ADS Q3 2020 Earnings Report
Key Takeaways
ADS reported a strong third quarter with a 23.7% increase in net sales to $393.4 million and a significant rise in adjusted EBITDA by 88.5% to $91.3 million. The acquisition of Infiltrator Water Technologies contributed significantly to both net sales and adjusted EBITDA. The company is optimistic about achieving its fiscal year 2020 goals.
Net sales increased by 23.7% to $393.4 million.
Net income increased to $23.7 million compared to $16.6 million in the prior year.
Adjusted EBITDA increased by 88.5% to $91.3 million.
Infiltrator Water Technologies contributed $72.1 million to net sales and $26.5 million to Adjusted EBITDA.
ADS
ADS
ADS Revenue by Segment
Forward Guidance
The company expects full-year fiscal 2020 net sales and Adjusted EBITDA to be at the higher end of previously communicated guidance ranges.
Positive Outlook
- Net sales are expected to be in the range of $1.600 billion to $1.650 billion
- Adjusted EBITDA is expected to be in the range of $325 million to $345 million
- Capital expenditures are expected to be in the range of $75 million to $85 million
- Benefitting from outperformance of legacy ADS business
- Benefitting from outperformance of Infiltrator Water Technologies
Revenue & Expenses
Visualization of income flow from segment revenue to net income