NYSE$ACCO

ACCO Brands Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

ACCO Brands reported third quarter results that were in line with expectations, with overall sales trends improving compared to the first half of the year. The company continued to make progress on cost reduction and infrastructure initiatives, delivering improved gross margin and cash flow. Debt was reduced and capital was returned to shareholders through dividends and share repurchases.

ACCO Brands reported third quarter results in line with expectations. Net sales were $420.9 million, and earnings per share were $0.09, with adjusted EPS of $0.23. The company is on track to achieve over $20 million in cost savings for the full year 2024 and reduced consolidated leverage ratio to 3.5x at quarter-end.

  • Reported net sales of $421 million at the mid-point of outlook.
  • Earnings per share of $0.09; adjusted EPS of $0.23.
  • On track to achieve over $20 million in cost savings for the full year 2024 through a multi-year cost savings program.
  • Reduced consolidated leverage ratio to 3.5x at quarter-end.

Headline financials

Total Revenue

$421M

Previous: $448M-6.0%
EPS (adj)

$0.23

Previous: $0.24-4.2%
Capital Expenditures

-$3.7M

Previous: -$3.6M-2.8%
Free Cash Flow

$9.3M

Previous: $14.9M-37.6%
Net Income

$9.3M

Previous: $14.9M-37.6%
Operating Income

$26.3M

Previous: $32.2M-18.3%
Gross Profit

$137M

Previous: $145M-5.5%
Total Assets

$2.36B

Previous: $2.68B-12.2%
Stock-Based Comp

$1.6M

Previous: $1.5M+6.7%

Revenue & EPS history

ACCO Brands · Revenue · Quarterly

$421M

Q3 2024-6%vs Q3 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

The Company is reaffirming its full year 2024 outlook. For the full year, the Company expects reported sales to be down in the range of 8.0% to 9.0%. Full year adjusted EPS is expected to be within a range of $1.04 to $1.09. The Company expects 2024 free cash flow of approximately $130 million with a consolidated leverage ratio decreasing to approximately 3.2x at year-end.

Tailwinds

  • Cost reduction actions should allow the ability to maintain solid margins.
  • Cost reduction actions should allow the ability to contain expenses.
  • Cost reduction actions should allow the ability to generate strong cash flow.
  • Confidence in team's ability to continue to successfully execute on $60 million multi-year cost reduction program.
  • Progress made reducing debt will enable investment in the future.

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 2024

Historical avgQ3 2024

+1.7%

Avg return

Earnings day

+0.2%

Avg return

5 days after

-0.4%

Avg return

30 days after

48%

31 / 65 earnings

Positive

+26.2%

Q3 2016

Best reaction

-19.1%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+23.1%+25.5%+23.7%
Q4 2025-6.6%-13.6%-25.6%
Q3 2025-6.9%-4.6%-12.0%
Q1 2025-5.6%-8.0%-7.0%
Q4 2024-17.4%-17.6%-21.4%
Q3 2024+5.8%+16.9%+17.1%
Q2 2024-9.0%-9.0%+7.2%
Q1 2024+2.5%+3.2%+6.9%
Q4 2023-13.4%+8.0%-4.2%
Q3 2023-0.6%-5.5%+7.7%
Q2 2023-4.5%-7.3%-13.2%
Q1 2023+15.6%+16.3%+16.3%
Q4 2022-3.6%+1.4%-11.4%
Q3 2022+15.6%+19.7%+24.1%
Q2 2022-8.8%-2.2%-20.7%
Q1 2022-5.2%-6.4%-6.4%
Q4 2021+8.4%+10.2%+2.6%
Q3 2021-6.3%-6.7%-0.1%
Q2 2021+8.8%+8.1%+14.8%
Q1 2021+4.1%+0.4%+5.7%
Q4 2020-6.3%-7.6%-2.4%
Q3 2020-9.8%-15.4%+30.2%
Q2 2020+1.9%-5.0%-3.6%
Q1 2020-11.4%-10.3%-3.1%
Q4 2019+13.2%+7.1%-32.7%
Q3 2019-11.2%-8.6%-8.4%
Q2 2019+19.9%+18.1%+13.6%
Q1 2019-3.1%-4.5%-16.9%
Q4 2018-2.4%+0.5%-3.1%
Q3 2018-19.1%-10.2%-18.7%
Q2 2018-6.6%-5.9%-9.6%
Q1 2018-1.7%-2.1%+7.1%
Q4 2017+23.3%+22.4%+19.3%
Q3 2017+0.0%-1.5%+2.7%
Q2 2017-9.4%-6.4%-6.0%
Q1 2017-5.3%-11.6%-17.3%
Q4 2016+8.9%+7.8%+0.8%
Q3 2016+26.2%+21.8%+39.4%
Q2 2016-10.7%-11.2%-10.1%
Q1 2016+7.2%
Q4 2015+9.4%
Q3 2015-0.4%
Q2 2015+12.4%
Q1 2015-6.6%
Q4 2014-6.2%
Q3 2014+7.6%
Q2 2014+9.8%
Q1 2014+2.2%
Q4 2013+2.4%
Q3 2013-17.5%
Q2 2013-6.7%
Q1 2013-3.2%
Q4 2012-4.6%
Q3 2012+24.1%
Q2 2012-17.1%
Q1 2012+3.4%
Q1 2011+3.4%
Q4 2011+1.9%
Q4 2009+1.9%
Q3 2011+21.9%
Q3 2010+21.9%
Q4 2010+17.3%
Q2 2011+17.3%
Q2 2010+17.3%
Q1 2010-2.0%

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