NYSE$SXT

Sensient Technologies Corp · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Sensient's Q4 2020 earnings were released, with revenue increasing and earnings per share turning positive compared to the previous year.

Sensient Technologies Corporation reported a revenue increase of 5.0% in Q4 2020, reaching $334.7 million compared to $318.6 million in Q4 2019. The company's operating income turned positive at $34.8 million, compared to an operating loss of $14.5 million in the same period last year. Diluted earnings per share also improved to $0.59, a significant turnaround from the loss per share of $0.40 in Q4 2019. Cash flow from operations increased by 53%.

  • Consolidated revenue increased by 5.0% compared to the previous year.
  • Operating income improved from a loss to a profit of $34.8 million.
  • Diluted earnings per share shifted from a loss to a profit of $0.59.
  • Flavors & Extracts Group reported double digit revenue and profit growth.

Headline financials

Total Revenue

$335M

Previous: $319M+5.0%
EPS (adj)

$0.61

Previous: $0.62-1.6%
Total Revenue Change

5.0%

Previous: -1.8%+377.8%
Flavors & Extracts Revenue Change

11.8%

Previous: -3.7%+418.9%
Color Revenue Change

-4.4%

Previous: -1.6%-175.0%
Asia Pacific Revenue Change

5.1%

Previous: -1.6%+418.7%
Capital Expenditures

$18.2M

Previous: $13M+39.3%
Free Cash Flow

$57.7M

Previous: $36.6M+57.8%
Net Income

$25.2M

Previous: -$17M+248.4%
Operating Income

$34.8M

Previous: -$14.5M+340.7%
Gross Profit

$104M

Previous: $85.5M+21.7%
Cash & Equivalents

$24.8M

Previous: $21.2M+17.1%
Total Assets

$1.74B

Previous: $1.74B+0.0%
Stock-Based Comp

$1.59M

Previous: $77K+1966.2%

Revenue & EPS history

Sensient · Revenue · Quarterly

$335M

Q4 2020+5%vs Q4 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Sensient · $341M total across 3 segments · Q4 2020

  • Flavors & Extracts
    $189M+11.8%
  • Color
    $120M-4.4%
  • Asia Pacific
    $32.2M+5.1%

Forward guidance

Sensient anticipates full year 2021 GAAP diluted earnings per share to grow at a mid to high single digit growth rate compared to the Company’s 2020 reported GAAP diluted earnings per share of $2.59. The Company expects 2021 adjusted local currency revenue to grow at a low to mid-single digit rate and adjusted local currency EBITDA to grow at a mid-single digit rate.

Tailwinds

  • Full year 2021 GAAP diluted earnings per share are expected to grow at a mid to high single digit growth rate compared to 2020.
  • Adjusted local currency revenue is expected to grow at a low to mid-single digit rate.
  • Adjusted local currency EBITDA is expected to grow at a mid-single digit rate.
  • Earnings per share reported on a U.S. dollar basis are expected to benefit by approximately ten cents based on current exchange rates.
  • Company's guidance is based upon current trends and the effects of COVID-19 to date.

Headwinds

  • Full year 2021 guidance includes approximately 25 to 30 cents per share of estimated divestiture & other related costs.
  • Guidance includes the results of the operations to be divested.
  • Guidance includes the operational improvement plan costs.
  • The full impacts of the ongoing COVID-19 pandemic remain uncertain.
  • Management will continue to monitor COVID-19 impacts on 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 Q4 2020

Historical avgQ4 2020

-0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+0.3%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+24.6%

Q1 2026

Best reaction

-16.1%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+24.6%+21.5%+15.2%
Q4 2025-5.0%-6.4%-9.0%
Q3 2025+2.8%+7.1%+8.6%
Q2 2025-4.3%-5.7%-11.9%
Q1 2025+13.5%+17.2%+17.2%
Q4 2024-7.5%-9.0%-4.8%
Q3 2024+2.2%-0.3%+1.5%
Q2 2024-2.8%-3.1%-6.4%
Q1 2024+4.4%+5.8%+8.4%
Q4 2023-4.2%-3.0%+8.9%
Q3 2023+1.0%-1.2%+8.1%
Q2 2023-7.3%-5.1%-15.6%
Q1 2023+2.8%+2.4%-1.6%
Q4 2022+6.0%+9.1%-3.3%
Q3 2022-6.6%-1.8%+4.2%
Q2 2022-1.0%+1.1%+2.6%
Q1 2022+0.6%+3.1%+3.1%
Q4 2021-3.8%-2.8%-9.7%
Q3 2021+4.9%+4.4%+10.8%
Q2 2021+6.0%+5.5%+5.8%
Q1 2021+2.2%+1.4%+6.6%
Q4 2020-3.0%-0.9%+3.8%
Q3 2020+7.5%+8.8%+14.2%
Q2 2020-3.5%-4.0%-2.7%
Q1 2020+2.2%-0.4%+7.2%
Q4 2019-10.4%-9.0%-25.7%
Q3 2019-9.2%-7.1%-5.6%
Q2 2019-2.9%-0.7%-6.1%
Q1 2019+1.3%+4.1%-3.5%
Q4 2018+1.3%+3.1%+6.5%
Q3 2018-16.1%-17.5%-13.9%
Q2 2018-7.6%-7.9%-4.2%
Q1 2018+1.1%-0.8%+1.7%
Q4 2017-1.1%+0.8%+8.5%
Q3 2017+0.6%-1.7%-4.1%
Q2 2017-7.2%-7.1%-11.3%
Q1 2017+1.5%-0.4%-2.1%
Q4 2016+2.0%+2.5%+2.5%
Q3 2016+1.2%+2.0%+5.3%
Q2 2016+6.2%+4.0%+3.4%
Q1 2016+1.1%
Q4 2015-6.6%
Q3 2015-0.2%
Q2 2015-2.6%
Q1 2015+1.9%
Q4 2014+0.4%
Q3 2014+1.6%
Q2 2014+2.9%
Q1 2014-0.7%
Q4 2013+0.3%
Q3 2013+7.3%
Q2 2013-1.0%
Q1 2013+3.2%
Q4 2012-1.7%
Q3 2012-5.2%
Q2 2012-3.6%
Q1 2012+0.9%
Q4 2011-0.3%
Q3 2011-3.8%
Q2 2011-2.9%
Q1 2010+3.1%
Q1 2011+1.0%
Q4 2010+0.6%
Q3 2010-1.2%
Q3 2009-1.2%
Q2 2009-0.2%
Q2 2010-0.2%
Q4 2008-0.2%
Q4 2009-0.2%

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