NYSE$HAYW

Hayward Holdings Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Hayward's Q4 2022 financial performance reflected a decrease in net sales and net income, impacted by lower volumes and macroeconomic uncertainty.

Hayward Holdings reported a 27% decrease in net sales to $259.0 million for the fourth quarter of fiscal 2022. Net income decreased by 75% to $16.0 million, and diluted GAAP EPS decreased by 72% to $0.07. The decline was attributed to lower volumes due to reduced channel inventory and macroeconomic uncertainty.

  • Net sales decreased 27% year-over-year to $259.0 million.
  • Net income decreased 75% year-over-year to $16.0 million.
  • GAAP diluted EPS decreased 72% year-over-year to $0.07.
  • Adjusted EBITDA decreased 50% year-over-year to $53.3 million.

Headline financials

Total Revenue

$259M

Previous: $352M-26.5%
EPS (adj)

$0.11

Previous: $0.28-60.7%
Adjusted EBITDA

$53.3M

Previous: $106M-49.6%
Adjusted EBITDA Margin

20.6%

Previous: 30.0%-31.3%
Capital Expenditures

$6.09M

Previous: $7.12M-14.5%
Free Cash Flow

-$33.8M

Previous: -$16.9M-100.1%
Net Income

$16M

Previous: $63.7M-74.9%
Operating Income

$36.1M

Previous: $79.5M-54.6%
Gross Profit

$110M

Previous: $165M-33.8%
Cash & Equivalents

$56.2M

Previous: $266M-78.9%
Total Assets

$2.88B

Previous: $2.98B-3.5%
Stock-Based Comp

$2.16M

Previous: $1.7M+27.3%

Revenue & EPS history

Hayward · Revenue · Quarterly

$259M

Q4 2022-26.5%vs Q4 2021
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

For fiscal year 2023, Hayward expects net sales to decrease 18% to 22%, and Adjusted EBITDA of $265 million to $285 million.

Tailwinds

  • The pool industry remains attractive and continues to benefit from sustainable secular demand trends in outdoor living.
  • Hayward continues to leverage our competitive advantages and drive increasing adoption of our leading SmartPadTM pool equipment products both in new construction and the aftermarket, which represents approximately 80% of our business.
  • Hayward is confident in its long-term outlook for profitable growth and robust cash flow generation, driven by new product innovation, expanding commercial relationships, and operational excellence.

Headwinds

  • Hayward is introducing 2023 guidance that reflects more challenging macroeconomic conditions and consequently an additional reduction of channel inventory levels.

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 2022

Historical avgQ4 2022

+1.4%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+0.2%

Avg return

30 days after

48%

12 / 25 earnings

Positive

+22.4%

Q1 2021

Best reaction

-14.9%

Q2 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-5.7%-8.9%-10.7%
Q4 2025-4.6%+2.0%-15.6%
Q3 2025+11.8%+8.0%+7.3%
Q1 2025+5.2%+3.7%+4.7%
Q4 2024+2.6%-1.3%-4.5%
Q3 2024+12.2%+9.1%+9.3%
Q2 2024+9.6%+4.5%+8.8%
Q1 2024+4.5%+7.0%+7.2%
Q4 2023+9.5%+6.0%+17.0%
Q3 2023-7.8%-3.1%+2.5%
Q2 2023+9.3%+12.5%+10.9%
Q1 2023+0.2%-4.4%-8.1%
Q4 2022-4.2%-3.5%-11.0%
Q3 2022-4.1%-2.9%+3.6%
Q2 2022-14.9%-15.6%-19.8%
Q1 2022+2.6%-3.8%+0.4%
Q4 2019+3.5%-4.5%-0.5%
Q4 2021-2.8%-7.7%-4.3%
Q3 2021-5.2%-5.1%+2.4%
Q3 2020-5.2%-5.1%+2.4%
Q2 2021-0.5%-5.4%-12.1%
Q2 2020-0.5%-5.4%-12.1%
Q1 2020-1.6%+0.0%+0.5%
Q4 2020-1.6%+0.0%+0.5%
Q1 2021+22.4%+21.8%+26.0%

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