NYSE$SRI

Stoneridge Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Stoneridge reported fourth quarter results with sales of $231.2 million and earnings per share of $0.01.

Stoneridge reported Q4 2022 sales of $231.2 million and EPS of $0.01. The results included a $3.7 million adjustment to non-operating income related to a prior quarter correction. Adjusted sales were $225.2 million.

  • Sales of $231.2 million
  • Adjusted sales of $225.2 million (5.2% growth over Q3 2022)
  • Operating income of $6.0 million (2.6% of sales, 2.7% of adjusted sales)
  • Earnings per diluted share (“EPS”) of $0.01

Headline financials

Total Revenue

$231M

Previous: $204M+13.5%
EPS (adj)

$0.01

Previous: -$0.24+104.2%
Adjusted EBITDA

$29.8M

No prior period
Net Income

-$14.1M

Previous: -$4.4M-219.5%
Operating Income

$6M

Previous: -$4.4M+236.4%
Gross Profit

$45.5M

Previous: $41.9M+8.6%
Cash & Equivalents

$54.8M

Previous: $85.5M-35.9%
Total Assets

$652M

Previous: $665M-2.0%

Revenue & EPS history

Stoneridge · Revenue · Quarterly

$231M

Q4 2022+13.5%vs Q4 2021
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Revenue by segment

Stoneridge · $240M total across 3 segments · Q4 2022

  • Electronics
    $141M+45.8%
  • Control Devices
    $85.9M+9.3%
  • Stoneridge Brazil
    $13.1M-6.4%

Forward guidance

The Company announced 2023 adjusted sales guidance of $960.0 million to $990.0 million. Further, the Company announced 2023 adjusted gross margin guidance of 20.5% to 21.25%, adjusted operating margin guidance of 1.5% to 2.25% and adjusted EBITDA of $50.9 million to $58.4 million or 5.3% - 5.9% of adjusted sales.

Tailwinds

  • Midpoint revenue guidance of $975.0 million resulting in approximately 16% growth relative to 2022.
  • Gross margin is expected to be between 20.5% and 21.25%.
  • Newly launched programs mature.
  • Significant expected revenue growth and continued focus on cost control.
  • EBITDA margin expansion of 180 to 240 basis points relative to 2022.

Headwinds

  • Adjusted earnings per share guidance of $(0.10) to $0.10.
  • Expected tax expense of $4.5 million - $5.5 million.
  • Incremental contribution on revenue growth inline with historical average of 25% - 30%.
  • Meaningfully higher labor costs.
  • Incremental interest expense of approximately $5.5 million, or approximately ($0.15) of adjusted EPS, due to higher interest rates and somewhat higher average debt outstanding as compared to 2022.

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 2022

Historical avgQ4 2022

-0.3%

Avg return

Earnings day

-1.7%

Avg return

5 days after

-0.4%

Avg return

30 days after

56%

37 / 66 earnings

Positive

+20.7%

Q4 2024

Best reaction

-26.0%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-6.6%-3.9%+6.7%
Q4 2025-22.8%-26.5%-26.1%
Q3 2025-3.8%-4.5%-19.1%
Q2 2025+9.2%+2.4%+9.5%
Q1 2025+7.5%+13.7%+30.1%
Q4 2024+20.7%+27.4%+10.2%
Q3 2024-26.0%-26.0%-27.4%
Q2 2024+7.9%-7.4%-13.4%
Q1 2024-1.2%+6.1%+5.9%
Q4 2023-5.6%-10.7%-0.9%
Q3 2023+2.0%+0.7%+3.0%
Q2 2023+12.8%+17.5%+1.1%
Q1 2023-11.4%-13.6%-7.8%
Q4 2022-11.5%-15.7%-21.5%
Q3 2022+9.4%+18.7%+16.5%
Q2 2022-2.0%+1.1%-1.1%
Q1 2022+1.4%-11.7%+14.8%
Q4 2021+9.3%+11.2%+19.0%
Q3 2021-7.2%-6.6%+2.9%
Q2 2021-11.2%-7.8%-17.2%
Q1 2021+2.9%-1.7%-9.2%
Q4 2020+8.2%+10.8%+11.8%
Q3 2020+6.5%+1.1%+20.4%
Q2 2020-3.3%-3.5%-3.5%
Q1 2020-5.4%-5.9%+23.8%
Q4 2019-16.9%-22.2%-42.1%
Q3 2019-7.7%-9.5%-9.9%
Q2 2019-7.5%-7.2%-8.1%
Q1 2019-2.3%-2.4%-17.2%
Q4 2018+5.3%+7.0%+2.8%
Q3 2018+10.4%+12.2%+20.5%
Q2 2018+2.4%-7.7%-12.0%
Q1 2018+2.7%+5.7%+21.3%
Q4 2017+2.1%+5.5%+23.4%
Q3 2017-5.1%-2.7%-3.8%
Q2 2017+11.0%+11.1%+9.6%
Q1 2017-8.0%-9.7%-20.9%
Q4 2016+5.3%+4.2%+0.5%
Q3 2016-20.2%-20.1%-12.2%
Q2 2016-0.3%+1.0%+1.7%
Q1 2016+5.4%
Q4 2015+11.0%
Q3 2015+2.3%
Q2 2015+17.2%
Q1 2015-0.8%
Q4 2014+2.5%
Q3 2014+0.7%
Q2 2014-5.2%
Q1 2014-6.2%
Q4 2013+4.2%
Q3 2013-2.7%
Q2 2013+9.0%
Q1 2013+15.1%
Q4 2012+0.6%
Q3 2012+0.2%
Q4 2011+7.9%
Q2 2012+7.9%
Q1 2011-5.7%
Q1 2012+2.2%
Q4 2009+5.2%
Q3 2010+2.8%
Q3 2011+2.8%
Q2 2010-22.1%
Q2 2011-22.1%
Q4 2010-22.1%
Q1 2010+20.3%

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