Business
Lincoln Electric Reports Third Quarter 2023 Results
Third Quarter 2023 Highlights Net sales increase 10.5% to record $1,033 millionOperating income margin of 16.6%; Record adjusted operating income margin of
About this update from Lincoln Electric Holdings, Inc.
[{"type":"text","content":"Third Quarter 2023 Highlights Net sales increase 10.5% to record $1,033 millionOperating income margin of 16.6%; Record adjusted operating income margin of 17.7%Record EPS of $2.22; Record adjusted EPS of $2.40Cash flows from operations increase 71% to record $223 million with 141% cash conversion(1)Returned $82 million to shareholders through dividends and share repurchases CLEVELAND, Oct. 27, 2023 (GLOBE NEWSWIRE) -- Lincoln Electric Holdings, Inc. (the “Company”) (Nasdaq: LECO) today reported third quarter 2023 net income of $129.3 million, or diluted earnings per share (EPS) of $2.22, which includes special item after-tax net charges of $10.1 million, or $0.18 EPS. This compares with prior year period net income of $109.2 million, or $1.87 EPS, which included special item after-tax net charges of $10.3 million. Excluding special items, third quarter 2023 adjusted net income was $139.5 million, or $2.40 adjusted EPS. This compares with adjusted net income of $119.6 million, or $2.04 adjusted EPS, in the prior year period. Third quarter 2023 sales increased 10.5% to $1,033.2 million reflecting a 0.4% increase in organic sales, an 8.8% benefit from acquisitions and 1.2% favorable foreign exchange. Operating income for the third quarter 2023 was $171.4 million, or 16.6% of sales. This compares with operating income of $142.1 million, or 15.2% of sales, in the prior year period. Excluding special items, adjusted operating income was $183.4 million, or 17.7% of sales, as compared with $153.2 million, or 16.4% of sales, in the prior year period. “I am pleased to report another quarter of record sales, profit, earnings, and cash flow performance,” commented Christopher L. Mapes, Chairman, President and Chief Executive Officer. \"Our results reflect our commitment to putting customers first, delivering innovative solutions, maintaining effective price/cost management, and successfully executing our Higher Standard Strategy initiatives.” Mapes continued, “Our strong third quarter sales performance reflects acceleration from our automation acquisitions and low-to-mid single digit percent volume growth in our welding segments when normalizing third quarter shipping days to prior year. Given the resilience of key end markets, strong October order rates, and a high backlog of fourth quarter automation shipments, we expect to maintain stro...