CHICAGO - JBT Corporation (NYSE: JBT), a global technology solutions provider to the food & beverage industry, has reported a robust fourth quarter, surpassing earnings expectations and providing a positive outlook for the upcoming year. The company's stock rose by 2.8% as a result of the upbeat guidance for the fiscal year 2024.
For the fourth quarter, JBT Corp achieved an adjusted EPS of $1.40, which is $0.04 higher than the analyst consensus of $1.36. However, revenue slightly missed the mark at $444.6 million against the expected $452.16 million. Despite this, the revenue still marks a 1% increase YoY.
The company's income from continuing operations saw a significant 69% jump to $53 million, with earnings per share rising to $1.64, reflecting a similar 69% increase. Adjusted EBITDA was reported at $81 million, an 18% increase, while the adjusted EBITDA margin grew by 260 basis points to 18.2%.
JBT's President and CEO, Brian Deck, attributed the strong performance to solid earnings growth, margin expansion, and strategic progress, stating, "JBT delivered solid year-over-year earnings growth and continued margin expansion in 2023." He highlighted the company's transition to a pure-play food and beverage technology solutions provider and growth in recurring revenue as key drivers.
Looking ahead, JBT Corp provided a positive forecast for the full year 2024, with expected adjusted EPS ranging from $5.05 to $5.45, comfortably exceeding the analyst consensus of $4.93. Revenue projections for the year are set between $1.75 billion and $1.78 billion, aligning with the consensus estimate of $1.76 billion. The company anticipates mid-single-digit organic top-line growth, driven by recurring revenue initiatives and an improving demand environment for equipment, including the North American poultry market.
The CFO, Matt Meister, expressed confidence in the company's financial performance, noting that fourth-quarter margins and earnings per share exceeded guidance while revenue met expectations. He emphasized the margin improvement, crediting strong operational performance and successful supply chain initiatives.
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