NYSE$MOG-A

Moog Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Moog's performance was marked by record sales and reaffirmed adjusted earnings per share guidance for the full year.

Moog Inc. reported a 9% increase in net sales to $837 million in Q2 2023. Diluted earnings per share were $1.34, with adjusted diluted earnings per share at $1.42. The company is reiterating its full year adjusted EPS guidance.

  • Net sales increased by 9% compared to the second quarter from a year ago, with increases across all three reporting segments, reaching $837 million.
  • Adjusted operating margin of 10.4% was relatively unchanged from a year ago, as stronger operational performance was offset by program charges and an unfavorable sales mix.
  • Adjusted diluted earnings per share decreased 5%, as $7 million of higher interest expense was partially offset by increased operating profit.
  • Adjusted free cash flow use in the second quarter of $101 million was driven by working capital consumption and elevated capital expenditures.

Headline financials

Total Revenue

$837M

Previous: $771M+8.6%
EPS (adj)

$1.42

Previous: $1.49-4.7%
Capital Expenditures

-$89.7M

Previous: -$74.1M-21.1%
Free Cash Flow

-$46.7M

Previous: -$45M-3.8%
Net Income

$43M

Previous: $29.1M+47.9%
Operating Income

$83.8M

Previous: $57.2M+46.3%
Gross Profit

$221M

Previous: $213M+3.9%
Cash & Equivalents

$107M

Previous: $120M-11.1%
Total Assets

$3.7B

Previous: $3.44B+7.5%
Stock-Based Comp

$2.79M

Previous: $1.92M+45.4%

Revenue & EPS history

Moog · Revenue · Quarterly

$837M

Q2 2023+8.6%vs Q2 2022
Beat estimate in 9 of 11 quarters(82%)
ActualEstimate

Revenue by segment

Moog · $490M total across 2 segments · Q2 2023

  • Space & Defense
    $246M+10.1%
  • Industrial
    $244M+3.3%

Forward guidance

Moog is increasing its sales guidance slightly to $3.2 billion and reiterating its fiscal year 2023 guidance for adjusted operating margin and adjusted earnings per share. Free cash flow guidance is now zero.

Tailwinds

  • Sales guidance increased to $3.2 billion.
  • Adjusted operating margin guidance reiterated at 11.0%.
  • Adjusted diluted earnings per share guidance reiterated at $5.70.
  • Overall, the first half of the year was good.
  • Outlook for the rest of the year looks strong.

Headwinds

  • Free cash flow guidance reduced to zero.
  • Increase in working capital requirements largely due to the second quarter pressures.
  • Investments needed to support the business.
  • Operating margin decreased from 11.2% to 11.1%.
  • Diluted net earnings per share decreased from $5.89 to $5.81.

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 2023

Historical avgQ2 2023

-0.3%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+4.7%

Avg return

30 days after

55%

38 / 69 earnings

Positive

+11.0%

Q4 2025

Best reaction

-22.0%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+2.3%-1.3%+4.2%
Q1 2026+6.1%+11.8%+17.2%
Q4 2025+11.0%+14.7%+24.7%
Q3 2025+3.5%+1.5%+7.3%
Q2 2025-0.2%-1.0%+6.7%
Q1 2025-15.6%-11.6%-18.0%
Q4 2024+3.9%+20.1%+17.3%
Q3 2024-10.9%-9.0%+4.0%
Q2 2024+3.4%+2.1%+10.7%
Q1 2024+2.4%-0.3%+8.0%
Q4 2023+11.0%+7.4%+18.5%
Q3 2023-4.8%-1.7%+2.9%
Q2 2023-0.6%+0.6%+7.1%
Q1 2023+3.3%+4.7%+8.0%
Q4 2022+5.6%+3.7%+7.1%
Q3 2022-0.3%-0.3%-8.3%
Q2 2022-6.8%-5.3%-4.2%
Q1 2022+4.5%+5.7%+11.2%
Q4 2021+5.7%+5.0%-10.0%
Q3 2021-6.6%-10.2%-4.2%
Q2 2021+1.3%+1.5%+5.6%
Q1 2021+3.7%+6.6%+7.2%
Q4 2020+9.5%+12.2%+26.5%
Q3 2020+0.2%+1.6%+10.0%
Q2 2020-4.2%+4.7%-1.5%
Q1 2020-3.7%-0.7%-6.5%
Q4 2019+4.4%+3.6%+2.6%
Q3 2019-12.6%-14.2%-15.1%
Q2 2019-2.3%-4.3%-11.8%
Q1 2019+5.3%+8.3%+20.2%
Q4 2018+9.5%+11.7%+16.8%
Q3 2018-11.0%-8.2%-1.5%
Q2 2018+0.9%+0.9%+2.3%
Q1 2018+0.9%-0.1%-5.6%
Q4 2017-3.9%-4.9%-4.9%
Q3 2017+0.6%-0.6%-0.1%
Q2 2017+0.1%-0.4%+2.2%
Q1 2017+3.7%+3.1%+3.4%
Q4 2016+0.4%+12.0%+20.7%
Q3 2016+4.5%+5.4%+9.5%
Q2 2016+8.7%
Q1 2016-22.0%
Q4 2015+1.2%
Q3 2015-0.2%
Q2 2015-4.3%
Q1 2015-5.2%
Q4 2014+2.7%
Q3 2014-6.2%
Q2 2014+3.0%
Q1 2014-10.3%
Q4 2013+0.6%
Q3 2013-0.8%
Q2 2013-1.0%
Q1 2013-2.6%
Q2 2012+0.4%
Q4 2012+0.7%
Q3 2012+3.3%
Q1 2012-0.2%
Q2 2011+5.5%
Q4 2011+5.5%
Q3 2011-2.5%
Q1 2010-0.6%
Q1 2011-0.6%
Q4 2010+6.6%
Q4 2008+6.6%
Q3 2009-8.4%
Q4 2009-8.4%
Q3 2010-8.4%
Q2 2010-8.4%

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