Dover Corporation (DOV - Free Report) has reported fourth-quarter 2022 adjusted earnings per share (EPS) from continuing operations of $2.16, beating the Zacks Consensus Estimate of $2.15. The bottom line increased 21% year over year. Healthy demand and robust backlog rates, coupled with improving price-cost dynamics helped offset the impacts of the ongoing input shortages, inflationary cost pressure and foreign currency translation.
On a reported basis, Dover delivered earnings of $1.87 per share in the quarter, down 25% year over year.
Total revenues in the fourth quarter increased 7.5% year over year to $2,139 million. The top line surpassed the Zacks Consensus Estimate of $2,108 million. Organic growth was 9% in the quarter.
Costs and Margins
Cost of sales rose 8.3% year over year to $1,373 million in the reported quarter. Gross profit was up 6.2% year over year to $766 million. The gross margin was 35.8% compared with the year-ago quarter’s 36.2%.
Selling, general and administrative expenses were down 5.7% to $414 million from the prior-year quarter. Adjusted EBITDA increased 15% year over year to $484 million. The adjusted EBITDA margin was 22.6% in the quarter compared with the prior-year quarter’s 21.2%.
Segmental Performance
The Engineered Products segment’s revenues were up 13.4% year over year to $525 million in the quarter. The segment’s adjusted EBITDA increased 57.1% year over year to $110 million.
The Clean Energy & Fueling segment’s revenues were $462 million compared with the prior-year quarter’s $411 million. The segment’s adjusted EBITDA was $98 million, up 21.3% from the prior-year quarter’s $80 million.
The Imaging & Identification segment’s revenues inched up 0.3% year over year to $293 million. The segment’s adjusted EBITDA rose 10.8% year over year to $77 million.
The Pumps & Process Solutions segment’s revenues decreased 6.5% year over year to $418 million in the fourth quarter. The adjusted EBITDA of the segment totaled $131 million, an 18.1% drop from the year-ago quarter’s figure of $160 million.
The Climate & Sustainability Technologies segment’s revenues increased to $442 million from $376 million reported in the year-ago quarter. The segment’s adjusted EBITDA totaled $68 million, a 61.9% improvement from the $42 million reported in fourth-quarter 2021.
Bookings and Backlog
Dover’s bookings at the end of the fourth quarter were worth $1.92 billion compared with the prior-year quarter’s $2.38 billion. Backlog decreased 6.8% year over year to $3.02 billion at the end of the reported quarter.
Financial Position
The company generated free cash flow of $284 million in the fourth quarter of 2022 compared with the year-ago quarter’s $277 million. Cash flow from operations amounted to $339 million in the quarter under review compared with the prior-year quarter’s $327 million.
2022 Performance
Dover reported an adjusted EPS of $8.45 in 2022 compared with $7.63 reported in the prior year. Earnings beat the Zacks Consensus Estimate of $8.44. Including one-time items, the bottom line was at $7.42, down 4% from the $7.74 reported in 2021.
Sales were up 7.6% year over year to $8.5 billion from the prior-year figure of $7.9 billion. The top line surpassed the Zacks Consensus Estimate of $8.48 billion.
Outlook
Dover expects adjusted EPS between $8.85 and $9.05 for 2023. It expects revenue growth of 3-5%.
Price Performance
Dover’s shares have declined 15.7% in the past year compared with the industry’s fall of 3.9%.
Zacks Rank and Stocks to Consider
Dover currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks from the Industrial Products sector are KnowBe4, Inc. , O-I Glass, Inc. (OI - Free Report) , and Deere & Company (DE - Free Report) . KNBE and OI flaunt a Zacks Rank #1 (Strong Buy) at present, and DE has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
KnowBe4’s earnings surprise in the last four quarters was 216.7%, on average. The Zacks Consensus Estimate for the company’s 2022 earnings is pegged at 24 cents, indicating a year-over-year increase of 127.3%. The consensus estimate for 2022 earnings has moved up 9% in the past 60 days. KNBE’s shares have gained 4% in a year.
O-I Glass has an average trailing four-quarter earnings surprise of 14.9%. The Zacks Consensus Estimate for OI’s 2022 earnings is pegged at $2.25 per share. This indicates a 22.9% increase from the prior-year reported figure. The consensus estimate for 2022 earnings has been unchanged in the past 60 days. OI’s shares gained 41% in the last year.
The Zacks Consensus Estimate for Deere & Company’s fiscal 2023 earnings per share is pegged at $28.01, suggesting an increase of 19.6% from that reported in the last year. The consensus estimate for fiscal 2023 earnings has moved 2.7% upward in the last 60 days. DE has a trailing four-quarter average earnings surprise of 7.1%. Its shares gained 11.7% in the last year.
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Dover Corporation (DOV - Free Report) has reported fourth-quarter 2022 adjusted earnings per share (EPS) from continuing operations of $2.16, beating the Zacks Consensus Estimate of $2.15. The bottom line increased 21% year over year. Healthy demand and robust backlog rates, coupled with improving price-cost dynamics helped offset the impacts of the ongoing input shortages, inflationary cost pressure and foreign currency translation.
