NYSE$HLLY

Holley Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Holley's financial performance showed resilience with sequential improvements in sales and profitability, and EBITDA margins aligned with long-term targets.

Holley reported a slight decrease in net sales but an increase in Adjusted EBITDA for Q2 2023. The company has raised its full-year 2023 sales and Adjusted EBITDA guidance ranges, reflecting confidence in its brand portfolio and ability to deliver profitability.

  • Net Sales decreased 2.3% to $175.3 million compared to $179.4 million last year.
  • Net Income was $13.0 million, or $0.11 per diluted share, compared to $40.6 million, or $0.35 per diluted share, last year.
  • Adjusted EBITDA was $37.9 million versus $37.2 million last year with a margin of 21.6% versus 20.7% last year.
  • Free Cash Flow was $29.0 million compared to $(1.3) million last year.

Headline financials

Total Revenue

$175M

Previous: $179M-2.3%
EPS (adj)

$0.14

Previous: $0.11+27.3%
Adjusted EBITDA Margin

21.6%

No prior period
Capital Expenditures

-$2.74M

Previous: -$9.61M+71.5%
Free Cash Flow

$10.2M

Previous: $31M-66.9%
Net Income

$13M

Previous: $40.6M-68.0%
Operating Income

$30M

Previous: $25.1M+19.1%
Gross Profit

$69.7M

Previous: $75.3M-7.4%
Cash & Equivalents

$42.7M

Previous: $30.6M+39.9%
Total Assets

$1.25B

Previous: $1.26B-0.8%

Revenue & EPS history

Holley · Revenue · Quarterly

$175M

Q2 2023-2.3%vs Q2 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Forward guidance

Holley revised its outlook for 2023 with increased expectations for net sales and Adjusted EBITDA.

Tailwinds

  • Net Sales revised to $635 - $675 million (previously $625 - $675 million).
  • Adjusted EBITDA revised to $118 - $128 million (previously $108 - $122 million).
  • Capital Expenditures revised to $5 - $10 million (previously $10 - $15 million).
  • Depreciation and Amortization Expense maintained at $23 - $25 million.
  • Interest Expense revised to $58 - $62 million (previously $60 - $65 million).

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 Q2 2023

Historical avgQ2 2023

+5.4%

Avg return

Earnings day

+4.0%

Avg return

5 days after

+1.0%

Avg return

30 days after

59%

13 / 22 earnings

Positive

+49.5%

Q4 2022

Best reaction

-14.6%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-13.0%-17.6%-22.4%
Q4 2025-12.7%-16.2%-22.3%
Q3 2025+36.8%+41.0%+57.5%
Q1 2025-14.6%+7.2%+2.4%
Q4 2024+24.2%+0.4%-4.2%
Q3 2024+3.6%-1.1%-0.4%
Q2 2024-8.2%-12.3%-9.6%
Q1 2024-3.6%-5.8%-13.4%
Q4 2023-11.5%-13.0%-8.0%
Q3 2023-14.0%-11.8%+0.5%
Q2 2023+27.2%+18.0%-15.3%
Q1 2023+18.5%+15.8%+36.3%
Q4 2022+49.5%+48.0%+14.6%
Q3 2022-4.7%-6.5%-23.4%
Q2 2022+1.2%-1.7%-7.9%
Q1 2022+14.2%+20.9%+20.0%
Q4 2019+8.9%+5.4%+1.3%
Q4 2021+7.4%+4.3%+7.2%
Q3 2021+7.1%+11.3%+2.7%
Q2 2021+1.1%-2.0%+4.2%
Q1 2021+0.0%+0.0%+2.2%
Q4 2020+0.3%+4.3%+0.8%
Q3 2020

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