We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The company’s adjusted loss in the reported quarter was $2.08 per share, missing the Zacks Consensus Estimate of $1.16. The quarterly loss came against earnings of $1.59 per share recorded a year ago.
Revenue Details
iRobot generated revenues of $278.2 million in the reported quarter, lagging the Zacks Consensus Estimate of $450 million by 36.7%. On a year-over-year basis, revenues decreased 36.9% due to lower orders from retailers and distributors in North America and EMEA.
Sales derived from premium and mid-tier robots accounted for 76% of IRBT’s total robot revenues, lower than 86% in the year-ago quarter.
Sales generated from the e-commerce platform (representing 56% of the reported quarter’s revenues) decreased 41% year over year. The e-commerce platform includes online sources of retailers, IRBT’s app and website, as well as e-commerce websites. Direct sales to consumers were up 2% year over year to $41 million.
Total product units of 1,006 thousand shipped in the quarter reflected a year-over-year decrease of 34.8%, while average selling prices declined 2.5%. For vacuum products, revenues of $251 million reflected a decline of 36.9% from the year-ago quarter. Units shipped were 925 thousand, down 32.9% from the prior-year quarter. Revenues from mopping products decreased 37.2% to $27 million. Units shipped were 81 thousand, down from 164 thousand recorded in the year-ago quarter.
On a regional basis, iRobot sourced 52.9% of revenues from domestic operations and the rest came from the international arena. Domestic revenues totaled $147.1 million, reflecting a 32.1% decline from the year-ago quarter. International revenues declined 41.5% to $131.1 million.
Applied Industrial Technologies, Inc. Price and Consensus
In the quarter under review, iRobot’s cost of revenues decreased 27.4% to $201.8 million, representing 72.5% of revenues compared with 63.1% in the year-ago quarter. Adjusted gross profit was $78.3 million, down 52% year over year, while the adjusted gross margin decreased 880 basis points to 28.2%.
Research and development expenses were $41.4 million, up 2.7% year over year. This accounted for 14.9% of revenues compared with 9.1% in the year-ago quarter. Selling and marketing expenses increased 2% to $60.3 million. As a percentage of revenues, it was 21.7% for the reported quarter compared with 13.4% in the prior-year period. General and administrative expenses were $31.5 million, up 38.8% year over year. The figure mirrored 11.3% of the total revenue base compared with 5.2% in the year-earlier quarter.
In the third quarter, iRobot recorded an adjusted operating loss of $34.5 million against the operating income of $48 million in the year-ago period. The adjusted operating margin was (12.4%) versus 10.9% in the year-ago quarter.
Balance Sheet and Cash Flow
While exiting third-quarter 2022, iRobot had cash and cash equivalents of $89.6 million, decreasing 55.5% from $201.5 million recorded at the end of fourth-quarter 2021. Total long-term liabilities were $56.1 million, down 22.1% from the figure recorded at the end of fourth-quarter 2021.
In the first nine months of 2022, iRobot used net cash of $212.6 million for operating activities compared with net cash of $90.8 million used in the prior-year period. Capital used for purchasing property and equipment totaled $8.9 million, decreasing 64.8%.
Zacks Rank & Stocks to Consider
IRBT currently has a Zacks Rank #2 (Buy).
Some other top-ranked companies from the Industrial Products sector are discussed below:
EPAC’s earnings estimates have increased 9.1% for fiscal 2023 (ending August 2023) in the past 60 days. The company’s shares have gained 32.5% in the past six months.
Applied Industrial Technologies, Inc. (AIT - Free Report) presently has a Zacks Rank #1 and a trailing four-quarter earnings surprise of 24.8%, on average.
AIT’s earnings estimates have increased 3% for fiscal 2023 (ending June 2023) in the past 60 days. The company’s shares have risen 22.9% in the past six months.
IDEX Corporation (IEX - Free Report) presently has a Zacks Rank of 2 (Buy). IEX’s earnings surprise in the last four quarters was 5.7%, on average.
In the past 60 days, IDEX’s earnings estimates have increased 1.8% for 2022. The stock has rallied 21.7% in the past six months.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
iRobot (IRBT) Q3 Earnings and Revenues Miss Estimates
iRobot Corporation (IRBT - Free Report) reported disappointing third-quarter 2022 results.
