Cognex (CGNX) FY2018 results: revenue $806 million, up 5.3% on the year

Cognex Corp. (CGNX) reported revenue of $806 million for fiscal 2018, the year ended 31 December 2018, up 5.3% on the year before. Net income was $219 million, up 24.1%, and diluted earnings per share $1.24. The figures are the company's own, from the 10-K it filed with the SEC on 14 February 2019.

Revenue

$806 million

+5.3% on the year

FY2011FY2018

Operating margin

27.4%

33.8% a year earlier

FY2011FY2018

Net income

$219 million

+24.1% on the year

FY2011FY2018

Diluted EPS

$1.24

+26.5% on the year

FY2011FY2018

this yearthe year beforeHover a bar for its figure.

The year in brief

Income statement (profit and loss)

$ million	FY2018	FY2017	FY2016	On the year
Revenue	806	766	530	+5.3%
Cost of revenue	206	187	131	+10.0%
Gross profit	600	579	398	+3.6%
Gross margin	74.4%	75.6%	75.2%
Research and development	116	99.2	78.3	+17.4%
Selling, general and administrative	263	221	166	+19.0%
Operating income	221	259	154	-14.7%
Operating margin	27.4%	33.8%	29.1%
Pre-tax income	235	267	162	-12.1%
Income tax	15.3	89.7	18.1	-82.9%
Effective tax rate	6.5%	33.6%	11.2%
Net income	219	177	144	+24.1%
Net margin	27.2%	23.1%	27.1%
Diluted EPS	$1.24	$0.98	$0.83	+26.5%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2018	FY2017	FY2016	On the year
Operating cash flow	223	224	182	-0.4%
Capital expenditure	37.1	28.8	12.8	+29.0%
Free cash flow	186	196	169	-4.7%
Free cash flow margin	23.1%	25.5%	32.0%
Cash from investing	-10.8	-106	-122
Cash from financing	-210	-100	-29.2
Depreciation and amortisation	21.5	17.0	15.1	+26.8%
Share-based compensation	41.1	31.9	20.6	+28.6%
Buybacks	204	124	47.1	+64.8%
Dividends paid	31.9	29.0	25.2	+9.7%
Dividend per share	$0.18	$0.17	$0.30	+8.8%
Diluted shares, weighted	177m	180m	174m	-1.2%
Shares outstanding at period end	171m	86m	86m	+98.8%

Balance sheet

$ million	FY2018	FY2017	FY2016	On the year
Shareholders' equity	1,135	1,095	963	+3.6%
Debt	0.0	0.0	n/a
Operating lease liabilities	0.0	n/a	n/a
Other liabilities	154	193	76.0	-19.8%
Total liabilities and equity	1,290	1,288	1,039	+0.1%
Fixed assets	91.4	78.0	54.0	+17.1%
Goodwill	113	113	95.3	0.0%
Intangible assets	10.1	10.1	8.3	0.0%
Investments	689	721	666	-4.4%
Cash and equivalents	108	107	79.6	+1.5%
Receivables	119	119	55.4	-0.2%
Inventory	83.3	67.9	27.0	+22.6%
Other assets	74.9	71.2	53.4	+5.2%
Total assets	1,290	1,288	1,039	+0.1%

10-K for the year ended 31 December 2018, filed 14 February 2019: the filing.