NYSE$MHK

Mohawk Industries Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Mohawk Industries announced record sales and highest ever first quarter EPS, driven by strong consumer demand and restructuring actions.

Mohawk Industries reported strong Q1 2021 results with net sales of $2.7 billion, up 16.8% as reported. Net earnings were $237 million, and EPS was $3.36. The company benefited from strong consumer demand, restructuring and productivity actions, and leverage on SG&A costs.

  • Net sales increased by 16.8% as reported and 9.1% on a constant currency and days basis.
  • Net earnings reached $237 million, with diluted EPS of $3.36.
  • The company purchased $123 million of its stock at an average price of approximately $179.
  • The company anticipates second quarter adjusted EPS to be $3.57 to $3.67.

Headline financials

Total Revenue

$2.67B

Previous: $2.29B+16.8%
EPS (adj)

$3.49

Previous: $1.66+110.2%
Operating Margin

11.9%

Previous: 6.0%+98.2%
Capital Expenditures

-$115M

Previous: -$116M+0.8%
Free Cash Flow

$122M

Previous: -$5.12M+2485.2%
Net Income

$237M

Previous: $111M+114.3%
Operating Income

$318M

Previous: $151M+109.6%
Gross Profit

$792M

Previous: $616M+28.4%
Cash & Equivalents

$557M

Previous: $263M+111.8%
Total Assets

$14.3B

Previous: $13.3B+7.8%
Stock-Based Comp

$5.97M

Previous: $5.04M+18.4%

Revenue & EPS history

Mohawk · Revenue · Quarterly

$2.67B

Q1 2021+16.8%vs Q1 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Mohawk · $2.67B total across 3 segments · Q1 2021

  • Flooring NA
    $969M+14.3%
  • Global Ceramic
    $930M+9.6%
  • Flooring ROW
    $770M+30.7%

Forward guidance

Mohawk Industries anticipates that historically low interest rates, government actions and fewer pandemic restrictions should improve its markets around the world. They foresee the present robust residential trends continuing with commercial sales slowly improving in the second period. Given these factors, they anticipate their second quarter adjusted EPS to be $3.57 to $3.67, excluding any restructuring charges.

Tailwinds

  • Historically low interest rates should improve markets.
  • Government actions should improve markets.
  • Fewer pandemic restrictions should improve markets.
  • Robust residential trends are expected to continue.
  • Commercial sales are expected to slowly improve.

Headwinds

  • Material availability could face future supply constraints.
  • Challenging labor markets in some U.S. communities.
  • Supplemental federal unemployment programs could interfere with staffing.
  • Raw material costs could continue to rise.
  • Energy costs could continue to rise.

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 Q1 2021

Historical avgQ1 2021

+0.6%

Avg return

Earnings day

+0.7%

Avg return

5 days after

-0.5%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+26.4%

Q2 2024

Best reaction

-22.0%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-7.8%-1.1%+1.9%
Q4 2025-0.7%-1.9%-23.2%
Q3 2025-7.1%-8.8%-14.7%
Q1 2025-1.9%-5.3%-5.5%
Q4 2024-1.3%-4.3%-4.1%
Q3 2024-13.7%-12.7%-8.5%
Q2 2024+26.4%+27.5%+24.0%
Q1 2024+3.6%+3.5%+4.5%
Q4 2023+1.0%+5.8%+11.7%
Q3 2023-2.1%+2.8%+7.4%
Q2 2023-7.8%-7.1%-17.3%
Q1 2023+11.6%+6.5%+0.3%
Q4 2022-4.4%-3.2%-19.1%
Q3 2022-1.9%-3.6%+4.4%
Q2 2022-5.1%-11.3%-19.1%
Q1 2022+12.0%+21.6%+12.6%
Q4 2021-8.5%-5.9%-16.8%
Q3 2021-8.1%-9.6%-9.0%
Q2 2021+2.6%+4.9%+7.2%
Q1 2021-1.1%+5.8%+1.4%
Q4 2020+5.9%+7.0%+18.2%
Q3 2020+11.9%+26.9%+41.6%
Q2 2020+0.6%+7.2%+8.5%
Q1 2020-1.1%+1.8%+25.3%
Q4 2019+3.6%-1.3%-27.6%
Q3 2019+12.2%+12.6%+9.2%
Q2 2019-16.6%-18.9%-27.4%
Q1 2019-5.3%+1.6%+8.8%
Q4 2018+6.6%+12.3%+3.6%
Q3 2018-22.0%-16.0%-14.0%
Q2 2018-18.3%-15.9%-13.3%
Q1 2018-4.3%-5.0%-6.1%
Q4 2017-6.8%-6.1%-8.5%
Q3 2017+0.5%-0.5%+4.7%
Q2 2017+3.5%+5.0%+2.9%
Q1 2017-1.5%-2.7%-1.0%
Q4 2016+4.0%+4.7%+7.6%
Q3 2016+6.8%+9.3%+6.4%
Q2 2016+2.6%+1.8%+2.6%
Q1 2016+1.5%
Q4 2015+4.6%
Q3 2015-5.6%
Q2 2015+0.5%
Q1 2015+5.0%
Q4 2014+7.3%
Q3 2014+5.5%
Q2 2014-0.2%
Q1 2014+6.4%
Q4 2013-0.4%
Q3 2013+3.5%
Q2 2013+9.2%
Q1 2013+6.8%
Q4 2012+3.1%
Q3 2012+3.9%
Q2 2012+6.2%
Q1 2012+0.7%
Q4 2011+0.7%
Q3 2011+0.7%
Q2 2011-5.7%
Q1 2010+7.7%
Q1 2011-1.0%
Q4 2008-1.0%
Q4 2010-1.0%
Q3 2009-7.3%
Q3 2010-7.3%
Q4 2009+8.7%
Q2 2009+8.7%
Q2 2010+8.7%

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