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May 31, 2022

Worthington Q4 2022 Earnings Report

Worthington finished the fiscal year with a strong quarter, reporting Q4 earnings.

Key Takeaways

Worthington Industries reported a strong Q4 with net sales of $1.5 billion, up significantly from $978 million in the prior year. Earnings were $1.61 per share, though adjusted EPS was $1.58 compared to $2.33 in the prior year. The company experienced inventory holding losses of $42 million, impacting gross profit and adjusted EBITDA.

Consolidated net sales in the quarter were $1.5 billion, up significantly compared to $978 million in Q4 of last year.

Gross profit for the quarter decreased to $168 million from $226 million in the prior year.

Building Products delivered record EBIT for the quarter of $64 million and EBIT margin was 36.8%, up from $41 million and 33.3% in Q4 of last year.

Cash flow from operations was $165 million in the quarter and free cash flow was $142 million, with strong release of cash from operating working capital primarily due to lower steel prices and reduced inventories which added $77 million to cash flow.

Total Revenue
$1.52B
Previous year: $978M
+55.4%
EPS
$1.58
Previous year: $2.33
-32.2%
Gross Profit
$168M
Previous year: $226M
-25.7%
Cash and Equivalents
$34M
Previous year: $640M
-94.7%
Free Cash Flow
$142M
Previous year: $23M
+517.4%
Total Assets
$745M
Previous year: $710M
+4.9%

Worthington

Worthington

Worthington Revenue by Segment

Forward Guidance

Higher producer prices and consumer prices combined with higher interest rates presents some risk to what otherwise would be a solid economic backdrop to start fiscal 2023.

Revenue & Expenses

Visualization of income flow from segment revenue to net income