NYSE$PRM

Perimeter Solutions SA · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported a decrease in net sales and adjusted EBITDA, while net income increased compared to the prior-year quarter.

Perimeter Solutions reported a decrease in net sales by 25% to $76.1 million and a 41% decrease in Adjusted EBITDA to $21.0 million. However, net income increased by $43.1 million to $52.0 million, or $0.31 per diluted share.

  • Net sales decreased 25% to $76.1 million.
  • Fire Safety sales decreased 20% to $53.1 million.
  • Specialty Products sales decreased 33% to $23.0 million.
  • Net income increased to $52.0 million, or $0.31 per diluted share.

Headline financials

Total Revenue

$76.1M

Previous: $101M-24.6%
EPS (adj)

$0.31

Previous: $0.04+675.0%
Adjusted EBITDA

$21M

Previous: $35.7M-41.2%
Capital Expenditures

-$4.38M

Previous: -$4.01M-9.2%
Free Cash Flow

$47.6M

Previous: $3.22M+1380.9%
Net Income

$52M

Previous: $7.22M+620.1%
Operating Income

$63.3M

Previous: $12.3M+413.7%
Gross Profit

$32M

Previous: $28.5M+12.1%
Cash & Equivalents

$22.1M

Previous: $126M-82.4%
Total Assets

$2.39B

Previous: $2.51B-4.8%
Stock-Based Comp

$1.2M

Previous: $7.5M-84.1%

Revenue & EPS history

Perimeter Solutions · Revenue · Quarterly

$76.1M

Q2 2023-24.6%vs Q2 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Perimeter Solutions · $76.1M total across 2 segments · Q2 2023

  • Fire Safety
    $53.1M-20.3%
  • Specialty Products
    $23M-33.1%

Forward guidance

Our key end-markets, in both our Fire Safety and Specialty Products businesses, were slow in the second quarter. Both our businesses significantly outperformed their end-markets, however, due primarily to successful implementation of our value-driver initiatives. We’re particularly pleased with the continued strong results in our global suppressants businesses, as well as in our international retardant markets.

Tailwinds

  • Successful implementation of value-driver initiatives.
  • Strong results in global suppressants businesses.
  • Strong performance in international retardant markets.

Headwinds

  • Key end-markets were slow in the second quarter in Fire Safety business.
  • Key end-markets were slow in the second quarter in Specialty Products business.

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 Q2 2023

Historical avgQ2 2023

+2.1%

Avg return

Earnings day

+6.4%

Avg return

5 days after

+7.8%

Avg return

30 days after

52%

12 / 23 earnings

Positive

+29.1%

Q3 2022

Best reaction

-14.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-9.2%+6.5%-0.2%
Q4 2025-10.5%-7.6%-19.1%
Q3 2025+20.6%+13.2%+30.6%
Q1 2025+15.2%+18.7%+24.9%
Q4 2024-8.0%-13.4%-23.1%
Q3 2024-14.1%-13.6%-8.5%
Q2 2024+0.0%+5.3%+20.8%
Q1 2024-0.9%+3.3%-7.2%
Q4 2023+2.7%+6.2%+10.1%
Q3 2023+10.8%+37.0%+37.7%
Q2 2023+10.7%+6.5%+9.2%
Q1 2023-5.4%-4.6%-12.1%
Q4 2022+2.7%+1.9%-7.9%
Q3 2022+29.1%+29.2%+52.2%
Q2 2022-5.1%-1.6%-14.8%
Q2 2021-5.1%-1.6%-14.8%
Q1 2021-1.2%+14.6%+34.6%
Q1 2022-5.1%+17.2%+40.8%
Q4 2019+0.4%-2.7%-15.0%
Q4 2021+0.3%+1.8%-7.3%
Q4 2020+6.5%+10.0%+16.1%
Q3 2020+6.5%+10.0%+16.1%
Q3 2021+6.5%+10.0%+16.1%
Q2 2020
Q1 2020

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