Novanta Inc (NOVT) Reports Q3 2023 Earnings: GAAP Revenue of $222 Million and Net Income of $21 ...
Novanta Inc (NASDAQ:NOVT) reported Q3 2023 GAAP revenue of $222 million, a slight decrease from the same period last year.
The company's GAAP net income for the quarter was $21 million, with GAAP diluted earnings per share of $0.59.
Adjusted earnings per share for Q3 2023 stood at $0.85, with an adjusted EBITDA of $52 million.
Operating cash flow for the third quarter of 2023 was $44.6 million, a significant increase from $14.8 million for the third quarter of 2022.
Novanta Inc (NASDAQ:NOVT), a trusted technology partner to medical and advanced technology equipment manufacturers, announced its financial results for the third quarter of 2023 on November 7, 2023. The company reported a GAAP revenue of $221.5 million, a slight decrease of 0.7% compared to the third quarter of 2022. GAAP net income was $21.2 million, with GAAP diluted earnings per share standing at $0.59.
Financial Performance
The company's adjusted diluted earnings per share for the third quarter of 2023 was $0.85, compared to $0.81 in the third quarter of 2022. Adjusted EBITDA stood at $52.2 million, compared to $49.4 million in the same period last year. Operating cash flow for the third quarter of 2023 was $44.6 million, a significant increase from $14.8 million for the third quarter of 2022.
Novanta ended the third quarter of 2023 with approximately $352.6 million of total debt and $76.0 million of total cash. Net Debt, as defined in the non-GAAP reconciliation, was $280.6 million.
Company's Outlook
For the fourth quarter of 2023, Novanta expects GAAP revenue of approximately $208 million to $212 million. The company expects Adjusted EBITDA to be in the range of $42 million to $45 million and Adjusted Diluted EPS to be in the range of $0.59 to $0.66. For the full year 2023, the company expects GAAP revenue of approximately $878 million to $882 million. The company expects Adjusted Gross Profit Margin to be approximately 46.6% to 46.8%.
CEO's Commentary
Novanta delivered strong operational results in the third quarter. Margin growth, profit growth, and cash flow were all at or above our expectations with continued strong growth in medical end-markets," said Matthijs Glastra, Chair and Chief Executive Officer of Novanta. "In the quarter, our teams successfully utilized the Novanta Growth System to achieve these solid financial results, as well as by maintaining rigorous discipline around our operating costs."
Despite the impact of higher interest rates delaying capital purchases from customers, Novanta remains firm with its investment plans and is focused on launching new platforms with multiple significant customers. The company's confidence in future growth continues to build, as evident in the tremendous support and confidence its customers have placed in its people and business.
Explore the complete 8-K earnings release (here) from Novanta Inc for further details.
This article first appeared on GuruFocus.
