NYSE$XPRO

Expro Group Holdings NV · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Reported robust operational performance and profitable growth driven by breadth of portfolio, depth of expertise, global operating footprint and strong financial profile.

Expro Group Holdings N.V. reported strong Q4 2022 results with revenue of $351 million, a net income of $13 million, and adjusted EBITDA of $70 million. The company realized annualized merger-related cost synergies of approximately $66 million through the fourth quarter of 2022. They also provide 2023 revenue and Adjusted EBITDA margin outlook.

  • Revenue increased to $351 million, a sequential increase of $17 million, or 5%, driven by increased activity in Europe and Sub-Saharan Africa (ESSA) and Middle East and North Africa (MENA).
  • Net income was $13 million, or $0.12 per diluted share, compared to a net loss of $18 million, or $0.16 per diluted share, for the third quarter of 2022.
  • Adjusted EBITDA was $70 million, a sequential increase of $22 million, or 46%, driven by higher activity during the fourth quarter and lower start-up and commissioning costs on a large subsea project in Asia Pacific (APAC).
  • Adjusted EBITDA margin was 20%, compared to 14% for the third quarter of 2022.

Headline financials

Total Revenue

$351M

Previous: $296M+18.7%
EPS (adj)

$0.22

Previous: -$0.03+833.3%
Capital Expenditures

$31.3M

Previous: $73.9M-57.6%
Free Cash Flow

$61.6M

Previous: -$45.6M+235.3%
Net Income

$13M

Previous: -$91M+114.3%
Operating Income

$0.00

Previous: -$94M+100.0%
Gross Profit

$351M

Previous: $508M-30.9%
Cash & Equivalents

$218M

Previous: $240M-9.2%
Total Assets

$0.00

Previous: $3.79B-100.0%

Revenue & EPS history

Frank's International · Revenue · Quarterly

$351M

Q4 2022+18.7%vs Q4 2021
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Forward guidance

For 2023, the company expects improving profitability to drive improved cash flow generation as they capitalize on tailwinds in their industry and the strong demand for their innovative, sustainable solutions. They anticipate generating revenues of between $1,450 million to $1,550 million in 2023. Adjusted EBITDA in 2023 is expected to be between $275 million and $325 million, and Adjusted EBITDA margin is expected to be between 19% and 21% of revenue.

Headwinds

  • Revenue and profitability in the first quarter of 2023 are expected to be negatively impacted by the winter season in the Northern Hemisphere.
  • Revenue and profitability in the first quarter of 2023 are expected to be negatively impacted by the budget cycles of our national oil company customers.
  • Revenue in the first quarter of 2023 are expected to be flat to down modestly sequentially.
  • Adjusted EBITDA margin in the first quarter of 2023 is expected to be in the mid-teens.

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

-0.4%

Avg return

Earnings day

-1.9%

Avg return

5 days after

-2.3%

Avg return

30 days after

57%

21 / 37 earnings

Positive

+17.0%

Q4 2020

Best reaction

-17.4%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.2%-14.8%-8.1%
Q4 2025+6.1%+5.9%-0.6%
Q3 2025+0.1%+2.7%+2.1%
Q1 2025+2.9%-0.7%+3.5%
Q4 2024-0.4%-8.7%-19.0%
Q3 2024-8.8%-13.7%-10.1%
Q2 2024+1.1%-5.8%-13.2%
Q1 2024+3.8%-2.4%+12.7%
Q4 2023+0.5%-3.7%+1.3%
Q3 2023-17.4%-21.8%-21.5%
Q2 2023-5.5%-3.7%-0.4%
Q1 2023-5.2%-1.7%+0.9%
Q4 2022+4.1%+15.1%-10.3%
Q3 2022+2.2%+3.7%+1.8%
Q2 2022-3.1%+9.5%+17.9%
Q1 2022-8.5%-21.8%-7.8%
Q4 2021-1.6%+8.5%+11.0%
Q3 2021+2.4%+1.3%-22.7%
Q2 2021+4.5%+6.4%+13.2%
Q1 2021+1.4%+6.6%-7.1%
Q4 2020+17.0%+30.5%+2.9%
Q3 2020+2.7%-8.2%+45.1%
Q2 2020+0.8%+12.6%+0.8%
Q1 2020+7.0%-8.9%+32.2%
Q3 2019+0.4%+2.4%-8.1%
Q2 2019+0.8%-6.0%-13.0%
Q1 2019-6.6%-0.5%-0.7%
Q3 2018+5.5%+7.2%-9.8%
Q2 2018+2.6%-1.5%-5.6%
Q1 2018-2.3%-0.8%+0.9%
Q4 2017-1.9%-16.8%-13.9%
Q3 2017+5.9%+3.3%-2.4%
Q2 2017-8.9%-10.5%-17.0%
Q1 2017+2.1%-2.9%-12.1%
Q4 2016-0.9%-2.3%-19.9%
Q3 2016-1.1%-5.7%+11.7%
Q2 2016-16.4%-21.4%-20.0%
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2013
Q1 2014
Q4 2013
Q4 2011
Q1 2012
Q2 2013
Q3 2012
Q3 2013
Q2 2012
Q4 2012

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