ECL Earnings Prediction
The chart below shows how ECL performed 10 days before and after its earnings report, based on data from the past quarters. Typically, ECL sees a -0.67% change in stock price 10 days leading up to the earnings, and a +2.43% change 10 days following the report. On the earnings day itself, the stock moves by +0.75%. This data can give you a slight idea of what to expect for the next quarter's release.
ECL Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
4.00B
1.02%
0.32%
Gross Margin
43.46%
5.18%
-0.75%
Operating Margin
17.83%
15.63%
6.13%
Net Margin
18.53%
79.21%
49.19%
EPS
2.58
82.98%
50.88%
No Data Available
ECL Earnings Analysis
Ecolab, Inc. Corporation (ECL.N) Earnings Conference Call
Positive
Earnings Growth and Efficiency: 19% growth in adjusted earnings, reflecting strong operational performance and effective cost management.
Sales Growth and Innovation: Organic sales grew 4%, with volume growth improving to 2%, driven by strong business wins and breakthrough innovation.
Gross Margin Improvement: Gross margin increased by 220 basis points to 43.5%, showcasing improved efficiency and profitability.
Operating Income and NOI Growth: Operating income grew 22%, with NOI margin expanding by 260 basis points to 17.9%, nearing record levels for Ecolab.
Strong Cash Flow Position: Record free cash flow and a healthy balance sheet position Ecolab for future growth opportunities, including organic and inorganic investments.
Negative
Volume Growth Decline: 1. Declining Volume Growth: Ecolab's volume growth was only 2% in Q3 2024, a slight improvement from 1% in the previous quarter, indicating a sluggish recovery in demand across various markets.
European Market Challenges: 2. Flat European Market Performance: Despite achieving 4% organic growth overall, the European market remained flat, highlighting challenges in a key region for the company.
Cost Pressure Outlook: 3. Increased Cost Pressures: The company anticipates a return to historic inflationary trends in delivered product costs, which could impact margins and pricing strategies moving forward.
Institutional Margin Fluctuations: 4. Weak Institutional Margins: Although institutional margins improved by 380 basis points year-over-year, there was a sequential decline of 20 basis points from Q2 to Q3, suggesting potential instability in this segment.
Divestiture Challenges Ahead: 5. Divestiture Impact: The recent divestiture of the Surgical Drapes business has left the healthcare segment smaller and less profitable, with expectations for low single to mid-single digit growth, indicating a challenging path ahead.
ECL FAQs
How does ECL typically perform around its earnings report dates?
Is Ecolab, Inc. (ECL) Q3 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
ECL Earning Call Sentiment
Ecolab, Inc. (ECL) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
ECL.N
1.71%Positive
The earnings call summary indicates strong financial performance with 19% adjusted earnings growth and a 4% organic sales increase. Gross margin and operating income growth are robust, and free cash flow is at record levels. The One Ecolab initiative and increased EPS guidance further boost sentiment. The Q&A session highlights positive volume growth and strategic focus on innovation and M&A. Despite some risks, the overall sentiment is positive, with potential for stock price appreciation, especially given optimistic guidance and strong financial metrics.