NYSE$MRC

Mrc Global Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Reported strong growth and diversification, exceeding expectations in upstream, chemicals, and energy transition end-markets, and achieving multi-year high adjusted EBITDA margins.

MRC Global reported a strong finish to 2022, with fourth quarter revenue consistent with previous guidance and ahead of the normal seasonal decline. Full year 2022 performance was exceptional and benefitted greatly from the company's growth and diversification strategy.

  • Sales of $869 million, an increase of 27% compared to the same quarter of 2021
  • Adjusted EBITDA of $66 million, 7.6% of sales, a 70-basis point improvement over the prior year
  • Adjusted Gross Profit, as a percentage of sales, of 21.2%, the third consecutive quarter exceeding 21%
  • Cash flow provided by operations of $10 million during the fourth quarter, for a total of $43 million in the second half of 2022

Headline financials

Total Revenue

$869M

Previous: $686M+26.7%
EPS (adj)

$0.32

Previous: $0.17+88.2%
Adjusted EBITDA

$66M

Previous: $47M+40.4%
Capital Expenditures

$3M

Previous: $4M-25.0%
Free Cash Flow

$7M

Previous: $36M-80.6%
Net Income

$15M

Previous: -$10M+250.0%
Operating Income

$35M

Previous: $1M+3400.0%
Gross Profit

$158M

Previous: $107M+47.7%
Cash & Equivalents

$32M

Previous: $48M-33.3%
Total Assets

$1.9B

Previous: $1.67B+13.4%
Stock-Based Comp

$4M

Previous: $2M+100.0%

Revenue & EPS history

MRC Global · Revenue · Quarterly

$869M

Q4 2022+26.7%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

MRC Global · $850M total across 2 segments · Q3 2023

  • U.S. Sales
    $745M-3.0%
  • International Sales
    $105M+6.1%

Forward guidance

The company maintains its positive outlook for 2023 with solid fundamentals anticipated for each of its business sectors and geographic segments. They reaffirm their previous 2023 guidance targeting double-digit revenue growth and adjusted EBITDA margins to exceed 8%. They are increasing their guidance for expected cash flow from operations in 2023 to now exceed $120 million, up from $100 million previously.

Tailwinds

  • Double-digit revenue growth
  • Adjusted EBITDA margins to exceed 8%
  • Cash flow from operations in 2023 to exceed $120 million
  • Solid fundamentals anticipated for each business sector
  • Solid fundamentals anticipated for each geographic segment

Historical earnings impact

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

Avg. return before/after earnings

Based on 7 quarterly earnings reports

Historical avg

+1.5%

Avg return

Earnings day

+5.7%

Avg return

5 days after

+3.8%

Avg return

30 days after

53%

29 / 55 earnings

Positive

+43.4%

Q1 2020

Best reaction

-19.2%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q3 2025
Q2 2025-6.7%-5.9%+5.2%
Q1 2025-6.0%+6.6%+4.5%
Q4 2024+2.4%+6.4%-11.6%
Q3 2024+18.4%+11.8%+13.6%
Q2 2024-3.8%-7.6%-5.2%
Q1 2024+9.4%+18.8%+8.5%
Q4 2023+8.3%+9.7%+11.9%
Q3 2023-5.3%
Q2 2023-16.7%
Q1 2023+0.3%
Q4 2022-3.1%
Q3 2022+8.0%
Q2 2022-13.1%
Q1 2022-19.2%
Q4 2021+13.7%
Q3 2021-9.3%
Q2 2021-4.3%
Q1 2021+5.3%
Q4 2020-7.0%
Q3 2020+4.0%
Q2 2020+0.3%
Q1 2020+43.4%
Q4 2019-8.2%
Q3 2019+22.0%
Q2 2019-3.4%
Q1 2019+7.7%
Q4 2018+9.2%
Q3 2018+10.0%
Q2 2018-3.0%
Q1 2018+2.2%
Q4 2017-1.2%
Q3 2017-2.7%
Q2 2017+0.1%
Q1 2017+4.0%
Q4 2016-1.8%
Q3 2016+2.0%
Q2 2016+6.7%
Q1 2016+1.1%
Q4 2015+15.0%
Q3 2015+14.6%
Q2 2015-0.8%
Q1 2015+14.2%
Q4 2014-5.8%
Q3 2014+3.7%
Q2 2014-6.0%
Q1 2014-0.2%
Q4 2013-13.7%
Q3 2013+4.7%
Q2 2013-9.9%
Q1 2013+6.7%
Q4 2012-6.0%
Q3 2012+3.1%
Q2 2012-1.4%
Q1 2011-0.2%
Q1 2012+1.6%
Q4 2009
Q4 2011
Q3 2011
Q3 2010
Q4 2010
Q2 2011
Q2 2010
Q1 2010

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