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Mar 31, 2020

Enpro Q1 2020 Earnings Report

Enpro Industries reported mixed results for Q1 2020, with sales declining but profitability improving due to strategic actions and cost management.

Key Takeaways

EnPro Industries reported a decrease in sales by 6.7% to $282.7 million, but an increase in segment profit by 7.8% to $29.1 million. Adjusted EBITDA increased by 19.4% to $40.6 million, and adjusted diluted earnings per share increased by 37.8% to $0.62. The company withdrew its 2020 guidance due to macroeconomic uncertainty related to the COVID-19 pandemic.

Sales decreased by 6.7% to $282.7 million due to weakness in heavy-duty truck, general industrial, automotive, and petrochemical markets.

Segment profit increased by 7.8% to $29.1 million, driven by acquisitions and cost reductions.

Adjusted EBITDA increased by 19.4% to $40.6 million, with adjusted EBITDA margin improving to 14.4%.

The company withdrew its 2020 guidance due to the uncertainty surrounding the COVID-19 pandemic.

Total Revenue
$283M
Previous year: $360M
-21.5%
EPS
$0.62
Previous year: $0.72
-13.9%
Adjusted EBITDA
$40.6M
Previous year: $34M
+19.4%
Adjusted EBITDA Margin
14.4%
Previous year: 11.2%
+28.6%
Gross Profit
$95.3M
Previous year: $113M
-15.7%
Cash and Equivalents
$391M
Previous year: $131M
+198.7%
Total Assets
$2.04B
Previous year: $1.74B
+17.1%

Enpro

Enpro

Enpro Revenue by Segment

Forward Guidance

EnPro Industries withdrew its 2020 adjusted EBITDA and adjusted diluted EPS guidance due to the evolving macroeconomic climate and uncertainty surrounding the COVID-19 pandemic. They are also suspending their quarterly practice of providing updated guidance.

Revenue & Expenses

Visualization of income flow from segment revenue to net income