NYSE$VRT

Vertiv Holdings Co · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Vertiv reported strong Q2 2024 results, with significant growth in organic orders, net sales, and operating profit, and raised its full-year outlook.

Vertiv reported a strong second quarter in 2024, marked by a 57% increase in organic orders and a 13% increase in net sales compared to the previous year. The company's operating profit also saw a substantial rise of 63%. Vertiv has raised its full-year 2024 outlook, reflecting confidence in continued growth and operational execution.

  • Organic orders increased by 57% compared to Q2 2023.
  • Net sales reached $1,953 million, a 13% increase year-over-year.
  • Operating profit grew by 63% to $336 million.
  • Adjusted operating margin improved by 510 basis points to 19.6%.

Headline financials

Total Revenue

$1.95B

Previous: $1.73B+12.6%
EPS

$0.46

Previous: $0.46+0.0%
Operating Margin

19.6%

Previous: 14.5%+35.2%
Capital Expenditures

-$69.9M

Previous: -$53.6M-30.4%
Free Cash Flow

$108M

Previous: $29.6M+265.5%
Net Income

$178M

Previous: $83.2M+114.1%
Operating Income

$336M

Previous: $206M+63.3%
Gross Profit

$741M

Previous: $594M+24.8%
Cash & Equivalents

$580M

Previous: $275M+110.9%
Total Assets

$8.11B

Previous: $7.26B+11.7%
Stock-Based Comp

$8.5M

Previous: $6.8M+25.0%

Revenue & EPS history

Vertiv · Revenue · Quarterly

$1.95B

Q2 2024+12.6%vs Q2 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Vertiv · $1.38B total across 1 segment · Q3 2023

  • Products
    $1.38B+21.7%

Forward guidance

Vertiv raised its full year 2024 guidance for net sales, operating profit, and adjusted free cash flow.

Tailwinds

  • Net sales guidance raised to $7,665 million at the midpoint.
  • Operating profit guidance raised to $1,256 million at the midpoint.
  • Adjusted operating profit guidance raised to $1,435 million at the midpoint, a 36% improvement compared to full year 2023
  • Adjusted free cash flow guidance raised to $875 million at the midpoint.
  • Organic net sales growth between 12%-14%

Headwinds

  • High variability in forecasting and quantifying certain amounts.
  • Complexity and uncertainty with respect to forecasting.
  • Potential unpredictable impact on future GAAP financial results.
  • Uncertainty in quantifying certain amounts.
  • Inability to reconcile certain forward-looking GAAP measures to non-GAAP measures due to high variability

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 2024

Historical avgQ2 2024

+1.5%

Avg return

Earnings day

+2.5%

Avg return

5 days after

+7.7%

Avg return

30 days after

56%

18 / 32 earnings

Positive

+30.0%

Q2 2023

Best reaction

-36.7%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.1%+3.2%+4.8%
Q4 2025+24.5%+17.5%+29.7%
Q3 2025-2.0%+10.4%-8.6%
Q2 2025+1.0%-1.8%-10.6%
Q1 2025+8.5%+20.0%+45.0%
Q4 2024-9.7%-12.3%-29.0%
Q3 2024-2.2%+1.0%+24.6%
Q2 2024-16.0%-14.3%-13.7%
Q1 2024+14.1%+19.7%+34.1%
Q4 2023+1.4%+6.9%+33.0%
Q3 2023-10.7%-1.9%+9.4%
Q2 2023+30.0%+34.6%+50.3%
Q1 2023+18.5%+21.2%+61.4%
Q4 2022+7.9%+3.3%-14.2%
Q3 2022+4.7%+1.3%-2.8%
Q2 2022+11.9%+10.2%-4.8%
Q1 2022+10.6%+9.3%-0.9%
Q4 2021-36.7%-33.5%-34.3%
Q3 2021+6.9%+8.3%+7.2%
Q2 2021+1.7%+0.2%+2.2%
Q1 2021+0.7%-1.1%+7.5%
Q4 2020-6.3%-1.8%-10.2%
Q3 2020-1.8%-4.0%+12.2%
Q2 2020+8.0%+11.1%+5.9%
Q4 2019+3.4%+8.5%+31.5%
Q1 2020-0.9%-2.9%+30.1%
Q2 2019-16.4%-31.9%-13.7%
Q3 2019+0.0%-0.3%+1.0%
Q1 2019-0.3%-0.3%+0.1%
Q4 2018+0.2%+0.6%+0.7%
Q3 2018+0.5%+1.2%+1.3%
Q2 2018-0.1%-1.1%-1.6%

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