NYSE$NVRI

Harsco Corp · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Enviri reported an increase in revenue and adjusted EBITDA, driven by strong execution and favorable pricing.

Enviri Corporation reported strong second-quarter results with revenues totaling $520 million, an 8% increase year-over-year. Adjusted EBITDA increased by 58% to $78 million. The company has raised its full-year adjusted EBITDA guidance, reflecting positive business momentum.

  • Second Quarter Revenues from Continuing Operations Totaled $520 Million, an Increase of 8 Percent Over the Prior-Year Quarter
  • Q2 GAAP Operating Income from Continuing Operations of $24 Million
  • Adjusted EBITDA from Continuing Operations in Q2 Totaled $78 million, an Increase of 58 Percent Over the Prior-Year Quarter
  • Full Year 2023 Adjusted EBITDA Guidance Range Increased to Between $270 Million and $285 Million

Headline financials

Total Revenue

$520M

Previous: $481M+8.1%
EPS (adj)

$0.01

Previous: $0.01+0.0%
Adjusted EBITDA Margin

14.9%

Previous: 10.2%+46.1%
Capital Expenditures

-$66.3M

Previous: -$61.8M-7.4%
Free Cash Flow

-$77.8M

Previous: -$167M+53.5%
Net Income

-$11.4M

Previous: -$106M+89.2%
Operating Income

$24.3M

Previous: -$97M+125.1%
Gross Profit

$114M

Previous: $448M-74.6%
Cash & Equivalents

$85.5M

Previous: $96.8M-11.7%
Total Assets

$2.85B

Previous: $2.8B+1.9%

Revenue & EPS history

Harsco · Revenue · Quarterly

$520M

Q2 2023+8.1%vs Q2 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Harsco · $487M total across 2 segments · Q3 2022

  • Harsco Environmental
    $265M-1.9%
  • Clean Earth
    $222M+10.8%

Forward guidance

The Company has increased its 2023 guidance for Adjusted EBITDA from the outlook provided with its first quarter 2023 results, reflecting the Company's second quarter performance and positive business momentum.

Tailwinds

  • Harsco Environmental adjusted EBITDA is projected to be modestly above prior-year results.
  • Higher services pricing
  • Restructuring benefits
  • Site improvement initiatives
  • New contracts are expected to be partially offset by FX translation impacts and lower commodity prices.

Headwinds

  • Clean Earth adjusted EBITDA is expected to significantly increase versus 2022, as a result of higher services pricing as well as cost reduction and operational improvement actions, offsetting the impacts of continued labor-market and supply-chain (disposal) tightness.
  • Corporate spending is anticipated to be higher relative to the prior year due to the normalization of certain expenditures
  • Including travel
  • Higher planned incentive compensation
  • FX translation impacts and lower commodity prices.

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 Q2 2023

Historical avgQ2 2023

-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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