NPO Earnings Prediction
The chart below shows how NPO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, NPO sees a +3.99% change in stock price 10 days leading up to the earnings, and a +4.07% change 10 days following the report. On the earnings day itself, the stock moves by -2.11%. This data can give you a slight idea of what to expect for the next quarter's release.
NPO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
260.90M
4.07%
-4.05%
Gross Margin
42.28%
6.42%
-3.40%
Operating Margin
15.06%
13.40%
-19.85%
Net Margin
7.59%
132.11%
-22.71%
EPS
0.94
135.00%
-25.98%
No Data Available
NPO Earnings Analysis
Enpro Inc. Corporation (NPO.N) Earnings Conference Call
Positive
Sales Increase Report: 1. Sales Growth: Enpro reported third quarter sales of $260.9 million, a 4% increase compared to the prior year, with organic sales also showing slight growth despite market challenges.
Adjusted EBITDA Margin Improvement: 2. Strong Adjusted EBITDA Margin: The consolidated adjusted EBITDA margin improved to 24.6%, reflecting a 160 basis point expansion driven by strong performance in the Sealing Technologies segment.
Sealing Technologies Sales Growth: 3. Sealing Technologies Performance: Sales in the Sealing Technologies segment increased by 4.5% year-over-year, with adjusted segment EBITDA margins expanding by 300 basis points to 32.7%.
Free Cash Flow Outlook: 4. Free Cash Flow Generation: Enpro expects to generate over $110 million in free cash flow for the year, supported by disciplined capital allocation and a reduced CapEx forecast of $40 million.
Shareholder Returns Strategy: 5. Shareholder Returns: The company paid a quarterly dividend of $0.30 per share, totaling $19 million year-to-date, and renewed a $50 million share repurchase authorization.
Negative
Free Cash Flow Decline: 1. Declining Free Cash Flow: Free cash flow year-to-date was approximately $83 million, down from about $134 million last year, primarily due to timing of working capital and higher cash tax payments.
Revised Earnings Outlook: 2. Reduced Full Year Guidance: The company adjusted its full year 2024 earnings guidance, now expecting total Enpro sales to be down low single digits compared to 2023, versus previous guidance of approximately flat sales.
AST Segment EBITDA Decline: 3. Weak AST Segment Performance: Adjusted segment EBITDA margin for Advanced Surface Technologies (AST) was 20.8%, down 80 basis points year-over-year, driven by slow wafer fab equipment demand and increased operating expenses.
Rising Corporate Expenses: 4. Increased Corporate Expenses: Corporate expenses rose to $10.3 million in Q3 2024 from $9.8 million a year ago, primarily due to increased share price-based incentive compensation expenses.
Reduced Capital Expenditure Forecast: 5. Lowered CapEx Forecast: The CapEx forecast for 2024 was reduced to around $40 million from a previous expectation of $60 million, indicating a slowdown in capital investment plans.
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NPO Earning Call Sentiment
Enpro Inc. (NPO) Q3 2024 Earnings Call Transcript
NPO.N
-2.04%Positive
The earnings call presents mixed signals. Financial performance is solid with 4% sales growth and an 11% increase in adjusted EBITDA. However, guidance is flat for 2024, indicating limited near-term growth. Shareholder returns are positive with dividends and buyback authorization. Q&A highlights concerns about semiconductor demand and AST margin softening. The market cap suggests moderate volatility. Overall, the combination of strong financials and cautious outlook leads to a neutral stock price prediction (-2% to 2%).
