Teledyne Technologies Inc. (TDY - Free Report) reported fourth-quarter 2021 adjusted earnings of $4.56 per share, which surpassed the Zacks Consensus Estimate of $4.24 by 7.6%. The bottom line also improved 23.9% from the year-ago quarter’s $3.68 per share.
Including one-time items, the company reported GAAP earnings of $3.39 per share, which declined 2.6% from the year-ago quarter’s $3.48.
The company’s 2021 adjusted earnings came in at $16.86 per share, higher than $11.41 in 2020. The full-year figure also exceeded the Zacks Consensus Estimate of $16.48.
Operational Highlights
Total sales in the fourth quarter amounted to $1,375.7 million, which exceeded the Zacks Consensus Estimate of $1,355.4 million by 1.5%. The top line also improved 70% from $809.3 million reported a year ago. Notably, all segments, except Engineered Systems, recorded higher year-over-year sales in the quarter.
For the full year, Teledyne reported sales of $4.61 billion, up 49.5% from $3.09 billion in the year-ago period.
The full-year top-line figure also exceeded the Zacks Consensus Estimate by 0.4%.
Segmental Performance
Instrumentation: Sales in this segment improved 6.9% year over year to $302.2 million in the fourth quarter. Higher sales of test and measurement instrumentation, marine instrumentation and environmental instrumentation led to the upside.
The segment’s operating income improved 5.5% year over year to $66.7 million, driven by higher sales.
Digital Imaging: Quarterly sales in this division surged 209% year over year to $809.5 million. The improvement was driven by incremental net sales from the FLIR acquisition as well as strong organic sales growth from industrial and scientific sensors and cameras, x-ray products and micro-electro-mechanical systems.
Moreover, the segment’s operating income rose 66% year over year to $94.1 million, driven by contribution from the FLIR acquisition and organic sales growth.
Aerospace and Defense Electronics: In this segment, sales of $163.3 million went up 12.5% from the prior-year quarter due to higher sales of aerospace electronics as well as defense and space electronics.
Operating income also improved 75% year over year to $40.6 million on account of higher sales and a lower cost structure due to actions taken in 2020.
Engineered Systems: Sales in this division declined 15.6% year over year to $100.7 million in the fourth quarter on lower sales of engineered products and turbine engines.
Operating income declined 27.3% to $11.2 million.
Financial Condition
Teledyne’s cash totaled $474.7 million as of Jan 2, 2022, compared with $673.1 million at the end of 2020. Total long-term debt was $4,009.4 million compared with $680.9 million at 2020-end.
Cash provided by operating activities was $824.6 million for 2021 compared with $618.9 million for 2020.
In the reported quarter, capital expenditures amounted to $34 million compared with $19.4 million in the year-ago quarter.
Moreover, the company generated an adjusted free cash flow of $794.6 million in 2021, reflecting 45.1% year-over-year growth.
Guidance
Teledyne expects to generate adjusted earnings of $4.02-$4.10 per share in the first quarter of 2022. The Zacks Consensus Estimate for quarterly earnings, pegged at $4.27, lies above the guided range.
For 2021, the company expects earnings of $17.60-$18.00 per share. The Zacks Consensus Estimate for Teledyne’s full-year earnings stands at $17.95 per share, higher than the mid-point of the guided range.
Zacks Rank
Teledyne currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Lockheed Martin (LMT - Free Report) reported fourth-quarter 2021 adjusted earnings of $7.24 per share, which surpassed the Zacks Consensus Estimate of $7.23 by 0.1%. Its net sales amounted to $17.73 billion, which outpaced the Zacks Consensus Estimate by 0.4%.
Lockheed Martin ended 2021 (on Dec 31, 2021) with $135.36 billion in backlog compared with $147.13 billion at the end of 2020. Its cash from operations at the end of 2021 amounted to $9.22 billion compared with $8.18 billion a year ago.
Raytheon Technologies’ (RTX - Free Report) fourth-quarter 2021 adjusted earnings per share (EPS) of $1.08 beat the Zacks Consensus Estimate of $1.01 by 6.9%. Its sales of $17,044 million missed the Zacks Consensus Estimate of $17,215 million by 1%.
Raytheon Technologies had cash and cash equivalents of $7,832 million as of Dec 31, 2021, compared with $8,802 million as of Dec 31, 2020. The company currently projects adjusted EPS in the range of $4.60-$4.80 for 2022.
Boeing (BA - Free Report) incurred an adjusted loss of $7.69 per share for fourth-quarter 2021, much wider than the Zacks Consensus Estimate of a loss of 9 cents. Its revenues amounted to $14.79 billion, which missed the Zacks Consensus Estimate of $16.96 billion by 12.8%.
Boeing’s backlog at the end of fourth-quarter 2021 increased to $377.50 billion from $363.40 billion at the end of 2020. The company’s operating cash outflow at the end of 2021 was $3.42 billion compared with $18.41 billion at the end of 2020.
