Standex reports Q4 adjusted EPS $1.76, consensus $1.67

Reports Q4 revenue $188.3M, consensus $184.78M. CEO David Dunbar said, “We concluded a record fiscal year with a strong Q4 performance. On the top line, we delivered 7.8% organic growth, offset by foreign currency exchange and the divestiture of our Procon business unit. Sales from fast growth markets such as electric vehicles, renewable energy, smart grid, and the commercialization of space increased approximately 67% year on year to $24M in 4Q23. We achieved record gross margin of 39.1%, up 280 bps year on year, and record consolidated adjusted operating margin of 15.4% in 4Q23 – our ninth consecutive quarter of record level adjusted operating margin performance. This margin growth reflects solid execution of our pricing and productivity initiatives and the benefit from lower freight cost. For Fyt23, we achieved record gross margin, adjusted operating profit, adjusted operating margin, adjusted earnings per share, and free cash flow. This record fiscal performance was driven by our operating execution and strengthening of and enhanced focus on our fast growth end markets. In addition, Standex’s substantial financial flexibility continues to position us well to pursue an active pipeline of organic and inorganic growth opportunities.We are beginning FY24 in a strong position for continued improvements in financial performance and remain on track to achieve our long-term financial targets by fiscal 2028…We are cautiously optimistic for improvement in China and Europe in the second half of our FY24.”