On a reported basis, Dover delivered earnings of $1.87 per share in the quarter, down 25% year over year.
Total revenues in the fourth quarter increased 7.5% year over year to $2,139 million. The top line surpassed the Zacks Consensus Estimate of $2,108 million. Organic growth was 9% in the quarter.
Costs and Margins
Cost of sales rose 8.3% year over year to $1,373 million in the reported quarter. Gross profit was up 6.2% year over year to $766 million. The gross margin was 35.8% compared with the year-ago quarter’s 36.2%.
Selling, general and administrative expenses were down 5.7% to $414 million from the prior-year quarter. Adjusted EBITDA increased 15% year over year to $484 million. The adjusted EBITDA margin was 22.6% in the quarter compared with the prior-year quarter’s 21.2%.
Segmental Performance
The Engineered Products segment’s revenues were up 13.4% year over year to $525 million in the quarter. The segment’s adjusted EBITDA increased 57.1% year over year to $110 million.
The Clean Energy & Fueling segment’s revenues were $462 million compared with the prior-year quarter’s $411 million. The segment’s adjusted EBITDA was $98 million, up 21.3% from the prior-year quarter’s $80 million.
The Imaging & Identification segment’s revenues inched up 0.3% year over year to $293 million. The segment’s adjusted EBITDA rose 10.8% year over year to $77 million.
The Pumps & Process Solutions segment’s revenues decreased 6.5% year over year to $418 million in the fourth quarter. The adjusted EBITDA of the segment totaled $131 million, an 18.1% drop from the year-ago quarter’s figure of $160 million.
The Climate & Sustainability Technologies segment’s revenues increased to $442 million from $376 million reported in the year-ago quarter. The segment’s adjusted EBITDA totaled $68 million, a 61.9% improvement from the $42 million reported in fourth-quarter 2021.
Bookings and Backlog
Dover’s bookings at the end of the fourth quarter were worth $1.92 billion compared with the prior-year quarter’s $2.38 billion. Backlog decreased 6.8% year over year to $3.02 billion at the end of the reported quarter.
Financial Position
The company generated free cash flow of $284 million in the fourth quarter of 2022 compared with the year-ago quarter’s $277 million. Cash flow from operations amounted to $339 million in the quarter under review compared with the prior-year quarter’s $327 million.
2022 Performance
Dover reported an adjusted EPS of $8.45 in 2022 compared with $7.63 reported in the prior year. Earnings beat the Zacks Consensus Estimate of $8.44. Including one-time items, the bottom line was at $7.42, down 4% from the $7.74 reported in 2021.
Sales were up 7.6% year over year to $8.5 billion from the prior-year figure of $7.9 billion. The top line surpassed the Zacks Consensus Estimate of $8.48 billion.
Outlook
Dover expects adjusted EPS between $8.85 and $9.05 for 2023. It expects revenue growth of 3-5%.
Price Performance
Dover’s shares have declined 15.7% in the past year compared with the industry’s fall of 3.9%.
Zacks Rank and Stocks to Consider
Dover currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks from the Industrial Products sector are KnowBe4, Inc. , O-I Glass, Inc. (OI - Free Report) , and Deere & Company (DE - Free Report) . KNBE and OI flaunt a Zacks Rank #1 (Strong Buy) at present, and DE has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
KnowBe4’s earnings surprise in the last four quarters was 216.7%, on average. The Zacks Consensus Estimate for the company’s 2022 earnings is pegged at 24 cents, indicating a year-over-year increase of 127.3%. The consensus estimate for 2022 earnings has moved up 9% in the past 60 days. KNBE’s shares have gained 4% in a year.
O-I Glass has an average trailing four-quarter earnings surprise of 14.9%. The Zacks Consensus Estimate for OI’s 2022 earnings is pegged at $2.25 per share. This indicates a 22.9% increase from the prior-year reported figure. The consensus estimate for 2022 earnings has been unchanged in the past 60 days. OI’s shares gained 41% in the last year.
The Zacks Consensus Estimate for Deere & Company’s fiscal 2023 earnings per share is pegged at $28.01, suggesting an increase of 19.6% from that reported in the last year. The consensus estimate for fiscal 2023 earnings has moved 2.7% upward in the last 60 days. DE has a trailing four-quarter average earnings surprise of 7.1%. Its shares gained 11.7% in the last year.
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Globally, electric car sales continue their remarkable growth even after breaking records in 2021. High gas prices have fueled his demand, but so has evolving EV comfort, features and technology. So, the fervor for EVs will be around long after gas prices normalize. Not only are manufacturers seeing record-high profits, but producers of EV-related technology are raking in the dough as well. Do you know how to cash in? If not, we have the perfect report for you – and it’s FREE! Today, don't miss your chance to download Zacks' top 5 stocks for the electric vehicle revolution at no cost and with no obligation.
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