NASDAQ$DAKT

Daktronics Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Daktronics reported a strong second quarter performance driven by gross profit margin expansion and cash flow generation.

Daktronics reported a 6.4% increase in sales, reaching $199.4 million, and a significant improvement in gross profit margin to 27.2%. Operating income increased substantially to $19.4 million. The company's backlog was $306.9 million. Andrew Siegel was appointed as the new Lead Independent Director.

  • Sales increased by 6.4 percent compared to the second quarter of fiscal 2023, reaching $199.4 million.
  • Gross profit margin expanded to 27.2 percent, compared to 16.9 percent in the same period last year.
  • Operating income significantly improved to $19.4 million, compared to $1.5 million in the second quarter of fiscal 2023.
  • Product order backlog was $306.9 million at the end of the quarter.

Headline financials

Total Revenue

$199M

Previous: $187M+6.4%
EPS (adj)

$0.27

Previous: -$0.29+193.1%
Order Backlog

$307M

Previous: $463M-33.7%
Gross Margin

27.2%

Previous: 16.9%+60.9%
Operating Margin

9.7%

Previous: 0.8%+1112.5%
Capital Expenditures

-$9.23M

Previous: -$16.2M+43.2%
Free Cash Flow

$35.1M

Previous: -$38.2M+191.9%
Net Income

$2.17M

Previous: -$13M+116.7%
Operating Income

$19.4M

Previous: $1.53M+1173.7%
Gross Profit

$54.2M

Previous: $31.7M+71.0%
Cash & Equivalents

$64.7M

Previous: $6.43M+906.7%
Total Assets

$511M

Previous: $464M+10.1%
R&D Expense

$9.22M

No prior period
Stock-Based Comp

$534K

Previous: $474K+12.7%

Revenue & EPS history

Daktronics · Revenue · Quarterly

$199M

Q2 2024+6.4%vs Q2 2023
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Daktronics · $199M total across 5 segments · Q2 2024

  • Live Events
    $68.2M-1.5%
  • High School Park and Recreation
    $48.9M+16.5%
  • Commercial
    $42.5M+14.6%
  • Transportation
    $20.2M+21.4%
  • International
    $19.5M-13.1%

Forward guidance

Daktronics expects growth in the global use of sophisticated audio-visual communication systems and remains focused on capturing market growth and broadening its market position.

Tailwinds

  • Grow our business profitably while generating cash through working capital management, strategic pricing adjustments, product mix enhancements and careful expense management
  • Improve operational efficiency to lower costs, reduce lead times and improve the customer experience
  • Develop additional markets for new customers and channels while continuing to grow in the markets where the company been a leader to date
  • Implement robust integrated business planning systems to generate data-based insights for improved decision making
  • Investing in high-return projects and technologies, including digital technologies for both internal and customer facing uses

Headwinds

  • Monitor and then adjust as necessary to the ever-evolving geopolitical and global economic environment to maintain profitability and cash generation

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 2024

Historical avgQ2 2024

-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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