NASDAQ$ROCK

Gibraltar Industries Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

EPS increased and free cash flow was generated on flat net sales.

Gibraltar Industries reported flat net sales but increased EPS and generated strong free cash flow due to profitability expansion and working capital management. The company is raising its full-year EPS guidance and narrowing its net sales outlook.

  • Adjusted operating income increased 19% and EPS increased over 23% on flat net sales.
  • Free cash flow was 23% of net sales, driven by improved margin performance and working capital management.
  • Order backlog increased over 5% versus last year.
  • The company is raising its earnings and free cash flow guidance and narrowing its revenue guide for the full year.

Headline financials

Total Revenue

$391M

Previous: $391M-0.1%
EPS (adj)

$1.38

Previous: $1.12+23.2%
Capital Expenditures

-$7.98M

Previous: -$15.7M+49.2%
Free Cash Flow

$31.3M

Previous: $18.6M+68.4%
Net Income

$39.3M

Previous: $34.3M+14.5%
Operating Income

$53.2M

Previous: $47.4M+12.2%
Gross Profit

$105M

Previous: $94.6M+11.5%
Cash & Equivalents

$85.5M

Previous: $21.9M+289.9%
Total Assets

$1.29B

Previous: $1.33B-2.9%

Revenue & EPS history

Gibraltar · Revenue · Quarterly

$391M

Q3 2023-0.1%vs Q3 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Gibraltar · $188M total across 2 segments · Q2 2020

  • Residential
    $140M+7.0%
  • Infrastructure
    $48.1M-14.4%

Forward guidance

Gibraltar is raising its guidance for earnings for the full year 2023 and narrowing its 2023 net sales outlook. They expect to deliver improved profitability and cash flow.

Tailwinds

  • GAAP EPS is now expected to range between $3.51 and $3.71, compared to $2.56 in 2022.
  • Adjusted EPS is now expected to range between $4.05 and $4.15, compared to $3.40 in 2022.
  • The outlook for consolidated net sales narrows to between $1.37 billion and $1.40 billion.
  • Positive momentum to continue for the remainder of the year in Infrastructure segment.
  • Continued strong performance through year-end expected in Residential segment.

Headwinds

  • Relatively flat net sales expected in the fourth quarter in Renewables segment.
  • Module supply, local permitting delays, and further delay of the final Inflation Reduction Act tax credit guidelines impacted customer start dates of contracted and active projects in the quarter in Renewables segment.
  • The start of new project construction was delayed within the quarter in Agtech segment.
  • Organic sales decreased 3.2% driven by price adjustments in response to the downward movement in commodity prices, and 80/20 initiatives targeting less attractive product lines in Residential segment.
  • Timing of active projects shifting from the third quarter in project-based businesses impacted net sales.

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

+1.5%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+1.5%

Avg return

30 days after

53%

36 / 68 earnings

Positive

+24.7%

Q1 2010

Best reaction

-15.4%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.0%-0.0%-2.5%
Q4 2025-0.4%-10.9%-17.9%
Q3 2025-0.9%-9.1%-26.1%
Q1 2025+0.2%+6.5%+10.9%
Q4 2024+11.7%+12.9%+5.0%
Q3 2024+3.8%+3.7%+11.4%
Q2 2024-11.7%-18.4%-13.1%
Q1 2024-0.3%+1.8%+5.6%
Q4 2023-14.5%-9.4%-5.7%
Q3 2023+7.2%+8.0%+12.6%
Q2 2023+8.3%+11.8%+15.3%
Q1 2023+5.8%+7.4%+13.7%
Q4 2022-0.8%+0.9%-12.0%
Q3 2022-0.2%-1.0%+4.0%
Q2 2022-3.9%-2.6%-12.7%
Q1 2022+10.6%+6.5%+13.2%
Q4 2021-4.9%-1.4%-5.9%
Q3 2021-9.9%-6.5%+0.9%
Q2 2021-4.6%-3.2%+2.2%
Q1 2021-9.4%-10.6%-16.7%
Q4 2020-10.6%-13.9%-6.1%
Q3 2020-9.5%-3.5%+4.6%
Q2 2020+16.2%+22.1%+16.2%
Q1 2020-8.4%-8.9%+9.8%
Q4 2019+7.4%+11.7%-12.0%
Q3 2019+13.7%+20.2%+15.0%
Q2 2019+5.6%+4.4%+0.7%
Q1 2019-1.4%-5.7%-10.8%
Q4 2018+7.9%+2.7%-0.2%
Q3 2018-7.8%-3.1%+1.5%
Q2 2018+18.3%+17.9%+24.0%
Q1 2018+4.3%+4.1%+11.7%
Q4 2017+11.7%+12.3%+5.0%
Q3 2017+1.7%-1.5%+1.1%
Q2 2017-2.4%-1.6%-8.3%
Q1 2017-15.0%-18.7%-16.2%
Q4 2016-6.8%-5.5%-4.1%
Q3 2016+7.8%+12.8%+38.1%
Q2 2016-1.1%+1.7%+7.2%
Q1 2016+6.4%
Q4 2015+24.4%
Q3 2015+15.8%
Q2 2015+4.7%
Q1 2015+7.3%
Q4 2014-5.6%
Q3 2014+3.2%
Q2 2014+5.2%
Q1 2014-4.2%
Q4 2013+2.9%
Q3 2013+7.9%
Q2 2013-7.5%
Q1 2013-7.5%
Q4 2012+4.4%
Q3 2012-1.3%
Q2 2012+14.7%
Q1 2012+2.6%
Q4 2011-10.3%
Q3 2011+1.4%
Q2 2011-15.4%
Q1 2010+24.7%
Q1 2011+6.7%
Q4 2008+3.4%
Q4 2010+3.4%
Q3 2009+2.9%
Q3 2010+2.9%
Q2 2010-2.9%
Q2 2009-2.9%
Q4 2009-2.9%

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