NASDAQ$LQDT
Liquidity Services Inc · Q2 2022 earnings
Q2 2022 earnings · · Investor relations
Briefing
Reported record quarterly GMV results driven by gains in high value equipment and real estate categories, achieving $1 billion annual GMV milestone due to a 23% increase in registered buyers.
Liquidity Services announced strong Q2 fiscal year 2022 results, with record GMV of $276.9 million, up 34%, and revenue of $68.3 million, up 11%. GAAP net income increased to $12.0 million, or $0.35 per share. The company achieved a $1.0 billion+ GMV milestone on a trailing 12-month basis.
- GMV reached a record $276.9 million, a 34% increase year-over-year.
- Revenue increased to $68.3 million, up 11% compared to the previous year.
- GAAP Net Income was $12.0 million, an increase from $5.3 million in the prior year.
- Registered buyers increased by 23% to approximately 4,785,000.
Headline financials
Revenue & EPS history
Liquidity Services · Revenue · Quarterly
$68.3M
Revenue by segment
Liquidity Services · $76.3M total across 3 segments · Q4 2023
- RSCG Revenue$49.6M—65.0%
- GovDeals Revenue$16.1M—21.0%
- CAG Revenue$10.7M—14.0%
Forward guidance
For Q3-FY22, Liquidity Services expects GMV to range from $330 million to $360 million, GAAP Net Income to range from $3.0 million to $6.0 million, GAAP Diluted EPS to range from $0.09 to $0.18, Non-GAAP Adjusted EBITDA to range from $9.0 million to $12.0 million, and Non-GAAP Adjusted Diluted EPS to range from $0.16 to $0.25.
Tailwinds
- Continued R&D spending to support omni-channel behavioral marketing, expanded analytics, and buyer/seller payment optimization.
- Increased spending in business development activities to capture market opportunities, targeting expected payback periods of 12 to 18 months.
- Continued growth and expansion resulting from the continuing acceleration of broader market adoption of the digital economy, particularly in our GovDeals and RSCG seller accounts and programs, including the execution by RSCG on its business plans for the launch of AllSurplus Deals and expansion of its distribution network into the northeast.
- Continued growth in our Machinio Advertising subscription service and acceptance of other Machinio service offerings.
- Successful integration of Bid4Assets and execution by Bid4Assets on planned real estate auction activity and its business plan, including efforts that are underway with local and state governments to advance legislation that allows for online auctions for foreclosed and tax foreclosed real estate.
Headwinds
- Global supply chains are experiencing heightened disruptions from the Russian invasion of Ukraine and its impacts on international trade and energy markets, and the recent COVID-19 lockdowns in regions of China, which could limit the volume of assets made available for sale in any quarterly period.
- RSCG product source and mix changes that we expect to continue to result in a lower gross profit margin than in the prior year and increased operations costs from our RSCG growth initiatives, and other incremental investment in sales, marketing, and technology in anticipation of driving growth across our segments towards our $1.5 Billion annual GMV objective.
- Variability in the inventory product mix handled by the RSCG segment, which can cause a decline in revenues and/or gross profit margins, including variability due to sellers better optimizing their reverse supply chain operations to return more product to shelves and to avoid episodic seller capacity constraints at certain warehouse or distribution center locations.
- Continued variability in project size and timing within our CAG segment, especially as the Russian invasion of Ukraine and COVID-19 and its variants continue to impact the global economy and the ability to conduct transactions.
- Our Q3-FY22 effective tax rate (ETR) to increase to approximately 16% to 22% without a corresponding increase to cash paid for income taxes due to our continued net operating loss carryforward position.
