NYSE$EAF

GrafTech International Ltd. · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Announced first quarter results, successfully executing strategic initiatives to reduce costs and preserve long-term flexibility.

GrafTech International Ltd. reported a net loss of $31 million, or $0.12 per share, and adjusted EBITDA of $0.2 million for the quarter ended March 31, 2024. The company is focused on managing costs and enhancing customer engagement amid a weak commercial environment.

  • Net loss of $31 million, or $0.12 per share.
  • Adjusted EBITDA of $0.2 million.
  • Net cash used in operating activities of $1 million and adjusted free cash flow of negative $11 million.
  • Significant cost improvement reflects actions to aggressively address all elements of our cost structure.

Headline financials

Total Revenue

$137M

Previous: $139M-1.6%
EPS

-$0.12

Previous: -$0.02-500.0%
Sales Volume (MT)

24.1K

No prior period
Production Volume (MT)

26.0K

No prior period
Capacity Utilization

58.0%

No prior period
Cash Cost of Goods Sold per MT

$4.6K

No prior period
Capital Expenditures

-$10.5M

Previous: -$25.3M+58.4%
Free Cash Flow

-$41.4M

Previous: -$32.6M-26.8%
Net Income

-$30.9M

Previous: -$7.37M-318.9%
Operating Income

-$21.4M

Previous: $2.81M-859.1%
Gross Profit

-$1.31M

Previous: $26.2M-105.0%
Cash & Equivalents

$165M

Previous: $135M+22.0%
Total Assets

$1.22B

Previous: $1.56B-21.8%
R&D Expense

$1.63M

No prior period
Stock-Based Comp

$1.05M

Previous: $796K+31.5%

Revenue & EPS history

GrafTech · Revenue · Quarterly

$137M

Q1 2024-1.6%vs Q1 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

GrafTech expects near-term demand for graphite electrodes to remain weak due to persistent challenges in the commercial environment and constrained steel industry production. Sales volume in the second quarter of 2024 is expected to be broadly in line with sales volume for the first quarter of 2024 and we continue to expect a modest year-over-year improvement in sales volume for the full year. The company now anticipates a mid-teen percentage point decline compared to 2023 in it's full year 2024 cash cost of goods sold per MT.

Tailwinds

  • Sales volume in the second quarter of 2024 is expected to be broadly in line with sales volume for the first quarter of 2024
  • Expect a modest year-over-year improvement in sales volume for the full year.
  • The company is taking strategic actions to reduce fixed manufacturing costs.
  • Taking additional actions to reduce variable costs, including certain raw materials and energy.
  • Anticipate improvement in sales and production volume levels.

Headwinds

  • Demand for graphite electrodes in the near term will remain weak.
  • Steel industry production remains constrained by global economic uncertainty.
  • Challenging pricing dynamics have persisted in most regions.
  • Commercial environment remains challenging.
  • The company remains selective in the commercial opportunities it chooses to pursue.

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 2024

Historical avgQ1 2024

-4.0%

Avg return

Earnings day

-4.9%

Avg return

5 days after

-3.1%

Avg return

30 days after

39%

13 / 33 earnings

Positive

+14.3%

Q4 2020

Best reaction

-46.2%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.7%+11.2%+15.6%
Q4 2025-46.2%-51.7%-62.8%
Q3 2025-1.9%-24.7%-30.0%
Q1 2025+7.8%-3.1%+59.3%
Q4 2024-9.4%-31.5%-22.1%
Q3 2024+3.9%+2.4%-7.2%
Q2 2024-3.5%-8.9%-13.0%
Q1 2024+3.1%+3.7%+10.6%
Q4 2023+7.6%+5.3%+26.5%
Q3 2023-23.6%-28.9%-22.1%
Q2 2023-21.8%-15.7%-31.5%
Q1 2023-9.9%-14.0%-5.7%
Q4 2022-16.2%-17.9%-12.3%
Q3 2022-3.1%-10.5%+7.6%
Q2 2022-13.0%-11.6%-25.6%
Q1 2022-8.9%-13.0%-2.0%
Q4 2021-12.6%-8.0%-13.2%
Q3 2021+12.7%+11.4%+5.6%
Q2 2021-6.6%-0.3%-4.1%
Q1 2021-2.0%-6.2%-2.0%
Q4 2020+14.3%+20.4%+11.8%
Q3 2020-9.3%+0.3%+39.2%
Q2 2020+9.3%+9.3%+1.9%
Q1 2020-14.3%-14.8%+11.5%
Q4 2019-5.6%-5.4%-31.9%
Q3 2019+2.2%+8.6%-3.0%
Q2 2019-1.6%-5.3%+9.0%
Q1 2019+2.2%+6.7%-13.4%
Q4 2018+0.8%+7.6%-5.8%
Q3 2018-0.6%-4.3%-13.6%
Q2 2018+0.4%-2.5%-15.6%
Q4 2017+8.3%+14.0%+18.6%
Q1 2018+8.3%+14.0%+18.6%
Q3 2017
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Q4 2016
Q1 2017
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Q4 2015
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Q4 2014
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Q4 2013
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Q4 2012
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Q1 2012
Q4 2011
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Q1 2011
Q4 2010
Q3 2010
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Q1 2009
Q1 2010
Q4 2009
Q3 2009
Q3 2008
Q2 2009
Q4 2008
Q4 2007
Q2 2008

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