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Oct 01, 2022

SPX Q3 2022 Earnings Report

SPX Technologies reported strong Q3 2022 results with organic growth across all platforms and solid contributions from acquisitions.

Key Takeaways

SPX Technologies reported a strong third quarter with revenue of $370.5 million and adjusted EPS of $0.81. The company is raising full-year adjusted EPS guidance to a range of $2.85-$2.95.

Revenue increased to $370.5 million, up from $285.7 million in Q3 2021.

Operating income was $37.3 million, compared to $17.7 million in Q3 2021.

Adjusted EPS increased to $0.81, up from $0.44 in Q3 2021.

Full-year adjusted EPS guidance raised to $2.85-$2.95.

Total Revenue
$371M
Previous year: $286M
+29.6%
EPS
$0.81
Previous year: $0.41
+97.6%
HVAC Organic Revenue Growth
16.3%
Previous year: -2.4%
-779.2%
Detection/Measurement Organic Revenue Growth
24%
Previous year: 7.6%
+215.8%
Gross Profit
$133M
Previous year: $94M
+41.6%
Cash and Equivalents
$187M
Previous year: $560M
-66.6%
Total Assets
$2.48B
Previous year: $2.49B
-0.3%

SPX

SPX

SPX Revenue by Segment

Forward Guidance

SPX is updating full-year 2022 guidance, and is now targeting consolidated revenue of approximately $1.43-$1.47 billion, an adjusted operating income margin of approximately 12.0%, and adjusted earnings per share in a range of $2.85-$2.95.

Positive Outlook

  • Consolidated revenue target raised to $1.43-$1.47 billion.
  • Adjusted operating income margin target of approximately 12.0%.
  • Adjusted earnings per share target in a range of $2.85-$2.95.
  • HVAC revenue target of $900-$920 million.
  • Detection & Measurement revenue target of $525-$545 million.

Challenges Ahead

  • Guidance excludes changes in the number of shares outstanding.
  • Guidance excludes impacts from future acquisitions, dispositions and related transaction costs.
  • Guidance excludes restructuring costs.
  • Guidance excludes incremental impacts of tariffs and trade tensions on market demand and costs subsequent to the end of the third quarter.
  • Guidance excludes the impact of foreign exchange rate changes subsequent to the end of the third quarter.

Revenue & Expenses

Visualization of income flow from segment revenue to net income