NASDAQ$HOLX

Hologic Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Hologic delivered excellent results, significantly exceeding expectations, and topping off another tremendous year.

Hologic's Q4 2022 revenue reached $953.3 million, a decrease of 27.6% compared to the previous year, driven by lower COVID-19 assay sales and supply chain challenges. GAAP diluted EPS was $0.47, while Non-GAAP diluted EPS was $0.82, both exceeding expectations. The company anticipates strong growth in core businesses for fiscal year 2023.

  • Revenue of $953.3 million decreased (27.6%) for the quarter, or (25.6%) in constant currency, primarily driven by lower sales of COVID-19 assays and supply chain challenges related to semiconductor chips in our Breast Health business compared to the prior year period.
  • Diagnostics revenue decreased (37.8%), or (35.6%) in constant currency, primarily driven by lower sales of COVID-19 assays compared to the prior year period. Excluding COVID-19 revenues, Diagnostics revenue grew 11.1% on an organic, constant currency basis.
  • Molecular Diagnostics revenue declined (43.2%), or (41.3%) in constant currency, primarily driven by lower sales of COVID-19 assays compared to the prior year period. Excluding COVID-19 revenues, Molecular Diagnostics revenue grew 17.2% on an organic, constant currency basis.
  • Breast Health revenue, as expected, declined (17.7%), or (16.0%) in constant currency, primarily due to lower gantry revenue resulting from semiconductor chip shortages.

Headline financials

Total Revenue

$953M

Previous: $1.32B-27.6%
EPS (adj)

$0.82

Previous: $1.61-49.1%
GAAP Gross Margin

54.0%

No prior period
Non-GAAP Gross Margin

62.5%

No prior period
Operating Margin

14.8%

No prior period
Non-GAAP Operating Margin

27.9%

No prior period
Net Margin

12.5%

No prior period
Non-GAAP Net Margin

21.8%

No prior period
Capital Expenditures

$70.6M

Previous: $25.6M+175.8%
Free Cash Flow

$98M

Previous: $440M-77.7%
Net Income

$119M

Previous: $329M-63.9%
Operating Income

$141M

Previous: $440M-67.9%
Gross Profit

$515M

Previous: $828M-37.8%
Cash & Equivalents

$2.34B

Previous: $1.17B+99.9%
Total Assets

$9.07B

Previous: $8.92B+1.7%
Stock-Based Comp

$14.9M

Previous: $14M+6.4%

Revenue & EPS history

Hologic · Revenue · Quarterly

$953M

Q4 2022-27.6%vs Q4 2021
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Hologic · $1.2B total across 3 segments · Q4 2022

  • Diagnostics
    $521M-37.8%
  • Molecular Diagnostics
    $400M-43.2%
  • Breast Health
    $275M-17.7%

Forward guidance

Hologic provided financial guidance for Q1 and full year 2023, anticipating continued strength in base diagnostics and surgical businesses, along with a strong rebound in the breast health business. The guidance assumes low double-digit constant currency organic revenue growth ex. COVID-19 in each division for full-year fiscal 2023.

Tailwinds

  • Continued strength in base Diagnostics business
  • Continued strength in Surgical businesses
  • Strong rebound in Breast Health business over the course of the year
  • Low double-digit constant currency organic revenue growth ex. COVID-19 in each division for full-year fiscal 2023.
  • Full year non-GAAP tax rate of approximately 19.0%

Headwinds

  • Q1 2023 Revenue $940 - $990 (36.1%) to (32.7%)
  • Q1 2023 GAAP EPS $0.60 - $0.70 (69.2%) to (64.1%)
  • Q1 2023 Non-GAAP EPS $0.80 - $0.90 (63.1%) to (58.5%)
  • Fiscal 2023 Revenue $3,700 - $3,900 (23.9%) to (19.8%)
  • Fiscal 2023 GAAP EPS $2.51 - $2.81 (51.1%) to (45.2%)

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 2022

Historical avgQ4 2022

-0.5%

Avg return

Earnings day

+0.2%

Avg return

5 days after

-0.1%

Avg return

30 days after

49%

35 / 72 earnings

Positive

+12.3%

Q3 2020

Best reaction

-11.4%

Q2 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026
Q1 2026+0.0%-0.6%+0.7%
Q4 2025+0.1%+0.1%+0.9%
Q3 2025+2.8%+4.4%+3.3%
Q2 2025-5.6%-3.2%+8.5%
Q1 2025-10.1%-11.4%-11.3%
Q4 2024-4.3%-4.3%-6.6%
Q3 2024+4.9%+6.4%+2.2%
Q2 2024+0.3%-0.2%-3.3%
Q1 2024-2.7%-0.4%-1.1%
Q4 2023+5.7%+5.4%+0.1%
Q3 2023-5.1%-5.9%-5.4%
Q2 2023-2.4%-2.6%-8.3%
Q1 2023+3.8%+3.6%-1.1%
Q4 2022+10.8%+12.4%+13.8%
Q3 2022+1.0%+1.3%-3.4%
Q2 2022+1.2%+3.4%+9.8%
Q1 2022+4.0%+3.8%+2.4%
Q4 2021-3.3%-5.9%-0.3%
Q3 2021+2.3%+5.0%+9.7%
Q2 2021-9.1%-9.9%-13.4%
Q1 2021+1.7%+11.2%-3.3%
Q4 2020+6.6%-5.0%+1.7%
Q3 2020+12.3%+14.8%-2.8%
Q2 2020+2.9%+2.6%+8.9%
Q1 2020-0.7%-1.8%-13.7%
Q4 2019-4.0%+8.8%+10.3%
Q3 2019-1.3%-6.5%-4.1%
Q2 2019-0.1%+0.7%-5.1%
Q1 2019+0.6%-0.5%+8.6%
Q4 2018+4.9%+1.2%+3.7%
Q3 2018-3.5%-1.9%-7.5%
Q2 2018-6.9%-6.8%-3.9%
Q1 2018-6.7%-6.6%-2.2%
Q4 2017+0.4%+2.9%+8.1%
Q3 2017-9.3%-11.3%-12.5%
Q2 2017-4.3%-5.1%-2.0%
Q1 2017-2.6%-2.9%+1.8%
Q4 2016+4.3%+8.5%+6.3%
Q3 2016+3.9%+5.8%+5.3%
Q2 2016-10.0%
Q1 2016-9.2%
Q4 2015+0.6%
Q3 2015+8.6%
Q2 2015+2.1%
Q1 2015+5.1%
Q4 2014-1.7%
Q3 2014+2.1%
Q2 2014+8.1%
Q1 2014-5.9%
Q4 2013-6.9%
Q3 2013-0.2%
Q2 2013+0.1%
Q1 2013-4.1%
Q4 2012-0.3%
Q3 2012-0.4%
Q2 2012-11.4%
Q1 2012+5.2%
Q4 2011-4.0%
Q3 2011-3.9%
Q2 2011-0.6%
Q1 2011+0.0%
Q4 2010+1.2%
Q3 2010+1.2%
Q2 2010-2.6%
Q1 2009-2.8%
Q1 2010-1.1%
Q2 2009+2.9%
Q4 2007+2.9%
Q4 2009+2.9%
Q3 2009-3.0%
Q3 2008-3.0%
Q4 2008-3.0%

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