NYSE$FLS

Flowserve Corp · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Third quarter 2022 results were announced.

Flowserve Corporation reported third-quarter results impacted by discrete issues, but bookings were strong due to large project awards and aftermarket activity. The company is positioned for sequential revenue growth and earnings improvement for the remainder of the year and for full-year 2023.

  • Total bookings increased 34.2% year-over-year to $1.22 billion.
  • Reported earnings per share was $0.29, including a net benefit of $0.20 due primarily to a $30 million foreign exchange gain.
  • Adjusted earnings per share was $0.09, impacted by certain discrete items.
  • Backlog reached $2.6 billion, up 29.9% versus 2021 year-end.

Headline financials

Total Revenue

$873M

Previous: $866M+0.8%
EPS (adj)

$0.09

Previous: $0.29-69.0%
Total Bookings

$1.22B

Previous: $912M+33.8%
Total Backlog

$2.6B

Previous: $1.97B+32.0%
Operating Margin

2.8%

No prior period
Free Cash Flow

$38.4M

Previous: $49.8M-22.9%
Net Income

$38.4M

Previous: $49.8M-22.9%
Operating Income

$24.2M

Previous: $57.4M-57.8%
Gross Profit

$240M

Previous: $253M-5.5%
Cash & Equivalents

$352M

Previous: $1.46B-75.9%
Total Assets

$4.51B

Previous: $5.6B-19.5%
Stock-Based Comp

$6.86M

Previous: $7.14M-3.9%

Revenue & EPS history

Flowserve · Revenue · Quarterly

$873M

Q3 2022+0.8%vs Q3 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Flowserve · $873M total across 2 segments · Q3 2022

  • Aftermarket Bookings
    $461M
  • Original Equipment Bookings
    $412M

Forward guidance

Flowserve expects fourth quarter Reported and Adjusted EPS of at least 40 cents on year-over-year quarterly revenue growth of approximately 8-10%.

Tailwinds

  • Expected sequential revenue growth.
  • Improved margins anticipated.
  • Discrete issues impacting Q3 are not expected to recur.
  • Mitigation of supply chain headwinds.
  • Implementation of new cost reduction measures.

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 2022

Historical avgQ3 2022

+0.4%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-1.3%

Avg return

30 days after

54%

38 / 71 earnings

Positive

+30.9%

Q3 2025

Best reaction

-12.7%

Q3 2010

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.0%-16.7%-10.4%
Q4 2025+8.4%+9.6%-3.5%
Q3 2025+30.9%+36.4%+35.5%
Q1 2025+0.8%+5.2%+11.2%
Q4 2024-6.5%-13.1%-19.9%
Q3 2024+2.8%+1.7%+15.3%
Q2 2024-2.9%-7.6%-3.9%
Q1 2024+0.9%+1.6%+4.0%
Q4 2023-0.8%-1.8%+7.1%
Q3 2023+0.8%+0.1%+4.6%
Q2 2023+3.4%+3.7%+4.8%
Q1 2023+5.2%+5.9%-2.5%
Q4 2022-4.8%-2.7%-12.5%
Q3 2022-2.9%+4.5%+9.3%
Q2 2022+8.7%+11.8%+4.4%
Q1 2022-4.2%-4.5%-3.5%
Q4 2021-7.8%-5.7%+8.9%
Q3 2021-11.1%-8.7%-15.4%
Q2 2021-5.7%-6.8%-11.1%
Q1 2021+5.8%+7.6%+7.1%
Q4 2020-1.0%-5.5%-2.2%
Q3 2020-4.6%+9.9%+18.5%
Q2 2020-8.5%-7.2%+0.3%
Q1 2020+0.5%-12.2%+18.5%
Q4 2019-0.9%-0.9%-56.2%
Q3 2019-2.3%+1.8%-2.6%
Q2 2019-11.6%-13.2%-16.9%
Q1 2019+6.3%+1.4%-5.1%
Q4 2018-1.8%-1.9%-7.9%
Q3 2018+10.0%+2.2%-5.8%
Q2 2018+6.2%+8.7%+14.3%
Q1 2018-9.0%-9.0%-11.8%
Q4 2017+4.4%+3.6%+5.6%
Q3 2017-11.2%-9.2%-3.8%
Q2 2017-11.4%-10.8%-17.6%
Q1 2017-1.8%-1.7%-4.7%
Q4 2016-5.5%-5.5%-8.2%
Q3 2016-3.5%-3.8%+7.2%
Q1 2016+2.0%
Q4 2015-4.2%
Q3 2015+3.7%
Q2 2015+0.1%
Q1 2015-3.8%
Q4 2014+3.7%
Q3 2014+0.1%
Q2 2014+4.8%
Q1 2014-6.0%
Q4 2013+5.4%
Q3 2013+11.8%
Q2 2013+0.8%
Q1 2013+2.4%
Q4 2012+2.2%
Q3 2012+3.5%
Q2 2012+3.3%
Q1 2012-2.1%
Q4 2011+2.2%
Q3 2011+11.3%
Q2 2011-8.4%
Q1 2011+3.1%
Q4 2010-0.2%
Q3 2010-12.7%
Q2 2010+2.7%
Q1 2009-3.0%
Q1 2010+2.8%
Q4 2007+0.4%
Q4 2009+0.4%
Q3 2009-0.4%
Q3 2008-0.4%
Q2 2008+10.5%
Q4 2008+10.5%
Q2 2009+10.5%

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