NYSE$CTS

CTS Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

CTS delivered improved earnings and generated stronger cash flow due to progress on operational improvements.

CTS Corporation announced third quarter 2024 results with improved earnings and stronger cash flow. Sales were $132 million, down 2% year-over-year, but up 2% sequentially. Net income was $19 million, up from $14 million in the third quarter of 2023. The company is updating its full year 2024 sales guidance to $515 - $525 million and reiterating its adjusted diluted EPS guidance to $2.05 - $2.25.

  • Sales were $132 million, a decrease of 2% year-over-year, but an increase of 2% sequentially.
  • Net income reached $19 million, representing 14% of sales, an increase from $14 million in Q3 2023.
  • Earnings per diluted share were $0.61, compared to $0.44 in the third quarter of 2023.
  • Operating cash flow was $35 million, up from $22 million in the third quarter of 2023.

Headline financials

Total Revenue

$132M

Previous: $135M-1.6%
EPS

$0.61

Previous: $0.54+13.0%
Adjusted EBITDA Margin

24.4%

No prior period
Operating Cash Flow

$35.4M

No prior period
Adjusted Net Earnings

$18.8M

No prior period
Adjusted Gross Margin

38.2%

No prior period
Adjusted Operating Earnings

$23.3M

No prior period
Controllable Working Capital

$97.4M

No prior period
Controllable Working Capital as % of Annualized Sales

18.4%

No prior period
Operating Cash Flow as % of Net Earnings

189.0%

No prior period
Free Cash Flow as % of Adjusted Net Earnings

163.0%

No prior period
Capital Expenditures

$3.9M

No prior period
Capex as % of Net Sales

2.9%

No prior period
Depreciation and Amortization Expense

$8M

No prior period
Stock-Based Compensation Expense

$1.4M

No prior period
Free Cash Flow

$18.7M

Previous: $14M+33.7%
Net Income

$18.7M

Previous: $14M+33.7%
Operating Income

$21.5M

Previous: $18.2M+18.1%
Gross Profit

$49.8M

Previous: $46.4M+7.3%
Cash & Equivalents

$94.9M

Previous: $160M-40.7%
Total Assets

$789M

Previous: $754M+4.7%
R&D Expense

$5.03M

Previous: $6.32M-20.4%

Revenue & EPS history

CTS · Revenue · Quarterly

$132M

Q3 2024-1.6%vs Q3 2023
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

CTS is updating its guidance for full year 2024 sales to be in the range of $515 - $525 million and reiterating the adjusted diluted EPS guidance to be in the range of $2.05 - $2.25.

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 Q3 2024

Historical avgQ3 2024

+0.5%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+3.5%

Avg return

30 days after

61%

40 / 66 earnings

Positive

+11.2%

Q1 2016

Best reaction

-17.4%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.3%+4.1%+17.5%
Q4 2025+3.1%+3.4%-15.8%
Q3 2025-4.4%-2.2%+0.3%
Q2 2025-2.4%-2.3%-2.1%
Q1 2025-4.5%-2.2%+2.0%
Q4 2024-4.5%-5.7%-12.2%
Q3 2024+4.6%+5.4%+11.9%
Q2 2024-5.5%-11.0%-5.3%
Q1 2024+6.0%+8.7%+15.7%
Q4 2023+2.7%+10.0%+8.2%
Q3 2023-4.2%-2.3%+3.8%
Q2 2023+1.0%+1.0%+5.5%
Q1 2023-6.5%-3.7%+9.4%
Q4 2022-7.1%-2.1%-5.2%
Q3 2022-13.5%-10.2%-4.5%
Q2 2022+1.7%+7.5%+15.9%
Q1 2022+8.5%+11.7%+24.3%
Q4 2021+5.0%+4.0%+8.1%
Q3 2021+11.1%+14.4%+12.1%
Q2 2021+1.0%+3.0%+1.6%
Q1 2021+2.4%+0.2%+20.4%
Q4 2020-2.8%-2.1%+0.1%
Q3 2020+8.3%+12.0%+22.6%
Q2 2020-0.2%+0.9%+3.4%
Q1 2020+1.1%+8.9%-4.2%
Q4 2019+3.0%-1.2%-16.6%
Q3 2019-17.4%-19.5%-20.4%
Q2 2019+5.8%+6.5%-7.8%
Q1 2019-3.6%-3.8%-11.9%
Q4 2018+2.7%+1.8%+6.2%
Q3 2018-0.3%-2.8%+4.5%
Q2 2018-3.3%-4.5%-4.7%
Q1 2018+2.8%+3.5%+11.2%
Q4 2017+0.6%-2.8%+0.9%
Q3 2017+5.7%+7.3%+8.9%
Q2 2017+1.6%+2.1%+1.4%
Q1 2017+3.5%+0.9%-2.3%
Q4 2016+6.6%+9.5%+0.9%
Q3 2016+10.6%+9.4%+36.8%
Q2 2016-1.1%-1.7%-1.6%
Q1 2016+11.2%
Q4 2015-4.3%
Q3 2015-13.5%
Q2 2015-0.6%
Q1 2015+3.5%
Q4 2014+0.5%
Q3 2014+7.3%
Q2 2014+1.2%
Q1 2014-8.1%
Q4 2013+7.2%
Q3 2013+3.9%
Q2 2013-1.7%
Q1 2013+7.4%
Q4 2012-4.4%
Q3 2012-3.0%
Q2 2012-4.9%
Q1 2011+1.1%
Q1 2012+0.6%
Q4 2009-2.0%
Q4 2011-2.0%
Q3 2010+1.7%
Q3 2011+1.7%
Q2 2011+3.0%
Q2 2010+3.0%
Q4 2010+3.0%
Q1 2010+4.7%

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