Dec 31, 2019

Simpson Q4 2019 Earnings Report

Simpson's Q4 2019 earnings were announced, demonstrating year-over-year growth in net sales and net income per diluted common share.

Key Takeaways

Simpson Manufacturing Co., Inc. reported an 8.5% increase in fourth-quarter net sales, reaching $262.5 million, and a 125.0% increase in net income per diluted common share, which amounted to $0.63. The company's focus on cost structure rationalization led to a 100 basis point improvement in total operating expenses as a percentage of net sales.

Net sales increased by 8.5% year-over-year, reaching $262.5 million.

Net income per diluted common share increased by 125.0% year-over-year, amounting to $0.63.

Gross profit margin increased to 41.9% from 40.6%.

Total operating expenses as a percentage of net sales improved by 100 basis points year-over-year.

Total Revenue
$263M
Previous year: $242M
+8.5%
EPS
$0.63
Previous year: $0.45
+40.0%
Gross Profit Margin
41.9%
Previous year: 40.6%
+3.2%
Total Operating Expenses
$79.2M
Operating Income Margin
13.9%
Gross Profit
$110M
Previous year: $98.4M
+11.8%
Cash and Equivalents
$230M
Previous year: $160M
+43.7%
Free Cash Flow
$48.2M
Previous year: $47.5M
+1.5%
Total Assets
$1.1B
Previous year: $1.02B
+7.2%

Simpson

Simpson

Simpson Revenue by Segment

Simpson Revenue by Geographic Location

Forward Guidance

The Company's outlook for the full fiscal year ending December 31, 2020, includes a gross margin estimated to be in the range of approximately 43.5% to 44.5% and an effective tax rate is estimated to be in the range of approximately 25.0% to 26.0%, including both federal and state income tax rates.

Positive Outlook

  • Gross margin is estimated to be in the range of approximately 43.5% to 44.5%.
  • The effective tax rate is estimated to be in the range of approximately 25.0% to 26.0%, including both federal and state income tax rates.

Revenue & Expenses

Visualization of income flow from segment revenue to net income