NYSE$WKC

World Kinect Corp · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

World Kinect Services reported a net loss in the fourth quarter of 2020, impacted by the COVID-19 pandemic.

World Fuel Services Corporation reported fourth-quarter results with a total gross profit of $165.2 million, a GAAP net loss of $3.6 million, and an adjusted net income of $1.1 million. The company highlighted the resilience of its diversified business model amidst challenging market conditions.

  • Total gross profit decreased by 42% year-over-year to $165.2 million.
  • GAAP net loss was $3.6 million, or $0.06 per diluted share.
  • Adjusted net income was $1.1 million, or $0.02 per diluted share.
  • Adjusted EBITDA amounted to $44.6 million.

Headline financials

Total Revenue

$4.7B

Previous: $9.36B-49.8%
EPS (adj)

$0.02

Previous: $0.87-97.7%
Capital Expenditures

$5.8M

Previous: $21.4M-72.9%
Free Cash Flow

$108M

Previous: $38.7M+178.3%
Net Income

-$3.6M

Previous: $56.5M-106.4%
Operating Income

$16.4M

Previous: $60.5M-72.9%
Gross Profit

$165M

Previous: $287M-42.4%
Cash & Equivalents

$659M

Previous: $186M+254.0%
Total Assets

$4.5B

Previous: $5.99B-24.9%
Stock-Based Comp

-$3.4M

Previous: $11.2M-130.4%

Revenue & EPS history

World Kinect · Revenue · Quarterly

$4.7B

Q4 2020-49.8%vs Q4 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

World Kinect · $4.7B total across 3 segments · Q4 2020

  • Aviation Segment
    $1.8B-61.7%
  • Land Segment
    $1.71B-33.3%
  • Marine Segment
    $1.19B-43.1%

Forward guidance

World Fuel Services anticipates that the negative impacts of COVID-19 on its business will continue through 2021, with recovery dependent on factors such as government actions, vaccine development and distribution, and the resumption of normal economic conditions.

Tailwinds

  • Continued actions to enhance operating efficiencies
  • Further cost reduction initiatives
  • Supporting customers throughout the crisis
  • Potential for organic growth as business activity accelerates
  • Strategic investments in areas with greatest opportunities for long-term growth and operating leverage

Headwinds

  • Significant impact of COVID-19 on the global economy
  • Decline in demand in the aviation, land, and marine transportation industries
  • Travel restrictions and stay-at-home orders affecting customers
  • Potential for continued negative impacts through 2021
  • Dependence on government actions and vaccine distribution for recovery

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

-0.7%

Avg return

Earnings day

-1.8%

Avg return

5 days after

-0.5%

Avg return

30 days after

47%

32 / 68 earnings

Positive

+23.5%

Q2 2018

Best reaction

-19.4%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+9.6%+14.7%+25.3%
Q4 2025-6.1%-4.4%-14.9%
Q3 2025+3.5%-0.3%-7.0%
Q1 2025-1.4%+2.0%+11.1%
Q4 2024+11.4%+9.1%+1.6%
Q3 2024-14.2%-15.5%-7.4%
Q2 2024+0.5%+5.9%+6.3%
Q1 2024-8.1%-6.2%-0.3%
Q4 2023+9.0%+5.5%+9.4%
Q3 2023-6.5%-5.7%+7.6%
Q2 2023-2.0%-2.2%-6.1%
Q1 2023-1.8%-4.7%-2.9%
Q4 2022-9.3%-8.0%-20.0%
Q3 2022-10.5%-2.4%+3.4%
Q2 2022+20.7%+21.0%+17.2%
Q1 2022-6.2%-12.1%-4.1%
Q4 2021-1.4%-0.3%-1.1%
Q3 2021-1.5%-10.4%-17.8%
Q2 2021+6.1%+4.2%-0.0%
Q1 2021-10.1%-5.9%-10.7%
Q4 2020-13.5%-10.3%+0.6%
Q3 2020+10.2%+11.9%+62.5%
Q2 2020-1.6%+0.4%+14.3%
Q1 2020-8.2%-8.6%-0.5%
Q4 2019-8.8%-10.3%-27.6%
Q3 2019+4.8%+5.8%+6.3%
Q2 2019+9.1%+8.0%+5.4%
Q1 2019+1.9%-0.6%-3.1%
Q4 2018+6.5%+5.8%+10.6%
Q3 2018+9.1%+20.3%-4.1%
Q2 2018+23.5%+27.1%+27.8%
Q1 2018-19.4%-20.2%-23.0%
Q4 2017-15.9%-10.3%-10.4%
Q3 2017-15.1%-22.6%-23.0%
Q2 2017-13.4%-15.8%-13.1%
Q1 2017-0.7%-0.5%-3.2%
Q4 2016-15.3%-16.2%-19.5%
Q3 2016-14.1%-14.0%-4.4%
Q2 2016-3.7%-5.6%-6.3%
Q1 2016-5.6%
Q4 2015+16.5%
Q3 2015+16.7%
Q2 2015-14.4%
Q1 2015-7.4%
Q4 2014+6.2%
Q3 2014+3.1%
Q2 2014-9.9%
Q1 2014+2.5%
Q4 2013+4.0%
Q3 2013-2.1%
Q2 2013-5.2%
Q1 2013+1.1%
Q4 2012-10.8%
Q3 2012+11.0%
Q2 2012-12.7%
Q1 2012+1.9%
Q4 2011-9.8%
Q3 2011+1.6%
Q2 2011+5.3%
Q1 2010-12.3%
Q1 2011-1.2%
Q4 2010+9.0%
Q4 2008+9.0%
Q3 2010+0.8%
Q3 2009+0.8%
Q4 2009+11.6%
Q2 2010+11.6%
Q2 2009+11.6%

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