NASDAQ$DAKT

Daktronics Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported an increase in net sales and orders, but a decrease in operating income due to inflation and increased personnel spend.

Daktronics reported a strong increase in net sales and orders for Q2 2022, driven by easing pandemic restrictions and strong demand. However, operating income decreased due to inflation in materials and freight costs, as well as increased personnel spend. The company anticipates continued supply chain challenges and inflationary pressures in the near term.

  • Net sales increased to $164.5 million compared to $127.4 million in Q2 FY2021.
  • Operating income decreased to $4.4 million from $6.7 million in Q2 FY2021.
  • Net income was $2.4 million, with earnings per diluted share of $0.05.
  • Orders grew by 20.7% year-over-year, reaching $163.7 million.

Headline financials

Total Revenue

$164M

Previous: $127M+29.1%
EPS (adj)

$0.05

Previous: $0.08-37.5%
Order Backlog

$282M

Previous: $201M+40.3%
Gross Margin

19.6%

Previous: 26.2%-25.2%
Operating Margin

2.7%

Previous: 5.2%-48.1%
Capital Expenditures

-$4.51M

Previous: -$5.78M+22.0%
Free Cash Flow

-$13M

Previous: $34.2M-138.1%
Net Income

$2.37M

Previous: $3.42M-30.5%
Operating Income

$4.39M

Previous: $6.66M-34.1%
Gross Profit

$32.3M

Previous: $33.3M-3.2%
Cash & Equivalents

$61.6M

Previous: $69.8M-11.8%
Total Assets

$418M

Previous: $374M+11.9%
Stock-Based Comp

$494K

Previous: $508K-2.8%

Revenue & EPS history

Daktronics · Revenue · Quarterly

$164M

Q2 2022+29.1%vs Q2 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Daktronics · $209M total across 5 segments · Q4 2026

  • Live Events
    $84.9M
  • High School Park and Recreation
    $46.3M
  • Commercial
    $40.3M
  • Transportation
    $23.6M
  • International
    $13.5M

Forward guidance

Daktronics expects dynamic supply chain conditions to persist through next calendar year and anticipates volatility in pricing, order and revenue cycles, and production costs in the near term. The company is investing in capacity, new technologies, and different markets to benefit from near-term growth and long-term trends.

Tailwinds

  • Market demand is returning to pre-pandemic levels.
  • Order bookings grew through the first half of the year.
  • Company is adjusting capacity to support increased demand levels.
  • Company is actively investing in capacity.
  • Company is investing in new technologies and different markets.

Headwinds

  • Dynamic supply chain conditions are expected to persist.
  • Inflationary pressures are expected to continue.
  • Evolving pandemic impacts are expected.
  • Volatility in pricing is expected.
  • Material, labor, and freight availability constraints are creating headwinds in lead times.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-1.0%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+1.5%

Avg return

30 days after

40%

26 / 65 earnings

Positive

+30.3%

Q1 2017

Best reaction

-25.8%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026-11.4%-15.7%-20.9%
Q2 2026+15.9%+6.3%+15.7%
Q1 2026+20.0%+37.9%+9.9%
Q4 2025+1.1%-3.0%+16.3%
Q3 2025-14.9%-16.6%-19.0%
Q2 2025+17.6%+11.9%+3.1%
Q1 2025-13.3%-12.8%-3.4%
Q4 2024+23.4%+26.1%+39.7%
Q3 2024+6.8%+8.1%+22.5%
Q2 2024-16.5%-17.8%-22.4%
Q1 2024+7.4%+17.5%+9.3%
Q4 2023+11.3%+9.8%+30.1%
Q3 2023+11.7%+13.5%+33.0%
Q2 2023+15.7%+28.3%+58.1%
Q1 2023-22.9%-25.3%-34.1%
Q4 2022-4.8%-13.6%-14.7%
Q3 2022-7.5%-12.9%-16.0%
Q2 2022-2.9%-1.6%+3.5%
Q1 2022-7.1%-7.6%-9.2%
Q4 2021+1.0%+0.0%-8.2%
Q3 2021+3.0%+14.4%+11.8%
Q2 2021-1.8%-0.2%+2.6%
Q1 2021+11.5%+15.7%+3.9%
Q4 2020-8.7%-5.0%-13.9%
Q3 2020-10.4%-6.1%-21.8%
Q2 2020-10.4%-12.4%-12.6%
Q1 2020+22.3%+21.9%+27.3%
Q4 2019-6.1%-12.0%-14.8%
Q3 2019-1.8%-2.1%-10.4%
Q2 2019+15.2%+14.5%-3.4%
Q1 2019-14.1%-17.6%-12.2%
Q4 2018-20.3%-20.2%-15.3%
Q3 2018-4.3%-4.2%-5.3%
Q2 2018-5.7%-4.4%-7.1%
Q1 2018+0.7%+0.6%+9.9%
Q4 2017+4.7%+5.1%+3.8%
Q3 2017-6.0%-3.9%-9.5%
Q2 2017+10.8%+13.1%+10.6%
Q1 2017+30.3%+37.4%+42.7%
Q4 2016-22.0%-23.3%-20.5%
Q3 2016-17.9%
Q2 2016-14.9%
Q1 2016-25.8%
Q4 2015+5.2%
Q3 2015-15.0%
Q2 2015-11.5%
Q1 2015+8.2%
Q4 2014-11.3%
Q3 2014-1.6%
Q2 2014+11.8%
Q1 2014+1.3%
Q4 2013-7.3%
Q3 2013-14.3%
Q2 2013+17.4%
Q1 2013+18.5%
Q4 2010-0.3%
Q4 2012-0.3%
Q3 2011-5.2%
Q3 2012-5.2%
Q2 2012+7.8%
Q1 2012-4.7%
Q2 2011-4.7%
Q4 2011-4.7%
Q1 2011-4.7%
Q3 2010-3.3%

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