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Mar 31, 2021

nVent Q1 2021 Earnings Report

Returned to growth with strong execution across all segments, exceeding previously issued guidance.

Key Takeaways

nVent Electric plc announced strong first quarter performance, exceeding guidance with sales of $549 million, up 5% from Q1 2020. The company reported EPS of $0.39 and adjusted EPS of $0.43, with significant margin expansion and strong cash flow. They are raising full-year sales and EPS guidance.

Reported sales of $549 million, up 5%, led by Enclosures up 7%; nVent organic sales up 2%

Reported EPS of $0.39; Adjusted EPS of $0.43, exceeding high end of guidance range

Cash Flows from Operations of $50 million; $40 million of Free Cash Flow, up vs 2020

Raising full-year sales and EPS guidance

Total Revenue
$549M
Previous year: $521M
+5.4%
EPS
$0.43
Previous year: $0.34
+26.5%
Reported ROS
14.6%
Previous year: 11.6%
+25.9%
Adjusted ROS
17.7%
Previous year: 15.6%
+13.5%
Gross Profit
$209M
Previous year: $195M
+7.0%
Cash and Equivalents
$105M
Previous year: $188M
-44.2%
Free Cash Flow
$40M
Previous year: -$2.4M
-1766.7%
Total Assets
$4.4B
Previous year: $4.73B
-7.0%

nVent

nVent

nVent Revenue by Segment

Forward Guidance

The company now estimates reported sales growth for the full-year 2021 of up 8 to 11 percent and full-year 2021 EPS of $1.39 to $1.47 on a GAAP basis and adjusted EPS of $1.67 to $1.75. The company estimates reported sales for the second quarter of 2021 to be up 18 to 21 percent and second quarter 2021 EPS on a GAAP basis of $0.28 to $0.32 and adjusted EPS of $0.36 to $0.40.

Positive Outlook

  • Full-year sales growth of 8-11%
  • Organic sales growth of 5-8%
  • Full-year EPS of $1.39 to $1.47 (GAAP)
  • Full-year adjusted EPS of $1.67 to $1.75
  • Second quarter sales growth of 18-21%

Challenges Ahead

  • Second quarter EPS of $0.28 to $0.32 (GAAP)
  • Second quarter adjusted EPS of $0.36 to $0.40

Revenue & Expenses

Visualization of income flow from segment revenue to net income