NYSE$CSW

Csw Industri Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Reported record quarterly revenue and EPS.

CSW Industrials reported a strong fiscal first quarter with a 77% increase in total revenue to $161.3 million and adjusted EPS growth of 80% to $1.46. All three segments delivered organic revenue growth, with Contractor Solutions leading with 54% organic growth.

  • Total revenue increased 77% to $161.3 million, compared to $91.0 million.
  • Organic revenue growth of 40%, or $36.8 million, with all segments reporting organic growth.
  • Adjusted EPS attributable to CSWI grew by 80% to $1.46, compared to $0.81.
  • Adjusted EBITDA increased by 108% to $40.5 million, with a 25% adjusted EBITDA margin.

Headline financials

Total Revenue

$161M

Previous: $91M+77.3%
EPS (adj)

$1.46

Previous: $0.81+80.2%
Adjusted EBITDA

$40.5M

Previous: $19.5M+107.9%
Net Income

$20M

Previous: $12M+67.6%
Operating Income

$28.5M

Previous: $16.3M+75.2%
Gross Profit

$68.6M

Previous: $42.8M+60.5%
Cash & Equivalents

$15.7M

Previous: $19.7M-20.4%
Total Assets

$904M

Previous: $371M+143.5%

Revenue & EPS history

Csw Industri · Revenue · Quarterly

$161M

Q1 2022+77.3%vs Q1 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Csw Industri · $311M total across 3 segments · Q4 2026

  • Contractor Solutions
    $237M
  • Specialized Reliability Solutions
    $46.2M
  • Engineered Building Solutions
    $27.7M

Forward guidance

The company expects ongoing strength in top line growth, but short-term inflation is having a modest impact on near-term profit margins.

Tailwinds

  • Expect the demand for innovative products to translate into ongoing strength in top line growth.
  • Sustained and sharp focus on customer service.
  • Disciplined price actions amid an accelerating economic recovery.
  • Effective tax rate for the fiscal first quarter was 23.9% on a GAAP basis.
  • Company continues to expect a 25% tax rate for fiscal year 2022.

Headwinds

  • Short-term inflation, primarily in raw materials and transportation, is having a modest impact on near-term profit margins.
  • Material and freight cost inflation that outpaced instituted price increases in some end markets served.
  • Shift in sales to lower margin projects.
  • Growth in material and freight expenses accelerated more quickly than the effectiveness of the implemented pricing initiatives.
  • Appropriate price actions bolstered revenue. These price actions were implemented at various points in the quarter, and therefore the benefit is not fully reflected in this quarter’s results.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.6%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+3.8%

Avg return

30 days after

54%

26 / 48 earnings

Positive

+13.1%

Q2 2019

Best reaction

-8.5%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026-8.5%-12.9%-1.9%
Q2 2026+1.4%-2.4%+11.4%
Q1 2026-3.9%-10.7%-1.6%
Q4 2025-3.8%-0.3%-10.4%
Q3 2025-5.0%-7.4%-11.4%
Q2 2025-2.8%+0.3%+16.3%
Q1 2025+5.1%-0.3%+12.7%
Q4 2024+5.7%+4.6%+7.2%
Q3 2024+4.2%+4.4%+8.0%
Q2 2024-0.3%-1.6%+3.7%
Q1 2024+0.1%+3.4%+2.4%
Q4 2023+7.9%+7.7%+19.6%
Q3 2023+3.3%+4.2%+4.9%
Q2 2023-1.0%-4.6%-3.2%
Q1 2023+5.9%+13.2%+6.7%
Q4 2022-3.3%-2.3%-9.8%
Q3 2022+0.8%+2.6%+6.4%
Q2 2022-6.7%-2.0%-14.8%
Q1 2022+3.3%+7.1%+9.5%
Q4 2021+2.5%+0.7%-5.5%
Q3 2021+2.7%+2.3%+4.3%
Q2 2021+6.4%+7.0%+29.8%
Q1 2021+10.0%+9.8%+17.2%
Q4 2020+1.3%+0.9%+3.5%
Q3 2020-1.3%-5.7%-5.8%
Q2 2020+3.8%+4.5%+4.4%
Q1 2020+1.3%+2.9%+0.2%
Q4 2019+7.6%+6.9%+13.2%
Q3 2019+6.3%+5.0%+6.5%
Q2 2019+13.1%+10.6%+7.1%
Q1 2019-3.4%-1.2%+3.2%
Q4 2018+4.4%+6.7%+13.5%
Q3 2018+2.5%+1.8%+4.6%
Q2 2018-3.2%-4.9%-2.9%
Q1 2018+2.7%+5.2%+8.3%
Q4 2017+3.3%+0.5%+7.5%
Q3 2017-1.1%+0.3%-1.5%
Q2 2017+3.1%+5.8%+8.6%
Q1 2016-4.5%-7.6%-6.2%
Q1 2017+3.0%+2.2%+7.4%
Q4 2014-2.6%-7.1%-3.0%
Q1 2015-2.6%-7.1%-3.0%
Q4 2016-2.6%-7.1%-3.0%
Q3 2016-8.5%
Q3 2015-8.5%
Q2 2015-2.8%
Q4 2015-2.8%
Q2 2016-2.8%

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