Novanta (NOVT) FY2023 results: revenue $882 million, up 2.4% on the year

Novanta Inc. (NOVT) reported revenue of $882 million for fiscal 2023, the year ended 31 December 2023, up 2.4% on the year before. Net income was $73 million, down 1.6%, and diluted earnings per share $2.02. The figures are the company's own, from the 10-K it filed with the SEC on 28 February 2024.

Revenue

$882 million

+2.4% on the year

FY2016FY2023

Operating margin

12.5%

12.0% a year earlier

FY2016FY2023

Net income

$73 million

-1.6% on the year

FY2016FY2023

Diluted EPS

$2.02

-1.9% on the year

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	882	861	707	+2.4%
Cost of revenue	482	482	406	-0.1%
Gross profit	400	378	300	+5.7%
Gross margin	45.4%	44.0%	42.5%
Research and development	91.7	85.8	72.5	+6.9%
Selling, general and administrative	164	159	129	+3.5%
Operating income	110	103	64.1	+7.2%
Operating margin	12.5%	12.0%	9.1%
Interest expense	25.8	15.6	7.4	+65.3%
Pre-tax income	83.7	87.2	56.2	-3.9%
Income tax	10.9	13.1	5.8	-17.1%
Effective tax rate	13.0%	15.0%	10.4%
Net income	72.9	74.1	50.3	-1.6%
Net margin	8.3%	8.6%	7.1%
Diluted EPS	$2.02	$2.06	$1.41	-1.9%

$ 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	FY2023	FY2022	FY2021	On the year
Operating cash flow	120	90.8	94.6	+32.3%
Capital expenditure	20.0	19.6	20.0	+1.6%
Free cash flow	100	71.1	74.6	+40.7%
Free cash flow margin	11.4%	8.3%	10.6%
Cash from investing	-19.9	-42.5	-307
Cash from financing	-97.9	-60.2	205
Depreciation and amortisation	46.6	53.2	43.4	-12.3%
Share-based compensation	25.6	23.1	25.6	+10.7%
Buybacks	n/a	10.0	n/a
Diluted shares, weighted	36m	36m	36m	+0.3%
Shares outstanding at period end	36m	36m	36m	+0.3%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	673	578	521	+16.6%
Debt	354	435	434	-18.6%
Operating lease liabilities	37.3	40.8	45.7	-8.5%
Finance lease liabilities	3.9	4.7	5.3	-15.4%
Other liabilities	157	183	221	-14.1%
Total liabilities and equity	1,226	1,241	1,228	-1.2%
Fixed assets	109	103	87.4	+6.1%
Goodwill	485	479	480	+1.2%
Intangible assets	145	176	221	-17.5%
Cash and equivalents	105	100	117	+4.9%
Receivables	139	138	116	+1.2%
Inventory	149	168	126	-11.1%
Other assets	93.2	77.6	81.3	+20.2%
Total assets	1,226	1,241	1,228	-1.2%

10-K for the year ended 31 December 2023, filed 28 February 2024: the filing.