NYSE$NVRI

Harsco Corp · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Harsco's first quarter revenues from continuing operations totaled $453 million, with a GAAP operating income of $8 million and an adjusted EBITDA of $49 million, reflecting performance consistent with guidance.

Harsco Corporation reported first quarter 2022 results, with revenues from continuing operations totaling $453 million. The company faced a challenging operating environment marked by increased inflationary pressures but met its first quarter guidance. Adjusted EBITDA totaled $49 million, aligning with the previously provided guidance range.

  • First quarter revenues from continuing operations totaled $453 million.
  • Q1 GAAP operating income from continuing operations was $8 million, and adjusted EBITDA totaled $49 million, consistent with guidance.
  • Q1 GAAP loss per share from continuing operations was $0.09, and adjusted loss per share was $0.01.
  • Full year 2022 adjusted EBITDA guidance narrowed to a range of $250 million to $265 million, with free cash flow projected between $25 million and $40 million.

Headline financials

Total Revenue

$453M

Previous: $529M-14.4%
EPS (adj)

-$0.01

Previous: $0.15-106.7%
Adjusted EBITDA

$49M

Previous: $66M-25.8%
Adjusted EBITDA Margin

10.8%

Previous: 12.4%-12.9%
Capital Expenditures

-$33M

Previous: -$27.4M-20.4%
Free Cash Flow

-$72.8M

Previous: -$27.2M-167.2%
Net Income

-$39.8M

Previous: $135K-29610.4%
Operating Income

$7.75M

Previous: $24.8M-68.8%
Gross Profit

$419M

Previous: $527M-20.4%
Cash & Equivalents

$85.2M

Previous: $79.3M+7.4%
Total Assets

$3.05B

Previous: $2.99B+2.0%

Revenue & EPS history

Harsco · Revenue · Quarterly

$453M

Q1 2022-14.4%vs Q1 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Harsco · $453M total across 2 segments · Q1 2022

  • Harsco Environmental
    $262M+1.6%
  • Clean Earth
    $191M+0.8%

Forward guidance

The Company has updated its 2022 guidance to reflect heightened inflation challenges, related to transportation and container costs, as well as ongoing labor-market tightness. Summary Outlook highlights are as follows:

Tailwinds

  • GAAP Operating Income $81 - $96 million
  • Adjusted EBITDA $250 - $265 million
  • GAAP Diluted Earnings Per Share $0.02 - 0.10
  • Adjusted Diluted Earnings Per Share $0.35 - $0.44
  • Free Cash Flow $25 - $40 million

Headwinds

  • Net Interest Expense $68 - $70 million
  • Effective Tax Rate, Excluding Any Unusual Items 59 - 60%
  • Q2 2022 Outlook (Continuing Operations)
  • GAAP Operating Income $17 - $22 million
  • Adjusted EBITDA $59 - $64 million

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 Q1 2022

Historical avgQ1 2022

-1.2%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+4.9%

Avg return

30 days after

46%

31 / 68 earnings

Positive

+25.1%

Q1 2023

Best reaction

-39.1%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.0%+0.7%
Q4 2025-6.2%-0.9%-2.2%
Q3 2025+3.9%+9.8%+48.5%
Q1 2025+1.5%+1.3%+18.6%
Q4 2024-13.4%-19.1%-22.7%
Q3 2024-23.7%-31.5%-26.3%
Q2 2024+5.2%-6.2%+1.1%
Q1 2024-13.2%-2.2%+8.9%
Q4 2023-1.5%-0.4%+14.7%
Q3 2023+9.8%+1.5%+9.1%
Q2 2023-11.2%-19.9%-20.9%
Q1 2023+25.1%+39.9%+34.5%
Q4 2022+5.0%+3.8%-18.0%
Q3 2022+4.2%+14.6%+40.8%
Q2 2022+14.0%+33.1%+11.0%
Q1 2022-12.1%-18.4%-19.1%
Q4 2021-25.2%-22.8%-21.1%
Q3 2021-23.1%-15.0%-15.2%
Q2 2021-5.6%-6.4%-8.1%
Q1 2021+10.7%+19.8%+20.9%
Q4 2020-24.2%-21.2%-21.1%
Q3 2020-4.8%-4.8%+34.5%
Q2 2020-8.7%+2.1%-13.6%
Q1 2020+11.4%-4.6%+64.0%
Q4 2019-9.0%-23.5%-59.6%
Q3 2019+0.0%+2.8%+8.5%
Q2 2019-16.6%-19.4%-28.9%
Q1 2019+21.9%+18.1%+22.4%
Q4 2018+5.5%-0.1%-8.8%
Q3 2018+8.6%+16.7%+10.0%
Q2 2018-1.4%+2.6%+11.0%
Q1 2018+10.6%+8.9%+24.4%
Q4 2017+20.0%+25.7%+28.1%
Q3 2017-9.9%-17.6%-13.5%
Q2 2017+7.7%+11.3%+12.2%
Q1 2017+14.7%+18.1%+20.5%
Q4 2016+5.1%+6.6%-10.6%
Q3 2016+8.1%+15.6%+50.0%
Q2 2016+10.3%+9.5%+3.0%
Q1 2016-0.7%
Q4 2015-39.1%
Q3 2015-3.4%
Q2 2015-12.2%
Q1 2015+0.7%
Q4 2014-5.6%
Q3 2014-2.3%
Q2 2014-6.4%
Q1 2014+4.2%
Q4 2013+1.8%
Q3 2013-0.9%
Q2 2013-5.7%
Q1 2013+0.6%
Q4 2012-3.4%
Q3 2012-0.5%
Q2 2012-1.4%
Q1 2012+1.0%
Q4 2011-1.5%
Q3 2011+6.9%
Q2 2011-8.8%
Q1 2010-0.9%
Q1 2011-0.3%
Q4 2008+1.9%
Q4 2010+1.9%
Q3 2009+4.9%
Q3 2010+4.9%
Q2 2010-2.1%
Q4 2009-2.1%
Q2 2009-2.1%

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