NYSE$KN

Knowles Corporation · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Knowles' Q3 2022 financial results were reported, with revenue and gross margin above the guided midpoint, and EPS above the guided range.

Knowles Corporation reported Q3 2022 financial results, with revenue, gross margins, and earnings per share meeting or exceeding guidance. Precision Devices segment growth remained strong, driven by defense, medtech, and EV sectors. The Hearing Health business showed resilience with strong margins and stable demand. The company expects sequential revenue growth from Hearing Health and Precision Devices in Q4, along with MEMS microphone business growth due to new product introductions and seasonal customer product ramps.

  • Knowles executed well and delivered Revenue, Gross Margins and Earnings Per Share within or above guided range.
  • Growth trends in Precision Device segment remain strong driven by defense, medtech, and EV.
  • Hearing Health business continues to be resilient with strong margins and stable demand.
  • Cost restructuring in MEMS microphone business is on schedule and is expected to show some early results in the fourth quarter and deliver on the previously announced $25-30 million annual cost reductions as we go into 2023.

Headline financials

Total Revenue

$178M

Previous: $233M-23.5%
EPS (adj)

$0.25

Previous: $0.45-44.4%
Capital Expenditures

-$24.7M

Previous: -$28.2M+12.4%
Free Cash Flow

-$22M

Previous: -$500K-4300.0%
Net Income

$2.7M

Previous: $27.7M-90.3%
Operating Income

-$14.6M

Previous: $34.6M-142.2%
Gross Profit

$40M

Previous: $96.9M-58.7%
Cash & Equivalents

$41.5M

Previous: $140M-70.4%
Total Assets

$1.44B

Previous: $1.72B-16.6%
Stock-Based Comp

$6.8M

Previous: $7.1M-4.2%

Revenue & EPS history

Knowles · Revenue · Quarterly

$178M

Q3 2022-23.5%vs Q3 2021
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Forward guidance

The forward looking guidance for the quarter ending December 31, 2022 is as follows: Revenues $200 to $220 million, Gross Profit Margin 36.3% to 38.3%, EPS $0.20 to $0.24.

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 Q3 2022

Historical avgQ3 2022

-0.5%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+2.0%

Avg return

30 days after

54%

29 / 54 earnings

Positive

+22.4%

Q3 2023

Best reaction

-19.3%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.4%-2.9%+17.2%
Q4 2025+9.1%+9.1%+0.4%
Q3 2025+0.3%-1.7%-11.1%
Q2 2025-1.7%-1.5%+7.3%
Q1 2025+2.8%+0.6%+3.6%
Q4 2024+0.2%-1.0%-12.2%
Q3 2024+3.5%+5.9%+10.9%
Q2 2024-0.9%-8.0%+2.8%
Q1 2024+2.4%+5.6%+10.7%
Q4 2023-3.7%-2.2%-0.1%
Q3 2023+22.4%+19.3%+23.1%
Q2 2023-9.1%-9.8%-14.4%
Q1 2023+7.9%+4.8%+13.6%
Q4 2022-14.5%-6.2%-13.5%
Q3 2022+5.3%+9.7%+17.4%
Q2 2022-15.2%-15.3%-26.3%
Q1 2022+1.5%+3.8%+5.6%
Q4 2021+4.5%+1.7%-0.1%
Q3 2021+5.1%+4.7%+9.1%
Q2 2021+4.4%+5.2%+6.0%
Q1 2021-0.2%+0.6%-4.2%
Q4 2020+1.7%+2.1%+1.5%
Q3 2020-5.9%+4.1%+13.5%
Q2 2020+10.0%+9.7%+6.1%
Q1 2020-3.3%-5.0%+5.9%
Q4 2019-18.6%-19.9%-18.9%
Q3 2019-2.1%-1.9%-0.3%
Q2 2019+10.8%+12.8%+12.8%
Q1 2019-1.2%+0.2%-12.7%
Q4 2018+1.5%-0.3%+0.2%
Q3 2018+9.0%+4.1%+3.5%
Q2 2018+13.7%+12.9%+12.6%
Q1 2018+9.0%+11.6%+27.7%
Q4 2017-4.5%-3.4%+2.3%
Q3 2017-0.9%+2.9%+4.7%
Q2 2017-6.5%-8.4%-10.9%
Q1 2017-8.0%-9.0%-13.3%
Q4 2016+3.0%+2.7%+0.2%
Q3 2016+3.6%-1.8%+12.1%
Q2 2016-10.4%-14.6%-12.1%
Q1 2016+4.7%
Q4 2015-17.9%
Q3 2015-19.3%
Q2 2015+8.3%
Q1 2015-5.6%
Q4 2014-18.3%
Q3 2013-4.5%
Q3 2014+1.5%
Q2 2013+4.7%
Q2 2014-3.2%
Q4 2013+1.8%
Q4 2012+1.8%
Q1 2013+1.8%
Q1 2014-5.7%
Q3 2012

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