NYSE$ELAN

Elanco Animal Health Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Elanco reported a decrease in revenue but an increase in gross profit and adjusted EPS for Q4 2021.

Elanco Animal Health reported a decrease in revenue by 2% to $1,113 million in Q4 2021, but an increase in gross profit to $601 million. Adjusted EPS increased by 75% to $0.21 per share and adjusted EBITDA increased by 20% to $212 million.

  • Revenue was $1,113 million, a decrease of 2% compared to Q4 2020.
  • Gross profit was $601 million, or 54.0% of revenue, compared to $544 million, or 47.7% for Q4 2020.
  • Adjusted EPS in the quarter was $0.21 per share, an increase of 75% as compared to Q4 2020.
  • Adjusted EBITDA was $212 million, an increase of 20% compared to Q4 2020.

Headline financials

Total Revenue

$1.11B

Previous: $1.14B-2.3%
EPS (adj)

$0.21

Previous: $0.12+75.0%
Capital Expenditures

$66M

Previous: $118M-44.3%
Free Cash Flow

$223M

Previous: -$211M+205.5%
Net Income

-$97M

Previous: -$323M+70.0%
Operating Income

$180M

No prior period
Gross Profit

$601M

Previous: $544M+10.6%
Cash & Equivalents

$638M

Previous: $495M+28.9%
Total Assets

$16.5B

Previous: $17.7B-6.9%
Stock-Based Comp

$18M

Previous: $16.6M+8.4%

Revenue & EPS history

Elanco · Revenue · Quarterly

$1.11B

Q4 2021-2.3%vs Q4 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Elanco · $1.58B total across 5 segments · Q3 2023

  • Farm Animal
    $561M
  • Pet Health
    $495M+5.1%
  • Cattle
    $242M+3.9%
  • Poultry
    $184M+15.7%
  • Swine
    $93M+10.7%

Forward guidance

Elanco anticipates revenue between $4,745 million and $4,800 million for the full year 2022, with a headwind of approximately $95 million from the unfavorable impact for foreign exchange rates. The company expects revenue between $1,200 million and $1,230 million for the first quarter of 2022.

Tailwinds

  • Growth is expected to be driven by newly launched innovation products
  • Increased price across the portfolio
  • Growth in key focus brands

Headwinds

  • Lower revenue as a result of competitive pressure in the U.S. pet health parasiticides market
  • Headwinds in the China swine business
  • The reduction of contract manufacturing revenue

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 2021

Historical avgQ4 2021

+2.0%

Avg return

Earnings day

+2.8%

Avg return

5 days after

+1.1%

Avg return

30 days after

52%

16 / 31 earnings

Positive

+27.2%

Q1 2024

Best reaction

-16.3%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+13.9%-5.6%+2.6%
Q4 2025+7.3%+6.7%-0.7%
Q3 2025-4.2%-1.0%-2.7%
Q1 2025+26.2%+34.8%+46.2%
Q4 2024-3.7%+0.5%-2.7%
Q3 2024+9.4%+9.8%-2.8%
Q2 2024+5.3%+12.6%+21.9%
Q1 2024+27.2%+25.7%+34.7%
Q4 2023+0.5%-2.1%-1.2%
Q3 2023+15.9%+14.1%+36.4%
Q2 2023+7.0%+4.5%+2.7%
Q1 2023-3.8%-8.4%-0.1%
Q4 2022-6.9%-11.0%-33.1%
Q3 2022-10.3%+0.4%-6.7%
Q2 2022-1.6%+3.3%-23.9%
Q1 2022-7.9%-6.4%+1.5%
Q4 2021+8.2%+12.4%+3.3%
Q3 2021+1.2%+0.3%-14.3%
Q2 2021-16.3%-12.3%-4.2%
Q1 2021+3.8%+3.4%+10.1%
Q4 2020+2.8%+9.0%-9.8%
Q3 2020-4.7%-8.0%-9.8%
Q2 2020+11.7%+17.3%+37.7%
Q1 2020-13.5%-12.9%+3.6%
Q4 2019-0.7%-1.4%-42.5%
Q3 2019-1.9%-3.1%-1.2%
Q2 2018-4.8%-1.3%-4.6%
Q2 2019-4.8%-1.3%-4.6%
Q1 2019+6.1%+3.9%+4.1%
Q4 2018-2.4%-1.7%-2.7%
Q3 2018+3.7%+3.7%-1.9%
Q1 2018
Q4 2017
Q3 2017
Q2 2017
Q1 2017

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