©Reuters. Nextracker (NXT) soars 19% on 'impressive' results and guidance hike
NextTracker Inc. (NXT) stock soared more than 19% in after-hours trading on Wednesday after the company reported better-than-expected fourth-quarter earnings and sales and raised its full-year 2024 outlook. .
Specifically, the energy solutions company's fourth-quarter earnings per share (EPS) were $0.96, beating the consensus estimate of $0.34. Revenue was $710 million, while analysts were expecting $514.56 million.
Adjusted EBITDA for the quarter increased 168% year over year to $168 million, and adjusted net income soared to $142 million.
Nextracker reported a robust balance sheet showing total liquidity of approximately $800 million. Operating cash flow was $317 million, and year-to-date adjusted free cash flow was recorded at $314 million.
“NXT reported strong performance in Q3 2024, exceeding street sales/EBITDA estimates by 13% and 58%, respectively, boosting full-year sales/EBITDA/EPS forecasts (even excluding 45x earnings) , reported FCF generation of over $60 million in the first quarter of its fiscal year, with FCF well over $300 million,” Truist Securities analysts said in a note.
Looking forward, the company now expects full-year EPS to be in the range of $2.55 to $2.75, compared to the consensus estimate of $2.17. Revenue is expected to be between $2.42 billion and $2.47 billion, while analysts were expecting $2.34 billion.
“Nextracker delivered a record third quarter with outperforming sales, profits and backlog, reflecting strong execution,” said Dan Sugar, Founder and CEO of Nextracker. “We are highlighting our ability to meet our customers' demands.”
“We are once again raising our annual outlook, supported by product differentiation that is gaining momentum in the market.”
