NEU Earnings Prediction
The chart below shows how NEU performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NEU sees a +0.70% change in stock price 10 days leading up to the earnings, and a +3.23% change 10 days following the report. On the earnings day itself, the stock moves by -1.07%. This data can give you a slight idea of what to expect for the next quarter's release.
NEU Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
654.65M
1.76%
-9.70%
Gross Margin
31.72%
15.22%
-5.71%
Operating Margin
20.28%
28.76%
-13.26%
Net Margin
16.92%
35.36%
-7.29%
EPS
11.56
37.95%
-16.17%
No Data Available
NEU Earnings Analysis
NewMarket Corp Corporation (NEU.N) Earnings Conference Call
Positive
Net Income Growth: Net income for Q4 2024 was $111 million or $11.56 per share, up from $80 million or $8.38 per share in Q4 2023, reflecting a strong year-over-year growth.
Net Income Performance 2024: Full year 2024 net income reached $462 million or $48.22 per share, compared to $389 million or $40.44 per share in 2023, indicating robust annual performance.
Operating Profit Increase: Petroleum Additives operating profit for Q4 2024 increased to $136 million from $110 million in Q4 2023, driven by lower operating costs and improved efficiency.
Specialty Materials Sales Performance: Specialty Materials sales for Q4 2024 were $27 million, with full year sales at $141 million, exceeding pre-acquisition expectations and contributing positively to overall performance.
Shareholder Value Commitment: Returned $128 million to shareholders through dividends of $96 million and share repurchases of $32 million, demonstrating a commitment to shareholder value.
Negative
Petroleum Additive Revenue Decline: Petroleum additive sales decreased to $626,000,000 in Q4 2024 from $642,000,000 in Q4 2023, indicating a decline in revenue despite an increase in operating profit due to lower costs.
Petroleum Additives Sales Decline: For the full year 2024, sales for the Petroleum Additives segment fell to $2,600,000,000 compared to $2,700,000,000 in 2023, reflecting a downward trend in overall sales performance.
Specialty Materials Profit Concerns: Specialty Materials operating profit was only $1,500,000 for Q4 2024, significantly lower than expected, and included sales of inventory at no margin, raising concerns about profitability in this segment.
Inflationary Pressures Impacting Profitability: Despite generating solid cash flows, the company faced challenges from ongoing inflationary pressures, which could impact future cost management and profitability.
Sales Performance Analysis: The acquisition of American Pacific Corporation resulted in Specialty Materials sales of only $27,000,000 for Q4 2024, which may not meet long-term growth expectations given the low operating profit margins.
NEU FAQs
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NEU Earning Call Sentiment
Earnings call transcript: NewMarket Q4 2024 beats expectations, stock surges
NEU.N
1.43%Positive
The earnings call highlights strong financial performance with increased net income and operating profits, improved net debt to EBITDA ratio, and substantial shareholder returns. Despite challenges like inflation and supply chain issues, the company remains optimistic about future growth in key segments. The Q&A session did not reveal significant negative sentiments, and analysts seemed satisfied with the responses. Given the market cap of approximately $4.9 billion, the stock price is likely to react positively within the 2% to 8% range over the next two weeks.