The company’s adjusted loss in the reported quarter was $2.08 per share, missing the Zacks Consensus Estimate of $1.16. The quarterly loss came against earnings of $1.59 per share recorded a year ago.
Revenue Details
iRobot generated revenues of $278.2 million in the reported quarter, lagging the Zacks Consensus Estimate of $450 million by 36.7%. On a year-over-year basis, revenues decreased 36.9% due to lower orders from retailers and distributors in North America and EMEA.
Sales derived from premium and mid-tier robots accounted for 76% of IRBT’s total robot revenues, lower than 86% in the year-ago quarter.
Sales generated from the e-commerce platform (representing 56% of the reported quarter’s revenues) decreased 41% year over year. The e-commerce platform includes online sources of retailers, IRBT’s app and website, as well as e-commerce websites. Direct sales to consumers were up 2% year over year to $41 million.
Total product units of 1,006 thousand shipped in the quarter reflected a year-over-year decrease of 34.8%, while average selling prices declined 2.5%. For vacuum products, revenues of $251 million reflected a decline of 36.9% from the year-ago quarter. Units shipped were 925 thousand, down 32.9% from the prior-year quarter. Revenues from mopping products decreased 37.2% to $27 million. Units shipped were 81 thousand, down from 164 thousand recorded in the year-ago quarter.
On a regional basis, iRobot sourced 52.9% of revenues from domestic operations and the rest came from the international arena. Domestic revenues totaled $147.1 million, reflecting a 32.1% decline from the year-ago quarter. International revenues declined 41.5% to $131.1 million.
Applied Industrial Technologies, Inc. Price and Consensus
Applied Industrial Technologies, Inc. price-consensus-chart | Applied Industrial Technologies, Inc. Quote
Margin Profile
In the quarter under review, iRobot’s cost of revenues decreased 27.4% to $201.8 million, representing 72.5% of revenues compared with 63.1% in the year-ago quarter. Adjusted gross profit was $78.3 million, down 52% year over year, while the adjusted gross margin decreased 880 basis points to 28.2%.
Research and development expenses were $41.4 million, up 2.7% year over year. This accounted for 14.9% of revenues compared with 9.1% in the year-ago quarter. Selling and marketing expenses increased 2% to $60.3 million. As a percentage of revenues, it was 21.7% for the reported quarter compared with 13.4% in the prior-year period. General and administrative expenses were $31.5 million, up 38.8% year over year. The figure mirrored 11.3% of the total revenue base compared with 5.2% in the year-earlier quarter.
In the third quarter, iRobot recorded an adjusted operating loss of $34.5 million against the operating income of $48 million in the year-ago period. The adjusted operating margin was (12.4%) versus 10.9% in the year-ago quarter.
Balance Sheet and Cash Flow
While exiting third-quarter 2022, iRobot had cash and cash equivalents of $89.6 million, decreasing 55.5% from $201.5 million recorded at the end of fourth-quarter 2021. Total long-term liabilities were $56.1 million, down 22.1% from the figure recorded at the end of fourth-quarter 2021.
In the first nine months of 2022, iRobot used net cash of $212.6 million for operating activities compared with net cash of $90.8 million used in the prior-year period. Capital used for purchasing property and equipment totaled $8.9 million, decreasing 64.8%.
Zacks Rank & Stocks to Consider
IRBT currently has a Zacks Rank #2 (Buy).
Some other top-ranked companies from the Industrial Products sector are discussed below:
Enerpac Tool Group Corp. (EPAC - Free Report) delivered an average four-quarter earnings surprise of 3.4%. EPAC presently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks.
EPAC’s earnings estimates have increased 9.1% for fiscal 2023 (ending August 2023) in the past 60 days. The company’s shares have gained 32.5% in the past six months.
Applied Industrial Technologies, Inc. (AIT - Free Report) presently has a Zacks Rank #1 and a trailing four-quarter earnings surprise of 24.8%, on average.
AIT’s earnings estimates have increased 3% for fiscal 2023 (ending June 2023) in the past 60 days. The company’s shares have risen 22.9% in the past six months.
IDEX Corporation (IEX - Free Report) presently has a Zacks Rank of 2 (Buy). IEX’s earnings surprise in the last four quarters was 5.7%, on average.
In the past 60 days, IDEX’s earnings estimates have increased 1.8% for 2022. The stock has rallied 21.7% in the past six months.