Printed products supplier Ennis' Q2 profit slips on litigation costs
EBF•Dividend increase and outlook
- The company raised its quarterly dividend by 5% after a strong operating quarter.
- The company did not provide specific financial guidance or outlook for future periods in the press release.
Quarterly results and drivers
- U.S. printed business product supplier's Q2 revenue grew 3.3% year over year.
- Q2 EPS declined year over year, mainly due to litigation-related items.
- The decrease in EPS was mainly due to a prior-year favorable litigation judgment and a current-quarter litigation charge.
- Acquisitions completed during the year contributed $2.3 million in revenue and a $0.01 increase in diluted EPS for the quarter.
- Gross margin declined due to higher carbonless paper costs recognized in cost of sales.
Key details:
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Revenue | Beat | $102.006 million | $99.85 million (1 Analyst) |
| Q2 EPS | Miss | $0.37 | $0.39 (1 Analyst) |
| Q2 Net Earnings | $9.39 million | ||
| Q2 Adjusted EBITDA | $17.24 million | ||
| Q2 Gross Margin | 29.90% |
