NYSE$ASIX

Advansix Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Generated record quarterly sales, earnings and margins in the first quarter, reflecting strong execution and robust ammonium sulfate fertilizer performance.

AdvanSix announced record quarterly sales, earnings, and margins for Q1 2022. Sales reached $479 million, a 27% increase year-over-year, with an EPS of $2.15 and adjusted EPS of $2.26, up 115% versus prior year.

  • Sales up approximately 27% versus prior year driven by 26% favorable impact of market-based pricing.
  • Net Income of $63.1 million, an increase of $34.9 million versus the prior year.
  • Adjusted EBITDA Margin of 21.5%, up 620 bps versus the prior year.
  • Free Cash Flow of $28.1 million, a decrease of $14.8 million versus the prior year.

Headline financials

Total Revenue

$479M

Previous: $376M+27.3%
EPS (adj)

$2.26

Previous: $0.98+130.6%
Capital Expenditures

-$21M

Previous: -$14.2M-48.3%
Free Cash Flow

$42.1M

Previous: $14M+201.4%
Net Income

$63.1M

Previous: $28.1M+124.2%
Operating Income

-$397M

Previous: -$337M-17.7%
Gross Profit

$103M

Previous: $58.5M+76.8%
Cash & Equivalents

$19.3M

Previous: $14.1M+36.7%
Total Assets

$1.46B

Previous: $1.24B+17.2%
Stock-Based Comp

$3.37M

Previous: $2.36M+42.8%

Revenue & EPS history

Advansix · Revenue · Quarterly

$479M

Q1 2022+27.3%vs Q1 2021
Beat estimate in 8 of 13 quarters(62%)
ActualEstimate

Revenue by segment

Advansix · $324M total across 3 segments · Q1 2022

  • Chemical Intermediates
    $136M-5.1%
  • Nylon
    $119M+43.2%
  • Caprolactam
    $70M-11.3%

Forward guidance

AdvanSix anticipates significant earnings growth in 2022, supported by its integrated business model and robust ammonium sulfate fertilizer performance. The company expects continued healthy demand in North America for nylon and chemical intermediates, along with earnings accretion from the successful integration of U.S. Amines.

Tailwinds

  • Targeting significant earnings growth in 2022 supported by advantages of integrated business model and expected robust ammonium sulfate fertilizer performance
  • Expect continued healthy North America demand for nylon and chemical intermediates
  • Successful integration of U.S. Amines expected to deliver year one earnings accretion

Headwinds

  • Expect pre-tax income impact of planned plant turnarounds to be approximately $32 to $37 million in 2022

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 Q1 2022

Historical avgQ1 2022

-0.8%

Avg return

Earnings day

-1.1%

Avg return

5 days after

+0.6%

Avg return

30 days after

52%

23 / 44 earnings

Positive

+15.6%

Q1 2016

Best reaction

-15.5%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-14.5%-6.0%-9.9%
Q4 2025+3.9%+0.8%+12.5%
Q3 2025-15.0%-10.9%-11.7%
Q1 2025+6.1%+6.9%+10.4%
Q3 2024+5.0%+11.8%+14.5%
Q2 2024+2.7%+4.0%+10.5%
Q1 2024-9.9%-6.3%-8.0%
Q4 2023+0.8%-0.6%-4.2%
Q3 2023-9.5%-13.2%-5.0%
Q2 2023-8.1%-5.3%-14.0%
Q1 2023-0.7%-1.2%+1.1%
Q4 2022-3.3%-0.9%-17.7%
Q3 2022+3.7%+1.7%+14.9%
Q2 2022+1.6%+2.0%-8.2%
Q1 2022-3.9%-4.2%-2.2%
Q4 2021-11.0%-14.7%+30.5%
Q3 2021+5.4%+8.3%+2.4%
Q2 2021+2.6%+6.9%+11.5%
Q1 2021+3.3%+6.7%+3.4%
Q4 2020+11.5%+8.1%+2.8%
Q3 2020+4.4%-1.3%+23.6%
Q2 2020+1.5%+5.2%+16.4%
Q1 2020-6.0%-7.2%-2.8%
Q4 2019-15.5%-27.0%-34.1%
Q3 2019+3.4%+4.0%-11.1%
Q2 2019-2.3%-10.3%-12.9%
Q1 2019+8.1%+1.6%-18.7%
Q4 2018+2.0%-1.2%-15.6%
Q3 2018-8.9%-2.9%-2.5%
Q2 2018-13.2%-13.5%-15.0%
Q1 2018-5.5%+2.0%+2.9%
Q4 2017+4.5%+6.6%-12.2%
Q3 2017-6.7%-7.2%-11.4%
Q2 2017-4.6%-4.0%+3.2%
Q2 2016-4.6%-4.0%+3.2%
Q1 2017+15.6%+13.7%+11.3%
Q1 2016+15.6%+13.7%+11.3%
Q1 2015-7.1%-9.9%-11.7%
Q2 2015-7.1%-9.9%-11.7%
Q4 2014-7.1%-9.9%-11.7%
Q4 2016+1.3%-2.2%+1.3%
Q4 2015+8.5%+6.9%+30.4%
Q3 2016+8.5%+6.9%+30.4%
Q3 2015+8.5%+6.9%+30.4%

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