LONDON, U.K. – nVent Electric plc announced financial results for the first quarter of 2024 and provided guidance for the second quarter and full-year 2024.
“We had a strong start to the year with record sales, margin expansion and robust cash flows. We continue to see great demand for Data Solutions, growing with the acceleration of AI and high-performance computing. During the quarter we also published our 2023 Sustainability Report, which details meaningful progress across our focus areas of people, products, planet and governance, and highlights two new goals. I’m very proud of our team and all that we have accomplished,” said nVent Chair and Chief Executive Officer Beth Wozniak. “We believe we are well positioned with electrification, sustainability and digitalization trends. We continue to execute on our strategy with a focus on high-growth verticals, new products, global expansion and acquisitions. As a result of our strong Q1 performance, we are raising our full-year adjusted EPS guidance.”
First quarter 2024 sales of $875 million were up 18 percent relative to first quarter 2023 and increased 5 percent organically, which excludes the impact from currency fluctuations and acquisitions. First quarter 2024 earnings per diluted share (“EPS”) were $0.62, up 11 percent, while on an adjusted basis, the company had EPS of $0.77, up 15 percent. Segment income, adjusted net income, free cash flow and adjusted EPS are described in the attached schedules.
First quarter 2024 operating income was $159 million, up 28 percent, compared to $124 million in the first quarter of 2023. On an adjusted basis, segment income was $192 million, up 30 percent, compared to $148 million in the first quarter of 2023.
nVent had net cash provided by operating activities of $90 million in the first quarter compared to $69 million in the first quarter of 2023. Free cash flow generated was $74 million in the first quarter compared to $52 million in the first quarter of 2023.
GUIDANCE FOR FULL-YEAR AND SECOND QUARTER 2024
The company continues to expect reported sales growth for full-year 2024 of 8 to 10 percent and organic sales growth of 3 to 5 percent. The company now expects full-year 2024 EPS of $2.74 to $2.82 on a GAAP basis and adjusted EPS of $3.22 to $3.30, versus prior guidance of $2.73 to $2.83 on a GAAP basis and adjusted EPS of $3.17 to $3.27. The company estimates second quarter 2024 reported sales growth of 10 to 12 percent and organic sales growth of 3 to 5 percent. The company estimates second quarter 2024 EPS on a GAAP basis of $0.70 to $0.72 and adjusted EPS of $0.81 to $0.83.
DIVIDENDS
nVent previously announced on February 19, 2024 that its Board of Directors approved a regular cash dividend of $0.19 per share, payable during the second quarter on May 10, 2024.
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