NASDAQ$NOVT

Novanta Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Novanta's Q3 2024 earnings demonstrated strong performance, driven by diversified business and strategic initiatives.

Novanta reported a 10.3% increase in GAAP revenue to $244.4 million for Q3 2024. The company's adjusted EPS was $0.85, and adjusted EBITDA reached $57 million. Customer bookings increased 13% year-over-year for core businesses, and minimally invasive surgery products achieved a book-to-bill ratio of 1.4.

  • GAAP revenue reached $244.4 million, a 10.3% increase year-over-year.
  • GAAP net income was $19 million, with a diluted EPS of $0.53.
  • Adjusted EBITDA was $57 million, compared to $52.2 million in the prior year.
  • Customer bookings increased 13% year-over-year for core businesses.

Headline financials

Total Revenue

$244M

Previous: $222M+10.3%
EPS

$0.53

Previous: $0.85-37.6%
Adjusted EBITDA

$57M

Previous: $52.2M+9.2%
Capital Expenditures

-$14.9M

Previous: -$13.7M-8.5%
Free Cash Flow

$4.28M

Previous: $7.48M-42.8%
Net Income

$19.2M

Previous: $21.2M-9.6%
Operating Income

$32.6M

Previous: $30.3M+7.4%
Gross Profit

$109M

Previous: $102M+7.5%
Cash & Equivalents

$92.7M

Previous: $76M+22.0%
Total Assets

$1.42B

Previous: $1.19B+18.8%
Stock-Based Comp

$6.36M

Previous: $6.04M+5.4%

Revenue & EPS history

Novanta · Revenue · Quarterly

$244M

Q3 2024+10.3%vs Q3 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Novanta · $83.4M total across 1 segment · Q3 2023

  • Medical Solutions
    $83.4M

Forward guidance

For Q4 2024, Novanta expects GAAP revenue of approximately $237 million to $242 million, an adjusted gross profit margin of approximately 46.0%, adjusted EBITDA in the range of $50 million to $52 million, and adjusted diluted EPS in the range of $0.70 to $0.74.

Tailwinds

  • Expects GAAP revenue of approximately $237 million to $242 million.
  • Anticipates adjusted gross profit margin to be approximately 46.0%.
  • Projects adjusted EBITDA to be in the range of $50 million to $52 million.
  • Forecasts adjusted diluted EPS to be in the range of $0.70 to $0.74.
  • Expects organic revenue growth of up to 10% in 2025 compared to 2024.

Headwinds

  • Macroeconomic environment created challenging dynamics with the timing of capital equipment purchases.
  • Guidance assumes no significant changes in foreign exchange rates.
  • Difficult to forecast and quantify certain amounts for GAAP reconciliations.
  • Potential impact from acquisitions and related expenses.
  • Possible effects from restructuring expenses.

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 2024

Historical avgQ3 2024

+2.3%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+2.4%

Avg return

30 days after

64%

41 / 64 earnings

Positive

+22.9%

Q3 2018

Best reaction

-11.3%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.2%+10.5%
Q4 2025-2.2%-7.9%-19.4%
Q3 2025+8.4%-17.0%-10.0%
Q1 2025-1.7%+2.4%+5.3%
Q4 2024+7.2%+4.6%-4.2%
Q3 2024+4.5%+4.9%-4.5%
Q2 2024+7.6%+9.4%+10.3%
Q1 2024-1.6%+0.1%+0.8%
Q4 2023+9.9%+12.1%+11.1%
Q3 2023-11.0%-11.0%+9.4%
Q2 2023-11.3%-11.2%-6.9%
Q1 2023+2.2%+0.5%+4.8%
Q4 2022-6.1%-3.7%+1.4%
Q3 2022-3.5%+10.5%+7.2%
Q2 2022-0.4%-0.5%-13.6%
Q1 2022+3.1%+9.5%+3.9%
Q4 2021-1.0%-2.0%+4.1%
Q3 2021-7.4%-8.2%-5.7%
Q2 2021+5.1%+3.8%+8.9%
Q1 2021+2.5%+7.0%+8.1%
Q4 2020-1.3%-4.1%-0.3%
Q3 2020-2.3%-7.5%-2.3%
Q2 2020+4.8%+3.4%-6.1%
Q1 2020+6.6%+3.8%+14.2%
Q4 2019+5.6%+8.4%-10.0%
Q3 2019-5.9%-8.3%-0.1%
Q2 2019-5.3%-8.4%+2.0%
Q1 2019-5.8%-5.3%-6.9%
Q4 2018+4.7%+4.6%+8.6%
Q3 2018+22.9%+21.7%-1.9%
Q2 2018-0.6%+1.9%+13.2%
Q1 2018+2.8%+3.9%+8.1%
Q4 2017+2.8%+0.9%-4.1%
Q3 2017+10.1%+10.1%-1.5%
Q2 2017-0.8%+1.9%+4.0%
Q1 2017+8.6%+12.0%+34.0%
Q4 2016+0.2%+3.9%+5.5%
Q3 2016-1.2%+1.5%+16.9%
Q2 2016+1.7%+2.9%+7.9%
Q1 2016-0.6%
Q4 2015+2.1%
Q3 2015+2.7%
Q2 2015+1.1%
Q1 2015+0.2%
Q4 2014+1.1%
Q3 2014+0.7%
Q2 2014+4.1%
Q1 2014+1.3%
Q4 2013+2.3%
Q3 2013+9.9%
Q2 2013-4.1%
Q1 2013+0.2%
Q4 2009-1.5%
Q4 2012-1.5%
Q3 2012+0.4%
Q2 2012-8.6%
Q1 2011+10.8%
Q1 2012+2.6%
Q4 2011+0.3%
Q3 2010+6.0%
Q3 2011+6.0%
Q4 2010+18.8%
Q2 2011+18.8%
Q2 2010+18.8%

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