NASDAQ$HDSN

Hudson Technologies Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Hudson's Q4 2021 results reflected significant revenue growth, enhanced margins, and improved profitability.

Hudson Technologies reported record fourth quarter results with a 71% increase in revenue to $37.8 million, driven by increased selling prices for certain refrigerants. The company achieved a gross margin of 45% and an operating income of $9.3 million, a significant improvement from the prior year's operating loss. Net income was $6.2 million, or $0.14 per basic share and $0.13 per diluted share.

  • Hudson Technologies reported a 71% increase in revenue for Q4 2021, reaching $37.8 million.
  • Gross margin for Q4 2021 was 45%, a significant increase from 25% in the same period of 2020.
  • The company recorded net income of $6.2 million, or $0.14 per basic share and $0.13 per diluted share, compared to a net loss in the prior year period.
  • Hudson entered into a new $85 million term loan agreement and amended its existing asset-based lending facility to $90 million.

Headline financials

Total Revenue

$37.8M

Previous: $22.1M+70.9%
EPS (adj)

$0.13

Previous: -$0.11+218.2%
Gross Margin

45.0%

Previous: 25.0%+80.0%
Capital Expenditures

$1.26M

Previous: $474K+165.2%
Free Cash Flow

-$10.5M

Previous: -$8.64M-21.7%
Net Income

$6.2M

Previous: -$4.7M+231.9%
Operating Income

$9.3M

Previous: -$1.7M+647.1%
Gross Profit

$17M

Previous: $5.53M+207.9%
Cash & Equivalents

$3.49M

Previous: $1.35M+159.1%
Total Assets

$216M

Previous: $162M+33.4%
Stock-Based Comp

$2K

Previous: $97K-97.9%

Revenue & EPS history

Hudson · Revenue · Quarterly

$37.8M

Q4 2021+70.9%vs Q4 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Forward guidance

Assuming the pricing trend continues for the 2022 selling season, Hudson Technologies could see revenues exceeding $270 million in 2022.

Tailwinds

  • Continued strength in the average selling prices of certain refrigerants.
  • AIM Act has introduced a mandated 10% stepdown in production and consumption allowances for virgin HFCs in 2022.
  • Installed base of HFC equipment continues to expand.
  • Virgin supply is expected to tighten, driving accelerated reclamation activity to fill the anticipated supply gap.
  • New debt structure will improve cost of capital and interest expense.

Headwinds

  • Changes in the laws and regulations affecting the industry.
  • Changes in the demand and price for refrigerants.
  • The company's ability to source refrigerants.
  • Possible technological obsolescence of existing products and services.
  • The impact of the current COVID-19 pandemic.

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 Q4 2021

Historical avgQ4 2021

+1.5%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+7.7%

Avg return

30 days after

56%

36 / 64 earnings

Positive

+32.9%

Q4 2021

Best reaction

-26.2%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.9%-6.3%
Q4 2025-10.6%-15.8%-17.7%
Q3 2025-6.2%-24.4%-15.8%
Q1 2025+16.1%+13.4%+6.6%
Q4 2024+3.4%+8.2%-2.9%
Q3 2024-20.2%-20.5%-18.6%
Q2 2024+5.9%+3.3%+6.1%
Q1 2024-8.3%-5.5%-10.2%
Q4 2023-17.6%-17.3%-24.7%
Q3 2023-4.4%-4.0%-1.7%
Q2 2023+18.1%+10.7%+30.4%
Q1 2023-0.4%+0.9%+19.6%
Q4 2022-9.5%-15.5%-17.7%
Q3 2022+11.3%+18.3%+25.1%
Q2 2022-5.3%-1.3%-12.9%
Q1 2022+30.0%+25.1%+42.5%
Q4 2021+32.9%+44.8%+60.4%
Q3 2021-0.8%+7.1%+4.4%
Q2 2021-12.3%-6.4%-8.4%
Q1 2021+9.9%+0.0%+56.2%
Q4 2020-6.2%-6.3%+15.3%
Q3 2020+1.9%+14.3%+50.5%
Q2 2020+1.8%+9.7%+1.8%
Q1 2020+3.7%+3.7%+10.0%
Q4 2019-2.3%-5.7%-20.7%
Q3 2019-9.0%-23.9%+9.0%
Q2 2019-13.3%-17.8%+55.6%
Q1 2019+25.9%+44.4%+18.5%
Q4 2018+22.3%+31.7%+48.9%
Q3 2018+7.6%-3.5%-35.1%
Q2 2018+1.6%+1.6%-3.3%
Q1 2018-26.2%-37.3%-44.5%
Q4 2017-9.6%-10.9%-24.1%
Q3 2017+6.2%+3.9%-5.7%
Q2 2017+15.3%+10.8%+13.7%
Q1 2017+1.9%+3.2%+21.6%
Q4 2016+1.8%-1.7%-7.8%
Q3 2016+10.9%+17.6%+37.4%
Q2 2016+2.5%-2.1%+29.8%
Q1 2016+2.3%
Q4 2015-2.3%
Q3 2015-10.5%
Q2 2015+4.9%
Q1 2015-2.8%
Q4 2014+7.7%
Q3 2014+3.3%
Q2 2014+0.7%
Q1 2014+5.9%
Q4 2013+3.3%
Q3 2013+13.3%
Q2 2013-14.5%
Q1 2013+5.7%
Q4 2012+11.9%
Q3 2012-2.3%
Q2 2012-20.2%
Q1 2011+29.4%
Q1 2012+2.1%
Q4 2011+4.4%
Q3 2011+7.6%
Q3 2010+7.6%
Q2 2011-9.5%
Q4 2010-9.5%
Q2 2010-9.5%
Q1 2010-1.6%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro