NASDAQ$CMPR

Cimpress Plc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Cimpress' Q3 2023 financial results were strong, exceeding guidance with revenue growth and improved profitability.

Cimpress' Q3 FY2023 results showcased strong performance with a 13% increase in consolidated revenue and a 16% rise on an organic constant-currency basis. Vista led this acceleration, driven by product mix and platform migration benefits. Improved pricing and stable input costs boosted gross profits. Adjusted EBITDA reached $69.1 million, surpassing expectations, while operating loss decreased year-over-year. Liquidity remained strong at $189.8 million, and net leverage decreased to 4.83.

  • Consolidated revenue grew 13% as reported and 16% on an organic constant-currency basis.
  • Adjusted EBITDA increased to $69.1 million, exceeding prior guidance.
  • Operating loss improved $16.2 million year over year, despite restructuring charges.
  • Liquidity remained strong at $189.8 million in cash and marketable securities.

Headline financials

Total Revenue

$742M

Previous: $657M+12.9%
EPS (adj)

-$1.88

Previous: -$2.75+31.6%
Net Leverage Ratio

4.83

No prior period
Capital Expenditures

-$37.5M

Previous: -$42.1M+11.0%
Free Cash Flow

-$86.8M

Previous: -$114M+23.8%
Net Income

-$49.3M

Previous: -$71.8M+31.3%
Operating Income

-$12.2M

Previous: -$28.4M+57.1%
Gross Profit

$347M

Previous: $310M+12.0%
Cash & Equivalents

$115M

Previous: $162M-28.8%
Total Assets

$1.89B

Previous: $2.12B-10.8%
Stock-Based Comp

$8.73M

Previous: $12.7M-31.3%

Revenue & EPS history

Cimpress · Revenue · Quarterly

$742M

Q3 2023+12.9%vs Q3 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Cimpress · $355M total across 4 segments · Q3 2023

  • PrintBrothers
    $140M+16.3%
  • The Print Group
    $85.5M+13.5%
  • National Pen
    $81.1M+12.3%
  • All Other Businesses
    $49M+1.1%

Forward guidance

Cimpress anticipates continued profitability expansion in Q4 FY2023, driven by recent operating performance, which is expected to be accompanied by strong free cash flow conversion even after restructuring payments. For FY2024, the company expects adjusted EBITDA to convert to adjusted free cash flow at approximately 40%. Furthermore, Cimpress aims to reduce net leverage to below 4.5x by the end of FY2023 and below 3.5x by the end of FY2024.

Tailwinds

  • Profitability expansion in Q4 FY2023
  • Seasonally strong free cash flow conversion in Q4 FY2023
  • Adjusted EBITDA to convert to adjusted free cash flow at approximately 40% in FY2024
  • Net leverage reduction to below 4.5x by the end of FY2023
  • Net leverage reduction to below 3.5x by the end of FY2024

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 Q3 2023

Historical avgQ3 2023

-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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