SIMPSON MANUFACTURING Reports Positive Q4 Earnings Results for FY2022 on February 6 2023

Earnings Overview

On February 6, 2023, SIMPSON MANUFACTURING ($NYSE:SSD) announced their fiscal year 2022 fourth quarter earnings results. Total revenue for the quarter ended December 31, 2022 was USD 57.6 million, a 17.5% decrease compared to the previous year. The company reported a net income of USD 475.6 million, up 13.6% from the same period of the previous year.

Transcripts Simplified

Simpson Manufacturing posted a 13.6% increase in consolidated net sales to $475.6 million in the fourth quarter of 2022. North American net sales decreased 1.4%, while Europe’s increased 150.3%, mainly from ETANCO’s $64.9 million in net sales. Wood Construction products represented 85% of total sales, and Concrete Construction products were 15%. Gross profit increased 1.2% to $200.7 million, and the gross margin was 42.2%.

Operating expenses were $119.3 million, an increase of 17.7%. R&D and engineering expenses increased 15% to $18.5 million.

About the Company

Income Snapshot

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Cash Flow Snapshot

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Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Simpson Manufacturing. More…

Key Ratios Snapshot

Some of the financial key ratios for Simpson Manufacturing are shown below. More…

Stock Price

On Monday, February 6 2023, SIMPSON MANUFACTURING reported positive Q4 earnings results for FY2022. On the same day, their stock opened at $109.9 and closed at $106.1, a decrease of 4.7% from the previous closing price of 111.3. Despite this dip, the company’s overall financial performance in the fourth quarter was impressive. These positive results were driven by increased sales and greater efficiency in production, which enabled the company to reduce costs while still maintaining a high-quality product.

SIMPSON MANUFACTURING also invested heavily in research and development to ensure that they are on the cutting edge of industry trends and able to remain competitive in the long run. Overall, SIMPSON MANUFACTURING reported a successful fourth quarter, despite a slight dip in their stock price. The company is optimistic about their prospects for the upcoming fiscal year and is confident that they will continue to grow and expand their operations in the coming years. Live Quote…

Analysis

At GoodWhale, we provide our users with the latest analysis of a company’s fundamentals. Our assessment of SIMPSON MANUFACTURING, a medium risk investment, is no exception. We have identified three risk warning signs within the company’s balance sheet, cashflow statement and financial journal which could be detrimental to investors. Our analysis of SIMPSON MANUFACTURING’s fundamentals provides a comprehensive overview of the company’s financial and business aspects, so register as a user today to explore more details. More…

Peers

Simpson Manufacturing Co Inc is one of the largest manufacturers of building materials in the United States. The company’s products are used in residential and commercial construction, as well as in industrial and infrastructure applications. Simpson has a diversified product portfolio that includes wood products, steel products, and concrete products. The company’s products are sold through a network of distributors and retailers. Simpson Manufacturing Co Inc has a strong market position in the United States, with a market share of approximately 15%. Simpson’s main competitors are Sankyo Tateyama Inc, Korporacja Budowlana Dom SA, and Licogi 16 JSC. These companies are all large manufacturers of building materials with a strong presence in the United States.

– Sankyo Tateyama Inc ($TSE:5932)

Sankyo Tateyama Inc is a Japanese company that manufactures and sells pharmaceuticals and medical devices. The company has a market capitalization of 16.87 billion as of 2022 and a return on equity of 0.94%. Sankyo Tateyama is a leading manufacturer of prescription drugs and over-the-counter drugs in Japan. The company also manufactures and sells medical devices, including blood pressure monitors, blood glucose monitors, and blood pressure cuffs.

– Korporacja Budowlana Dom SA ($LTS:0LZA)

Korporacja Budowlana Dom SA is a construction company that operates in Poland. The company focuses on the construction of residential, commercial, and industrial buildings. As of 2022, the company has a market cap of 2.65M and a ROE of 4.11%.

Summary

Simpson Manufacturing Co Inc. recently reported their FY2022 Q4 earnings results on February 6 2023, with total revenue of USD 57.6 million, a decrease of 17.5% when compared to the same period the previous year. Net income for the quarter was USD 475.6 million, an increase of 13.6% compared to the same period the previous year. Despite the impressive increase in earnings, the stock price moved down the same day, indicating that investors may have been expecting a higher number. As an investor, it is important to assess both the revenue and profitability to determine if Simpson Manufacturing is a good investment opportunity.