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Cimpress Q2 Earnings & Revenues Miss Estimates, Increase Y/Y

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Cimpress plc (CMPR - Free Report) reported second-quarter fiscal 2025 (ended Dec. 31, 2024) adjusted earnings of $2.36 per share, which missed the Zacks Consensus Estimate of $2.40. The company had reported adjusted earnings of $2.14 per share in the year-ago quarter.

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CMPR’s Top-Line Details

Total revenues were $939.2 million, reflecting an increase of 1.9% from $921.4 million in the year-ago quarter. The organic constant-currency revenue growth was 2% year over year, driven by growth in each of its businesses. The top line missed the Zack Consensus Estimate of $964 million.

Cimpress plc Price, Consensus and EPS Surprise

Cimpress plc Price, Consensus and EPS Surprise

Cimpress plc price-consensus-eps-surprise-chart | Cimpress plc Quote

Segmental Information

The National Pen segment generated revenues of $131.4 million, up from $130.1 million in the year-ago quarter. Our estimate was $133.6 million.

Vista — the largest revenue-generating segment — reported aggregate revenues of $497.7 million compared with $485.4 million in the year-ago quarter. Our estimate was $517.9 million.

The Upload and Print segment’s revenues increased to $273.1 million from $257.7 million in the year-ago quarter. The segment consists of two subgroups, namely PrintBrothers and The Print Group.

PrintBrothers’ revenues increased to $174.5 million from $165.6 million in the year-ago period. Our estimate was $175.7 million. The Print Group generated revenues of $98.6 million, up from $92.1 million reported in the year-ago quarter. Our estimate was $93.8 million.

Revenues from All Other Businesses were $60.3 million compared with $59.8 million reported a year ago. Our estimate was $61.7 million.

CMPR’s Margin Details

Cimpress' cost of revenues was $489.3 million, up 5.6% on a year-over-year basis. Marketing and selling expenses totaled $223.9 million, up 5.7% year over year. General & administrative expenses were $56.9 million, up from $48.8 million reported in the year-ago fiscal quarter.

Gross profit decreased 1.7% year over year to $450 million. The margin was 48%, down 200 basis points year over year. Net interest expenses fell 4.6% year over year to $29.2 million. Adjusted EBITDA fell 20.7% year over year to $132.3 million.

Balance Sheet and Cash Flow

As of Dec. 31, 2024, Cimpress had $224.4 million of cash and cash equivalents compared with $203.8 million at the end of the fourth quarter of fiscal 2024.

Exiting the fiscal second quarter, CMPR’s long-term debt was $1.58 billion, marginally down from the fourth quarter of fiscal 2024-end figure.

During the fiscal second quarter, net cash provided by operating activities was $176.5 million compared with $175 million in the year-ago quarter. It repurchased shares worth $42.4 million during the quarter.

CMPR’s Outlook

For fiscal 2025, Cimpress expects revenues to increase at least 3% on a reported basis and 4% on an organic constant-currency basis. Its operating income is expected to be at least $233.9 million, indicating about 5% decrease year over year. Adjusted EBITDA is projected to be at least $440 million for the year.

The company anticipates generating cash from operating activities of a minimum of $289 million and free cash flow (adjusted) of at least $157 million.

For fiscal 2025, Cimpress expects to reduce net leverage. The company hopes to exit fiscal 2025 with a net leverage of 3.0x trailing-12-month EBITDA.

Zacks Rank & Stocks to Consider

CMPR currently carries a Zacks Rank #3 (Hold).

Some better-ranked companies are discussed below:

Graham Corporation (GHM - Free Report) currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

GHM delivered a trailing four-quarter average earnings surprise of 101.9%. In the past 60 days, the Zacks Consensus Estimate for Graham’s fiscal 2025 (ending March 2025) earnings has remained stable.

EnerSys (ENS - Free Report) currently sports a Zacks Rank of 1. ENS delivered a trailing four-quarter average earnings surprise of 1.6%.

In the past 60 days, the consensus estimate for Enersys’ fiscal 2025 (ending March 2025) earnings has increased 10.2%.

Resideo Technologies (REZI - Free Report) presently carries a Zacks Rank #2 (Buy). REZI delivered a trailing four-quarter average earnings surprise of 27.3%.

In the past 60 days, the consensus estimate for Resideo Technologies’ 2024 earnings has been stable.


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