NASDAQ$ICHR

Ichor Holdings Ltd · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Ichor's financial performance increased, marked by revenue growth and improved profitability.

Ichor Holdings reported strong second quarter 2020 results, with a 59% year-over-year increase in revenue and significant growth in earnings per share. The company's performance was driven by continued market share gains and strong operational execution, despite constraints from COVID-19.

  • Revenues reached $222 million, a 59% increase year-over-year, marking the fifth consecutive quarter of revenue growth.
  • GAAP net earnings were $0.30 per diluted share, while non-GAAP net earnings were $0.54 per diluted share.
  • The company's year-to-date revenue growth significantly outpaced the overall industry growth rate.
  • Earnings per share growth for the first half of 2020 more than doubled the revenue growth rate, demonstrating strong operational performance.

Headline financials

Total Revenue

$222M

Previous: $139M+59.2%
EPS (adj)

$0.54

Previous: $0.23+134.8%
Capital Expenditures

-$5.67M

Previous: -$6.12M+7.4%
Free Cash Flow

$1.15M

Previous: -$5.78M+119.8%
Net Income

$6.81M

Previous: $336K+1927.1%
Operating Income

$9.3M

Previous: $3.01M+208.9%
Gross Profit

$29.3M

Previous: $19.5M+49.8%
Cash & Equivalents

$57M

Previous: $41.5M+37.4%
Total Assets

$599M

Previous: $490M+22.2%
Stock-Based Comp

$2.14M

Previous: $1.48M+45.2%

Revenue & EPS history

Ichor · Revenue · Quarterly

$222M

Q2 2020+59.2%vs Q2 2019
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Forward guidance

For the third quarter of 2020, Ichor expects revenue to be in the range of $210 million to $240 million, GAAP diluted EPS to be in the range of $0.27 to $0.48, and non-GAAP diluted EPS to be in the range of $0.50 to $0.70.

Tailwinds

  • Revenue expected to be between $210 million and $240 million.
  • GAAP diluted EPS expected to be between $0.27 and $0.48.
  • Non-GAAP diluted EPS expected to be between $0.50 and $0.70.
  • Guidance excludes known charges related to amortization of intangible assets.
  • Guidance excludes known charges related to share-based compensation expense.

Headwinds

  • COVID-19 pandemic and related economic repercussions are expected to continue to create significant volatility and uncertainty.
  • Social distancing guidelines are resulting, and will continue to result in, reduced factory capacity.
  • Increase in direct costs within factories associated with employee PPE.
  • Increases in logistics costs and employee labor costs.
  • Other operating inefficiencies have resulted in, and may continue to result in, lower revenues and operating margins.

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 Q2 2020

Historical avgQ2 2020

-1.8%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+0.4%

Avg return

30 days after

43%

17 / 40 earnings

Positive

+32.7%

Q4 2025

Best reaction

-31.3%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.9%+7.0%+2.0%
Q4 2025+32.7%+37.1%+22.1%
Q3 2025-31.3%-34.7%-24.1%
Q1 2025-23.1%-18.5%-15.7%
Q4 2024+14.4%+20.7%+3.7%
Q3 2024+15.2%+23.1%+27.9%
Q2 2024+2.9%+2.6%+1.0%
Q1 2024-3.7%-3.2%-3.8%
Q4 2023+3.1%+13.7%+16.7%
Q3 2023-13.0%-8.9%-2.5%
Q2 2023-5.2%-7.6%-11.2%
Q1 2023-7.7%-3.8%+22.0%
Q4 2022+4.5%-0.9%-12.4%
Q3 2022-0.0%+13.7%+15.5%
Q2 2022+3.4%+12.0%-11.3%
Q1 2022-15.5%-5.0%-2.9%
Q4 2021+0.9%-5.7%-15.9%
Q3 2021-0.1%+2.1%+0.2%
Q2 2021-8.5%-8.2%-7.7%
Q1 2021-3.8%-2.6%-3.5%
Q4 2020+4.4%+7.5%+8.3%
Q3 2020+7.2%+16.9%+47.7%
Q2 2020+0.4%-7.8%-18.6%
Q1 2020-1.9%+2.1%+7.9%
Q4 2019-3.6%-2.9%-19.8%
Q3 2019+1.7%+1.3%-0.1%
Q2 2019-1.6%-3.1%+4.4%
Q1 2019-8.2%-8.4%-15.8%
Q4 2018-1.4%+1.3%-9.7%
Q3 2018-17.6%-17.8%-10.7%
Q2 2018+7.7%+2.4%+0.1%
Q1 2018+10.3%+9.3%+1.8%
Q4 2015-8.5%-6.9%-13.2%
Q4 2017-21.2%-16.8%+3.8%
Q3 2016-2.0%+0.5%-15.3%
Q3 2017-8.1%-9.9%-19.2%
Q2 2016+8.7%+9.9%+25.2%
Q2 2017+0.9%+2.7%+17.2%
Q1 2017-3.8%-5.0%+17.6%
Q4 2016+3.0%+1.5%+4.6%
Q1 2016
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014

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