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 2022
+0.8%
Avg return
Earnings day
+1.8%
Avg return
5 days after
+3.2%
Avg return
30 days after
52%
34 / 65 earnings
Positive
+50.0%
Q4 2020
Best reaction
-29.3%
Q2 2014
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q2 2026 | -2.6% | -9.8% | +0.0% | |
| Q1 2026 | +4.7% | +4.6% | +1.6% | |
| Q4 2025 | +13.4% | +33.5% | +39.1% | |
| Q2 2025 | -10.2% | -21.1% | -21.2% | |
| Q1 2025 | +4.0% | +7.8% | -3.1% | |
| Q4 2024 | +38.0% | +21.0% | +28.2% | |
| Q3 2024 | +10.7% | +12.5% | +5.0% | |
| Q2 2024 | -3.4% | -0.2% | -0.3% | |
| Q1 2024 | -10.5% | -6.9% | +3.1% | |
| Q4 2023 | -14.1% | -13.0% | -16.4% | |
| Q3 2023 | +8.1% | +10.1% | +7.4% | |
| Q2 2023 | +6.9% | +10.3% | +21.5% | |
| Q1 2023 | +0.5% | -9.5% | -14.0% | |
| Q4 2022 | -13.8% | -10.0% | -3.6% | |
| Q3 2022 | -20.2% | -18.8% | -23.8% | |
| Q2 2022 | -13.1% | -13.9% | -7.4% | |
| Q1 2022 | -13.7% | -11.0% | -6.0% | |
| Q4 2021 | -9.0% | -5.3% | -2.5% | |
| Q3 2021 | +10.4% | +17.2% | +25.6% | |
| Q2 2021 | +30.7% | +38.1% | +30.4% | |
| Q1 2021 | -20.6% | -21.3% | -25.0% | |
| Q4 2020 | +50.0% | +39.0% | +55.0% | |
| Q3 2020 | +12.2% | +29.7% | +33.0% | |
| Q2 2020 | -2.4% | +6.5% | +25.5% | |
| Q1 2020 | -10.0% | -10.8% | -20.5% | |
| Q4 2019 | -5.8% | -14.7% | -11.1% | |
| Q3 2019 | +13.0% | +6.0% | +16.1% | |
| Q2 2019 | +1.1% | +0.0% | -11.5% | |
| Q1 2019 | -11.7% | -15.4% | -14.7% | |
| Q4 2018 | +11.3% | +0.5% | +12.6% | |
| Q3 2018 | -4.1% | +0.7% | -0.7% | |
| Q2 2018 | -10.2% | -7.9% | -7.1% | |
| Q1 2018 | +40.6% | +45.8% | +43.7% | |
| Q4 2017 | -18.4% | -24.8% | -17.9% | |
| Q3 2017 | -9.0% | -9.0% | -12.7% | |
| Q2 2017 | -3.9% | -3.3% | -15.0% | |
| Q1 2017 | -6.3% | -10.5% | -16.8% | |
| Q4 2016 | +2.1% | +8.5% | +5.9% | |
| Q3 2016 | +14.1% | +14.2% | +24.2% | |
| Q2 2016 | +9.2% | — | — | |
| Q1 2016 | -23.4% | — | — | |
| Q4 2015 | -16.9% | — | — | |
| Q3 2015 | +2.1% | — | — | |
| Q2 2015 | +12.5% | — | — | |
| Q1 2015 | +21.2% | — | — | |
| Q4 2014 | -10.0% | — | — | |
| Q3 2014 | +0.4% | — | — | |
| Q2 2014 | -29.3% | — | — | |
| Q1 2014 | +13.1% | — | — | |
| Q4 2013 | -16.0% | — | — | |
| Q3 2013 | -1.0% | — | — | |
| Q2 2013 | +7.6% | — | — | |
| Q1 2013 | -19.0% | — | — | |
| Q4 2012 | -6.1% | — | — | |
| Q3 2012 | -4.7% | — | — | |
| Q2 2012 | +16.8% | — | — | |
| Q1 2011 | -0.6% | — | — | |
| Q1 2012 | +14.1% | — | — | |
| Q4 2009 | +1.2% | — | — | |
| Q2 2011 | +1.2% | — | — | |
| Q4 2011 | +1.2% | — | — | |
| Q3 2010 | +4.9% | — | — | |
| Q3 2011 | +4.9% | — | — | |
| Q4 2010 | +4.9% | — | — | |
| Q2 2010 | +8.0% | — | — |
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