NYSE$HY

Hyster-Yale Materials Handling Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Announced fourth quarter and full year 2019 results.

Hyster-Yale Materials Handling, Inc. reported consolidated revenues of $834.8 million and consolidated net income of $3.4 million, or $0.20 per diluted share, for the fourth quarter of 2019.

  • Consolidated revenues decreased modestly from Q4 2018 due to lower shipments caused by a moderating EMEA market, structural changes at the JAPIC operations and supplier issues
  • Consolidated gross profit increased 15.8% over Q4 2018, driven by a 19.6% increase in Lift Truck gross profit
  • Lift Truck gross profit margin increased to 16.3% from 13.7% in Q4 2018, with increases in all geographic segments due to cost recovery and pricing actions
  • Consolidated operating profit increased to $8.1 million from a loss of $3.4 million in Q4 2018, but was reduced by an increase in product liability expense and investments to support strategic growth initiatives

Headline financials

Total Revenue

$835M

Previous: $838M-0.3%
EPS (adj)

$0.20

Previous: -$0.07+385.7%
Capital Expenditures

$18.3M

Previous: $14.1M+29.8%
Free Cash Flow

$75.7M

Previous: -$38.8M+295.1%
Net Income

$3.4M

Previous: -$1.2M+383.3%
Operating Income

$8.1M

Previous: -$3.4M+338.2%
Gross Profit

$141M

Previous: $121M+16.8%
Cash & Equivalents

$64.6M

Previous: $83.7M-22.8%
Total Assets

$1.85B

Previous: $1.74B+6.0%
Stock-Based Comp

$2.1M

Previous: $3.2M-34.4%

Revenue & EPS history

Hyster-Yale · Revenue · Quarterly

$835M

Q4 2019-0.3%vs Q4 2018
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Hyster-Yale · $87M total across 1 segment · Q4 2019

  • Bolzoni
    $87M

Forward guidance

Hyster-Yale expects operating profit and net income in 2020 to increase significantly over 2019, with continued investments in strategic programs and their implementation.

Tailwinds

  • Hyster-Yale Group's operating profit is expected to improve significantly in 2020 over 2019.
  • Bolzoni’s operating profit is expected to increase in 2020, primarily as a result of the absence of $2.5 million of restructuring charges for its Americas operations
  • Nuvera’s results are expected to improve in 2020 over 2019, with shipments expected to ramp up throughout the second half of 2020.
  • Consolidated component volume sourced globally from reliable partners is expected to reduce costs and improve quality as these new products are brought to market over the next few years.
  • For the 2020 full year, consolidated cash flow before financing activities is expected to increase significantly over 2019.

Headwinds

  • The Company is currently forecasting strong but lower forklift market levels in all geographic segments.
  • The effects of the Coronavirus epidemic continue to evolve daily, and there is much uncertainty with regard to the ramifications of this situation.
  • The startup of production at the Company's Chinese facilities has been delayed, but is expected to ramp up over the next few weeks.
  • This timing is contingent on the appropriate utilities, transportation and other support services being in place, as well as the availability of components from suppliers.
  • The impact and the spread of the virus, which is not predictable at this time, may affect the Company's operations in other areas of the world, including Italy.

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 2019

Historical avgQ4 2019

-0.1%

Avg return

Earnings day

-1.2%

Avg return

5 days after

-0.2%

Avg return

30 days after

41%

24 / 58 earnings

Positive

+34.7%

Q4 2022

Best reaction

-16.0%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.7%-3.3%-6.6%
Q4 2025-1.9%-14.3%-15.5%
Q3 2025-2.9%-4.4%-1.7%
Q1 2025-5.6%+4.5%+1.8%
Q4 2024+2.8%-14.2%-19.1%
Q3 2024-10.5%-14.8%-11.0%
Q2 2024-15.6%-13.3%-14.6%
Q1 2024+33.9%+24.9%+26.1%
Q4 2023-16.0%-17.9%-7.9%
Q3 2023+7.3%+9.0%+22.2%
Q2 2023-0.2%+4.1%-3.8%
Q4 2022+34.7%+50.0%+53.2%
Q3 2022+4.0%+2.1%+3.1%
Q2 2022-3.6%-7.6%-20.2%
Q1 2022+8.2%+7.3%+22.9%
Q4 2021-6.1%-2.7%-9.5%
Q3 2021-14.6%-9.3%-25.6%
Q2 2021-11.5%-13.6%-15.0%
Q1 2021-9.8%-6.0%-10.1%
Q4 2020-10.3%+2.0%-6.0%
Q3 2020+15.1%+14.5%+30.4%
Q2 2020+8.7%+8.9%+3.0%
Q4 2019-1.2%-16.6%-8.2%
Q3 2019-1.1%+0.5%+14.7%
Q2 2019+12.8%+1.8%-1.2%
Q1 2019-10.5%-11.4%-32.4%
Q4 2018-3.7%+2.2%+6.6%
Q3 2018-0.0%+6.3%+6.5%
Q2 2018-5.3%-3.2%-4.2%
Q1 2018-3.0%-5.1%-6.3%
Q4 2017-10.4%-2.0%+5.8%
Q3 2017+2.6%-0.1%+4.5%
Q2 2017-9.0%-8.3%+0.5%
Q1 2017+14.5%+18.8%+24.0%
Q4 2016+4.8%-3.9%-5.2%
Q3 2016-9.3%-9.8%+12.1%
Q2 2016-15.5%-18.9%-20.0%
Q1 2016-10.6%
Q4 2015-1.2%
Q3 2015-4.0%
Q2 2015+8.2%
Q1 2015-1.8%
Q4 2014+2.2%
Q3 2014+7.1%
Q2 2014-8.6%
Q1 2014-5.9%
Q4 2013+10.3%
Q3 2013-13.0%
Q2 2012+13.1%
Q2 2013+13.1%
Q1 2012+0.4%
Q1 2013+0.4%
Q1 2011-0.7%
Q4 2010-0.7%
Q2 2011-0.7%
Q3 2011+3.8%
Q4 2011+3.8%
Q3 2012+3.8%
Q4 2012

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