NYSE$APG
APi Group Corporation · Q4 2022 earnings
Q4 2022 earnings · · Investor relations
Briefing
APi Group reported strong Q4 2022 results driven by acquisitions and organic growth.
APi Group reported a strong fourth quarter with net revenues increasing by 53.1% to $1.7 billion, driven by acquisitions and organic growth in Safety Services. Net income was $22 million, and adjusted EBITDA increased by 59.1% to $183 million.
- Net revenues increased by 53.1% to $1.7 billion compared to the prior year period.
- Organic net revenues increased by 5.8% compared to the prior year period.
- Reported gross margin was 27.2%, a 255 basis point increase compared to the prior year period.
- Adjusted EBITDA increased by 59.1% to $183 million compared to the prior year period.
Headline financials
Revenue & EPS history
APi Group · Revenue · Quarterly
$1.7B
Revenue by segment
APi Group · $1.71B total across 2 segments · Q4 2022
- Safety Services$1.2B+111.1%70.2%
- Specialty Services$510M+6.0%29.8%
Forward guidance
APi Group entered 2023 with positive momentum and a strong backlog, expecting to grow statutorily-required, higher margin, inspection, service and monitoring revenue.
Tailwinds
- Backlog remains strong and was up approximately 9% as of December 2022 compared to the end of December 2021.
- Focus on growing statutorily-required, higher margin, inspection, service and monitoring revenue.
- Robust backlog and variable cost structure positions the company well to prosper even if the macro environment continues to be volatile.
- Disciplined on project and customer selection.
- Focus efforts on growing the acyclical, recurring service revenue aspects of our portfolio.
Headwinds
- Economic conditions, competition and other risks may affect the Company’s future performance.
- Inflationary pressures and other macroeconomic factors on the Company’s business, markets, supply chain, customers and workforce.
- Supply chain constraints and interruptions, and the resulting increases in the cost, or reductions in the supply, of the materials commodities and labor the Company uses in its business.
- Failure to realize the anticipated benefits of the acquisition of the Chubb fire and security business.
- The possibility that the Company may be adversely affected by other economic, business, and/or competitive factors.
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 2022
+0.4%
Avg return
Earnings day
+1.8%
Avg return
5 days after
+3.9%
Avg return
30 days after
44%
11 / 25 earnings
Positive
+10.7%
Q3 2022
Best reaction
-9.4%
Q2 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -6.0% | -6.3% | -15.7% | |
| Q4 2025 | -0.4% | +0.5% | -7.3% | |
| Q3 2025 | +1.9% | +2.8% | +14.8% | |
| Q1 2025 | +6.6% | +12.3% | +23.4% | |
| Q4 2024 | -0.3% | +4.7% | -0.9% | |
| Q3 2024 | +6.4% | +5.7% | +13.8% | |
| Q2 2024 | -9.4% | -12.4% | -6.2% | |
| Q1 2024 | -2.3% | -0.0% | -5.8% | |
| Q4 2023 | -1.9% | +7.5% | +9.9% | |
| Q3 2023 | +7.2% | +4.2% | +20.5% | |
| Q2 2023 | -2.7% | -1.6% | -1.7% | |
| Q1 2023 | +1.1% | -0.8% | +5.4% | |
| Q4 2022 | +1.0% | +7.0% | -5.1% | |
| Q3 2022 | +10.7% | +12.7% | +23.0% | |
| Q2 2022 | -5.4% | -8.5% | -16.9% | |
| Q1 2022 | -8.6% | -14.6% | -5.7% | |
| Q4 2021 | -4.1% | +6.0% | +5.0% | |
| Q3 2021 | +9.3% | +10.6% | +6.2% | |
| Q2 2021 | -2.7% | -0.2% | -4.0% | |
| Q1 2021 | -6.7% | -6.9% | +7.2% | |
| Q4 2020 | -2.9% | +1.5% | +11.5% | |
| Q3 2020 | +2.5% | +1.2% | +15.9% | |
| Q2 2020 | -1.7% | +3.3% | -3.7% | |
| Q1 2020 | +9.1% | +7.6% | +7.1% | |
| Q4 2019 | +9.1% | +7.6% | +7.1% | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q1 2019 | — | — | — |
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