NYSE$MEI

Methode Electronics Inc · Q4 2024 earnings

Q4 2024 earnings · · Investor relations

Briefing

Methode Electronics reported a net loss for Q4 2024, impacted by goodwill impairment and operational inefficiencies, but achieved positive free cash flow and reduced net debt.

Methode Electronics reported Q4 2024 financial results with net sales of $277.3 million and a net loss of $57.3 million, or $1.63 per diluted share. The results were impacted by a goodwill impairment in the North American Automotive reporting unit and operational inefficiencies. However, the company achieved positive free cash flow of $15.8 million and reduced net debt to $169.4 million.

  • Net sales were $277.3 million.
  • Electric and hybrid vehicle applications accounted for 14% of net sales.
  • Net loss was $57.3 million, or $1.63 per diluted share.
  • Free cash flow was $15.8 million.

Headline financials

Total Revenue

$277M

Previous: $301M-7.9%
EPS (adj)

-$0.23

Previous: $0.21-209.5%
Adjusted EBITDA

$5.3M

Previous: $31.3M-83.1%
Net cash from operations

$24.9M

No prior period
Capital Expenditures

-$9.1M

Previous: $11.2M-181.3%
Net Income

-$57.3M

Previous: $8.1M-807.4%
Operating Income

-$61.5M

Previous: $8.5M-823.5%
Gross Profit

$31M

Previous: $63.3M-51.0%
Stock-Based Comp

$1.8M

Previous: $2.1M-14.3%

Revenue & EPS history

Methode · Revenue · Quarterly

$277M

Q4 2024-7.9%vs Q4 2023
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Methode · $298M total across 3 segments · Q4 2026

  • Industrial
    $151M
  • Automotive
    $145M
  • Interface
    $1.8M

Forward guidance

For fiscal 2025, the company expects net sales to be similar to fiscal 2024 and adjusted pre-tax income to be approaching breakeven. For fiscal 2026, the company expects net sales to be greater than fiscal 2025 and pre-tax income to be positive and notably greater than fiscal 2025.

Tailwinds

  • Successful launch of multiple new programs
  • The ultimate take rates on new EV programs
  • Success and timing of cost recovery actions
  • Global economic stability
  • Any acquisitions or divestitures

Headwinds

  • Inflation
  • Supply chain disruptions
  • Potential restructuring efforts
  • Potential impairments
  • Dependence on the automotive, commercial vehicle, and construction industries

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-1.1%

Avg return

Earnings day

-3.2%

Avg return

5 days after

-6.2%

Avg return

30 days after

46%

30 / 65 earnings

Positive

+46.2%

Q4 2024

Best reaction

-32.9%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026-12.6%-22.3%-22.5%
Q2 2026-11.2%-21.5%-22.9%
Q1 2026+12.8%+9.1%-7.8%
Q4 2025+0.1%-2.2%-27.2%
Q3 2025-28.9%-34.7%-41.1%
Q2 2025+9.6%+12.6%+5.9%
Q1 2025-3.2%-3.0%+10.1%
Q4 2024+46.2%+47.1%+7.2%
Q3 2024-32.9%-37.0%-42.8%
Q2 2024-11.8%-12.6%-14.0%
Q1 2024-22.2%-24.1%-21.8%
Q4 2023-12.7%-15.3%-25.0%
Q3 2023-9.8%-11.7%-12.4%
Q2 2023+10.0%+5.5%-2.9%
Q1 2023-2.8%-4.9%-8.2%
Q4 2022-0.1%-10.9%-18.5%
Q3 2022-5.3%-7.8%-5.0%
Q2 2022+0.9%+1.3%+9.7%
Q1 2022-10.3%-8.2%-8.7%
Q4 2021+1.9%+2.3%-4.3%
Q3 2021+5.6%+10.6%+6.6%
Q2 2021+5.0%+6.4%+7.1%
Q1 2021-2.4%-4.8%-4.8%
Q4 2020-7.5%-6.0%-6.8%
Q3 2020+2.0%-4.3%-15.8%
Q2 2020+14.3%+13.5%+8.6%
Q1 2020+11.7%+11.2%+19.6%
Q4 2019-1.2%+0.6%+7.8%
Q3 2019+6.0%+9.6%+7.5%
Q2 2019-23.0%-24.8%-22.8%
Q1 2019-2.3%-1.5%-10.8%
Q4 2018-11.2%-8.4%-13.5%
Q3 2018+1.0%+1.1%-0.9%
Q2 2018-7.3%-12.1%-9.3%
Q1 2018+0.9%-2.1%+7.1%
Q4 2017+4.8%+5.3%+4.8%
Q3 2017+2.7%+0.8%+5.2%
Q2 2017+9.2%+9.4%+5.3%
Q1 2017-3.7%-2.8%-4.6%
Q4 2016+6.0%+6.6%+15.2%
Q3 2016-1.3%
Q2 2016-8.0%
Q1 2016+17.3%
Q4 2015-29.4%
Q3 2015+6.1%
Q2 2015-16.7%
Q1 2015+19.0%
Q4 2014+11.4%
Q3 2014-14.9%
Q2 2014+43.4%
Q1 2014+35.5%
Q4 2013+10.1%
Q3 2013+5.2%
Q2 2013-6.7%
Q1 2013+4.9%
Q4 2010+7.6%
Q4 2012+7.6%
Q3 2012-2.6%
Q3 2011-2.6%
Q2 2011-6.9%
Q2 2012-6.9%
Q1 2011-18.3%
Q1 2012-18.3%
Q4 2011-18.3%
Q3 2010-16.6%

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