Novanta Inc

Latest Results (25.12.2024):

Revenue Growth

In the third quarter of 2024, Novanta Inc. reported GAAP revenue of $244.4 million, marking a 10.3% increase compared to the same quarter in 2023. This growth was primarily driven by acquisition activities, which contributed an additional $21.1 million to the revenue, and favorable changes in foreign currency exchange rates, which added $1.8 million.

Net Income and Earnings

Novanta Inc.'s GAAP net income for the third quarter of 2024 was $19.2 million, a decrease from $21.2 million in the third quarter of 2023. The GAAP diluted earnings per share (EPS) also saw a decline, coming in at $0.53 compared to $0.59 in the previous year. However, the adjusted diluted EPS remained stable at $0.85 for both years.

Operating Income and EBITDA

The company's GAAP operating income for the third quarter of 2024 was $32.6 million, up from $30.3 million in the same period of 2023. Novanta Inc. also reported an adjusted EBITDA of $57.0 million, showing an increase from $52.2 million in the third quarter of the previous year, indicating improved operational efficiency.

Cash Flow

Operating cash flow for Novanta Inc. in the third quarter of 2024 was $23.0 million, a significant decrease from $44.6 million in the third quarter of 2023. This reduction in cash flow may reflect changes in working capital or other operational adjustments during the period.

Future Outlook

Looking ahead, Novanta Inc. anticipates GAAP revenue for the fourth quarter of 2024 to be between $237 million and $242 million. The company expects an adjusted gross profit margin of approximately 46.0% and adjusted EBITDA in the range of $50 million to $52 million, with adjusted diluted EPS projected to be between $0.70 and $0.74, indicating a cautious yet optimistic outlook for the remainder of the year.