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Jun 30, 2024

Sensata Q2 2024 Earnings Report

Reported a solid second quarter with performance in line with expectations.

Key Takeaways

Sensata Technologies reported second quarter 2024 financial results. Revenue was $1,035.5 million, a decrease of 2.5% compared to the second quarter of 2023. Earnings per share was $0.47, an increase of 46.9%, and adjusted earnings per share was $0.93, a decrease of 4.1%.

Revenue was $1,035.5 million, a decrease of 2.5% compared to Q2 2023.

Operating income was $129.9 million, or 12.5% of revenue, an increase of 10.1% compared to Q2 2023.

Earnings per share was $0.47, an increase of 46.9% compared to Q2 2023.

Adjusted earnings per share was $0.93, a decrease of 4.1% compared to Q2 2023.

Total Revenue
$1.04B
Previous year: $1.06B
-2.4%
EPS
$0.93
Previous year: $0.97
-4.1%
Operating Margin
12.5%
Previous year: 11.1%
+12.6%
Adjusted Operating Margin
19%
Previous year: 19.4%
-2.1%
Gross Profit
$264M
Previous year: $330M
-19.9%
Cash and Equivalents
$1.03B
Previous year: $857M
+20.5%
Free Cash Flow
$98.4M
Previous year: $68.2M
+44.3%
Total Assets
$8.19B
Previous year: $8.39B
-2.4%

Sensata

Sensata

Sensata Revenue by Segment

Sensata Revenue by Geographic Location

Forward Guidance

For the third quarter of 2024, Sensata expects revenue of $970 to $1,000 million and adjusted EPS of $0.82 to $0.88.

Positive Outlook

  • Revenue guidance of $970 to $1,000 million.
  • Adjusted EPS guidance of $0.82 to $0.88.
  • Operating income expected between $115.0 and $118.3 million (GAAP).
  • Net income expected between $49.7 and $52.4 million (GAAP).
  • Initiative to identify underperforming products with low growth and substandard margin profiles.

Challenges Ahead

  • Revenue guidance reflects reduction of approximately $30 million in revenue related to underperforming products.
  • Organic growth expected to be between (3%) and 0%.
  • Adjusted Operating Income expected between $184 and $194 million.
  • Adjusted Net Income expected between $124 and $134 million.
  • Adjusted EPS expected between $0.82 and $0.88.

Revenue & Expenses

Visualization of income flow from segment revenue to net income