Storied machinery maker Enerpac Tool Group(NYSE: EPAC) was having quite a fine time on the stock exchange this week. Following the release of its latest set of quarterly results, investors piled in to the shares. As of very early Friday morning, according to data compiled by S&P Global Market Intelligence, the company's stock was up by 11%.
Enerpac posted solid growth in its fourth quarter
After market hours on Monday, Enerpac put a bow on its fiscal 2023 by reporting fourth-quarter and full-year results.
For the quarter, the company's net sales tallied nearly $161 million, for a 6% year-over-year improvement. Far more impressively, net profit came in at a shade over $23 million ($0.41 per share), a figure that was more than double the $10.2 million Enerpac netted in the same period of fiscal 2022.
The company's stock is not closely followed by analysts, so outside estimates were not readily available.
Nevertheless, that leap in net profit clearly impressed investors. They were also likely cheered by the rise in net sales; after all, Enerpac has been in business for over a century. Not every enterprise with so long a history can grow at such a rate.
Growth in the machine
Enerpac also proffered guidance for the entirety of fiscal 2024. This was conservative, as management is wary of what it termed "the continued uncertainty in the macro environment."
Even with that caveat, the forecast was encouraging. Enerpac anticipates it will book net sales of $590 million to $605 million, against the fiscal 2023 total of $598 million. The company expects that earnings before interest, taxes, depreciation, and amortization (EBITDA) according to non-GAAP (adjusted) standards will land at $142 million to $152 million. It did not provide an estimate for net profit.
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