NASDAQ$IPGP

Ipg Photonics Corp. · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

IPG Photonics' Q1 2021 results were driven by strong demand recovery, with revenue reaching $346 million and earnings per diluted share at $1.26.

IPG Photonics reported a strong first quarter in 2021, with revenue increasing by 39% year-over-year to $346 million. Earnings per diluted share also saw significant growth, increasing by 85% to $1.26. The company benefited from strong demand in China and North America, as well as improvements in Europe.

  • Revenue increased by 39% year-over-year, reaching $346 million.
  • Earnings per diluted share increased by 85% year-over-year to $1.26.
  • Material processing sales increased 45% year-over-year, accounting for 92% of total revenue.
  • Sales increased significantly in China, Europe, and North America, while decreasing in Japan.

Headline financials

Total Revenue

$346M

Previous: $249M+38.7%
EPS (adj)

$1.26

Previous: $0.68+85.3%
Gross Margin

47.5%

Previous: 41.3%+15.0%
Operating Margin

25.7%

Previous: 18.0%+42.8%
Capital Expenditures

-$27.4M

Previous: -$17.8M-54.0%
Free Cash Flow

$40.7M

Previous: $18.6M+118.8%
Net Income

$68.1M

Previous: $36.4M+87.1%
Operating Income

$88.8M

Previous: $44.8M+98.3%
Gross Profit

$164M

Previous: $103M+59.4%
Cash & Equivalents

$897M

Previous: $570M+57.3%
Total Assets

$2.98B

Previous: $2.68B+11.3%
Stock-Based Comp

$8.82M

Previous: $8.43M+4.6%

Revenue & EPS history

IPG Photonics · Revenue · Quarterly

$346M

Q1 2021+38.7%vs Q1 2020
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Revenue by segment

IPG Photonics · $346M total across 2 segments · Q1 2021

  • Materials Processing
    $318M+46.6%
  • Other Applications
    $27.7M-14.2%

Forward guidance

For the second quarter of 2021, IPG expects revenue of $360 to $390 million and earnings per diluted share in the range of $1.20 to $1.50.

Tailwinds

  • Strong bookings for core high power fiber lasers used in cutting and welding applications.
  • Increased demand for newer emerging products in medical applications.
  • Growth in electric vehicle battery production and solar cell manufacturing.
  • Increasing energy efficiency and sustainability trends.
  • Displacement of legacy non-laser processes.

Headwinds

  • COVID-19 pandemic and its associated impacts to the global business environment.
  • Public health requirements and government mandates.
  • Product demand fluctuations.
  • Order cancellations and delays.
  • Competition, tariffs, trade policy changes and general economic conditions.

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 Q1 2021

Historical avgQ1 2021

-0.7%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-2.3%

Avg return

30 days after

43%

28 / 65 earnings

Positive

+35.5%

Q4 2025

Best reaction

-26.2%

Q2 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-25.1%-14.6%+0.1%
Q4 2025+35.5%+21.6%+0.0%
Q3 2025-0.2%-2.3%-9.9%
Q1 2025-13.0%-4.7%+8.4%
Q4 2024-5.5%-5.7%-11.7%
Q3 2024+5.1%+3.8%-2.5%
Q2 2024-8.2%-18.5%-21.0%
Q1 2024-5.7%-2.1%-3.9%
Q4 2023-15.2%-16.5%-16.0%
Q3 2023+4.0%+9.8%+14.4%
Q2 2023-15.1%-17.2%-17.6%
Q1 2023+0.7%+0.2%-6.4%
Q4 2022+16.5%+16.6%+6.5%
Q3 2022+2.6%+2.5%+8.3%
Q2 2022-3.9%-5.4%-16.0%
Q1 2022+10.7%+1.9%+5.9%
Q4 2021-4.1%-6.7%-20.5%
Q3 2021+7.6%+5.0%-0.5%
Q2 2021-17.3%-16.5%-20.3%
Q1 2021-10.4%-6.7%-5.0%
Q4 2020-6.1%-7.2%-16.7%
Q3 2020+1.9%+3.6%+8.8%
Q2 2020-7.4%-9.3%-9.3%
Q1 2020+21.1%+27.7%+35.5%
Q4 2019-5.2%-7.7%-23.7%
Q3 2019-7.1%-2.9%+0.7%
Q2 2019-6.0%-15.0%-12.0%
Q1 2019-1.3%-0.9%-25.7%
Q4 2018+8.8%+12.8%+8.9%
Q3 2018+1.7%+11.0%+7.6%
Q2 2018-26.2%-24.0%-23.0%
Q1 2018+6.3%+9.5%+13.3%
Q4 2017-7.7%-4.3%-4.7%
Q3 2017-0.6%+3.0%+10.3%
Q2 2017+6.2%+5.3%+15.2%
Q1 2017+6.9%+5.6%+11.1%
Q4 2016+4.9%+2.9%+3.5%
Q3 2016+14.2%+12.2%+14.8%
Q2 2016+0.0%-1.5%+3.3%
Q1 2016-15.6%
Q4 2015-2.5%
Q3 2015+11.7%
Q2 2015+16.8%
Q1 2015-2.2%
Q4 2014+9.4%
Q3 2014+5.9%
Q2 2014+8.3%
Q1 2014-5.2%
Q4 2013+1.6%
Q3 2013-9.1%
Q2 2013-0.7%
Q1 2013-9.1%
Q1 2011+2.6%
Q4 2012-10.6%
Q3 2012-5.4%
Q4 2011+10.5%
Q2 2012+11.9%
Q1 2012+11.0%
Q4 2009-6.1%
Q1 2010-6.1%
Q3 2011-7.1%
Q3 2010-7.1%
Q4 2010-4.0%
Q2 2010-4.0%
Q2 2011-4.0%

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