NYSE$KAI

Kadant Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Achieved record results driven by strong demand and operational execution.

Kadant reported record results for the second quarter of 2021, with significant increases in bookings, revenue, operating cash flow, free cash flow, net income, and EPS. The company's performance was driven by a broadening economic recovery and strong demand across all operating segments.

  • Bookings increased 60% to a record $213 million.
  • Revenue increased 28% to a record $196 million.
  • Operating cash flow increased 101% to a record $44 million.
  • Adjusted EBITDA increased 56% to a record $41 million, representing 21.1% of revenue.

Headline financials

Total Revenue

$196M

Previous: $153M+28.1%
EPS (adj)

$2.01

Previous: $1.06+89.6%
Bookings

$213M

Previous: $133M+60.3%
Gross Margin

43.6%

Previous: 43.5%+0.2%
Adjusted EBITDA

$41.3M

Previous: $26.6M+55.5%
Capital Expenditures

-$2.06M

Previous: -$911K-126.0%
Free Cash Flow

$20.8M

Previous: $10.7M+94.5%
Net Income

$22.9M

Previous: $11.6M+97.0%
Operating Income

$33M

Previous: $18.1M+82.2%
Gross Profit

$85.3M

Previous: $66.4M+28.4%
Cash & Equivalents

$73.4M

Previous: $57.5M+27.7%
Total Assets

$1.03B

Previous: $915M+12.5%

Revenue & EPS history

Kadant · Revenue · Quarterly

$196M

Q2 2021+28.1%vs Q2 2020
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Forward guidance

The company is increasing its revenue expectation to $783 to $793 million for 2021.

Tailwinds

  • U.S. continues its robust growth
  • Other regions begin to show increasing economic momentum
  • Well positioned to capitalize on opportunities
  • End market demand will continue to show strength
  • Acquisition of the Clouth Group of Companies will further strengthen our revenue performance for the year

Headwinds

  • Growing risk the COVID-19 Delta variant
  • Supply chain constraints present to near-term economic growth
  • Headwinds from supply chain constraints
  • Inflationary pressure on material costs
  • Variability and difficulty in accurately predicting revenues from large capital equipment and systems projects

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 2021

Historical avgQ2 2021

+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%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro