Business
IPG Photonics Announces Fourth Quarter 2022 Financial Results
Continued Growth in E-mobility, Renewable Energy and Medical Inventory Related Charges, Impairment of Long-Lived Assets and Restructuring Charges Impact
About this update from Ipg Photonics Corporation
[{"type":"text","content":"Continued Growth in E-mobility, Renewable Energy and Medical Inventory Related Charges, Impairment of Long-Lived Assets and Restructuring Charges Impact Operating Results MARLBOROUGH, Mass., Feb. 14, 2023 (GLOBE NEWSWIRE) -- IPG Photonics Corporation (Nasdaq: IPGP) today reported financial results for the fourth quarter ended December 31, 2022. Three Months Ended December 31, Twelve Months Ended December 31, (In millions, except per share data and percentages) 2022 2021 Change 2022 2021 ChangeRevenue $333.5 $364.5 (8)% $1,429.5 $1,460.9 (2)%Gross margin 18.2 % 45.5 % 38.9 % 47.7 % Operating (loss) income $(88.5) $84.8 NM $169.5 $367.9 (54)%Operating margin (26.5)% 23.3 % 11.9 % 25.2 % Net (loss) income attributable to IPG Photonics Corporation $(92.9) $65.1 NM $109.9 $278.4 (61)%Earnings (loss) per diluted share (1) $(1.91) $1.21 NM $2.16 $5.16 (58)% (1)Adjusted diluted EPS was $1.08 for the three months ended December 31, 2022. Refer to supplemental schedule of non-GAAP measures for reconciliation details. NM - not meaningful. Management Comments \"Our strategy to diversify revenue and capitalize on macro trends, such as e-mobility, helped to drive revenue this year with a record demand for our products in EVs and medical applications. We reached a significant milestone as revenue from welding applications surpassed high power cutting, powered by greater laser penetration into battery manufacturing, industrial welding and handheld welding applications,\" said Dr. Eugene Scherbakov, IPG Photonics' Chief Executive Officer. \"During a year affected by lingering pandemic impacts, geopolitical conflict, inflation and a strong U.S. dollar, we successfully navigated through supply chain challenges, met customer delivery requirements, significantly reduced our reliance on Russian operations and positioned IPG for future growth and success. In light of the impact of sanctions on our Russian operations, we initiated a review and incurred various charges that significantly impacted reported operating results in the fourth quarter.\" Financial Highlights Fourth quarter revenue of $334 million decreased 8% year over year, including $25 million from foreign currency translation which reduced revenue growth by approximately 7% due to the strong U.S. dollar. Business divestitures reduced revenue growth by close to 2%. Materials processing sale...