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Entegris Shares Drop On Missing Q2 EPS Due To Currency Headwinds

Published 02/08/2022, 16:56
Updated 02/08/2022, 17:41
© Reuters.  Entegris Shares Drop On Missing Q2 EPS Due To Currency Headwinds
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  • Entegris, Inc (NASDAQ: ENTG) reported second-quarter FY22 sales growth of 21% year-on-year to $692.5 million, beating the consensus of $666.6 million.
  • Revenue from Specialty Chemicals and Engineered Materials segment rose 15.2% Y/Y to $207.7 million; Microcontamination Control expanded 20.5% Y/Y to $274.1 million; Advanced Materials Handling improved 29.9% Y/Y to $224.1 million.
  • Margins: The adjusted gross margin contracted 160 basis points to 44.8%, and the adjusted operating margin was flattish at 26.4%.
  • The non-GAAP EPS of $1.00 missed the consensus of $1.05.
  • Entegris generated $110.9 million in operating cash flow and held $2.7 billion in cash and equivalents.
  • CEO Bertrand Loy said: "Sales growth and operational execution were once again very strong in the second quarter. Growth was significant across all three divisions, driven by demand for our solutions and great execution by our supply chain teams. In particular, we saw robust activity at the advanced nodes, where we enjoy greater Entegris content per wafer. Non-GAAP EPS was slightly below our expectations in the second quarter, primarily due to a significant decline in a few major currencies versus the U.S. Dollar."
  • Outlook: Entegris sees Q3 sales of $1.0 billion - $1.04 billion, above the consensus of $811.2 million.
  • Price Action: ENTG shares traded lower by 3.18% at $106.98 on the last check Tuesday.
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