NASDAQ$CMPR

Cimpress Plc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Cimpress' Q4 2021 financial performance reflected a recovery in revenue and strategic investments.

Cimpress experienced a 49% increase in reported revenue in Q4, driven by economic recovery and strategic investments, particularly in Vistaprint. GAAP operating income improved, and the company focused on cost savings and strategic positioning for future growth.

  • Investments in Vistaprint increased, focusing on talent acquisition, performance advertising, and brand building.
  • Over $30 million in permanent annualized cost reductions were achieved compared to the pre-pandemic cost structure.
  • A flexible capital structure was implemented, lowering the weighted average cost of debt and extending the maturity profile.
  • Optimism for sustainable organic growth in FY2022 and beyond due to investments, economic recovery, and improved competitive positioning.

Headline financials

Total Revenue

$641M

Previous: $429M+49.4%
EPS (adj)

-$2.31

Previous: -$1.62-42.6%
Capital Expenditures

$15.8M

Previous: $11.8M+33.5%
Free Cash Flow

$14.9M

Previous: $34.4M-56.8%
Net Income

-$59.9M

Previous: -$42M-42.7%
Operating Income

$9.03M

Previous: -$3.27M+376.1%
Gross Profit

$311M

Previous: $210M+48.6%
Cash & Equivalents

$183M

Previous: $45M+306.5%
Total Assets

$2.18B

Previous: $1.82B+20.2%
Stock-Based Comp

$14M

Previous: $12.1M+15.1%

Revenue & EPS history

Cimpress · Revenue · Quarterly

$641M

Q4 2021+49.4%vs Q4 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Cimpress · $649M total across 5 segments · Q4 2021

  • Vista
    $352M+43.9%
  • PrintBrothers
    $106M+46.0%
  • The Print Group
    $72.9M+56.1%
  • National Pen
    $69M+109.2%
  • All Other Businesses
    $49.1M+15.6%

Forward guidance

Cimpress anticipates continued volatility in financial results due to the pandemic, but expects sustainable revenue growth as investments gain momentum. Fixed cost reductions are expected to provide ongoing benefits, with increased advertising spend and organic growth investments planned for FY2022.

Tailwinds

  • Improved efficiency of performance spend.
  • Full year with payback thresholds at similar levels to those used in the second half of FY2021
  • Cash interest costs are expected to decrease approximately $20 million in FY2022 compared to FY2021
  • Expect the year-over-year impact of currency in FY2022 to be slightly positive to adjusted EBITDA based on average hedged rates.
  • Expect capital expenditures to be slightly higher than where we were just before the pandemic in the range of 3% of consolidated revenue.

Headwinds

  • Financial results will continue to experience volatility connected to the extent of pandemic-related restrictions
  • Expect net leverage to tick up in Q1 FY2022.
  • Expect a modest increase in cash taxes in FY2022 as we did receive refunds in FY2021 that will not repeat.
  • Advertising spend as a percentage of revenue is expected to increase.
  • Expect to significantly increase organic growth investment in FY2022

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 Q4 2021

Historical avgQ4 2021

-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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