Lincoln Electric Holdings Inc

Latest Results (07.08.2024):

Net Income

Lincoln Electric Holdings Inc. reported net income of $101.7 million for the second quarter of 2024, translating to diluted earnings per share (EPS) of $1.77. This figure includes special item after-tax net charges of $32.6 million, or $0.57 EPS. In comparison, the prior year's second quarter net income was $137.3 million, or $2.36 EPS, which included special item after-tax net charges of $4.9 million, or $0.08 EPS.

Sales Performance

For the second quarter of 2024, Lincoln Electric Holdings Inc. reported a 3.7% decrease in sales, amounting to $1,022 million. This decline reflects a 4.4% decrease in organic sales, partially offset by a 1.2% benefit from acquisitions. The company's operating income for the quarter was $148.8 million, or 14.6% of sales, compared to $178.0 million, or 16.8% of sales, in the prior year period.

Adjusted Earnings

Excluding special items, Lincoln Electric Holdings Inc.'s adjusted net income for the second quarter of 2024 was $134.3 million, or $2.34 adjusted EPS. This compares to adjusted net income of $142.2 million, or $2.44 adjusted EPS, in the same period of the previous year. The adjusted operating income for the quarter was $177.6 million, or 17.4% of sales, compared to $184.2 million, or 17.4% of sales, in the prior year.

Six-Month Summary

For the six months ended June 30, 2024, Lincoln Electric Holdings Inc. reported net income of $225.1 million, or $3.91 EPS, including special item after-tax net charges of $37.8 million, or $0.66 EPS. This compares to net income of $259.3 million, or $4.44 EPS, for the same period in 2023, which included special item after-tax net charges of $7.2 million, or $0.13 EPS. Adjusted net income for the six months was $262.9 million, or $4.57 EPS, compared to $266.5 million, or $4.57 EPS, in the prior year.

Financing Activities

On June 20, 2024, Lincoln Electric Holdings Inc. agreed to issue three new series of senior unsecured private placement notes totaling $550 million. One series, amounting to $400 million, was issued on June 20, 2024, with the remaining two series to be issued on August 22, 2024. The proceeds were used to repay a $400 million term loan and for general corporate purposes. The company also entered into a new revolving credit facility providing up to $1 billion of borrowing capacity.