Ingersoll Rand(IR)2024-10-31 20:40Financial Performance - Third quarter 2024 orders reached 1,861 million, up 7% compared to the same period last year[1] - Adjusted EBITDA for the third quarter was 0.84, up from 374 million, with a free cash flow margin of 20%[1] - Revenues for the quarter ended September 30, 2024, were 1,738.9 million for the same period in 2023, representing a growth of 7.0%[15] - Gross profit for the quarter was 739.3 million in the prior year, reflecting a gross margin improvement[15] - Operating income increased to 318.4 million year-over-year, indicating a growth of 11.9%[15] - Net income attributable to Ingersoll Rand Inc. for the quarter was 208.3 million in the same quarter last year, a rise of 6.3%[15] - Basic earnings per share for the quarter were 0.51 in the prior year, marking an increase of 7.8%[15] - Net income for the nine-month period ended September 30, 2024, increased to 553.6 million in the same period of 2023, representing a growth of 10.5%[18] - Adjusted EBITDA for the nine-month period ended September 30, 2024, was 1,286.3 million in 2023, reflecting an increase of 15.5%[19] - Free cash flow for the nine-month period ended September 30, 2024, reached 720.2 million in 2023, indicating a growth of 5.0%[19] - Adjusted diluted earnings per share for the nine-month period ended September 30, 2024, was 2.09 in 2023, reflecting a growth of 17.2%[20] - Net income for the quarter ended September 30, 2024, was 209.6 million for the same period in 2023, representing an increase of 3.9%[22] - Total revenue for the quarter was 1.739 billion in the previous year, reflecting a growth of 7.0%[22] - Adjusted EBITDA for the quarter was 461.5 million in the same quarter last year, indicating a year-over-year increase of 15.4%[21] - Free cash flow for the quarter was 368.7 million in the prior year, showing a growth of 1.5%[21] - Total orders for the quarter reached 1.638 billion in the same quarter of 2023, marking a growth of 9.8%[22] Guidance and Strategic Plans - The company has updated its full-year 2024 revenue growth guidance to a range of 5% to 7%[7] - Adjusted EBITDA guidance for 2024 is set between 2,040 million, indicating a 12% to 14% increase over the previous year[7] - The company plans to continue capital deployment towards M&A and innovation to drive long-term value[2] Acquisitions and Investments - Ingersoll Rand closed multiple acquisitions in October 2024, enhancing its position in high-growth markets[5] - Net cash used in investing activities for the nine-month period ended September 30, 2024, was 991.7 million in 2023, primarily due to increased acquisitions[18] - Proceeds from long-term debt for the nine-month period ended September 30, 2024, amounted to 1,490.4 million in 2023, indicating a substantial increase[18] Balance Sheet and Cash Flow - Total assets as of September 30, 2024, were 15,563.5 million at the end of 2023, reflecting a growth of 17.0%[17] - Long-term debt increased to 2,693.0 million, indicating a significant rise due to strategic investments[17] - Cash and cash equivalents decreased to 1,595.5 million, showing a decline of 13.7%[17] - The company reported an increase in inventories to 1,001.1 million, reflecting a growth of 16.1%[17] - Total stockholders' equity rose to 9,846.7 million, an increase of 4.9%[17] - The cash and cash equivalents at the end of the period were 1,197.5 million at the end of September 30, 2023[18] Tax and Expenses - The company reported a provision for income taxes of 60.3 million in the same period last year, reflecting a 22.9% increase[22] - Interest expense for the quarter was 39.6 million in the previous year, indicating a significant increase of 60.4%[22] - The company incurred restructuring and related business transformation costs of 2.2 million in the same period last year[21] Organic Growth - Organic growth in total orders was 0.8%, while organic revenue growth showed a decline of 2.4% for the quarter[24] - The impact of acquisitions contributed 8.7% to order growth and 8.9% to revenue growth for the quarter[24]