NYSE$ENS

EnerSys · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

EnerSys delivered record net sales and earnings for the fourth quarter of fiscal year 2023.

EnerSys reported an outstanding fourth quarter with record revenue of $990 million, a 9% increase year-over-year. The company achieved significant gross margin improvement and realized record GAAP diluted EPS of $1.59 and adjusted diluted EPS of $1.82.

  • Delivered record net sales of $990M, a 9% increase.
  • Achieved a gross margin of 24.9%, up 340 bps, including a $17M reduction to COGS from Inflation Reduction Act (IRA) tax credits.
  • Generated record operating earnings of $95M, up 114%, and adjusted operating earnings of $107 million, up 60%.
  • Realized record diluted EPS of $1.59, up 137%, and adjusted diluted EPS of $1.82, up 52%.

Headline financials

Total Revenue

$990M

Previous: $907M+9.1%
EPS (adj)

$1.82

Previous: $1.20+51.7%
Change in Sales due to Organic Volume

4.0%

Previous: 8.0%-50.0%
Change in Sales due to Pricing

7.0%

Previous: 6.0%+16.7%
Capital Expenditures

$31.3M

Previous: $21.7M+44.1%
Free Cash Flow

$191M

Previous: -$9.25M+2166.0%
Net Income

$65.9M

Previous: $28.1M+134.5%
Operating Income

$95.4M

Previous: $44.5M+114.4%
Gross Profit

$246M

Previous: $195M+26.4%
Cash & Equivalents

$347M

Previous: $402M-13.9%
Total Assets

$3.62B

Previous: $3.74B-3.2%
Stock-Based Comp

$7.6M

Previous: $8.47M-10.3%

Revenue & EPS history

EnerSys · Revenue · Quarterly

$990M

Q4 2023+9.1%vs Q4 2022
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

EnerSys · $990M total across 3 segments · Q4 2023

  • Energy Systems
    $458M+11.6%
  • Motive Power
    $384M+5.1%
  • Specialty
    $148M+12.5%

Forward guidance

EnerSys expects to operate in a dynamic macro environment and anticipates headwinds including FX, geopolitical tensions, supply chain challenges and inflation to persist. For the first quarter of fiscal 2024, the company expects adjusted diluted earnings per share to be in the range of $1.77 to $1.87, inclusive of $0.40 - $0.50 from IRA benefits.

Tailwinds

  • Adjusted diluted earnings per share to be in the range of $1.77 to $1.87, inclusive of $0.40 - $0.50 from IRA benefits.
  • Excluding the IRA credits, this represents an increase of approximately 20% over the prior year, at the midpoint.
  • Stable demand trends.
  • Healthy backlog.
  • Gross margin for the first quarter of fiscal 2024 to be in the range of 24.5% to 26.5% including 150 bps to 250bps from 45X tax credits.

Headwinds

  • Significant uncertainty in the global markets remains.
  • Expect to continue to operate in a dynamic macro environment.
  • Anticipate headwinds including FX to persist.
  • Anticipate headwinds including geopolitical tensions to persist.
  • Anticipate headwinds including supply chain challenges and inflation to persist.

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 Q4 2023

Historical avgQ4 2023

+0.1%

Avg return

Earnings day

+1.1%

Avg return

5 days after

-0.6%

Avg return

30 days after

51%

35 / 69 earnings

Positive

+14.2%

Q2 2023

Best reaction

-14.8%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+11.4%+13.7%+6.5%
Q3 2026-13.9%-6.1%-16.2%
Q2 2026+1.4%+9.2%+16.4%
Q1 2026+3.5%+8.2%+14.0%
Q4 2025-14.8%-11.9%-12.9%
Q3 2025+2.8%+7.4%+7.9%
Q2 2025-3.4%+1.0%-4.4%
Q1 2025-2.0%-0.8%+0.5%
Q4 2024+11.4%+10.6%+9.6%
Q3 2024-6.6%-7.1%-3.6%
Q2 2024-3.8%-1.7%+5.6%
Q1 2024-12.3%-7.3%-5.8%
Q4 2023+12.2%+14.8%+19.4%
Q3 2023+4.5%+6.6%-4.0%
Q2 2023+14.2%+15.9%+12.5%
Q1 2023+1.4%+6.0%-4.0%
Q4 2022+9.9%+11.7%-3.9%
Q3 2022-0.4%-3.7%-0.4%
Q2 2022-3.6%-2.9%-10.1%
Q1 2022-4.4%-6.8%-18.9%
Q4 2021+4.0%+3.2%+7.0%
Q3 2021-1.5%-2.0%+7.2%
Q2 2021-5.5%+0.4%+2.5%
Q1 2021+3.9%+1.6%-9.5%
Q4 2020+1.3%+15.3%-1.4%
Q3 2020-7.3%-7.1%-21.6%
Q2 2020-3.2%-4.0%-0.5%
Q1 2020-10.5%-11.0%-9.3%
Q4 2019-2.6%-3.9%+14.1%
Q3 2019-10.8%-20.4%-22.4%
Q2 2019+4.7%+0.6%-6.5%
Q1 2019-5.2%-7.2%+2.2%
Q4 2018+1.1%+1.1%-5.6%
Q3 2018+6.9%+6.6%+11.4%
Q2 2018+2.3%-1.7%-0.6%
Q1 2018-11.2%-11.7%-10.8%
Q4 2017-11.5%-7.5%-13.5%
Q3 2017-0.3%+0.4%-2.8%
Q2 2017+10.1%+18.2%+25.0%
Q1 2017+7.5%+8.1%+4.7%
Q4 2016+7.0%+8.3%-0.2%
Q3 2016-0.3%
Q2 2016+3.2%
Q1 2016-9.3%
Q4 2015+1.5%
Q3 2015-2.6%
Q2 2015-1.5%
Q1 2015-9.3%
Q4 2014+2.5%
Q3 2014+9.1%
Q2 2014-0.5%
Q1 2014+0.1%
Q4 2013+2.5%
Q3 2013-0.9%
Q2 2013-0.6%
Q1 2013+7.0%
Q4 2009+2.8%
Q4 2012+2.8%
Q3 2012+6.7%
Q2 2012+11.2%
Q1 2012-0.2%
Q4 2011-4.0%
Q3 2011+3.7%
Q3 2010+3.7%
Q2 2011+7.8%
Q2 2010+7.8%
Q1 2011-8.4%
Q1 2010-8.4%
Q4 2010-8.4%

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