We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Standard Motor (SMP) Q2 Earnings Beat Estimates, Rise Y/Y
Read MoreHide Full Article
Standard Motor Products (SMP - Free Report) posted second-quarter 2024 adjusted earnings per share (EPS) of 98 cents, which rose from 84 cents reported in the prior-year quarter and beat the Zacks Consensus Estimate of 78 cents.
Total revenues rose to $389.8 million from $353.1 million reported in the second quarter of 2023. The reported figure also beat the Zacks Consensus Estimate of $366 million. Gross profit rose to $111.4 million from the year-ago quarter’s $101.3 million. Operating income declined to $24.99 million from $27.18 million reported in the year-ago quarter.
Standard Motor Products, Inc. Price, Consensus and EPS Surprise
In the reported quarter, revenues from the Vehicle Control segment totaled $188.7 million, which rose 2.7% year over year and beat our estimate of $184.1 million. Operating income was $16.1 million, down from the prior-year quarter’s $19.4 million.
Revenues from the Engineered Solutions segment totaled $76.6 million, up 6.1% year over year due to robust demand from its existing customers and new business wins. The metric, however, lagged our estimate of $83.2 million. Operating income was $6.19 million, up from the prior-year quarter’s $6.17 million.
Revenues from the Temperature Control segment came in at $124.5 million, which rose from the year-ago quarter’s $97.1 million, as well as topped our projection of $98.2 million due to persistent heat across much of the country. The segment registered an operating income of $13.4 million, up from $5.9 million reported in the year-ago period.
Operating loss from the Other segment was $5.79 million, wider than the loss of $4.06 million recorded in the year-ago quarter.
Financial Position
Standard Motor had $26.2 million in cash as of Jun 30, 2024, compared with $32.5 million as of Dec 31, 2023.
Long-term debt totaled $203.2 million as of Jun 30, 2024, compared with $151.2 million as of Dec 31, 2023.
Net cash outflow from operating activities totaled $10.14 million at the end of the second quarter of 2024. SG&A expenses rose 13.7% to $83.9 million.
The company approved a quarterly dividend of 29 cents per share, which will be paid out on Sep 3, 2024, to stockholders of record as of Aug 15, 2024.
Revised 2024 Guidance
For 2024, the company now expects sales growth to be low- to mid-single digit compared with the previous forecast of flat to low-single digit. Standard Motor expects adjusted EBITDA in the range of 9-9.5% of total revenues.
The consensus estimate for SZKMY’s fiscal 2025 earnings suggests a year-over-year growth of 2.09%. EPS estimates for fiscal 2025 and 2026 have improved 38 cents and 15 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for BYDDY’s 2024 sales and earnings suggests year-over-year growth of 21.11% and 9.93%, respectively. EPS estimates for 2024 and 2025 have improved 19 cents and 29 cents, respectively, in the past 30 days.
The Zacks Consensus Estimate for HMC’s fiscal 2025 sales suggests year-over-year growth of 0.73%. EPS estimates for fiscal 2025 and 2026 have improved 5 cents and 4 cents, respectively, in the past 30 days.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Standard Motor (SMP) Q2 Earnings Beat Estimates, Rise Y/Y
Standard Motor Products (SMP - Free Report) posted second-quarter 2024 adjusted earnings per share (EPS) of 98 cents, which rose from 84 cents reported in the prior-year quarter and beat the Zacks Consensus Estimate of 78 cents.
Total revenues rose to $389.8 million from $353.1 million reported in the second quarter of 2023. The reported figure also beat the Zacks Consensus Estimate of $366 million. Gross profit rose to $111.4 million from the year-ago quarter’s $101.3 million. Operating income declined to $24.99 million from $27.18 million reported in the year-ago quarter.
Standard Motor Products, Inc. Price, Consensus and EPS Surprise
Standard Motor Products, Inc. price-consensus-eps-surprise-chart | Standard Motor Products, Inc. Quote
Segmental Results
In the reported quarter, revenues from the Vehicle Control segment totaled $188.7 million, which rose 2.7% year over year and beat our estimate of $184.1 million. Operating income was $16.1 million, down from the prior-year quarter’s $19.4 million.
Revenues from the Engineered Solutions segment totaled $76.6 million, up 6.1% year over year due to robust demand from its existing customers and new business wins. The metric, however, lagged our estimate of $83.2 million. Operating income was $6.19 million, up from the prior-year quarter’s $6.17 million.
Revenues from the Temperature Control segment came in at $124.5 million, which rose from the year-ago quarter’s $97.1 million, as well as topped our projection of $98.2 million due to persistent heat across much of the country. The segment registered an operating income of $13.4 million, up from $5.9 million reported in the year-ago period.
Operating loss from the Other segment was $5.79 million, wider than the loss of $4.06 million recorded in the year-ago quarter.
Financial Position
Standard Motor had $26.2 million in cash as of Jun 30, 2024, compared with $32.5 million as of Dec 31, 2023.
Long-term debt totaled $203.2 million as of Jun 30, 2024, compared with $151.2 million as of Dec 31, 2023.
Net cash outflow from operating activities totaled $10.14 million at the end of the second quarter of 2024. SG&A expenses rose 13.7% to $83.9 million.
The company approved a quarterly dividend of 29 cents per share, which will be paid out on Sep 3, 2024, to stockholders of record as of Aug 15, 2024.
Revised 2024 Guidance
For 2024, the company now expects sales growth to be low- to mid-single digit compared with the previous forecast of flat to low-single digit. Standard Motor expects adjusted EBITDA in the range of 9-9.5% of total revenues.
Zacks Rank & Other Key Picks
SMP currently carries a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the auto space are Suzuki Motor Corporation (SZKMY - Free Report) , BYD Company Limited (BYDDY - Free Report) and Honda Motor Co., Ltd. (HMC - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The consensus estimate for SZKMY’s fiscal 2025 earnings suggests a year-over-year growth of 2.09%. EPS estimates for fiscal 2025 and 2026 have improved 38 cents and 15 cents, respectively, in the past 60 days.
The Zacks Consensus Estimate for BYDDY’s 2024 sales and earnings suggests year-over-year growth of 21.11% and 9.93%, respectively. EPS estimates for 2024 and 2025 have improved 19 cents and 29 cents, respectively, in the past 30 days.
The Zacks Consensus Estimate for HMC’s fiscal 2025 sales suggests year-over-year growth of 0.73%. EPS estimates for fiscal 2025 and 2026 have improved 5 cents and 4 cents, respectively, in the past 30 days.