EMBC Earnings Prediction
The chart below shows how EMBC performed 10 days before and after its earnings report, based on data from the past quarters. Typically, EMBC sees a -5.18% change in stock price 10 days leading up to the earnings, and a -6.53% change 10 days following the report. On the earnings day itself, the stock moves by +7.40%. This data can give you a slight idea of what to expect for the next quarter's release.
EMBC Key Earning Data
EMBC Earnings Analysis
Positive
Earnings Per Share Beat: Embecta Corp. reported an adjusted EPS of $0.65, exceeding expectations of $0.45, indicating strong financial performance in Q1 2025.
Operating Income Improvement: The company achieved an adjusted operating income of $80.5 million, reflecting a year-over-year increase from $77.5 million, resulting in an improved adjusted operating margin of 30.7%.
EBITDA Margin Improvement: Adjusted EBITDA for Q1 2025 was approximately $97.3 million, with a margin of 37.2%, up from $90.4 million and 32.6% in the prior year period, showcasing operational efficiency.
Debt Reduction Strategy: Embecta Corp. successfully paid down approximately $32 million of term loan B debt during the quarter, contributing to a strategic goal of reducing total debt by $110 million in fiscal 2025.
Adjusted Operating Margin Guidance: The company raised its adjusted operating margin guidance from a range of 29%-30% to 29.5%-30.5%, reflecting ongoing initiatives to enhance operational efficiency and cost management.
Negative
Revenue Decline Analysis: Revenue declined 5.6% year-over-year to approximately $262 million, indicating a negative trend in sales performance.
Gross Profit Decline: GAAP gross profit decreased to $157.1 million with a margin of 60%, down from $185.9 million and 67% in the prior year, reflecting reduced profitability.
Decline in Operating Income: Operating income fell to $28.7 million with a margin of 11%, compared to $45.5 million and 16.4% in the prior year, highlighting operational challenges.
Net Income Decline: Net income dropped to zero from $20.1 million in the prior year, indicating a significant decline in overall profitability.
Fiscal 2025 Revenue Decline: Adjusted revenue guidance for fiscal 2025 anticipates a decline of 2.8% to 4.3%, reflecting ongoing challenges in revenue generation.
EMBC FAQs
How does EMBC typically perform around its earnings report dates?
EMBC's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a -5.18% change leading up to the report and a -6.53% change in the 10 days following the release.
Is Embecta Corp (EMBC) Q1 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
EMBC Earning Call Sentiment
Embecta Corp. (NASDAQ:EMBC) Q1 2025 Earnings Call Transcript
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