NASDAQ$MGPI

MGP Ingredients Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported record results driven by strong growth across all segments and the Luxco acquisition.

MGP Ingredients reported record second-quarter results, with consolidated sales increasing by 89.0% to $174.9 million and EPS increasing to $0.91 per share. The results were driven by strong performance in each of the three business segments and the acquisition of Luxco.

  • Consolidated sales increased 89.0% to $174.9 million due to strong growth in all reporting segments.
  • Consolidated gross profit increased 174.5% to $56.8 million, representing 32.5% of consolidated sales.
  • EPS increased to $0.91 per share from $0.50 per share, and non-GAAP EPS increased to $1.27 per share from $0.54 per share.
  • Sales of premium beverage alcohol increased 54.2%, primarily driven by brown goods sales growth of 72.8%.

Headline financials

Total Revenue

$175M

Previous: $92.6M+89.0%
EPS (adj)

$1.27

Previous: $0.54+135.2%
Capital Expenditures

-$18.3M

Previous: -$10.2M-80.2%
Free Cash Flow

$1.72M

Previous: -$1.69M+202.1%
Net Income

$20.1M

Previous: $8.49M+136.3%
Operating Income

$27.7M

Previous: $11.3M+144.0%
Gross Profit

$56.8M

Previous: $20.7M+174.5%
Cash & Equivalents

$37.2M

Previous: $11.7M+217.1%
Total Assets

$1.01B

Previous: $357M+184.1%
Stock-Based Comp

$1.54M

Previous: $662K+132.3%

Revenue & EPS history

MGP Ingredients · Revenue · Quarterly

$175M

Q2 2021+89%vs Q2 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

MGP Ingredients · $84.6M total across 2 segments · Q2 2021

  • Branded Spirits
    $60.4M
  • Ingredient Solutions
    $24.2M+38.9%

Forward guidance

MGP is offering the following consolidated guidance for fiscal 2021, including Luxco's financial results:

Tailwinds

  • Sales are projected to be in the range of $570 million to $580 million.
  • Adjusted EBITDA is expected to be in the range of $105 million to $110 million.
  • Adjusted earnings per share are forecasted to be in the $2.90 to $3.00 range.
  • Weighted average shares outstanding expected to be approximately 20.7 million at year end.

Headwinds

  • The pandemic’s continued uncertainty and its potential impact on our results.
  • Aged whiskey demand to moderate in the back half of the year and over the long-term, to grow in line with the overall American Whiskey category.

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 2021

Historical avgQ2 2021

-0.7%

Avg return

Earnings day

-1.1%

Avg return

5 days after

-0.5%

Avg return

30 days after

58%

36 / 62 earnings

Positive

+15.7%

Q3 2017

Best reaction

-21.4%

Q1 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.2%-5.8%-12.8%
Q4 2025-21.2%-25.7%-27.9%
Q3 2025-1.9%+0.6%-7.6%
Q1 2025+4.8%+9.0%-0.2%
Q4 2024-1.1%-0.4%-10.3%
Q3 2024-19.2%-16.6%-17.8%
Q2 2024+4.4%+0.7%+9.9%
Q1 2024+3.0%+3.3%-0.8%
Q4 2023-13.2%-14.4%-9.3%
Q3 2023+2.2%+3.4%-5.6%
Q2 2023+6.6%+8.0%+5.6%
Q1 2023+6.2%+3.8%+5.6%
Q4 2022+8.4%+5.5%-1.8%
Q3 2022+5.2%+7.9%+17.2%
Q2 2022+6.9%+5.0%+3.6%
Q1 2022+0.3%-1.6%+2.4%
Q4 2021+2.0%+2.3%+11.8%
Q3 2021+10.2%+8.3%+23.8%
Q2 2021+14.6%+14.8%+16.1%
Q1 2021+1.7%+4.9%+20.2%
Q4 2020-8.0%-7.0%-12.2%
Q3 2020+4.6%+0.7%+10.2%
Q2 2020-6.5%-6.6%-6.5%
Q1 2020-6.8%-9.4%-8.5%
Q4 2019-10.4%-5.9%-16.1%
Q3 2019-4.9%-6.0%-5.9%
Q2 2019-18.6%-18.6%-28.3%
Q1 2019-21.4%-19.0%-31.5%
Q4 2018+5.3%+5.0%-0.8%
Q3 2018-8.1%-3.5%-4.5%
Q2 2018-5.6%-4.7%-4.4%
Q1 2018-10.2%-4.8%-5.4%
Q4 2017-1.4%-9.5%+6.8%
Q3 2017+15.7%+17.8%+19.0%
Q2 2017+2.9%+2.0%+0.8%
Q1 2017+5.5%+3.2%-2.3%
Q4 2016+10.3%+14.1%+17.9%
Q3 2016+12.6%+14.8%+36.4%
Q2 2016-19.1%-19.9%-4.4%
Q1 2016+0.7%
Q4 2015-17.2%
Q3 2015+1.3%
Q2 2015+10.4%
Q1 2015+2.5%
Q4 2014+0.4%
Q3 2014-3.8%
Q2 2014+8.6%
Q1 2014+2.9%
Q4 2013+1.2%
Q3 2013-4.3%
Q2 2013+5.0%
Q1 2013-2.3%
Q4 2012-4.6%
Q3 2012+2.0%
Q2 2012+6.7%
Q3 2011-0.5%
Q4 2009+2.8%
Q4 2011+2.8%
Q4 2010+2.8%
Q1 2012+2.0%
Q1 2011-8.2%
Q1 2010-7.7%

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