Esab (ESAB) Q4 FY2023 earnings: revenue $689 million, up 3.8% on the year

Esab Corp. (ESAB) reported revenue of $689 million for Q4 FY2023, the quarter ended 31 December 2023, up 3.8% on the same quarter a year earlier. Net income was $50 million, down 17.2% on the year, and diluted earnings per share $0.83. The figures are the company's own, from the 10-K it filed with the SEC on 29 February 2024.

Revenue$689 millionup 3.8%

Net income$50 milliondown 17.2%

Diluted EPS$0.83

QuarterQ4 FY2023ended 31 December 2023

The quarter, against the one before and a year earlier

Line	Q4 FY2023	Q3 FY2023	A year earlier	Change on the year
Revenue	689	681	n/a	n/a
Cost of revenue	435	431	n/a	n/a
Gross profit	255	250	n/a	n/a
Gross margin	37.0%	36.7%	n/a
Research and development	10.7	9.0	n/a	n/a
Selling, general and administrative	145	145	n/a	n/a
Operating income	104	101	n/a	n/a
Operating margin	15.0%	14.9%	n/a
Pre-tax income	77.5	80.6	n/a	n/a
Income tax	17.9	19.8	n/a	n/a
Effective tax rate	23.1%	24.6%	n/a
Net income	50.2	57.6	n/a	n/a
Net margin	7.3%	8.5%	n/a
Diluted EPS	$0.83	$0.94	n/a	n/a

$ million except per share.

Fourth quarters are the year less the first three quarters. 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 and capital returned

Line	Q4 FY2023	Q3 FY2023	A year earlier	Change on the year
Operating cash flow	122	107	n/a	n/a
Capital expenditure	19.3	11.9	n/a	n/a
Free cash flow	103	95.5	n/a	n/a
Free cash flow margin	15.0%	14.0%	n/a
Cash from investing	-19.9	-9.1	n/a	n/a
Cash from financing	-77.5	-74.3	n/a	n/a
Depreciation and amortisation	17.9	17.5	n/a	n/a
Share-based compensation	n/a	3.7	n/a	n/a
Dividends paid	3.6	3.6	n/a	n/a
Dividend per share	n/a	$0.06	n/a	n/a
Diluted shares, weighted	61m	61m	n/a	n/a
Shares outstanding at period end	60m	60m	n/a	n/a

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet at quarter end

Line	Q4 FY2023	Q3 FY2023	A year earlier	Change on the year
Shareholders' equity	1,607	1,501	n/a	n/a
Non-controlling interest	40.3	40.3	n/a	n/a
Debt	1,018	1,089	n/a	n/a
Operating lease liabilities	76.6	74.7	n/a	n/a
Other liabilities	1,086	1,051	n/a	n/a
Total liabilities and equity	3,829	3,756	n/a	n/a
Fixed assets	294	276	n/a	n/a
Goodwill	1,588	1,554	n/a	n/a
Intangible assets	500	491	n/a	n/a
Cash and equivalents	102	82.8	n/a	n/a
Receivables	385	388	n/a	n/a
Inventory	393	426	n/a	n/a
Other assets	566	537	n/a	n/a
Total assets	3,829	3,756	n/a	n/a

Quarterly results, the last 12 quarters

	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025	Q2 FY2025	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026
Revenue	681	689	690	707	673	671	678	716	728	721	746	808
Cost of revenue	431	435	435	437	419	412	423	450	459	463	470	500
Gross profit	250	255	255	270	254	258	255	266	269	258	275	307
Gross margin	37%	37%	37%	38%	38%	39%	38%	37%	37%	36%	37%	38%
R&D	9.0	10.7	10.1	9.7	9.2	10.2	10.1	10.5	10.5	12.9	12.5	13.3
SG&A	145	145	142	146	146	145	141	156	158	154	174	210
Operating income	101	104	111	119	106	111	110	109	107	86.6	90.5	78.7
Operating margin	15%	15%	16%	17%	16%	17%	16%	15%	15%	12%	12%	10%
Pre-tax income	80.6	77.5	81.4	103	89.1	96.5	93.1	88.1	83.0	64.1	64.9	48.1
Tax rate	25%	23%	23%	17%	20%	24%	22%	21%	21%	20%	20%	24%
Net income	57.6	50.2	60.0	82.9	68.2	53.7	67.4	66.9	54.8	37.7	47.6	32.4
Net margin	8%	7%	9%	12%	10%	8%	10%	9%	8%	5%	6%	4%
Diluted EPS	$0.94	$0.83	$0.98	$1.35	$1.11	$0.88	$1.10	$1.09	$0.90	$0.61	$0.78	$0.50
Operating cash flow	107	122	44.5	83.0	101	127	35.4	46.6	81.5	97.1	46.9	33.4
Capital expenditure	11.9	19.3	7.4	9.0	10.6	24.7	7.3	9.2	11.2	19.6	13.7	17.7
Free cash flow	95.5	103	37.1	74.0	90.4	102	28.1	37.4	70.3	77.4	33.2	15.7
Dividends paid	3.6	3.6	3.6	3.6	4.9	4.9	4.9	4.9	6.1	6.1	6.1	6.1
Shares outstanding	60m	60m	60m	60m	60m	61m	61m	61m	61m	61m	61m	62m
Filing	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A fourth quarter's EPS and diluted share count are from the company's results press release for that quarter, used where the release gives the same revenue and net income as the table. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. 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. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

Source

10-K for the period ended 31 December 2023, filed 29 February 2024, accession 0001877322-24-000035: the filing on EDGAR. All of Esab Corp.'s filings: EDGAR company page.

The same record on your computer

GreekSoup is also a free program for your own computer. It reads these same filings for the names you follow, refreshed as they land, with no account. One pasted line installs it.

Install