NASDAQ$ITRI

Itron Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Itron's Q3 2023 financial performance was marked by strong execution and improved supply chain conditions, driving significant growth across key financial metrics.

Itron reported a strong third quarter in 2023, with revenue increasing by 33% to $561 million. The company saw improvements in gross profit, GAAP net income, EPS, adjusted EBITDA, and free cash flow, driven by better supply chain conditions and strong operational execution. The quarter-end cash balance was $255 million, and total backlog reached $4.3 billion.

  • Revenue increased by 33% to $561 million due to improved supply chain conditions and strong operational execution.
  • GAAP net income increased to $40 million, or $0.87 per diluted share.
  • Free cash flow increased to $28 million, driven by higher earnings partially offset by growth in working capital.
  • Total backlog increased to $4.3 billion, demonstrating continued customer demand.

Headline financials

Total Revenue

$561M

Previous: $421M+33.2%
EPS (adj)

$0.98

Previous: $0.23+326.1%
Total Backlog

$4.3B

Previous: $4.2B+2.4%
Total Bookings

$413M

Previous: $578M-28.5%
Capital Expenditures

-$18.3M

Previous: -$14.9M-23.0%
Free Cash Flow

$21.9M

Previous: -$10.8M+303.1%
Net Income

$40.2M

Previous: $4.12M+875.8%
Operating Income

$54.9M

Previous: $6.89M+696.9%
Gross Profit

$187M

Previous: $120M+55.9%
Cash & Equivalents

$255M

Previous: $215M+18.3%
Total Assets

$2.51B

Previous: $2.32B+8.4%
R&D Expense

$51.6M

No prior period
Stock-Based Comp

$6.84M

Previous: $4.88M+40.0%

Revenue & EPS history

Itron · Revenue · Quarterly

$561M

Q3 2023+33.2%vs Q3 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Itron · $628M total across 3 segments · Q4 2019

  • Networked Solutions
    $369M+20.8%
  • Device Solutions
    $206M-9.5%
  • Outcomes
    $53.6M-1.2%

Forward guidance

Itron provided outlook for Q4 2023 and updated full year 2023 guidance.

Tailwinds

  • Revenue between $565 and $575 million for Q4 2023.
  • Non-GAAP diluted EPS between $0.70 and $0.80 for Q4 2023.
  • Revenue between $2.16 to $2.17 billion for full year 2023.
  • Non-GAAP diluted EPS between $2.83 to $2.93 for full year 2023.
  • Updated full year 2023 guidance reflects increased expectations.

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 Q3 2023

Historical avgQ3 2023

+0.7%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+1.6%

Avg return

30 days after

56%

38 / 68 earnings

Positive

+26.8%

Q1 2023

Best reaction

-21.3%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.3%-1.7%-3.9%
Q4 2025+8.0%+11.4%+3.7%
Q3 2025-21.3%-22.9%-28.3%
Q1 2025-2.9%-4.1%+3.9%
Q4 2024+9.9%+17.6%+13.7%
Q3 2024+7.7%+13.3%+14.1%
Q2 2024-2.2%-5.5%-1.2%
Q1 2024+16.9%+18.3%+17.5%
Q4 2023+21.5%+24.4%+22.2%
Q3 2023+13.1%+11.4%+21.4%
Q2 2023-6.4%-10.1%-10.8%
Q1 2023+26.8%+22.7%+28.9%
Q4 2022+2.1%+3.9%-1.4%
Q3 2022+0.5%+8.3%+17.2%
Q2 2022-11.9%-14.3%-18.8%
Q1 2022+1.0%+5.4%+6.4%
Q4 2021-8.7%-13.5%-3.0%
Q3 2021-0.0%-7.4%-22.7%
Q2 2021-21.0%-16.6%-16.2%
Q1 2021-6.0%-2.8%+6.7%
Q4 2020+20.1%+21.1%-8.3%
Q3 2020+1.3%+0.7%+21.5%
Q2 2020-4.0%-3.6%-10.9%
Q1 2020-17.7%-8.8%-0.1%
Q4 2019-9.5%-10.8%-32.2%
Q3 2019+3.4%+1.2%+4.6%
Q2 2019+13.3%+13.5%+15.8%
Q1 2019+22.1%+12.1%+10.3%
Q4 2018-12.4%-15.8%-22.9%
Q3 2018-5.0%-0.8%-3.9%
Q2 2018+8.1%+3.4%+10.8%
Q1 2018-6.2%-11.9%-12.5%
Q4 2017+4.9%+3.5%+1.1%
Q3 2017-14.9%-11.2%-17.1%
Q2 2017-1.0%-0.1%-0.5%
Q1 2017+2.8%+2.1%+7.5%
Q4 2016-7.9%-10.2%-8.4%
Q3 2016+9.1%+9.8%+18.3%
Q2 2016+12.1%+13.3%+17.1%
Q1 2016+11.4%+9.5%+24.5%
Q4 2015+7.7%
Q3 2015-7.0%
Q2 2015+4.6%
Q1 2015-1.8%
Q4 2014-3.7%
Q3 2014+0.1%
Q2 2014+9.1%
Q1 2014+13.3%
Q4 2013-14.2%
Q3 2013-6.7%
Q2 2013-5.9%
Q1 2013-11.8%
Q4 2012-9.2%
Q3 2012-3.8%
Q2 2012+8.2%
Q1 2012+1.3%
Q4 2008-3.0%
Q4 2011-3.0%
Q3 2011+2.1%
Q2 2011+1.3%
Q1 2010-1.7%
Q1 2011+0.4%
Q4 2010+0.1%
Q3 2009+1.5%
Q3 2010+1.5%
Q2 2009+2.3%
Q2 2010+2.3%
Q4 2009+2.3%

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