Continued Growth in Welding and Cleaning Applications Driven by E-Mobility
Softer Demand in Industrial Markets Impacted Sales and Outlook
MARLBOROUGH, Mass., Aug. 01, 2023 (GLOBE NEWSWIRE) -- IPG Photonics Corporation (NASDAQ: IPGP) today reported financial results for the second quarter ended June 30, 2023.
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
| (En millones, excepto datos por acción y porcentajes) | 2023 | 2022 | Cambia | 2023 | 2022 | Cambia | ||||||||||||||||||
| Ingresos | $ | 340.0 | $ | 377.0 | (10 | ) | % | $ | 687.1 | $ | 747.0 | (8 | ) | % | ||||||||||
| Margen bruto | 43.4 | % | 45.7 | % | 42.9 | % | 46.1 | % | ||||||||||||||||
| Ingresos de explotación | $ | 72.1 | $ | 71.7 | 1 | % | $ | 147.5 | $ | 164.8 | (10 | ) | % | |||||||||||
| Margen de explotación | 21.2 | % | 19.0 | % | 21.5 | % | 22.1 | % | ||||||||||||||||
| Beneficio neto atribuible a IPG Photonics Corporation | $ | 62.3 | $ | 57.0 | 9 | % | $ | 122.5 | $ | 126.5 | (3 | ) | % | |||||||||||
| Beneficios por acción diluida | $ | 1.31 | $ | 1.10 | 19 | % | $ | 2.57 | $ | 2.41 | 7 | % | ||||||||||||
Comentarios de la dirección
"Our materials processing business, excluding China, performed well in the second quarter with continued strong demand in welding and cleaning applications, driven by e-mobility. We also saw a sequential improvement in flat sheet cutting sales across many regions despite macroeconomic uncertainties and competition in China," said Dr. Eugene Scherbakov, IPG Photonics' Chief Executive Officer. "Adoption of fiber laser technology continues and we are proud that our solutions have become an industry standard in many industrial applications. We are exploring additional opportunities to replace laser and non-laser technologies with IPG fiber laser solutions across many new and existing markets and applications."
Aspectos financieros destacados
Second quarter revenue of $340 million decreased 10% year over year. Changes in foreign exchange rates reduced revenue by approximately $9 million or 2% and divestitures reduced revenue by approximately 1% compared to the same period last year. Materials processing sales accounted for 92% of total revenue and decreased 8% year over year with growth in welding, cleaning, 3D printing and solar cell manufacturing applications offset by lower revenue in cutting and marking applications. Sales into other applications decreased 23% year over year due to lower revenue in medical and advanced applications, as well as the telecom divestiture. Emerging growth products sales accounted for 41% of total revenue.
Revenue in high power continuous wave (CW) lasers declined 10% year over year due to lower demand in flat sheet cutting applications. Sales of pulsed lasers declined 24% compared with the prior year as growth in cleaning and solar cell manufacturing applications was offset by lower demand in foil cutting and marking applications. By region, sales decreased 28% in China and 11% in North America, but increased 4% in Europe and 14% in Japan on a year-over-year basis.
Earnings per diluted share (EPS) of $1.31 increased 19% year over year. Foreign exchange transaction loss decreased operating income by $1 million, but had no material impact on net income and earnings per share due to a tax benefit. The effective tax rate in the quarter was 24%. During the second quarter, IPG generated $67 million in cash from operations and spent $26 million on capital expenditures.
Perspectivas de negocio y previsiones financieras
“Second quarter book-to-bill was below one as increased economic uncertainty negatively impacted customer orders in our key geographies. In particular, general industrial demand in Europe and North America has weakened while industrial demand and EV investment remain soft in China. However, we are pleased to see continued strong orders in e-mobility applications, driven by increased investments in EV battery capacity in Europe, North America, Korea and Japan, which should drive sales for our welding, foil cutting and cleaning solutions. We are also seeing increasing orders for 3D printing applications and laser diode heating and drying solutions and are excited about additional opportunities for these applications in the second half of 2023. The EV investment cycle in China is expected to rebound in 2024," concluded Dr. Scherbakov.
