NASDAQ$CMPR

Cimpress Plc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Cimpress delivered solid financial results while continuing significant organic investment.

Cimpress delivered solid financial results for Q2 FY2022 with reported revenue and organic constant-currency revenue growth of 9%. The company continued significant organic investment, particularly in the Vista business, against a backdrop of continued pandemic volatility and supply chain challenges.

  • Reported revenue and organic constant-currency revenue grew 9% year over year.
  • Upload and print businesses showed strong performance.
  • National Pen delivered record segment EBITDA.
  • Supply chain challenges and cost increases were experienced across all businesses.

Headline financials

Total Revenue

$850M

Previous: $786M+8.1%
EPS (adj)

$2.08

Previous: $1.22+70.5%
Capital Expenditures

-$26.5M

Previous: -$16.8M-58.1%
Free Cash Flow

$28.3M

Previous: $15.5M+82.3%
Net Income

$54.8M

Previous: $32.3M+69.7%
Operating Income

$86M

Previous: $94.2M-8.7%
Gross Profit

$426M

Previous: $400M+6.4%
Cash & Equivalents

$231M

Previous: $36.9M+526.7%
Total Assets

$2.28B

Previous: $1.93B+17.9%
Stock-Based Comp

$12.5M

Previous: $5.24M+138.5%

Revenue & EPS history

Cimpress · Revenue · Quarterly

$850M

Q2 2022+8.1%vs Q2 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Cimpress · $410M total across 4 segments · Q2 2022

  • PrintBrothers
    $138M+13.0%
  • National Pen
    $125M+8.7%
  • The Print Group
    $90.1M+18.3%
  • All Other Businesses
    $57.7M+4.3%

Forward guidance

Cimpress continues to see volatility arising from the pandemic. As we have described previously, we expect to reduce leverage in FY2023. Our near-term capital allocation priority remains the same: making organic investments and delivering value from our two recent Vista acquisitions.

Tailwinds

  • We have made good progress against the plans we shared at our August investor day.
  • This gives us confidence in our ability to deliver attractive returns from the major investments we are making in our business, particularly in Vista.
  • We expect to reduce leverage in FY2023.
  • Our near-term capital allocation priority remains the same: making organic investments and delivering value from our two recent Vista acquisitions.

Headwinds

  • Elevated COVID-19 cases in January and the related impact on in-person activity has dampened our consolidated bookings to date in January although we remain above last year's levels when severe government restrictions were in place particularly in Europe.
  • As you will see from the results in this report, our leverage remains elevated due to the trailing-twelve-month impact of the pandemic on our financial results combined with incremental organic growth investments.
  • All of our businesses continued to experience meaningful increases in costs for materials, production consumables, freight and shipping, and labor.
  • It remains a challenging environment and we expect higher input costs and supply constraints to persist, although we are unable to predict for how long.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.6%

Avg return

Earnings day

-0.9%

Avg return

5 days after

+1.3%

Avg return

30 days after

49%

33 / 67 earnings

Positive

+24.2%

Q4 2020

Best reaction

-29.1%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+8.6%+12.8%+21.0%
Q2 2026+0.3%-1.7%-6.2%
Q1 2026+11.1%-1.0%+3.1%
Q3 2025-6.6%-4.6%+5.3%
Q2 2025-5.5%-18.4%-35.2%
Q1 2025-8.7%-2.6%+6.2%
Q4 2024+4.7%-8.8%+8.3%
Q3 2024-3.1%-2.2%-3.2%
Q2 2024+17.2%+15.3%+27.6%
Q1 2024-2.3%-5.5%+14.1%
Q4 2023+6.3%+8.5%-2.1%
Q3 2023+20.1%+17.2%+13.0%
Q2 2023-9.3%-6.2%+0.3%
Q1 2023-16.0%+1.4%+21.7%
Q4 2022+14.2%+13.6%+5.9%
Q3 2022-7.7%-9.6%-20.9%
Q2 2022-6.6%-6.5%-13.5%
Q1 2022-1.3%+2.0%-12.6%
Q4 2021-9.9%-10.6%-18.7%
Q3 2021+0.2%+2.3%+3.5%
Q2 2021+6.4%-10.9%-4.0%
Q1 2021-3.1%-2.2%+18.5%
Q4 2020+24.2%+17.9%+15.1%
Q3 2020+4.5%+3.6%+13.4%
Q2 2020-3.9%-3.4%-0.5%
Q1 2020+1.6%+7.8%-1.4%
Q4 2019+8.8%+7.9%+20.7%
Q3 2019-5.1%-4.3%-3.2%
Q2 2019-29.1%-29.8%-29.7%
Q1 2019-10.4%-10.4%-3.1%
Q4 2018-2.2%+0.5%-4.2%
Q3 2018-1.3%-2.9%-1.9%
Q2 2018+16.5%+21.8%+22.5%
Q1 2018+7.7%+8.9%+11.8%
Q4 2017-5.1%-3.9%-2.0%
Q3 2017-1.3%-3.8%+4.5%
Q2 2017-11.5%-12.5%-14.9%
Q1 2017-13.0%-13.0%-9.5%
Q4 2016-2.8%-0.5%+2.4%
Q3 2016-6.9%
Q2 2016+4.2%
Q1 2016+2.9%
Q4 2015-16.3%
Q3 2015+1.3%
Q2 2015+10.1%
Q1 2015+2.8%
Q4 2014+1.3%
Q3 2014-27.8%
Q2 2014-4.1%
Q1 2014+2.7%
Q4 2013-3.1%
Q3 2013+1.2%
Q2 2013-8.8%
Q1 2013-0.7%
Q4 2012+5.4%
Q3 2012-12.8%
Q2 2012+8.2%
Q1 2012-7.1%
Q4 2009-5.5%
Q4 2011-5.5%
Q3 2010+1.4%
Q3 2011+1.4%
Q2 2011+7.9%
Q1 2010+4.9%
Q1 2011+4.9%
Q4 2010+4.9%
Q2 2010+4.9%

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