NYSE$AME

AMETEK Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

AMETEK had a record fourth quarter with strong sales, operating margin expansion, and earnings growth.

AMETEK reported record fourth-quarter sales of $1.30 billion, a 3% increase compared to the fourth quarter of 2018. Operating income increased by 6% to $297.7 million, with operating margins expanding to 22.8%. GAAP earnings per diluted share were $0.96, while adjusted earnings were $1.08 per diluted share, a 13% increase year-over-year.

  • Achieved a record level of sales in Q4 2019.
  • Drove excellent operating margin expansion.
  • Delivered 13% earnings growth in the quarter.
  • Operating cash flow in the fourth quarter increased to a record $342.2 million, up 16% over the same period in 2018.

Headline financials

Total Revenue

$1.31B

Previous: $1.27B+2.7%
EPS (adj)

$1.08

Previous: $0.86+25.6%
Capital Expenditures

$40.8M

Previous: $34.6M+18.0%
Free Cash Flow

$301M

Previous: $262M+15.2%
Net Income

$221M

Previous: $212M+4.4%
Operating Income

$298M

Previous: $282M+5.5%
Gross Profit

$447M

Previous: $436M+2.4%
Cash & Equivalents

$393M

Previous: $354M+11.0%
Total Assets

$9.84B

Previous: $8.66B+13.6%
Stock-Based Comp

$11.4M

Previous: $7.22M+57.9%

Revenue & EPS history

AMETEK · Revenue · Quarterly

$1.31B

Q4 2019+2.7%vs Q4 2018
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

AMETEK · $1.3B total across 2 segments · Q4 2019

  • Electronic Instruments
    $880M+6.6%
  • Electromechanical
    $425M-4.6%

Forward guidance

For 2020, AMETEK expects overall sales to be up low single digits on a percentage basis compared to 2019. Organic sales for the year are expected to be roughly flat versus the prior year. Adjusted earnings per diluted share are expected to be in the range of $4.24 to $4.38, an increase of 1% to 5% over the prior year’s comparable basis.

Tailwinds

  • Overall sales are expected to be up low single digits on a percentage basis compared to 2019.
  • Organic sales for the year are expected to be roughly flat versus the prior year.
  • Adjusted earnings per diluted share are expected to be in the range of $4.24 to $4.38.
  • Increase of 1% to 5% over the prior year’s comparable basis.
  • First quarter of 2020, overall sales are expected to be up low single digits versus the first quarter of 2019.

Headwinds

  • Uncertainties remain in the global economy.
  • Full year guidance assumes the Reading Alloys business is divested in the first quarter and excludes the gain on the anticipated sale.
  • Adjusted earnings for the first quarter are anticipated to be in the range of $1.01 to $1.04 per share.
  • Increase of 1% to 4% over the prior year comparable basis.
  • Organic sales for the year are expected to be roughly flat versus the prior year.

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 Q4 2019

Historical avgQ4 2019

+0.4%

Avg return

Earnings day

+2.0%

Avg return

5 days after

+3.8%

Avg return

30 days after

66%

48 / 73 earnings

Positive

+8.3%

Q3 2018

Best reaction

-12.0%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.2%+2.9%-0.8%
Q4 2025-2.2%+1.8%-0.4%
Q3 2025+7.6%+7.5%+7.4%
Q2 2025+4.6%+4.6%+4.5%
Q1 2025-1.4%-1.0%+5.4%
Q4 2024-2.0%+0.2%+0.0%
Q3 2024+5.6%+7.8%+15.1%
Q2 2024-12.0%-9.5%-1.4%
Q1 2024-4.3%-2.5%-2.5%
Q4 2023-0.2%+0.9%+8.7%
Q3 2023+1.6%+2.6%+10.8%
Q2 2023+0.1%-1.3%+0.6%
Q1 2023+3.8%+4.1%+5.5%
Q4 2022+0.8%+1.1%-0.8%
Q3 2022+0.3%+4.3%+10.5%
Q2 2022+3.2%+3.2%-1.6%
Q1 2022+0.6%-2.5%-2.5%
Q4 2021-3.8%-3.1%-6.3%
Q3 2021+5.2%+5.1%+3.6%
Q2 2021-1.1%-1.0%-1.8%
Q1 2021+1.9%+2.2%+1.9%
Q4 2020+0.4%+3.8%+4.9%
Q3 2020+0.0%+7.2%+22.0%
Q2 2020+1.5%+3.0%+5.2%
Q1 2020+2.6%+5.8%+18.3%
Q4 2019-0.4%-0.5%-10.7%
Q3 2019+3.2%+5.4%+8.4%
Q2 2019+1.2%-2.3%-2.8%
Q1 2019-1.3%-1.9%-7.1%
Q4 2018+1.2%+2.8%+7.1%
Q3 2018+8.3%+11.3%+9.5%
Q2 2018+1.0%+0.7%+0.5%
Q1 2018+1.1%+5.1%+7.1%
Q4 2017+1.2%-2.1%-2.3%
Q3 2017+0.6%+1.9%+7.2%
Q2 2017+4.5%+4.2%+2.6%
Q1 2017+4.0%+4.5%+6.8%
Q4 2016+1.3%+3.6%+4.1%
Q3 2016+0.0%+0.7%+12.0%
Q2 2016-1.4%+1.1%+4.9%
Q1 2016-8.1%
Q4 2015-4.1%
Q3 2015-3.7%
Q2 2015+1.8%
Q1 2015+0.2%
Q4 2014+0.3%
Q3 2014-0.8%
Q2 2014+3.5%
Q1 2014+0.1%
Q4 2013+0.3%
Q3 2013+3.3%
Q2 2013-3.0%
Q1 2013-1.5%
Q4 2012+3.5%
Q3 2012+3.9%
Q2 2012-6.7%
Q1 2012+2.9%
Q4 2011-0.2%
Q3 2011+4.0%
Q2 2011-9.4%
Q1 2011+3.0%
Q4 2010+1.8%
Q3 2010+2.8%
Q2 2010+0.6%
Q1 2009-5.3%
Q1 2010+0.9%
Q4 2009+2.2%
Q4 2007+2.2%
Q3 2009+2.9%
Q3 2008+2.9%
Q2 2009-2.9%
Q2 2008-2.9%
Q4 2008-2.9%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro