FMP
Nextracker Soars 14% on Q4 Beat
May 15, 2024 1:10 PM - Davit Kirakosyan
Image credit: FMP
Despite low expectations going into the earnings, Nextracker (NASDAQ:NXT) delivered impressive fourth-quarter results, with EBITDA increasing by 23%. EPS of $0.96 and revenue of $736.52 million came in above the Street estimates of $0.55 and $674.4 million, respectively. As a consequence, shares gained more than 14% pre-market today.
The year-end backlog approached the higher end of the expected range between $3.7 billion and $4.1 billion. Fiscal 2025 revenue guidance was in line with sell-side expectations, although the buy-side had anticipated a miss.
However, fiscal 2025 EBITDA, including credits, fell slightly below Wall Street's expectations, and the EBITDA guidance for the same period is projected to be flat year-over-year, despite a 14% increase in revenue.
Nextracker has indicated that most of its backlog has been cleared of various industry bottlenecks such as permitting, financing, and high-voltage equipment issues, and management remains confident in the company’s growth prospects despite prevailing industry challenges.
Other Blogs
Oct 31, 2023 8:03 AM - Parth Sanghvi
FCFF vs FCFE: What's the Difference?
Free cash flow to the firm (FCFF) and free cash flow to equity (FCFE) are two of the most important metrics used in financial modeling. Both metrics measure the amount of cash that is available to a company's shareholders and creditors, but there is a key difference between the two. FCFF measures...
Nov 25, 2023 6:39 AM - Parth Sanghvi
DCF Valuation vs. Comparable Companies Analysis: Choosing the Right Valuation Method
Choosing the Right Valuation Method: DCF vs. Comparable Companies Analysis Introduction: Valuation methods play a pivotal role in determining the fair value of a company, aiding investors in making informed investment decisions. Two commonly used methods, DCF Valuation and Comparable Companies A...
Dec 23, 2023 2:19 AM - Parth Sanghvi
Understanding the Limitations of DCF Analysis: A Guide to Overcoming Challenges
Introduction: Discounted Cash Flow (DCF) analysis stands as a cornerstone in valuing investments, yet its efficacy is contingent upon various assumptions and methodologies. While a powerful tool, DCF analysis comes with inherent limitations and challenges that investors must acknowledge to make i...
