses

Visualization of income flow from segment revenue to net income