NASDAQ$CHX
ChampionX Corporation · Q3 2022 earnings
Q3 2022 earnings · · Investor relations
Briefing
ChampionX reported strong Q3 2022 results with revenue growth, adjusted EBITDA margin expansion, and strong free cash flow generation.
ChampionX reported a strong third quarter with revenue of $1.0 billion, a 25% increase year-over-year. Net income attributable to ChampionX was $23.1 million, while adjusted EBITDA reached $166.1 million. The company's board also approved an increase in the share repurchase program authorization to $750 million.
- Revenue reached $1.0 billion, a 25% increase year-over-year and 10% sequentially.
- Net income attributable to ChampionX was $23.1 million.
- Adjusted EBITDA was $166.1 million, up 34% year-over-year.
- Free cash flow was $167.4 million, representing 101% of adjusted EBITDA.
Headline financials
Revenue & EPS history
ChampionX · Revenue · Quarterly
$1.02B
Revenue by segment
ChampionX · $988M total across 4 segments · Q3 2022
- Production Chemical Tech$644M+32.0%65.2%
- Production & Automation Tech$248M+21.1%25.1%
- Drilling Technologies$61M+23.4%6.2%
- Reservoir Chemical Tech$35.5M-7.1%3.6%
Forward guidance
For the fourth quarter, ChampionX expects revenue between $985 million and $1.015 billion and adjusted EBITDA between $176 million and $184 million.
Tailwinds
- Activity is expected to improve in international markets.
- Continued price increase realization is expected.
- Sequential adjusted EBITDA margin improvement is anticipated.
- Constructive demand tailwinds are expected to support a favorable multi-year outlook.
- Continued delivery of solid bottom-line growth, adjusted EBITDA margin expansion, and strong cash generation is expected.
Headwinds
- Normal seasonality is expected in North American businesses into the year-end holidays.
- Lower revenue is expected in Reservoir Chemical Technologies due to exiting certain product lines.
- restructuring efforts
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 12 quarterly earnings reports · overlaid with Q3 2022
+0.7%
Avg return
Earnings day
+0.3%
Avg return
5 days after
+3.6%
Avg return
30 days after
56%
19 / 34 earnings
Positive
+20.5%
Q3 2022
Best reaction
-11.8%
Q4 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2025 | — | — | — | |
| Q3 2025 | — | — | — | |
| Q2 2025 | — | — | — | |
| Q1 2025 | -2.2% | -0.4% | -2.3% | |
| Q4 2024 | -0.6% | +0.3% | +1.2% | |
| Q3 2024 | -1.8% | -1.5% | +5.5% | |
| Q2 2024 | -2.0% | -2.4% | -8.0% | |
| Q1 2024 | -0.3% | -1.7% | -6.5% | |
| Q4 2023 | +10.4% | +10.2% | +19.1% | |
| Q3 2023 | -8.4% | -12.6% | -13.2% | |
| Q2 2023 | +0.2% | +1.3% | +3.6% | |
| Q1 2023 | +0.1% | +1.4% | +2.7% | |
| Q4 2022 | -11.8% | -10.2% | -0.0% | |
| Q3 2022 | +20.5% | +17.3% | +27.5% | |
| Q2 2022 | -1.8% | +1.7% | +12.9% | |
| Q1 2022 | -1.6% | — | — | |
| Q4 2021 | -4.5% | — | — | |
| Q3 2021 | +2.8% | — | — | |
| Q2 2021 | +6.8% | — | — | |
| Q1 2021 | +4.8% | — | — | |
| Q4 2020 | +10.1% | — | — | |
| Q3 2020 | +5.5% | — | — | |
| Q2 2020 | +3.5% | — | — | |
| Q1 2020 | +5.9% | — | — | |
| Q4 2019 | -11.7% | — | — | |
| Q3 2019 | +0.5% | — | — | |
| Q2 2019 | +2.4% | — | — | |
| Q1 2019 | +1.5% | — | — | |
| Q4 2016 | +0.5% | — | — | |
| Q4 2018 | +0.5% | — | — | |
| Q3 2017 | +0.7% | — | — | |
| Q3 2018 | +0.7% | — | — | |
| Q2 2017 | +4.9% | — | — | |
| Q2 2018 | -1.2% | — | — | |
| Q1 2017 | -3.2% | — | — | |
| Q4 2017 | -3.2% | — | — | |
| Q1 2018 | -3.2% | — | — |
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