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Sep 28, 2024

Snap-on Q3 2024 Earnings Report

Snap-on's Q3 2024 performance reflected resilience and profitability gains amidst challenging times.

Key Takeaways

Snap-on reported a slight decrease in net sales, but demonstrated resilience with profitability gains. Diluted EPS increased to $4.70, and the operating margin before financial services improved to 22.0%.

Net sales were $1,147.0 million, a decrease of 1.1% compared to the previous year.

Diluted EPS increased to $4.70, a 4.2% gain from Q3 2023.

Operating margin before financial services improved to 22.0%, an increase of 80 basis points.

Consolidated operating earnings reached $324.1 million, or 26.0% of revenues.

Total Revenue
$1.25B
Previous year: $1.16B
+7.6%
EPS
$4.7
Previous year: $4.51
+4.2%
Op. Margin (ex. Fin.)
22%
Previous year: 21.2%
+3.8%
Effective Tax Rate
22.9%
Previous year: 22.6%
+1.3%
Financial Originations
$288M
Gross Profit
$588M
Previous year: $578M
+1.7%
Cash and Equivalents
$1.31B
Previous year: $959M
+36.9%
Free Cash Flow
$254M
Previous year: $260M
-2.5%
Total Assets
$7.95B
Previous year: $7.3B
+8.9%

Snap-on

Snap-on

Snap-on Revenue by Segment

Forward Guidance

Snap-on anticipates ongoing progress leveraging its capabilities in automotive repair and expanding its professional customer base in automotive repair and adjacent markets. Capital expenditures for 2024 are projected to be approximately $100 million, and the full-year effective income tax rate is expected to be in the range of 22% to 23%.

Positive Outlook

  • Markets and operations demonstrated continuing resilience.
  • Ongoing progress along defined runways for coherent growth.
  • Leveraging capabilities in the automotive repair arena.
  • Developing and expanding professional customer base.
  • Extending in critical industries.

Revenue & Expenses

Visualization of income flow from segment revenue to net income