NYSE$NVRI

Harsco Corp · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported fourth quarter and full year 2021 results, with revenues from continuing operations totaling $462 million and GAAP earnings per share of $0.13.

Harsco Corporation reported a 7% increase in fourth-quarter revenues from continuing operations, reaching $462 million. GAAP operating income was $16 million, and adjusted EBITDA totaled $58 million. GAAP earnings per share were $0.13, and adjusted earnings per share were $0.22. The company anticipates continued growth in 2022, projecting adjusted EBITDA between $255 million and $275 million and free cash flow between $30 million and $50 million.

  • Fourth Quarter Revenues from Continuing Operations Totaled $462 Million, an Increase of 7 Percent from the Prior Year Quarter
  • Q4 GAAP Operating Income of $16 Million and Adjusted EBITDA Totaled $58 Million; Performance Consistent with Prior Guidance For the Quarter
  • Q4 GAAP Earnings Per Share of $0.13 and Adjusted Earnings Per Share of $0.22
  • Full Year 2021 Revenue from Continuing Operations Increased 20 Percent to $1.8 Billion; GAAP Operating Income Increased to $88 million and Adjusted EBITDA Increased to $252 million

Headline financials

Total Revenue

$462M

Previous: $508M-9.1%
EPS (adj)

$0.22

Previous: $0.12+83.3%
Capital Expenditures

$48.8M

Previous: $41.1M+18.7%
Free Cash Flow

-$8M

Previous: -$29.6M+73.0%
Net Income

$10.5M

Previous: -$5.41M+294.7%
Operating Income

$16M

Previous: $11M+45.5%
Gross Profit

$79.7M

Previous: $100M-20.6%
Cash & Equivalents

$82.9M

Previous: $76.5M+8.4%
Total Assets

$3.05B

Previous: $2.99B+2.0%

Revenue & EPS history

Harsco · Revenue · Quarterly

$462M

Q4 2021-9.1%vs Q4 2020
Beat estimate in 13 of 16 quarters(81%)
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's 2022 guidance anticipates that each of its two business segments will realize earnings improvement during the year. This outlook is supported by a positive economic backdrop, improving fundamentals in relevant end markets and anticipated benefits from the Company' s key business initiatives, while also considering certain business challenges such as ongoing supply-chain bottlenecks and labor-market tightness.

Tailwinds

  • Environmental adjusted EBITDA is expected to increase modestly due to higher services and ecoproductsTM demand as well as new environmental contracts
  • Clean Earth adjusted EBITDA is projected to increase due to underlying organic growth for hazardous material services and increased margins from operational efficiency initiatives.
  • Adjusted Corporate spending is expected to be within a range of $40 million to $42 million for the year.
  • GAAP Operating Income $85 - $105 million
  • Free Cash Flow $30 - $50 million

Headwinds

  • ongoing supply-chain bottlenecks
  • labor-market tightness
  • Environmental adjusted EBITDA is expected to be partially offset by contract exits and foreign exchange translation impacts.
  • Net Interest Expense $61 - $63 million
  • Net Capital Expenditures $125 - $130 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 Q4 2021

Historical avgQ4 2021

-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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