NASDAQ$FSTR

Foster (Lb) Co-A · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

L.B. Foster's financial performance decreased due to labor and raw material inflation, as well as supply chain, service partner, and lingering COVID-19 related disruptions.

L.B. Foster reported a decrease in net sales and gross profit for the fourth quarter of 2021 compared to the prior year quarter, primarily due to the sale of Piling in September 2021 and challenges in the midstream energy businesses. However, sales in Rail increased, and the company is optimistic about longer-term trends in its core end markets.

  • Net sales for Q4 2021 were $113.0 million, a 2.3% decrease from Q4 2020.
  • Gross profit for Q4 2021 was $19.0 million, a 12.2% decrease from the prior year quarter.
  • Net loss from continuing operations for Q4 2021 was $0.4 million, or $0.03 per diluted share.
  • Adjusted EBITDA from continuing operations for Q4 2021 was $3.2 million, a 53.2% decrease compared to the prior year quarter.

Headline financials

Total Revenue

$113M

Previous: $116M-2.3%
EPS (adj)

-$0.03

Previous: $0.24-112.5%
New Orders, Net

$95.2M

Previous: $134M-29.2%
Backlog

$210M

No prior period
Capital Expenditures

$1.05M

Previous: $1.53M-31.2%
Net Income

-$334K

Previous: $2.3M-114.5%
Operating Income

-$550K

Previous: $2.14M-125.7%
Gross Profit

$19M

Previous: $21.7M-12.3%
Cash & Equivalents

$10.4M

Previous: $7.56M+37.1%
Total Assets

$343M

Previous: $370M-7.5%
Stock-Based Comp

$145K

Previous: -$706K+120.5%

Revenue & EPS history

Foster · Revenue · Quarterly

$113M

Q4 2021-2.3%vs Q4 2020
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Revenue by segment

Foster · $16.2M total across 1 segment · Q2 2021

  • Infrastructure Solutions
    $16.2M

Forward guidance

The Company is maintaining its optimistic outlook regarding the longer-term trends in its core end markets of freight and transit rail and general infrastructure.

Tailwinds

  • Many of its businesses will continue to directly benefit from infrastructure investment activity, including funding benefits from U.S. Infrastructure Investment and Jobs Act passed in November 2021.
  • The Company believes that it has significant resources available to execute on organic and acquisitive growth opportunities in 2022 and beyond.
  • Overall quotation activity and demand in these markets continues to improve
  • robust backlog
  • significant resources available to execute on organic and acquisitive growth opportunities in 2022 and beyond

Headwinds

  • Midstream energy markets and related pipeline investment projects remain at depressed levels and are expected to remain so for the foreseeable future.
  • The present inflationary environment in labor and raw materials continues to pressure margins across the business
  • Ongoing cost containment measures in the businesses serving these markets will be critical to minimizing further operating margin deterioration.
  • ongoing disruptions in raw materials, labor, supply chains, service partner resources, and lingering COVID-19 related effects
  • While such conditions and the related impacts are expected to improve in 2022, they could persist throughout 2022 and possibility longer

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

-2.6%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+1.5%

Avg return

30 days after

36%

23 / 64 earnings

Positive

+25.8%

Q1 2017

Best reaction

-36.2%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+19.1%+37.8%+35.0%
Q4 2025-8.3%-10.1%-13.0%
Q3 2025-0.5%-1.1%-0.3%
Q1 2025-3.8%-11.7%-6.9%
Q4 2024-12.3%-19.4%-28.0%
Q3 2024+2.4%+10.1%+36.5%
Q2 2024-21.9%-11.5%-8.1%
Q1 2024+10.4%+22.3%+7.0%
Q4 2023-7.0%-4.0%+9.9%
Q3 2023-6.6%-5.3%-7.9%
Q2 2023+10.2%+20.8%+26.2%
Q1 2023-1.4%-2.5%+29.6%
Q4 2022+0.2%-1.3%-6.2%
Q3 2022+3.2%+12.9%-18.5%
Q2 2022-4.3%-3.7%-24.1%
Q1 2022-4.0%-5.1%+2.2%
Q4 2021-5.7%-2.2%-2.2%
Q3 2021-0.7%-0.2%-7.8%
Q2 2021-0.8%-0.8%-7.2%
Q1 2021+0.9%+4.0%+13.4%
Q4 2020+1.1%+4.5%+5.4%
Q3 2020-1.8%+2.8%+7.5%
Q2 2020+0.3%+3.3%-2.8%
Q1 2020-10.7%-9.6%+9.8%
Q4 2019-6.6%-7.7%-34.1%
Q3 2019-9.2%-8.8%-6.0%
Q2 2019-7.0%-7.8%-22.9%
Q1 2019+16.5%+15.9%+11.4%
Q4 2018-3.1%-0.6%+26.0%
Q3 2018+10.3%+15.4%+6.4%
Q2 2018+13.9%+11.6%+4.1%
Q1 2018-2.5%-7.4%-1.5%
Q4 2017-8.6%-12.1%-17.7%
Q3 2017-10.5%-9.3%-7.1%
Q2 2017+7.1%+9.7%+8.6%
Q1 2017+25.8%+19.4%+29.7%
Q4 2016-0.2%-4.8%-13.5%
Q3 2016-23.2%-12.2%+21.3%
Q2 2016-17.9%-16.1%+5.3%
Q1 2016-36.2%
Q4 2015+13.0%
Q3 2015-28.8%
Q2 2015-28.3%
Q1 2015+0.2%
Q4 2014-20.5%
Q3 2014-1.8%
Q2 2014+5.4%
Q1 2014-1.1%
Q4 2013+5.3%
Q3 2013-2.2%
Q2 2013-6.0%
Q1 2013+3.1%
Q4 2012-4.5%
Q3 2012+11.3%
Q2 2012+9.0%
Q1 2011+2.7%
Q1 2012+2.7%
Q4 2011-1.6%
Q4 2009-1.6%
Q3 2010-4.4%
Q3 2011-4.4%
Q2 2011-6.6%
Q2 2010-6.6%
Q4 2010-6.6%

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