NASDAQ$IOSP
Innospec Inc · Q4 2022 earnings
Q4 2022 earnings · · Investor relations
Briefing
Innospec's Q4 2022 financial results were announced, featuring a 24% increase in revenue and strong operating income growth.
Innospec reported a strong fourth quarter with a 24% increase in revenue to $510.7 million and net income of $25.5 million. Adjusted non-GAAP EPS was $1.20. The company highlighted strong operating income growth and margin improvement.
- Total revenues increased by 24% to $510.7 million compared to the previous year.
- Net income was $25.5 million, or $1.02 per diluted share.
- Adjusted non-GAAP EPS was $1.20 per diluted share.
- Cash from operating activities was $78.4 million before capital expenditures.
Headline financials
Revenue & EPS history
Innospec · Revenue · Quarterly
$511M
Revenue by segment
Innospec · $367M total across 2 segments · Q4 2022
- Oilfield Services$184M+92.5%50.0%
- Fuel Specialties$183M+2.1%50.0%
Forward guidance
Innospec anticipates technology-based organic growth opportunities across all businesses and expects to complete their $70 million Performance Chemicals expansion while continuing dividend growth and share repurchases.
Tailwinds
- Expect technology-based organic growth opportunities across all businesses.
- Customers' drive towards cleaner formulations, lower carbon footprint and operational efficiency will help the company.
- Innovative chemistries and highly responsive technical service directly support customers’ priorities.
- Cash generation was excellent in the quarter, and net cash position strengthened to over $147 million.
- Debt-free balance sheet allows the company to continue to follow its growth strategy and enhance returns to shareholders.
Headwinds
- General recessionary outlook for 2023.
- Destocking will continue to negatively impact volumes and margins into the first half of 2023.
- Full year adjusted effective tax rate was 27.0 percent compared to 22.7 percent last year.
- Increase in the tax rate in the year and specifically in the fourth quarter causing a 36 cents negative impact on earnings per share.
- A portion of production sales will moderate versus the extremely strong third and fourth quarters.
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 2022
+1.5%
Avg return
Earnings day
+1.1%
Avg return
5 days after
+0.5%
Avg return
30 days after
62%
40 / 65 earnings
Positive
+14.7%
Q3 2024
Best reaction
-8.5%
Q2 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +3.2% | -0.8% | +1.0% | |
| Q4 2025 | -0.0% | -8.3% | -23.5% | |
| Q3 2025 | +2.4% | +3.9% | +3.8% | |
| Q1 2025 | -3.2% | -6.0% | -7.8% | |
| Q4 2024 | -7.0% | -7.2% | -12.6% | |
| Q3 2024 | +14.7% | +11.7% | +7.6% | |
| Q2 2024 | -8.5% | -8.2% | -6.6% | |
| Q1 2024 | +4.9% | +5.0% | +0.9% | |
| Q4 2023 | -0.5% | +3.0% | +1.5% | |
| Q3 2023 | +0.7% | +0.8% | +9.8% | |
| Q2 2023 | +0.5% | +1.3% | -2.3% | |
| Q1 2023 | +0.6% | -1.3% | -0.1% | |
| Q4 2022 | -5.6% | -5.1% | -14.0% | |
| Q3 2022 | -1.1% | +5.8% | +6.8% | |
| Q2 2022 | -4.2% | -7.6% | -12.1% | |
| Q1 2022 | +4.4% | +5.4% | +10.6% | |
| Q4 2021 | +8.1% | +8.4% | +3.5% | |
| Q3 2021 | +2.2% | +3.3% | -7.6% | |
| Q2 2021 | -2.5% | +1.0% | +4.4% | |
| Q1 2021 | +1.6% | +4.2% | +3.5% | |
| Q4 2020 | -2.4% | -0.2% | +4.8% | |
| Q3 2020 | +2.4% | +0.6% | +23.4% | |
| Q2 2020 | -0.2% | +2.9% | -4.1% | |
| Q1 2020 | +2.3% | +5.2% | +16.5% | |
| Q4 2019 | -0.2% | -8.4% | -37.7% | |
| Q3 2019 | +9.2% | +8.8% | +8.9% | |
| Q2 2019 | +0.8% | +2.2% | +0.9% | |
| Q1 2019 | +0.4% | -0.3% | -2.5% | |
| Q4 2018 | +5.8% | +9.6% | +12.3% | |
| Q3 2018 | +9.9% | +8.3% | -2.1% | |
| Q2 2018 | -3.3% | -4.5% | -2.0% | |
| Q1 2018 | +2.8% | +3.4% | +9.9% | |
| Q4 2017 | +0.8% | +2.6% | +4.5% | |
| Q3 2017 | +9.7% | +3.6% | +10.2% | |
| Q2 2017 | -4.7% | -9.3% | -13.3% | |
| Q1 2017 | -0.8% | -2.6% | +3.8% | |
| Q4 2016 | +5.7% | +1.9% | -9.8% | |
| Q3 2016 | -6.7% | -5.5% | +10.2% | |
| Q2 2016 | +6.6% | +16.1% | +17.1% | |
| Q1 2016 | +0.1% | — | — | |
| Q4 2015 | -7.9% | — | — | |
| Q3 2015 | +4.1% | — | — | |
| Q2 2015 | +4.3% | — | — | |
| Q1 2015 | -0.1% | — | — | |
| Q4 2014 | +3.7% | — | — | |
| Q3 2014 | +8.0% | — | — | |
| Q2 2014 | +2.3% | — | — | |
| Q1 2014 | -1.4% | — | — | |
| Q4 2013 | +5.4% | — | — | |
| Q3 2013 | -2.6% | — | — | |
| Q2 2013 | +0.4% | — | — | |
| Q1 2013 | -3.6% | — | — | |
| Q4 2012 | +0.2% | — | — | |
| Q3 2012 | +4.9% | — | — | |
| Q4 2011 | -3.0% | — | — | |
| Q2 2012 | -4.6% | — | — | |
| Q1 2011 | +7.5% | — | — | |
| Q1 2012 | +8.5% | — | — | |
| Q4 2009 | -2.5% | — | — | |
| Q3 2010 | -2.5% | — | — | |
| Q3 2011 | +7.4% | — | — | |
| Q2 2011 | +4.4% | — | — | |
| Q2 2010 | +4.4% | — | — | |
| Q4 2010 | +4.4% | — | — | |
| Q1 2010 | +7.8% | — | — |
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