NYSE$ONT

Montrose Environmental Group Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Montrose announced third quarter results, with revenue impacted by lower COVID-19 related services but offset by strong organic growth.

Montrose Environmental Group reported a decrease in revenue for Q3 2022 compared to the prior year, primarily due to lower demand for COVID-19 related services. However, the company experienced strong organic growth in its Measurement and Analysis and Remediation and Reuse segments. The company is maintaining its full year revenue and Consolidated Adjusted EBITDA outlook.

  • Total revenue was $130.3 million, compared to $132.6 million in the prior year quarter.
  • Net loss was $(5.7) million, or a loss of $(0.33) per share, compared to net income of $2.2 million, or a loss of $(0.07) per share, in the prior year quarter.
  • Adjusted Net Income was $7.8 million, and Adjusted Net Income per Share was $0.12.
  • Consolidated Adjusted EBITDA was $17.1 million, compared to $20.3 million in the prior year quarter.

Headline financials

Total Revenue

$130M

Previous: $133M-1.7%
EPS (adj)

$0.09

Previous: -$0.07+228.6%
Capital Expenditures

$1.91M

Previous: $3.05M-37.3%
Free Cash Flow

$9.19M

Previous: $27.7M-66.8%
Net Income

-$5.7M

Previous: $2.2M-359.1%
Operating Income

-$6.34M

Previous: $5.37M-218.2%
Gross Profit

$48.1M

Previous: $47.3M+1.6%
Cash & Equivalents

$93.6M

No prior period
Total Assets

$789M

Previous: $668M+18.2%
Stock-Based Comp

$11M

Previous: $2.37M+365.9%

Revenue & EPS history

Montrose · Revenue · Quarterly

$130M

Q3 2022-1.7%vs Q3 2021
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

Montrose · $111M total across 2 segments · Q3 2023

  • Remediation and Reuse
    $60.5M
  • Measurement and Analysis
    $50.5M

Forward guidance

The Company is maintaining the same midpoint of its revenue guidance and tightening the range to $535.0 million to $555.0 million. The Company also continues to expect Consolidated Adjusted EBITDA to be in the range of $68.0 million to $73.0 million for the full year 2022.

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 Q3 2022

Historical avgQ3 2022

+2.5%

Avg return

Earnings day

+3.8%

Avg return

5 days after

+0.3%

Avg return

30 days after

48%

13 / 27 earnings

Positive

+32.6%

Q4 2024

Best reaction

-14.0%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+22.6%+21.4%-9.7%
Q3 2025+5.1%+0.3%+6.8%
Q2 2025+8.1%+20.7%+34.5%
Q1 2025+17.3%+23.6%+42.3%
Q4 2024+32.6%+6.9%-17.4%
Q3 2024-11.3%-18.5%-36.5%
Q1 2024-8.2%-6.9%-5.0%
Q4 2023+15.2%+9.4%+18.7%
Q3 2023+4.8%+4.6%+28.3%
Q2 2023+10.4%+3.9%-6.0%
Q1 2023+15.4%+16.4%+41.7%
Q4 2022-14.0%-26.4%-31.1%
Q3 2022-6.1%+18.7%+7.8%
Q2 2022+0.4%+9.7%+0.7%
Q1 2022-8.7%-9.5%-13.0%
Q4 2021-9.4%+3.2%+19.0%
Q3 2021+2.0%+1.6%-5.9%
Q2 2021+4.8%-3.8%+13.2%
Q1 2021-9.2%-6.6%-9.3%
Q4 2020+6.1%+8.7%+30.5%
Q3 2020-0.5%+11.6%-7.1%
Q3 2019-0.5%+11.6%-7.1%
Q1 2020-2.1%+0.5%-17.3%
Q2 2020-2.1%+0.5%-17.3%
Q1 2019-2.1%+0.5%-17.3%
Q2 2019-2.1%+0.5%-17.3%
Q4 2019-2.1%+0.5%-17.3%
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q2 2013

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