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Jun 30, 2023

Tecnoglass Q2 2023 Earnings Report

Reported record results driven by strong growth in both multifamily/commercial and single-family residential businesses.

Key Takeaways

Tecnoglass reported record second-quarter results with total revenues up 33.2% to $225.3 million. The company saw strong organic growth in both multifamily/commercial and single-family residential businesses. Adjusted EBITDA increased 55.8% year-over-year to $85.0 million, representing 37.7% of total revenues.

Total revenues increased by 33.2% to $225.3 million.

Gross margin improved to 48.7%, up 520 basis points year-over-year.

Net income reached $52.6 million, or $1.10 per diluted share.

Backlog grew by 19.4% year-over-year, reaching an all-time high of $797 million.

Total Revenue
$225M
Previous year: $169M
+33.2%
EPS
$1.12
Previous year: $0.69
+62.3%
Gross Margin
48.7%
Previous year: 43.5%
+12.0%
Gross Profit
$110M
Previous year: $73.6M
+49.0%
Cash and Equivalents
$105M
Previous year: $99M
+5.8%
Free Cash Flow
-$22.2M
Previous year: $18.9M
-217.5%
Total Assets
$892M
Previous year: $656M
+36.1%

Tecnoglass

Tecnoglass

Forward Guidance

Tecnoglass is increasing its full year 2023 outlook, expecting revenues to grow to a range of $830 million to $855 million and Adjusted EBITDA to a range of $320 million to $335 million.

Positive Outlook

  • Full year 2023 revenues are expected to grow to a range of $830 million to $855 million, representing approximately 18% growth at the midpoint.
  • Adjusted EBITDA forecast is raised to a range of $320 million to $335 million.
  • Implies Adjusted EBITDA growth of approximately 23% at the midpoint.
  • Expectation to deliver strong margins for the remainder of the year.
  • Expect to deliver stronger free cash flow for the rest of the year.