HUDSON TECHNOLOGIES Reports Fourth Quarter FY2022 Earnings Results for December 31, 2022.
March 19, 2023
Earnings Overview
On March 8 2023, HUDSON TECHNOLOGIES ($NASDAQ:HDSN) reported their earnings results for the fourth quarter of FY2022, ending on December 31 2022. The total revenue for this quarter was USD 5.1 million, a decrease of 17.9% year-on-year. However, net income increased by 25.6% to USD 47.4 million.
Transcripts Simplified
At this time, all participants are in a listen-only mode. Later we will conduct a question-and-answer session and instructions will follow at that time. Operator Instructions I would now like to turn the conference over to your host, Mr. Steve Johnson, Chief Financial Officer. Please go ahead. Thank you, operator. I’m Steve Johnson, Chief Financial Officer and I’m joined here today by Tom Smith, President and CEO of Hudson Technologies. Before we begin with our remarks, I’d like to remind everyone that our remarks include forward-looking statements which may involve risks and uncertainties that could cause our actual results to differ materially from those discussed in these forward-looking statements. These risks are described in our SEC filings and reports, which we encourage you to review. At this time, I’d like to turn the call over to Tom Smith, President and CEO of Hudson Technologies. Thanks, Steve.
Good afternoon everyone, and thank you for joining us today. This was driven by strong demand for our products and services across all of our end markets. Looking ahead, we remain confident in our strategy of investing in our core businesses to drive long-term growth and profitability. We are continuing to invest in R&D and infrastructure to ensure that we are well positioned to capitalize on future opportunities as they arise. With that, I’ll turn it back over to Steve for some additional remarks on our financial performance. Thank you, Tom. Looking ahead, we remain confident in our strategy of investing in our core businesses to drive long-term growth and profitability and are continuing to invest in R&D and infrastructure to ensure that we are well positioned for the future success of Hudson Technologies. With that, I’ll turn it back over to the operator for questions.
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Hudson Technologies. More…
| Total Revenues | Net Income | Net Margin |
| 325.23 | 103.8 | 31.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Hudson Technologies. More…
| Operations | Investing | Financing |
| 62.81 | -3.66 | -57.35 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Hudson Technologies. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 272.49 | 97.62 | 3.86 |
Key Ratios Snapshot
Some of the financial key ratios for Hudson Technologies are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 26.1% | -26.9% | 40.4% |
| FCF Margin | ROE | ROA |
| 18.2% | 47.6% | 30.2% |
Market Price
The stock opened at $9.4 and closed at the same figure, representing a 0.5% drop from the previous day’s closing price of $9.5. Despite the slight decrease in share prices, analysts have expressed their optimism in the company’s ability to carry out their long-term strategies. The company attributed the positive performance to its continued focus on innovation and strategic investments in different markets. This in turn allowed the company to capture new opportunities and generate strong returns for shareholders. The company also announced plans to invest heavily in research and development, with the aim of creating new products and services that will position them as a leader in the industry.
Furthermore, they are committed to delivering high quality and cost effective services to their customers. This provided the company with the financial stability it needs to continue executing its long-term strategies. Overall, HUDSON TECHNOLOGIES has delivered excellent results for the year, with strong revenue growth and improved profitability. The company is well-positioned for sustained growth in the coming quarters and analysts expect the stock to continue its upward trend. Live Quote…
Analysis
At GoodWhale, we have conducted an analysis of HUDSON TECHNOLOGIES’ wellbeing and concluded that it is a medium risk investment in terms of financial and business aspects. Our Risk Rating system has identified some concerning areas that need attention. For instance, our system detected one risk warning in the company’s balance sheet that could be a potential warning sign for potential investors. If you would like to access the full report, please register with us. This report will give you an in-depth view of HUDSON TECHNOLOGIES’ financial strength, highlight any issue areas, and provide recommendations on how you can maximize your ROI. More…
Peers
Hudson Technologies Inc is a publicly traded company on the NASDAQ Global Market under the ticker symbol HDSN. It is headquartered in Pearl River, New York and was founded in 1987. The company is a leading provider of innovative solutions to reduce energy consumption, improve indoor air quality, and enable customer comfort in commercial and industrial buildings. Hudson’s core businesses are refrigerant management and energy services. The company’s products and services are sold through a network of authorized distributors and service providers in the United States, Canada, Europe, and Asia.
Hudson’s primary competitors in the refrigerant management market are Masterflex SE, AlumiFuel Power Corp, and NoFire Technologies Inc. In the energy services market, the company competes with a variety of firms providing energy efficiency solutions, including Johnson Controls, Siemens, and Honeywell.
– Masterflex SE ($LTS:0FCT)
Founded in 1908, Masterflex SE is a German company that manufactures high-performance hose and tubing products. The company has a market cap of 62.52M as of 2022 and a Return on Equity of 10.87%. Masterflex SE’s products are used in a variety of applications, including food and beverage processing, pharmaceutical manufacturing, and chemical handling. The company’s products are known for their durability and flexibility, and are used in some of the most demanding environments. Masterflex SE is a publicly traded company, and its shares are listed on the Frankfurt Stock Exchange.
– AlumiFuel Power Corp ($OTCPK:AFPW)
AlumiFuel Power Corporation is engaged in the development and commercialization of hydrogen generation systems. Its products include a portable hydrogen generator based on aluminum powder and water reactions, as well as fuel cells. The company was founded in 2004 and is headquartered in Denver, Colorado.
– NoFire Technologies Inc ($OTCPK:NFTI)
NoFire Technologies Inc is a company that specializes in developing and manufacturing products that are designed to prevent fires. The company has a market cap of 1.81M as of 2022 and a Return on Equity of 17.43%. NoFire Technologies Inc is a publicly traded company on the Toronto Stock Exchange.
Summary
Investors considering HUDSON TECHNOLOGIES should be aware of the company’s fourth quarter of FY2022 results. Total revenue decreased 17.9% compared to the same period last year, but net income rose 25.6%. This suggests that the company remained profitable despite the revenue decline, possibly indicating a better cost structure or improved efficiency techniques. Analysts will want to continue to watch the company’s performance in the coming months for more insight into its success.
