NASDAQ$MPAA

Motorcar Parts of America Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

MPA reported record net sales with increased growth across all product categories, but net income was impacted by non-cash items and transitory cost pressures.

Motorcar Parts of America reported a record net sales increase of 32 percent compared to the previous year. Net income was $3.1 million, impacted by non-cash items and transitory cost pressures related to supply chain disruptions.

  • Record net sales of $161.8 million, a 32% increase year-over-year.
  • Net income was $3.1 million, or $0.16 per diluted share.
  • EBITDA totaled $11.9 million.
  • Gross profit increased 34.4% to $32.6 million.

Headline financials

Total Revenue

$162M

Previous: $123M+32.0%
EPS (adj)

$0.60

Previous: $0.33+81.8%
Capital Expenditures

-$5.11M

Previous: -$12M+57.6%
Free Cash Flow

-$27.3M

Previous: $60.4M-145.1%
Net Income

$3.14M

Previous: $8.47M-62.9%
Operating Income

$8.68M

Previous: $15.9M-45.4%
Gross Profit

$32.6M

Previous: $24.2M+34.4%
Cash & Equivalents

$7.77M

Previous: $12.8M-39.3%
Total Assets

$938M

Previous: $799M+17.4%
Stock-Based Comp

$2.03M

Previous: $1.5M+35.5%

Revenue & EPS history

MPA · Revenue · Quarterly

$162M

Q3 2022+32%vs Q3 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Forward guidance

The company has taken measures to mitigate increases in freight rates, inflationary costs, and wage increases by implementing freight surcharges and price increases, expected to be in effect in the fiscal first quarter ending June 30, 2022. Production has resumed in Malaysia allowing for elimination of higher tariff expenses.

Tailwinds

  • Freight surcharges and price increases are expected to take effect in the fourth quarter of fiscal 2022 to mitigate headwinds.
  • Production has resumed in Malaysia, allowing for the elimination of temporary higher tariff expenses.
  • More than 93 percent of employees globally have been vaccinated, helping mitigate operational risk.
  • The company has numerous multi-year strategic growth initiatives underway.
  • The company will benefit from increased demand for battery power emulation, testing and development of inverters, electric motors, and high-speed battery-charging station applications offered by the D&V subsidiary.

Headwinds

  • The company continues to operate in a challenging supply chain environment.
  • Net income for the fiscal third quarter of 2022 was impacted by $4.8 million of non-cash items.
  • The company incurred an impact of approximately $3.7 million due to increased shipping rates, higher relative tariffs, and other transitory cost pressures related to supply chain disruptions due to COVID-19.
  • Gross margin for the fiscal 2022 third quarter was impacted by 2.5 percent by non-cash items and 2.7 percent by the transitory supply chain disruptions.
  • EBITDA for the fiscal 2022 third quarter was impacted by $6.4 million of non-cash items, as well by $4.9 million in cash items from the transitory cost pressures related to supply chain disruptions.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+2.2%

Avg return

Earnings day

+2.9%

Avg return

5 days after

+2.3%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+34.8%

Q4 2026

Best reaction

-26.4%

Q2 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+34.8%+42.1%
Q3 2026-17.5%-23.6%-20.5%
Q2 2026-26.4%-24.7%-21.9%
Q1 2026+22.6%+21.8%+29.9%
Q4 2025-0.7%+4.3%-2.0%
Q3 2025+10.6%+61.7%+86.6%
Q2 2025+15.9%+18.8%+41.8%
Q1 2025+0.3%+2.5%-2.7%
Q4 2024-3.5%+7.3%+22.3%
Q3 2024+3.8%-1.5%-11.0%
Q2 2024+4.0%+7.1%+14.6%
Q1 2024-8.2%-6.2%-15.4%
Q4 2023+15.6%+26.8%+56.9%
Q3 2023-10.2%-10.4%-32.5%
Q2 2023-12.9%-23.6%-49.9%
Q1 2023+0.4%+9.6%-1.9%
Q4 2022-6.3%-16.0%-12.6%
Q3 2022+1.3%-0.7%+3.3%
Q2 2022-1.5%-0.8%-1.4%
Q1 2022-1.5%-2.0%-16.0%
Q4 2021+3.6%-4.4%-0.4%
Q3 2021-16.3%-19.8%-7.1%
Q2 2021+22.9%+13.9%+48.6%
Q1 2021-3.3%-1.0%-8.4%
Q4 2020-1.1%-0.3%+7.7%
Q3 2020-15.9%-12.5%-25.8%
Q2 2020+8.0%+2.2%+10.5%
Q1 2020-6.0%-5.5%-14.6%
Q4 2019+11.9%+5.3%-1.1%
Q3 2019-2.6%+7.5%+1.9%
Q2 2019+6.1%+4.0%+4.3%
Q1 2019+9.7%+12.4%+13.8%
Q4 2018-7.1%-4.1%-6.3%
Q3 2018-12.5%+0.3%-11.4%
Q2 2018-2.7%-2.6%-6.6%
Q1 2018+4.9%+5.6%+1.4%
Q4 2017-6.2%-4.4%-1.5%
Q3 2017-0.3%+1.4%+2.0%
Q2 2017+12.9%+11.6%+21.2%
Q1 2017+6.3%+4.9%+0.2%
Q4 2016+10.0%+13.9%-2.2%
Q3 2016+2.9%
Q2 2016+18.4%
Q1 2016+7.8%
Q4 2015+3.7%
Q3 2015-0.7%
Q2 2015+16.9%
Q1 2015+12.4%
Q4 2014+4.7%
Q3 2014+15.2%
Q2 2014+31.9%
Q1 2014+11.1%
Q4 2013+7.0%
Q3 2013-16.2%
Q2 2013+2.9%
Q1 2013+13.5%
Q4 2010-4.5%
Q4 2012-4.5%
Q3 2011-14.7%
Q3 2012-14.7%
Q2 2012+10.3%
Q4 2011-0.5%
Q2 2011-0.5%
Q1 2011-0.5%
Q1 2012-0.5%

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