NASDAQ$FARO

FARO Technologies Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

FARO experienced sequential performance improvement as global economies reopened and customers resumed capital investment. The company progressed on strategic initiatives, including the Digital Twin initiative through the acquisition of Advanced Technical Solutions (ATS).

FARO's total sales were $70.7 million, a 17% sequential quarterly increase from Q2 2020, but a 22% decrease compared to Q3 2019. The net loss was $3.0 million, or $0.17 per share, compared to a net loss of $6.2 million, or $0.36 per share, for the third quarter 2019.

  • Total sales were $70.7 million, a 17% sequential quarterly increase from Q2 2020, but a 22% decrease compared to Q3 2019.
  • New order bookings of $72.0 million increased 17% sequentially compared to Q2 2020, but were down 24% compared to Q3 2019.
  • Gross margin was 51.3% compared to 56.1% for the same prior year period.
  • Net loss was $3.0 million, or $0.17 per share, compared to a net loss of $6.2 million, or $0.36 per share, for the third quarter 2019.

Headline financials

Total Revenue

$70.7M

Previous: $90.5M-21.9%
EPS (adj)

-$0.08

Previous: -$0.01-700.0%
Gross Margin

51.3%

Previous: 56.1%-8.6%
Non-GAAP Gross Margin

51.5%

Previous: 56.4%-8.7%
Capital Expenditures

$1.3M

Previous: $2.23M-41.7%
Free Cash Flow

-$6.55M

Previous: $3.49M-287.5%
Net Income

-$3.02M

Previous: -$6.2M+51.2%
Operating Income

-$4.86M

Previous: -$5.89M+17.5%
Gross Profit

$36.3M

Previous: $50.8M-28.5%
Cash & Equivalents

$164M

Previous: $119M+37.4%
Total Assets

$452M

Previous: $508M-11.1%
Stock-Based Comp

$2.08M

Previous: $3.39M-38.5%

Revenue & EPS history

FARO · Revenue · Quarterly

$70.7M

Q3 2020-21.9%vs Q3 2019
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

FARO · $70.7M total across 2 segments · Q3 2020

  • Product Sales
    $48.1M
  • Service Sales
    $22.7M

Forward guidance

FARO anticipates strong operating leverage and profit growth as demand returns to normalized levels, based on cost reduction actions taken earlier in the year.

Historical earnings impact

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

Avg. return before/after earnings

Based on 6 quarterly earnings reports

Historical avg

+1.8%

Avg return

Earnings day

+19.0%

Avg return

5 days after

+17.2%

Avg return

30 days after

56%

35 / 62 earnings

Positive

+41.4%

Q3 2024

Best reaction

-42.7%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q3 2025
Q2 2025
Q1 2025+34.7%+34.5%+34.9%
Q4 2024+17.3%+17.9%+4.9%
Q3 2024+41.4%+53.9%+46.9%
Q2 2024+7.1%+9.3%+18.1%
Q1 2024-2.1%-2.8%-0.4%
Q4 2023+2.8%+1.1%-1.2%
Q3 2023+13.5%
Q2 2023+17.0%
Q1 2023-42.7%
Q4 2022+3.1%
Q3 2022+1.7%
Q2 2022+10.3%
Q1 2022-23.0%
Q4 2021-7.1%
Q3 2021-0.1%
Q2 2021+1.3%
Q1 2021-7.8%
Q4 2020+12.9%
Q3 2020-2.7%
Q2 2020-4.2%
Q1 2020+13.0%
Q4 2019+14.0%
Q3 2019+0.4%
Q2 2019-1.1%
Q1 2019-2.2%
Q4 2018-7.2%
Q3 2018-8.7%
Q2 2018+17.2%
Q1 2018-15.8%
Q4 2017+16.2%
Q3 2017+19.2%
Q2 2017-6.2%
Q1 2017-5.8%
Q4 2016-6.5%
Q3 2016-8.9%
Q2 2016-9.5%
Q1 2016+13.4%
Q4 2015+14.5%
Q3 2015-27.9%
Q2 2015+15.3%
Q1 2015-5.6%
Q4 2014+2.2%
Q3 2014+7.2%
Q2 2014+15.0%
Q1 2014-17.3%
Q4 2013+2.1%
Q3 2013+11.8%
Q2 2013-1.5%
Q1 2013-11.7%
Q4 2012+21.3%
Q3 2012-18.0%
Q2 2012-23.7%
Q1 2012+5.1%
Q4 2011+0.6%
Q4 2009+0.6%
Q3 2011+12.6%
Q3 2010+12.6%
Q2 2010-9.2%
Q2 2011-9.2%
Q4 2010+7.3%
Q1 2010+7.3%
Q1 2011+7.3%

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