NYSE$AVD

American Vanguard Corporation · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

American Vanguard's Q4 2023 earnings demonstrated a strong rebound with increased revenue and net income compared to the previous year, driven by subsiding destocking activities and effective management.

American Vanguard reported a strong Q4 2023 with net sales of $172.2 million, a net income of $7.0 million, and earnings per diluted share of $0.25. The company's performance reflects a rebound from earlier challenges, driven by increased demand and effective operational strategies.

  • Net sales increased to $172.2 million compared to $159.5 million in the same quarter of the previous year.
  • Net income rose to $7.0 million, up from $3.9 million in the prior year's quarter.
  • Earnings per diluted share reached $0.25, an increase from $0.13 in the corresponding period of 2022.
  • Adjusted EBITDA stood at $21 million, compared to $12 million in the prior year.

Headline financials

Total Revenue

$172M

Previous: $160M+7.6%
EPS (adj)

$0.25

Previous: $0.14+78.6%
Capital Expenditures

-$2.72M

No prior period
Free Cash Flow

$83.8M

No prior period
Net Income

$7M

Previous: $3.9M+79.6%
Operating Income

$12.1M

Previous: $40.7M-70.3%
Gross Profit

$54.6M

Previous: $59M-7.4%
Stock-Based Comp

$1.88M

Previous: $1.29M+46.0%

Revenue & EPS history

American Vanguard · Revenue · Quarterly

$172M

Q4 2023+7.6%vs Q4 2022
Beat estimate in 5 of 13 quarters(38%)
ActualEstimate

Revenue by segment

American Vanguard · $150M total across 3 segments · Q3 2023

  • U.S. Crop
    $67.7M-2.0%
  • International
    $62.5M-2.4%
  • U.S. Non-Crop
    $19.3M+1.7%

Forward guidance

American Vanguard is targeting 8 to 12% revenue growth and an adjusted EBITDA range of $70 to $80 million for the full year 2024. The company expects strong gross profit margins, tight management of operating expenses, and efficient factory performance. Additionally, through their business transformation initiative, they are targeting growth of adjusted EBITDA to 15% of net sales, with the full benefit to be realized by 2026.

Tailwinds

  • Targeting 8 to 12% revenue growth.
  • Expecting strong gross profit margins.
  • Planning for tight management of operating expenses.
  • Aiming for efficient factory performance.
  • Targeting growth of adjusted EBITDA to 15% of net sales through a business transformation initiative.

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 2023

Historical avgQ4 2023

-1.0%

Avg return

Earnings day

-3.0%

Avg return

5 days after

-2.6%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+18.9%

Q4 2015

Best reaction

-34.9%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.4%-1.0%-9.8%
Q4 2025-9.6%-30.9%-24.6%
Q3 2025-0.8%-0.4%-14.9%
Q1 2025-9.2%-8.5%-19.2%
Q4 2024-5.7%+6.2%-20.0%
Q3 2024+2.1%+5.0%-5.7%
Q2 2024-34.9%-28.5%-20.5%
Q1 2024-26.6%-30.6%-30.4%
Q4 2023+15.3%+9.4%+4.5%
Q3 2023+1.1%-12.3%+5.1%
Q2 2023-16.6%-13.1%-24.7%
Q1 2023-12.9%-9.9%-3.1%
Q4 2022+4.9%+5.5%+7.8%
Q3 2022-4.4%-6.6%-4.8%
Q2 2022-18.2%-15.5%-19.8%
Q1 2022+5.6%-4.5%+17.9%
Q4 2021+2.6%+6.5%+24.0%
Q3 2021+4.3%+3.0%-9.2%
Q2 2021-0.7%-6.6%-3.5%
Q1 2021-3.3%-5.8%-14.6%
Q4 2020+2.1%-2.0%-8.6%
Q3 2020+9.2%+8.3%+21.8%
Q2 2020+4.6%+3.0%+1.0%
Q1 2020-1.9%-9.6%-3.1%
Q4 2019-4.6%-9.3%+2.3%
Q3 2019+5.0%+6.4%+8.4%
Q2 2019+5.4%+3.0%+13.8%
Q1 2019-0.3%-8.3%-19.6%
Q4 2018+6.2%-1.1%-2.1%
Q3 2018-5.6%-1.9%-7.5%
Q2 2018-4.2%-9.3%-4.0%
Q1 2018+11.7%+0.9%+10.5%
Q4 2017+16.0%+15.5%+9.8%
Q3 2017-6.1%-10.1%-10.8%
Q2 2017+9.7%+13.1%+10.0%
Q1 2017+10.9%+9.1%+9.4%
Q4 2016-4.0%-6.2%+4.7%
Q3 2016+0.3%+3.3%+14.3%
Q2 2016+17.6%+16.2%+12.2%
Q1 2016-21.8%
Q4 2015+18.9%
Q3 2015+14.0%
Q2 2015+0.8%
Q1 2015+14.6%
Q4 2014-1.7%
Q3 2014+6.4%
Q2 2014+2.6%
Q1 2014-13.1%
Q4 2013-4.3%
Q3 2013+8.9%
Q2 2013+3.3%
Q1 2013+7.7%
Q4 2009+0.2%
Q4 2012-11.0%
Q3 2012+1.7%
Q2 2012+12.5%
Q1 2012+4.1%
Q4 2011+2.0%
Q3 2010-6.8%
Q3 2011-6.8%
Q2 2010-15.6%
Q1 2011-15.6%
Q2 2011-15.6%
Q4 2010-15.6%
Q1 2010+4.5%

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