For the third quarter of 2023, IPG expects revenue of $300 million to $330 million. The Company expects the third quarter tax rate to be approximately 25%. IPG anticipates delivering earnings per diluted share in the range of $0.85 to $1.15.
As discussed in more detail in the "Safe Harbor" passage of this news release, actual results may differ from this guidance due to various factors including, but not limited to, trade policy changes and trade restrictions, the COVID-19 pandemic, product demand, order cancellations and delays, competition, tariffs, currency fluctuations and general economic conditions. This guidance is based upon current market conditions and expectations, and is subject to the risks outlined in the Company's reports filed with the SEC, and assumes exchange rates relative to the U.S. dollar of Euro 0.92, Russian ruble 87, Japanese yen 145 and Chinese yuan 7.23, respectively.
Información financiera complementaria
Additional supplemental financial information is provided in the unaudited Financial Data Workbook and Second Quarter 2023 Earnings Call Presentation available on the investor relations section of the Company's website at investor.ipgphotonics.com.
Recordatorio de conferencia telefónica
The Company will hold a conference call today, August 1, 2023 at 10:00 am ET. To access the call, please dial 877-407-6184 in the US or 201-389-0877 internationally. A live webcast of the call will also be available and archived on the investor relations section of the Company's website at investor.ipgphotonics.com.
Contact
Eugene Fedotoff
Director Senior de Relaciones con Inversores
Corporación IPG Photonics
508-597-4713
efedotoff@ipgphotonics.com
About IPG Photonics Corporation
IPG Photonics Corporation es líder en láseres de fibra de alta potencia y amplificadores utilizados principalmente en el procesamiento de materiales y otras aplicaciones diversas. La misión de la empresa es desarrollar soluciones láser innovadoras que hagan del mundo un lugar mejor. IPG cumple esta misión ofreciendo un rendimiento, una fiabilidad y una facilidad de uso superiores a un coste total de propiedad inferior en comparación con otros tipos de láser y herramientas no láser, lo que permite a los usuarios finales aumentar la productividad y reducir los costes. IPG tiene su sede en Marlborough, Massachusetts, y cuenta con más de 30 instalaciones en todo el mundo. Para más información, visite www.ipgphotonics.com.
Declaración de puerto seguro
Information and statements provided by IPG and its employees, including statements in this press release, that relate to future plans, events or performance are forward-looking statements. These statements involve risks and uncertainties. Any statements in this press release that are not statements of historical fact are forward-looking statements, including, but not limited to strong orders in e-mobility applications, which should drive sales for our welding, foil cutting and cleaning solutions, additional opportunities for 3D printing applications and laser diode heating and drying solutions, expected rebound of the EV investment cycle in China in 2024, revenue, tax rate and earnings guidance, and the impact of the U.S. dollar on our guidance for third quarter of 2023. Factors that could cause actual results to differ materially include risks and uncertainties, including risks associated with the strength or weakness of the business conditions in industries