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Diodes (DIOD) Q4 Earnings and Revenues Surpass Estimates

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Diodes (DIOD - Free Report) reported fourth-quarter 2021 earnings of $1.60 per share, beating the Zacks Consensus Estimate by 10.34% and improving a whopping 116.2% year over year.

Revenues of $480.2 million surpassed the consensus mark by 0.83% and surged 37% year over year.

Quarter Details

In the fourth quarter of 2021, gross profit was $190.7 million, increasing 55.4% year over year. GAAP gross margin was 39.7%, up 470 basis points (bps) on a non-GAAP basis.

EBITDA soared 107.2% year over year to $139 million.

Selling, general and administrative expenses increased 34.3% year over year to $70.9 million.

Research and development expenses increased 21.4% from the year-ago quarter to $30.1 million.

Total operating expenses, as a percentage of revenues, were 21.8% compared with the year-ago quarter’s 23.7%.

Diodes Incorporated Price, Consensus and EPS Surprise

Diodes Incorporated Price, Consensus and EPS Surprise

Diodes Incorporated price-consensus-eps-surprise-chart | Diodes Incorporated Quote

Balance Sheet & Cash Flow

The company's cash and cash equivalents, restricted cash, and short-term investments balance was $373 million as of Dec 31, 2021, compared with $292 million as of Sep 30, 2021.

Cash provided by operating activities totaled $77.6 million in the reported quarter compared with $98.9 million in the previous quarter.

Free cash flow was $22.5 million in the reported quarter compared with $57.8 million in the prior quarter.

Guidance

For the first quarter of 2022, Diodes expects revenues to be approximately $480 million (+/-3%).

Diodes anticipates GAAP gross margin on a consolidated basis to be 39.7% (+/-1%).

Non-GAAP operating expenses are expected to be approximately 21% of revenues.

Zacks Rank & Stocks to Consider

Currently, Diodes carries a Zacks Rank #3 (Hold).

Diodes’ shares have returned 20.4% compared with the Zacks Computer and Technology sector’s growth of 1% in the past year.

Some better-ranked stocks in the same sector are Analog Devices (ADI - Free Report) , Photronics (PLAB - Free Report) and Vocera Communications .

While Photronics and Vocera sport Zacks Rank #1 (Strong Buy), Analog Devices carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Photonics’ shares have rallied 43% in the past year.

PLAB is slated to report first-quarter fiscal 2022 results on Feb 23.

Vocera Communications’ shares have surged 87.7% in the past year.

VCRA is scheduled to report fourth-quarter 2021 results on Feb 10.

Analog’s shares have returned 5.9% compared with the Zacks Computer and Technology sector’s growth in the past year.

ADI is expected to report first-quarter 2021 results on Feb 16.


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