NASDAQ$TRS

TriMas Corporation · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

TriMas' financial performance decreased due to macroeconomic challenges, including inflationary effects, supply chain and labor constraints, and a dynamic demand environment.

TriMas reported a decrease in net sales by 1.7% to $218.5 million, with a decline in operating profit to $21.0 million. Net income also decreased to $13.3 million, or $0.32 per diluted share. The company is revising its full-year outlook due to these challenges.

  • Net sales decreased by 1.7% to $218.5 million compared to Q3 2021.
  • Operating profit decreased to $21.0 million, with adjusted operating profit at $21.6 million.
  • Net income decreased to $13.3 million, or $0.32 per diluted share.
  • The company repurchased 1,004,154 shares of its outstanding common stock for $30.0 million during the first nine months of 2022.

Headline financials

Total Revenue

$219M

Previous: $222M-1.7%
EPS (adj)

$0.40

Previous: $0.57-29.8%
Free Cash Flow

$13.3M

Previous: $19.6M-32.1%
Net Income

$13.3M

Previous: $19.6M-32.1%
Operating Income

$21M

Previous: $30.8M-31.9%
Gross Profit

$48.3M

Previous: $58.4M-17.3%
Cash & Equivalents

$80.3M

Previous: $137M-41.3%
Total Assets

$1.3B

Previous: $1.26B+3.5%
Stock-Based Comp

$2.38M

Previous: $1.66M+43.4%

Revenue & EPS history

TriMas · Revenue · Quarterly

$219M

Q3 2022-1.7%vs Q3 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

TriMas · $219M total across 3 segments · Q3 2022

  • Packaging
    $130M-6.0%
  • Aerospace (Discontinued)
    $45.4M-2.3%
  • Specialty Products
    $43.4M+14.5%

Forward guidance

The Company is revising its full year 2022 outlook originally provided on March 1, 2022, due to macro-economic challenges that intensified during the third quarter. The Company is now expecting to generate full year 2022 adjusted diluted earnings per share in the range of $2.10 to $2.18, based on consolidated annual sales growth of 3% to 5% compared to 2021. In addition, the Company now expects 2022 Free Cash Flow to be greater than 80% of net income.

Tailwinds

  • Proactive divestiture of two properties, yielding pre-tax gains of approximately $5 million in third quarter and $17 million in October 2022.
  • Strong balance sheet
  • Pursuing attractive bolt-on acquisitions
  • Deploying capital to drive future growth through new innovations
  • Adding capacity in areas where demand remains robust

Headwinds

  • Macro-economic challenges intensified during the third quarter
  • TriMas Packaging group's order activity did not accelerate as expected
  • Third quarter demand fell abruptly from the levels experienced during the first half of 2022
  • Major consumer goods customers became more cautious in ordering due to the current macro-economic environment and their already ample inventories.
  • Revising outlook, which includes taking actions to supplement our cash earnings

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 2022

Historical avgQ3 2022

-0.2%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-0.3%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+14.8%

Q3 2014

Best reaction

-29.6%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.6%+14.9%+13.4%
Q4 2025+3.1%+4.0%-3.2%
Q3 2025-2.8%-9.1%-13.0%
Q1 2025+12.3%+17.9%+26.8%
Q4 2024-6.2%+0.1%+6.7%
Q3 2024-3.3%+1.0%-1.7%
Q2 2024-10.0%-13.0%-7.2%
Q1 2024-3.6%-2.0%-0.2%
Q4 2023-8.5%-6.0%+4.1%
Q3 2023+3.6%+5.8%+7.3%
Q2 2023-2.0%-7.3%-7.9%
Q1 2023+0.4%+1.7%+1.3%
Q4 2022-3.0%-1.0%-10.8%
Q3 2022-18.1%-14.0%-4.9%
Q2 2022+4.5%+2.0%-0.7%
Q1 2022-3.2%-5.1%-5.7%
Q4 2021-1.6%-0.8%-1.3%
Q3 2021+0.2%+2.2%+5.7%
Q2 2021-1.4%-5.1%-3.3%
Q1 2021+1.2%+3.5%+3.1%
Q4 2020-6.0%-10.7%-13.2%
Q3 2020+3.0%+10.5%+17.2%
Q2 2020-6.0%-5.1%+3.5%
Q1 2020-10.5%-11.5%-8.7%
Q4 2019-9.6%-4.8%-18.1%
Q3 2019-7.4%-5.2%-7.4%
Q2 2019-1.8%-1.6%-3.9%
Q1 2019-4.9%-3.9%-11.0%
Q4 2018+1.7%+2.2%-2.9%
Q3 2018+7.4%+7.4%+4.6%
Q2 2018+5.7%+4.0%+3.4%
Q1 2018-0.4%-1.1%+4.7%
Q4 2017+3.8%+2.6%+5.2%
Q3 2017-2.0%-4.3%-8.1%
Q2 2017+8.1%+11.3%+7.9%
Q1 2017+5.3%+5.3%+0.0%
Q4 2016-1.5%-6.9%-10.5%
Q3 2016+2.2%-0.6%+21.2%
Q2 2016-10.7%-12.5%-5.7%
Q1 2016-1.8%
Q4 2015+4.2%
Q3 2015+4.4%
Q2 2015-29.6%
Q1 2015-10.0%
Q4 2014+2.1%
Q3 2014+14.8%
Q2 2014-5.6%
Q1 2014+11.0%
Q4 2013-3.1%
Q3 2013-8.2%
Q2 2013+8.4%
Q1 2013+0.2%
Q4 2012+1.7%
Q3 2012-1.1%
Q2 2012+13.3%
Q1 2011-1.7%
Q1 2012+6.6%
Q4 2011+6.0%
Q4 2009+6.0%
Q3 2010+11.1%
Q3 2011+11.1%
Q4 2010+4.0%
Q2 2010+4.0%
Q2 2011+4.0%
Q1 2010-2.4%

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