and geographic markets that IPG serves, particularly the effect of downturns in the markets IPG serves; uncertainties and adverse changes in the general economic conditions of markets; inability to manage risks associated with international customers and operations; changes in trade controls and trade policies; IPG's ability to penetrate new applications for fiber lasers and increase market share; the rate of acceptance and penetration of IPG's products; foreign currency fluctuations; high levels of fixed costs from IPG's vertical integration; the appropriateness of IPG's manufacturing capacity for the level of demand; competitive factors, including declining average selling prices; the effect of acquisitions and investments; inventory write-downs; asset impairment charges; intellectual property infringement claims and litigation; interruption in supply of key components; manufacturing risks; government regulations and trade sanctions; and other risks identified in IPG's SEC filings. Readers are encouraged to refer to the risk factors described in IPG's Annual Report on Form 10-K (filed with the SEC on February 27, 2023) and IPG's reports filed with the SEC, as applicable. Actual results, events and performance may differ materially. Readers are cautioned not to rely on the forward-looking statements, which speak only as of the date hereof. IPG undertakes no obligation to update the forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
| IPG PHOTONICS CORPORATION | |||||||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | |||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||
| 2023 | 2022 | 2023 | 2022 | ||||||||||
| (En miles, excepto datos por acción) | |||||||||||||
| Ventas netas | $ | 339,971 | $ | 377,023 | $ | 687,145 | $ | 747,002 | |||||
| Coste de las ventas | 192,280 | 204,679 | 392,516 | 402,837 | |||||||||
| Beneficio bruto | 147,691 | 172,344 | 294,629 | 344,165 | |||||||||
| Gastos de explotación: | |||||||||||||
| Ventas y marketing | 20,187 | 19,010 | 41,275 | 39,384 | |||||||||
| Investigación y desarrollo | 23,512 | 30,608 | 46,282 | 64,058 | |||||||||
| Gastos generales y administrativos | 29,660 | 33,411 | 59,788 | 64,075 | |||||||||
| Otros gastos de reestructuración | 963 | - | 1,144 | - | |||||||||
| Pérdida (ganancia) por cambio de divisas | 1,306 | 17,640 | (1,349 | ) | 11,830 | ||||||||
| Total gastos de explotación | 75,628 | 100,669 | 147,140 | 179,347 | |||||||||
| Ingresos de explotación | 72,063 | 71,675 | 147,489 | 164,818 | |||||||||
| Otros ingresos, netos: | |||||||||||||
| Ingresos por intereses, netos | 9,264 | 1,177 | 16,797 | 1,107 | |||||||||
| Otros ingresos, netos | 285 | 618 | 616 | 382 | |||||||||
| Total otros ingresos | 9,549 | 1,795 | 17,413 | 1,489 | |||||||||
| Ingresos antes de impuestos | 81,612 | 73,470 | 164,902 | 166,307 | |||||||||
| Provisión para impuestos sobre la renta | 19,291 | 16,139 | 42,446 | 39,348 | |||||||||
| Ingresos netos | 62,321 | 57,331 | 122,456 | 126,959 | |||||||||
| Menos: ingresos netos atribuibles a participaciones no dominantes | - | 363 | - | 419 | |||||||||
| Beneficio neto atribuible a IPG Photonics Corporation | $ | 62,321 | $ | 56,968 | $ | 122,456 | $ | 126,540 | |||||
| Beneficio neto atribuible a IPG Photonics Corporation por acción: | |||||||||||||
| Básico | $ | 1.32 | $ | 1.10 | $ | 2.58 | $ | 2.42 | |||||
| Diluido | $ | 1.31 | $ | 1.10 | $ | 2.57 | $ | 2.41 | |||||
