Mirion Technologies(US:MIR)2022-07-29 20:17Financial Performance - Total revenues for Q2 2022 were $175.8 million, a decrease of 2.3% compared to $180.0 million in Q2 2021[24]. - Product revenues decreased to $130.3 million in Q2 2022 from $141.0 million in Q2 2021, representing a decline of 4.9%[24]. - Service revenues increased to $45.5 million in Q2 2022, up 16.7% from $39.0 million in Q2 2021[24]. - The company reported a net loss of $58.6 million for the three months ended June 30, 2022, compared to a net loss of $53.9 million for the same period in 2021[157]. - For the six months ended June 30, 2022, total revenues were $339.0 million, a decrease of 2.1% from $346.2 million in the same period of 2021[148]. - The company experienced a net loss of $59.3 million for the three months ended June 30, 2022, compared to a net loss of $54.0 million for the same period in 2021, representing an increase in losses of approximately 9.8%[196]. - Net loss for the six months ended June 30, 2022, improved to $78.3 million from a loss of $94.7 million in the same period of 2021, representing a 17.5% reduction[199]. Expenses and Profitability - Gross profit for Q2 2022 was $79.0 million, slightly down from $79.6 million in Q2 2021[24]. - Operating expenses surged to $153.6 million in Q2 2022, compared to $74.9 million in Q2 2021, primarily due to a $55.2 million goodwill impairment[24]. - Selling, general and administrative expenses increased to $91.0 million in the Successor Period from $66.7 million in the Predecessor Period, reflecting a rise of 36.5%[216]. - Adjusted EBITDA for the three months ended June 30, 2022, was $42.6 million, down from $49.9 million in the same period of 2021, indicating a decline of about 6.3%[196]. - Adjusted EBITDA for the six months ended June 30, 2022, was $77.5 million, down 13.4% from $89.9 million in the same period of 2021[204]. Assets and Liabilities - Total assets decreased to $2,916.9 million as of June 30, 2022, down from $3,118.0 million at the end of 2021[22]. - Total liabilities were $1,258.0 million as of June 30, 2022, a decrease from $1,334.0 million at the end of 2021[22]. - Stockholders' equity decreased to $1,658.9 million as of June 30, 2022, down from $1,784.0 million at the end of 2021[22]. - Total accrued expenses and other current liabilities amounted to $73.6 million as of June 30, 2022, a decrease from $75.4 million at December 31, 2021[70]. Goodwill and Impairments - The company incurred a goodwill impairment of $55.2 million during the six months ended June 30, 2022[34]. - The total goodwill balance decreased to $1,566.6 million from $1,662.6 million as of December 31, 2021, reflecting a goodwill impairment of $55.2 million in the Industrial segment[79]. - A goodwill impairment charge of $55.2 million was recorded in the Industrial segment during the Successor Period[218]. Segment Performance - Medical segment revenues for the three months ended June 30, 2022, were $66.8 million, up from $52.1 million in the prior year[145]. - Industrial segment revenues for the three months ended June 30, 2022, were $109.0 million, down from $127.9 million in the same period of 2021[145]. - Medical segment revenues for the six months ended June 30, 2022, were $126.9 million, while Industrial segment revenues were $212.1 million[204]. Cash Flow and Liquidity - Operating cash flow for the six months ended June 30, 2022, was $28.0 million, down from $33.7 million in the prior year, indicating a decrease of 16.9%[34]. - Cash, cash equivalents, and restricted cash at the end of the period were $92.0 million, up from $85.3 million at the beginning of the period, marking an increase of 7.8%[34]. - Cash paid for interest during the six months ended June 30, 2022, was $13.9 million[126]. Backlog and Future Outlook - The backlog as of June 30, 2022, was $692.7 million, a decrease from $747.5 million as of December 31, 2021[185]. - The company plans to continue focusing on expanding its medical segment and enhancing its product offerings in the upcoming quarters[148]. - The company has a backlog driven by contracts for new nuclear power plant construction, providing a strong pipeline for future revenue recognition in the Industrial segment[190]. Other Financial Metrics - The effective income tax rate for the three months ended June 30, 2022, was 11.1%, compared to (36.4)% for the same period in 2021[124]. - The company recognized an unrealized gain of $39.5 million due to a decrease in the fair value of warrant liabilities for the six months ended June 30, 2022[155]. - The fair value of public warrants was measured at $19.7 million as of June 30, 2022, based on the listed market price[153].