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Mar 31, 2023

Thermon Q4 2023 Earnings Report

Thermon reported record revenue, adjusted EBITDA, and EPS for fiscal year 2023, with progress in decarbonization, digitization, and diversification initiatives.

Key Takeaways

Thermon reported a strong fourth quarter in fiscal year 2023, marked by record revenue of $122.5 million, a 19% increase year-over-year, driven by growth across all regions. The company's adjusted EPS increased by 33% to $0.41, and adjusted EBITDA rose by 37% to $25.1 million.

Record revenue of $122.5 million, an increase of 19%, driven by solid growth across all regions.

Non-GAAP Adjusted EPS of $0.41, an increase of 33%, largely due to margin improvement and cost control.

Adjusted EBITDA of $25.1 million, an increase of 37%, driven by volume growth and prudent cost management.

Bookings of $132.1 million, an increase of 17%, which represents the highest quarterly bookings since the Company's IPO.

Total Revenue
$122M
Previous year: $103M
+19.4%
EPS
$0.41
Previous year: $0.31
+32.3%
Gross Profit
$51.5M
Previous year: $41.1M
+25.3%
Cash and Equivalents
$35.6M
Previous year: $41.4M
-14.1%
Free Cash Flow
$21.9M
Previous year: $12.7M
+72.3%
Total Assets
$650M
Previous year: $637M
+2.0%

Thermon

Thermon

Forward Guidance

Thermon expects revenue to be approximately $455 - $485 million and GAAP EPS to be approximately $1.45-$1.61 per share, with Adjusted EPS to be approximately $1.66-$1.82 per share for fiscal year ending March 31, 2024.

Positive Outlook

  • Continued momentum and investments in long-term strategy.
  • Investments in manufacturing efficiencies.
  • Full twelve months of revenue contribution from the Powerblanket acquisition.
  • Continued strength in the Western Hemisphere to lead growth.
  • Well positioned to benefit from both tight commodity markets and accelerating, long-term investments in a more digital and lower carbon future.