| Media ponderada de acciones en circulación: | |||||||||||||
| Básico | 47,316 | 51,687 | 47,429 | 52,111 | |||||||||
| Diluido | 47,453 | 51,795 | 47,618 | 52,311 | |||||||||
| IPG PHOTONICS CORPORATION | ||||||||
| CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | ||||||||
| June 30, | 31 de diciembre, | |||||||
| 2023 | 2022 | |||||||
| (En miles, excepto datos sobre acciones y por acción) |
||||||||
| ACTIVOS | ||||||||
| Activo circulante: | ||||||||
| Efectivo y equivalentes de efectivo | $ | 573,071 | $ | 698,209 | ||||
| Inversiones a corto plazo | 523,341 | 479,374 | ||||||
| Deudores, neto | 231,125 | 211,347 | ||||||
| Inventarios | 491,301 | 509,363 | ||||||
| Impuestos sobre la renta pagados por anticipado | 50,748 | 40,934 | ||||||
| Gastos anticipados y otros activos corrientes | 54,482 | 47,047 | ||||||
| Total activo circulante | 1,924,068 | 1,986,274 | ||||||
| Impuestos diferidos, netos | 69,644 | 75,152 | ||||||
| Buena voluntad | 38,494 | 38,325 | ||||||
| Inmovilizado inmaterial, neto | 30,086 | 34,120 | ||||||
| Inmovilizado material, neto | 609,344 | 580,561 | ||||||
| Otros activos | 24,781 | 28,848 | ||||||
| Activo total | $ | 2,696,417 | $ | 2,743,280 | ||||
| PASIVO Y FONDOS PROPIOS | ||||||||
| Pasivo circulante: | ||||||||
| Parte corriente de la deuda a largo plazo | $ | - | $ | 16,031 | ||||
| Cuentas por pagar | 37,418 | 46,233 | ||||||
| Gastos devengados y otros pasivos corrientes | 184,156 | 202,764 | ||||||
| Impuestos sobre la renta | 6,613 | 9,618 | ||||||
| Total pasivo corriente | 228,187 | 274,646 | ||||||
| Otros pasivos a largo plazo e impuestos diferidos | 69,680 | 83,274 | ||||||
| Total pasivo | 297,867 | 357,920 | ||||||
| Compromisos y contingencias | ||||||||
| Fondos propios de IPG Photonics Corporation: | ||||||||
| Common stock, $0.0001 par value, 175,000,000 shares authorized; 56,242,504 and 47,364,320 shares issued and outstanding, respectively, at June 30, 2023; 56,017,672 and 48,138,257 shares issued and outstanding, respectively, at December 31, 2022. | 6 | 6 | ||||||
| Treasury stock, at cost, 8,878,184 and 7,879,415 shares held at June 30, 2023 and December 31, 2022, respectively. | (1,051,040 | ) | (938,009 | ) | ||||
| Capital desembolsado adicional | 969,889 | 951,371 | ||||||
| Beneficios no distribuidos | 2,698,972 | 2,576,516 | ||||||
| Otras pérdidas globales acumuladas | (219,277 | ) | (204,524 | ) | ||||
| Total fondos propios de IPG Photonics Corporation | 2,398,550 | 2,385,360 | ||||||
| Total pasivo y fondos propios | $ | 2,696,417 | $ | 2,743,280 | ||||
| IPG PHOTONICS CORPORATION | ||||||||
| CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | ||||||||
| Six Months Ended June 30, | ||||||||
| 2023 | 2022 | |||||||
| (en miles) | ||||||||
| Flujos de tesorería de las actividades de explotación: | ||||||||
| Ingresos netos | $ | 122,456 | $ | 126,959 | ||||
| Ajustes para conciliar los ingresos netos con la tesorería neta proporcionada por las actividades de explotación: | ||||||||
| Depreciación y amortización | 35,343 | 47,104 | ||||||
| Provisiones para existencias, garantías y deudas incobrables | 31,846 | 38,644 | ||||||
| Otros | 13,615 | 25,579 | ||||||
| Changes in assets and liabilities that used cash, net of acquisitions: | ||||||||
| Cuentas por cobrar y cuentas por pagar | (31,348 | ) | 4,691 | |||||
| Inventarios | (12,103 | ) | (99,233 | ) | ||||
| Otros | (55,863 | ) | (48,583 | ) | ||||
