NYSE$WHR

Whirlpool Corp · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Whirlpool's Q4 2022 earnings were impacted by a one-off supply chain disruption in North America, resulting in a GAAP net loss margin of (32.6)% and an ongoing (non-GAAP) EBIT margin of 3.5%.

Whirlpool Corporation reported a net sales decline of (15.3)% in Q4 2022, with organic net sales declining by (10.8)%. The results were impacted by a supply chain disruption in North America and a demand slowdown, which were partially offset by favorable price/mix. The company expects a benefit of $800 to $900 million in 2023 from cost takeout actions and easing raw material inflation.

  • Net sales decreased by (15.3)%, with organic net sales declining by (10.8)%, due to a supply disruption in North America and a demand slowdown, partially offset by favorable price/mix.
  • Strong cost actions are on track, delivering sequential quarterly net cost improvement.
  • The company adjusted its full-year effective GAAP and adjusted (non-GAAP) tax rate to approximately (22)% and 4%, respectively, in the quarter.
  • A one-off supply chain disruption significantly impacted revenue in North America; the company maintained recent sequential quarterly share gains.

Headline financials

Total Revenue

$4.92B

Previous: $5.82B-15.3%
EPS (adj)

$3.89

Previous: $6.14-36.6%
Ongoing EBIT Margin

3.5%

Previous: 8.6%-59.3%
Capital Expenditures

$236M

Previous: $219M+7.8%
Free Cash Flow

$844M

Previous: $663M+27.3%
Net Income

-$1.61B

Previous: $298M-638.6%
Operating Income

-$1.43B

Previous: $495M-389.3%
Gross Profit

$645M

Previous: $1.06B-39.3%
Cash & Equivalents

$1.96B

Previous: $3.04B-35.7%
Total Assets

$17.1B

Previous: $20.3B-15.6%

Revenue & EPS history

Whirlpool · Revenue · Quarterly

$4.92B

Q4 2022-15.3%vs Q4 2021
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Revenue by segment

Whirlpool · $3.68B total across 2 segments · Q4 2022

  • MDA North America
    $2.85B-13.6%
  • MDA Latin America
    $831M

Forward guidance

Whirlpool expects full-year 2023 revenues of approximately $19.4 billion and earnings per diluted share of $16.00 to $18.00 on a GAAP and ongoing basis. The company also anticipates cash provided by operating activities of approximately $1.4 billion and free cash flow of approximately $800 million.

Tailwinds

  • Full-year 2023 revenues of approximately $19.4 billion (down 1 to 2 percent compared to the prior year)
  • Earnings per diluted share of $16.00 to $18.00 on a GAAP and ongoing basis
  • Cash provided by operating activities of approximately $1.4 billion
  • Free cash flow of approximately $800 million
  • Expect $800 to $900 million benefit in 2023 from strong cost takeout actions and easing raw material inflation

Headwinds

  • Uncertain global economy and changes in economic conditions which affect demand for our products.
  • The ongoing Russian invasion of Ukraine and related conflict and sanctions
  • COVID-19 pandemic-related business disruptions and economic uncertainty
  • Intense competition in the home appliance industry reflecting the impact of both new and established global competitors, including Asian and European manufacturers, and the impact of the changing retail environment, including direct-to-consumer sales
  • Whirlpool's ability to maintain or increase sales to significant trade customers and the ability of these trade customers to maintain or increase market share

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 2022

Historical avgQ4 2022

-1.4%

Avg return

Earnings day

-3.0%

Avg return

5 days after

-2.9%

Avg return

30 days after

46%

31 / 68 earnings

Positive

+10.3%

Q3 2012

Best reaction

-16.8%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.9%-24.5%-27.8%
Q4 2025-4.5%+5.7%-15.4%
Q3 2025+5.2%-2.9%+6.7%
Q1 2025+1.6%-1.5%-0.6%
Q4 2024-16.5%-22.6%-21.6%
Q3 2024+7.9%+1.4%+10.0%
Q2 2024+0.2%-2.0%+1.0%
Q1 2024-9.9%-8.1%-17.9%
Q4 2023-5.1%-4.8%-7.2%
Q3 2023-16.8%-19.3%-14.1%
Q2 2023-2.3%-4.8%-9.3%
Q1 2023-6.0%-1.0%-5.9%
Q4 2022+1.0%-2.2%-5.9%
Q3 2022-4.8%-0.6%+7.0%
Q2 2022+0.4%+3.0%-1.5%
Q1 2022+7.7%+4.4%+0.0%
Q4 2021-4.0%+1.0%-1.8%
Q3 2021+2.0%-1.5%+9.6%
Q2 2021+0.7%+3.3%+3.8%
Q1 2021-1.4%-0.1%+0.2%
Q4 2020-5.7%-9.6%-7.9%
Q3 2020-3.1%-2.9%-3.5%
Q2 2020+10.3%+15.3%+25.8%
Q1 2020-8.4%-10.8%-0.6%
Q4 2019+4.9%-2.2%-8.1%
Q3 2019+0.9%-0.8%-11.4%
Q2 2019-3.9%+0.5%-5.4%
Q1 2019+0.6%-1.4%-5.8%
Q4 2018+9.1%+6.3%+14.3%
Q3 2018+1.5%-5.0%+10.3%
Q2 2018-15.1%-15.8%-15.1%
Q1 2018+4.4%+5.6%+10.2%
Q4 2017+6.5%+6.1%-0.3%
Q3 2017-10.5%-11.5%-8.7%
Q2 2017-6.7%-6.8%-11.8%
Q1 2017+5.5%+8.3%+4.9%
Q4 2016-10.2%-8.0%-5.3%
Q3 2016-12.3%-11.5%-3.0%
Q2 2016+4.1%+4.3%+0.1%
Q1 2016-4.2%
Q4 2015+2.6%
Q3 2015-6.0%
Q2 2015+8.0%
Q1 2015-9.5%
Q4 2014+5.1%
Q3 2014+6.9%
Q2 2014+2.6%
Q1 2014-0.2%
Q4 2013-5.9%
Q3 2013+10.3%
Q2 2013+10.3%
Q1 2013-3.8%
Q4 2012+3.7%
Q3 2012+10.3%
Q2 2012-4.0%
Q1 2012-6.3%
Q4 2011+0.4%
Q3 2011+3.3%
Q2 2011-4.2%
Q1 2010-0.5%
Q1 2011+2.2%
Q4 2008-3.2%
Q4 2010-3.2%
Q3 2010-8.9%
Q3 2009-8.9%
Q2 2010-5.7%
Q2 2009-5.7%
Q4 2009-5.7%

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