NYSE$KAI

Kadant Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Kadant's financial performance declined in the second quarter of 2020 due to pandemic-related challenges and a difficult comparable period, but cash flow remained strong.

Kadant reported a decrease in revenue and earnings per share for the second quarter of 2020 compared to the previous year. Revenue decreased by 14% to $153 million, and GAAP diluted EPS decreased by 30% to $1.00. The company's cash flow and balance sheet remained strong, with operating cash flow of $22 million and free cash flow of $21 million.

  • Bookings decreased 24% to $133 million.
  • Revenue decreased 14% to $153 million.
  • GAAP diluted EPS decreased 30% to $1.00.
  • Adjusted EBITDA decreased 19% to $27 million and represented 17.4% of revenue.

Headline financials

Total Revenue

$153M

Previous: $177M-13.7%
EPS (adj)

$1.06

Previous: $1.42-25.4%
Bookings

$133M

No prior period
Gross Margin

43.5%

Previous: 42.0%+3.6%
Adjusted EBITDA

$26.6M

No prior period
Capital Expenditures

-$911K

Previous: -$1.98M+53.9%
Free Cash Flow

$10.7M

Previous: $14.3M-25.4%
Net Income

$11.6M

Previous: $16.3M-28.8%
Operating Income

$18.1M

Previous: $23.1M-21.7%
Gross Profit

$66.4M

Previous: $74.4M-10.7%
Cash & Equivalents

$57.5M

Previous: $57M+0.8%
Total Assets

$915M

Previous: $966M-5.2%
Stock-Based Comp

$1.88M

Previous: $1.91M-1.9%

Revenue & EPS history

Kadant · Revenue · Quarterly

$153M

Q2 2020-13.7%vs Q2 2019
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Forward guidance

Kadant expects the third quarter will be the weakest quarter of the year and anticipates an improvement in business activity in the fourth quarter assuming economies continue to re-open and consumer demand strengthens. However, given the current uncertainty surrounding the timing of the recovery in markets around the world, the company will not be providing guidance at this time.

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 2020

Historical avgQ2 2020

+1.3%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+2.3%

Avg return

30 days after

56%

35 / 63 earnings

Positive

+13.1%

Q2 2017

Best reaction

-14.4%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.3%+15.6%+1.2%
Q4 2025+2.7%+4.8%-7.5%
Q3 2025+0.8%-7.3%-6.8%
Q1 2025-6.5%-7.1%-0.5%
Q4 2024-0.7%+11.6%-1.2%
Q3 2024+4.2%+6.6%+25.2%
Q2 2024-0.6%-12.4%-9.4%
Q1 2024-8.9%-5.1%-4.2%
Q4 2023+12.0%+11.5%+4.5%
Q3 2023+6.8%+10.9%+18.3%
Q2 2023-6.7%-4.8%-1.4%
Q1 2023+3.4%+4.7%+2.9%
Q4 2022+4.7%+8.1%-2.5%
Q3 2022-5.2%-1.9%+8.9%
Q2 2022-3.0%-5.0%-12.8%
Q1 2022+5.9%-1.2%+1.5%
Q4 2021-4.6%-6.3%-3.6%
Q3 2021+2.6%+5.2%+6.7%
Q2 2021+9.2%+12.8%+20.3%
Q1 2021-0.7%+3.7%-5.4%
Q3 2020-4.5%-1.9%+12.1%
Q2 2020-6.1%-7.3%-1.2%
Q1 2020+0.4%-2.3%+15.7%
Q4 2019-14.4%-10.4%-33.7%
Q3 2019+1.4%+5.3%+11.6%
Q2 2019+8.3%-1.9%-5.0%
Q1 2019-0.9%-7.0%-16.1%
Q4 2018+2.6%+1.6%+1.8%
Q3 2018+5.9%+4.7%-1.8%
Q2 2018-0.2%-5.4%+4.8%
Q1 2018+0.7%-0.6%+4.5%
Q4 2017-0.4%-0.6%+4.8%
Q3 2017+10.2%+3.2%-0.0%
Q2 2017+13.1%+11.1%+11.3%
Q1 2017+13.0%+18.8%+26.2%
Q4 2016+0.0%-0.3%-6.7%
Q3 2016+3.1%+1.6%+22.0%
Q2 2016+3.9%-1.0%+1.7%
Q1 2016+3.0%
Q4 2015-2.9%
Q3 2015-3.3%
Q2 2015+5.0%
Q1 2015-6.9%
Q4 2014+1.0%
Q3 2014+7.1%
Q2 2014+1.9%
Q1 2014-2.3%
Q4 2013+4.4%
Q3 2013+3.4%
Q2 2013-3.1%
Q1 2013+6.4%
Q4 2012-9.0%
Q3 2012+10.3%
Q2 2012-8.2%
Q1 2012+1.6%
Q4 2011-0.8%
Q4 2010-0.8%
Q3 2011-4.8%
Q2 2011+11.6%
Q1 2011+11.6%
Q3 2010+0.6%
Q2 2010-0.7%
Q1 2010+5.2%

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