| Efectivo neto procedente de actividades de explotación | 103,946 | 95,161 | ||||||
| Flujos de tesorería procedentes de actividades de inversión: | ||||||||
| Compras y depósitos de inmovilizado material | (59,139 | ) | (59,903 | ) | ||||
| Ingresos por ventas de inmovilizado material | 1,740 | 645 | ||||||
| Compras de inversiones a corto plazo | (583,347 | ) | (583,828 | ) | ||||
| Ingresos de inversiones a corto plazo | 549,879 | 925,657 | ||||||
| Adquisiciones de empresas, netas de efectivo adquirido | - | (2,000 | ) | |||||
| Otros | 326 | (350 | ) | |||||
| Efectivo neto (utilizado en) procedente de actividades de inversión | (90,541 | ) | 280,221 | |||||
| Flujos de tesorería procedentes de actividades de financiación: | ||||||||
| Pagos de principal de empréstitos a largo plazo | (16,031 | ) | (1,932 | ) | ||||
| Ingresos procedentes de la emisión de acciones ordinarias en el marco de planes de opciones y compra de acciones para empleados, menos los pagos por impuestos relacionados con la liquidación neta de acciones de adjudicaciones de acciones | (731 | ) | 2,088 | |||||
| Compra de acciones propias, a precio de coste | (113,031 | ) | (311,606 | ) | ||||
| Efectivo neto utilizado en actividades de financiación | (129,793 | ) | (311,450 | ) | ||||
| Efecto de las variaciones de los tipos de cambio en el efectivo y equivalentes de efectivo | (8,750 | ) | (1,249 | ) | ||||
| (Disminución) aumento neto de efectivo y equivalentes de efectivo | (125,138 | ) | 62,683 | |||||
| Efectivo y equivalentes de efectivo - Inicio del periodo | 698,209 | 709,105 | ||||||
| Efectivo y equivalentes de efectivo - Fin de periodo | 573,071 | 771,788 | ||||||
| Información complementaria sobre el flujo de caja: | ||||||||
| Efectivo pagado por intereses | $ | 947 | $ | 1,600 | ||||
| Efectivo pagado por impuestos sobre la renta | $ | 58,178 | $ | 61,715 | ||||
| IPG PHOTONICS CORPORATION | ||||||||||||
| SUPPLEMENTAL SCHEDULE OF AMORTIZATION OF INTANGIBLE ASSETS (UNAUDITED) | ||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||
| (en miles) | ||||||||||||
| Amortización de activos inmateriales: | ||||||||||||
| Coste de las ventas | $ | 564 | $ | 1,055 | $ | 1,128 | $ | 2,228 | ||||
| Ventas y marketing | 1,457 | 1,854 | 2,914 | 3,702 | ||||||||
| Amortización total del inmovilizado inmaterial | $ | 2,021 | $ | 2,909 | $ | 4,042 | $ | 5,930 | ||||
| IPG PHOTONICS CORPORATION | ||||||||||||||||
| SUPPLEMENTAL SCHEDULE OF STOCK-BASED COMPENSATION (UNAUDITED) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| (en miles) | ||||||||||||||||
| Coste de las ventas | $ | 2,515 | $ | 3,215 | $ | 5,161 | $ | 6,273 | ||||||||
| Ventas y marketing | 1,390 | 1,309 | 2,683 | 2,518 | ||||||||||||
| Investigación y desarrollo | 2,045 | 2,374 | 3,841 | 4,903 | ||||||||||||
| Gastos generales y administrativos | 3,757 | 3,568 | 7,633 | 6,730 | ||||||||||||
| Compensación total basada en acciones | 9,707 | 10,466 | 19,318 | 20,424 | ||||||||||||
| Efecto fiscal de la remuneración basada en acciones | (2,148 | ) | (2,251 | ) | (4,244 | ) | (4,385 | ) | ||||||||
| Compensación neta basada en acciones | $ | 7,559 | $ | 8,215 | $ | 15,074 | $ | 16,039 | ||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
| 2023 | 2022 | 2023 | 2022 | ||||||||||||
| (en miles) | |||||||||||||||
| Beneficio (detrimento) fiscal excesivo por compensación basada en acciones | $ | 22 | $ | (427 | ) | $ | (1,686 | ) | $ | (2,140 | ) | ||||