NASDAQ$HWKN

Hawkins Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Hawkins reported strong Q1 2024 results driven by Water Treatment segment growth and favorable LIFO adjustment.

Hawkins, Inc. reported record quarterly performance in Q1 2024, with sales of $251.1 million, a 2% year-over-year increase. EPS increased to $1.12, a 19% increase year-over-year. The Water Treatment group led the growth with a 19% increase in revenue. Net income was $23.4 million.

  • Record quarterly performance in sales, gross profit, operating income, net income, and EPS.
  • Sales increased by 2% year-over-year to $251.1 million, driven by a 19% growth in the Water Treatment group.
  • EPS increased by 19% year-over-year to $1.12.
  • Operating cash flow was $34.9 million, with $23.4 million used to pay down the revolving line of credit.

Headline financials

Total Revenue

$251M

Previous: $247M+1.9%
EPS (adj)

$1.12

Previous: $0.94+19.1%
Capital Expenditures

-$7.87M

Previous: -$11.6M+32.4%
Free Cash Flow

$15.6M

Previous: $8.06M+93.1%
Net Income

$23.4M

Previous: $19.7M+19.0%
Operating Income

$32.5M

Previous: $27.9M+16.6%
Gross Profit

$52M

Previous: $46.7M+11.2%
Cash & Equivalents

$7.05M

Previous: $6M+17.6%
Total Assets

$592M

Previous: $596M-0.7%
Stock-Based Comp

$959K

Previous: $595K+61.2%

Revenue & EPS history

Hawkins · Revenue · Quarterly

$251M

Q1 2024+1.9%vs Q1 2023
Beat estimate in 7 of 13 quarters(54%)
ActualEstimate

Revenue by segment

Hawkins · $251M total across 3 segments · Q1 2024

  • Industrial Solutions
    $121M-3.1%
  • Water Treatment
    $93.7M+19.3%
  • Food & Health Sciences
    $36.6M-15.6%

Forward guidance

Hawkins expects continued growth in Water Treatment segment for the remainder of the year, although not at the pace of the first quarter and remains cautiously optimistic about the Industrial segment. The company believes it will continue to generate strong operating cash flow and will continue to manage debt during the remainder of the fiscal year.

Tailwinds

  • Continued growth in the Water Treatment segment is expected.
  • Company anticipates generating strong operating cash flow.
  • Management is focused on managing debt effectively.
  • Company has diversity of businesses
  • Company sees overall strength

Headwinds

  • Growth in Water Treatment segment not expected to be at the same pace as Q1.
  • Customers continue to destock inventory levels in Health and Nutrition
  • Lower consumer demand for health and immunity products
  • Expected destocking to continue through the remainder of the year in Health and Nutrition
  • Industrial group sales declined 3% year over year

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 Q1 2024

Historical avgQ1 2024

+0.7%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+5.6%

Avg return

30 days after

56%

36 / 64 earnings

Positive

+17.6%

Q1 2025

Best reaction

-10.2%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-3.2%-5.5%-2.1%
Q3 2026-9.1%-17.6%-3.0%
Q2 2026-5.0%-19.0%-18.0%
Q4 2025-0.7%+5.8%+13.5%
Q3 2025-8.4%-0.1%-9.6%
Q2 2025-8.8%-9.3%+14.8%
Q1 2025+17.6%+11.1%+22.8%
Q4 2024+9.4%+15.4%+13.1%
Q3 2024-10.2%-13.5%+1.7%
Q2 2024-5.1%+5.8%+9.0%
Q1 2024+7.1%+10.2%+35.9%
Q4 2023+12.3%+9.1%+15.4%
Q3 2023+9.8%+5.5%+8.1%
Q2 2023-2.3%-9.5%-9.6%
Q1 2023+3.9%+7.4%-1.7%
Q4 2022-7.5%-10.5%-7.2%
Q3 2022+9.4%+5.8%+23.9%
Q2 2022-7.1%-4.7%-11.6%
Q1 2022+14.9%+12.4%+22.3%
Q4 2021+4.0%+2.5%-0.3%
Q3 2021+9.7%+11.5%+25.1%
Q2 2021+3.8%-5.8%+2.6%
Q1 2021+2.1%+8.7%+7.5%
Q4 2020+9.3%+14.9%+11.0%
Q3 2020+0.7%+0.9%-6.7%
Q2 2020+4.0%+7.9%+0.6%
Q1 2020+0.5%+3.9%-1.3%
Q4 2019+4.5%+4.1%+15.5%
Q3 2019-10.1%-14.2%-7.4%
Q2 2019+10.5%+9.0%+22.9%
Q1 2019+9.8%+9.2%+10.7%
Q4 2018-6.9%-3.1%+4.9%
Q3 2018+3.2%+5.7%+5.7%
Q2 2018-2.4%-5.9%-1.0%
Q1 2018-4.4%-7.0%-15.6%
Q4 2017+1.4%+1.6%-1.1%
Q3 2017+0.5%+2.0%-4.6%
Q2 2017+0.7%+3.8%+21.6%
Q1 2017+2.4%+4.0%+4.3%
Q4 2016+10.5%+12.2%+11.3%
Q3 2016+0.3%
Q2 2016+1.1%
Q1 2016+0.3%
Q4 2015+2.2%
Q3 2015-2.4%
Q2 2015+2.5%
Q1 2015-2.0%
Q4 2014-1.8%
Q3 2014-2.0%
Q2 2014-5.5%
Q1 2014-6.6%
Q4 2013-1.8%
Q3 2013+0.3%
Q2 2013+0.8%
Q1 2013+1.9%
Q4 2010-3.1%
Q4 2012-3.1%
Q3 2011+3.2%
Q3 2012+3.2%
Q2 2012+2.5%
Q1 2012-3.3%
Q1 2011-3.3%
Q2 2011-3.3%
Q4 2011-3.3%

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