NASDAQ$IPGP

Ipg Photonics Corp. · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Financial results reported a decrease in revenue and a net loss due to inventory related charges, impairment of long-lived assets, and restructuring charges.

IPG Photonics reported a decrease in revenue for the fourth quarter of 2022, with a net loss attributable to IPG Photonics Corporation. The company's results were impacted by inventory related charges, impairment of long-lived assets, and restructuring charges. However, there was a record demand for EV and medical applications.

  • Revenue decreased by 8% year over year to $333.5 million, including a $25 million impact from foreign currency translation.
  • Loss per diluted share was $1.91, while adjusted diluted EPS was $1.08.
  • Materials processing sales accounted for 89% of total revenue, decreasing by 6% year over year.
  • Sales decreased in North America, Europe, and China, but increased in Japan.

Headline financials

Total Revenue

$334M

Previous: $364M-8.5%
EPS (adj)

$1.08

Previous: $1.21-10.7%
Gross Margin

18.2%

Previous: 45.5%-60.0%
Operating Margin

-26.5%

Previous: 23.3%-213.7%
Capital Expenditures

$25.6M

Previous: $29.3M-12.5%
Free Cash Flow

$16M

Previous: $55.3M-71.0%
Net Income

-$92.9M

Previous: $65.3M-242.3%
Operating Income

-$88.5M

Previous: $84.8M-204.3%
Gross Profit

$60.8M

Previous: $166M-63.4%
Cash & Equivalents

$698M

Previous: $709M-1.5%
Total Assets

$2.74B

Previous: $3.17B-13.5%
Stock-Based Comp

$9.1M

Previous: $9.33M-2.4%

Revenue & EPS history

IPG Photonics · Revenue · Quarterly

$334M

Q4 2022-8.5%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

IPG Photonics · $333M total across 2 segments · Q4 2022

  • Materials Processing
    $297M-6.3%
  • Other Applications
    $36.4M-23.2%

Forward guidance

For the first quarter of 2023, IPG expects revenue of $310 million to $340 million and earnings per diluted share in the range of $0.90 to $1.20. The first quarter guidance range is reduced by approximately $9 million due to foreign currency headwinds.

Tailwinds

  • Revenue of $310 million to $340 million is expected.
  • Earnings per diluted share in the range of $0.90 to $1.20 is anticipated.
  • Strong bookings in e-mobility and welding applications give reason to be optimistic.
  • Focusing on emerging products.
  • Building production capabilities

Headwinds

  • First quarter guidance range is reduced by approximately $9 million due to foreign currency headwinds.
  • Macroeconomic challenges are expected to persist into 2023.
  • Trade policy changes and trade restrictions with Russia.
  • COVID-19 pandemic.
  • 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 Q4 2022

Historical avgQ4 2022

-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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