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Teledyne Technologies Inc. (TDY - Free Report) reported fourth-quarter 2021 adjusted earnings of $4.56 per share, which surpassed the Zacks Consensus Estimate of $4.24 by 7.6%. The bottom line also improved 23.9% from the year-ago quarter’s $3.68 per share.
Including one-time items, the company reported GAAP earnings of $3.39 per share, which declined 2.6% from the year-ago quarter’s $3.48.
The company’s 2021 adjusted earnings came in at $16.86 per share, higher than $11.41 in 2020. The full-year figure also exceeded the Zacks Consensus Estimate of $16.48.
Operational Highlights
Total sales in the fourth quarter amounted to $1,375.7 million, which exceeded the Zacks Consensus Estimate of $1,355.4 million by 1.5%. The top line also improved 70% from $809.3 million reported a year ago. Notably, all segments, except Engineered Systems, recorded higher year-over-year sales in the quarter.
For the full year, Teledyne reported sales of $4.61 billion, up 49.5% from $3.09 billion in the year-ago period.
The full-year top-line figure also exceeded the Zacks Consensus Estimate by 0.4%.
Segmental Performance
Instrumentation: Sales in this segment improved 6.9% year over year to $302.2 million in the fourth quarter. Higher sales of test and measurement instrumentation, marine instrumentation and environmental instrumentation led to the upside.
The segment’s operating income improved 5.5% year over year to $66.7 million, driven by higher sales.
Digital Imaging: Quarterly sales in this division surged 209% year over year to $809.5 million. The improvement was driven by incremental net sales from the FLIR acquisition as well as strong organic sales growth from industrial and scientific sensors and cameras, x-ray products and micro-electro-mechanical systems.
Moreover, the segment’s operating income rose 66% year over year to $94.1 million, driven by contribution from the FLIR acquisition and organic sales growth.
Aerospace and Defense Electronics: In this segment, sales of $163.3 million went up 12.5% from the prior-year quarter due to higher sales of aerospace electronics as well as defense and space electronics.
Operating income also improved 75% year over year to $40.6 million on account of higher sales and a lower cost structure due to actions taken in 2020.
Engineered Systems: Sales in this division declined 15.6% year over year to $100.7 million in the fourth quarter on lower sales of engineered products and turbine engines.
Operating income declined 27.3% to $11.2 million.
Financial Condition
Teledyne’s cash totaled $474.7 million as of Jan 2, 2022, compared with $673.1 million at the end of 2020. Total long-term debt was $4,009.4 million compared with $680.9 million at 2020-end.
Cash provided by operating activities was $824.6 million for 2021 compared with $618.9 million for 2020.
In the reported quarter, capital expenditures amounted to $34 million compared with $19.4 million in the year-ago quarter.
Moreover, the company generated an adjusted free cash flow of $794.6 million in 2021, reflecting 45.1% year-over-year growth.
Guidance
Teledyne expects to generate adjusted earnings of $4.02-$4.10 per share in the first quarter of 2022. The Zacks Consensus Estimate for quarterly earnings, pegged at $4.27, lies above the guided range.
For 2021, the company expects earnings of $17.60-$18.00 per share. The Zacks Consensus Estimate for Teledyne’s full-year earnings stands at $17.95 per share, higher than the mid-point of the guided range.
Zacks Rank
Teledyne currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Lockheed Martin (LMT - Free Report) reported fourth-quarter 2021 adjusted earnings of $7.24 per share, which surpassed the Zacks Consensus Estimate of $7.23 by 0.1%. Its net sales amounted to $17.73 billion, which outpaced the Zacks Consensus Estimate by 0.4%.
Lockheed Martin ended 2021 (on Dec 31, 2021) with $135.36 billion in backlog compared with $147.13 billion at the end of 2020. Its cash from operations at the end of 2021 amounted to $9.22 billion compared with $8.18 billion a year ago.
Raytheon Technologies’ (RTX - Free Report) fourth-quarter 2021 adjusted earnings per share (EPS) of $1.08 beat the Zacks Consensus Estimate of $1.01 by 6.9%. Its sales of $17,044 million missed the Zacks Consensus Estimate of $17,215 million by 1%.
Raytheon Technologies had cash and cash equivalents of $7,832 million as of Dec 31, 2021, compared with $8,802 million as of Dec 31, 2020. The company currently projects adjusted EPS in the range of $4.60-$4.80 for 2022.
Boeing (BA - Free Report) incurred an adjusted loss of $7.69 per share for fourth-quarter 2021, much wider than the Zacks Consensus Estimate of a loss of 9 cents. Its revenues amounted to $14.79 billion, which missed the Zacks Consensus Estimate of $16.96 billion by 12.8%.
Boeing’s backlog at the end of fourth-quarter 2021 increased to $377.50 billion from $363.40 billion at the end of 2020. The company’s operating cash outflow at the end of 2021 was $3.42 billion compared with $18.41 billion at the end of 2020.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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