NYSE$CMT

Core Molding Technologies Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported strong earnings per share driven by continued execution of strategic priorities.

Core Molding Technologies reported a record-breaking second quarter with strong earnings per share growth of 250%. The company's strategic plan execution, focusing on operational improvements and revenue growth, contributed to the positive financial results. The gross margin reached its highest level in over ten years, reflecting improved pricing and operational efficiencies, and the balance sheet continued to strengthen with increased cash balance and free cash flow generation.

  • Net sales reached $97.7 million with product sales up 2.6% year-over-year.
  • Gross margin improved to 21.0% of net sales due to better customer pricing and operational efficiencies.
  • Operating income increased to $10.1 million, representing 10.3% of net sales.
  • Net income rose to $7.9 million, or $0.91 per diluted share, compared to $2.2 million, or $0.26 a year ago.

Headline financials

Total Revenue

$97.7M

Previous: $98.7M-1.0%
EPS (adj)

$0.91

Previous: $0.26+250.0%
Adjusted EBITDA

$13.7M

Previous: $7.94M+73.1%
ROCE

23.6%

No prior period
Capital Expenditures

-$4.51M

Previous: -$8.62M+47.7%
Free Cash Flow

$3.43M

Previous: -$6.44M+153.2%
Net Income

$7.94M

Previous: $2.19M+262.7%
Operating Income

$10.1M

Previous: $4.39M+129.6%
Gross Profit

$20.6M

Previous: $13M+57.6%
Cash & Equivalents

$14.2M

Previous: $114K+12322.8%
Total Assets

$214M

Previous: $205M+4.6%
Stock-Based Comp

$756K

Previous: $581K+30.1%

Revenue & EPS history

Core Molding · Revenue · Quarterly

$97.7M

Q2 2023-1%vs Q2 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Core Molding · $19.3M total across 3 segments · Q2 2023

  • Building products
    $10.7M
  • Industrial and Utilities
    $6.62M
  • Tooling
    $2.02M-62.7%

Forward guidance

The company anticipates that gross margins for the second half of the year will be affected by normal seasonality, leading to product mix shifts and reduced fixed cost leverage due to lower net sales. As a result, they expect the full-year gross margin to be in the range of 17% to 19%, compared to the prior year's 13.9%.

Headwinds

  • Gross margins in the second half of the year will be impacted by normal seasonality resulting in product mix shifts.
  • Lower fixed cost leverage from lower net sales is expected in the second half of the year.
  • Product mix shifts will impact gross margins.
  • Lower net sales will lead to reduced fixed cost leverage.
  • Full year gross margin is expected to be in the range of 17% to 19%.

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 Q2 2023

Historical avgQ2 2023

+1.5%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+3.4%

Avg return

30 days after

59%

38 / 64 earnings

Positive

+34.9%

Q1 2020

Best reaction

-36.7%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.3%-1.3%-7.8%
Q4 2025+8.4%+7.0%+28.9%
Q3 2025+2.4%+4.9%+2.2%
Q1 2025-1.7%+1.0%+4.1%
Q4 2024-0.4%+6.1%+11.8%
Q3 2024+7.5%+8.1%+5.2%
Q2 2024-7.5%+3.9%+3.3%
Q1 2024+1.6%+3.8%-10.8%
Q4 2023-0.9%-5.1%-5.5%
Q3 2023-36.7%-33.7%-24.6%
Q2 2023+15.5%+15.6%+13.1%
Q1 2023+7.3%+7.2%+2.8%
Q4 2022+11.2%+9.5%+26.1%
Q3 2022+8.6%+8.3%+5.7%
Q2 2022+5.5%+18.0%+3.4%
Q1 2022+4.1%+2.3%-3.0%
Q4 2021+20.0%+22.8%+25.8%
Q3 2021-13.0%-13.2%-25.6%
Q2 2021+11.4%+8.3%-2.8%
Q1 2021+23.8%+23.7%+12.4%
Q4 2020-7.3%-8.2%-8.3%
Q3 2020+13.3%+10.2%+41.9%
Q2 2020+8.0%+9.8%+32.9%
Q1 2020+34.9%+20.8%+70.3%
Q4 2019+0.5%+0.5%-42.7%
Q3 2019-1.5%+1.7%+1.7%
Q2 2019+13.4%+9.2%+8.7%
Q1 2019-2.0%-0.6%-10.1%
Q4 2018-3.3%-0.5%+1.9%
Q3 2018+0.7%+2.0%+14.5%
Q2 2018-27.4%-30.1%-30.4%
Q1 2018-4.3%-12.0%-9.6%
Q4 2017-0.8%-3.9%-7.6%
Q3 2017-7.9%-9.6%-8.6%
Q2 2017+10.7%+11.1%+5.6%
Q1 2017+3.0%+1.5%+6.3%
Q4 2016-1.7%+0.1%+15.4%
Q3 2016-18.5%-13.2%-7.5%
Q2 2016-16.8%-22.1%-7.9%
Q1 2016+15.6%
Q4 2015-2.8%
Q3 2015-29.3%
Q2 2015+17.3%
Q1 2015+7.2%
Q4 2014+6.1%
Q3 2014+4.6%
Q2 2014+6.5%
Q1 2014+1.3%
Q4 2013-8.2%
Q3 2013+1.7%
Q2 2013-0.8%
Q1 2013-0.6%
Q4 2012-0.1%
Q3 2012-0.8%
Q2 2012+1.0%
Q1 2011-4.0%
Q1 2012+2.5%
Q4 2011+0.9%
Q3 2010+1.0%
Q3 2011+1.0%
Q2 2011+6.5%
Q2 2010+6.5%
Q4 2010+6.5%
Q1 2010-3.0%

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