Image provided by iStock.
Diebold Nixdorf Inc. reported sales and earnings declines for Q1 2022 over the prior year period, driven by the global pandemic, war in Ukraine, rising inflation and uncertainty around financial markets and global supply chains, according to an earnings report. Highlights include:
- Net sales declined 12.1% from $943.9 million in Q1 2021 to $829.8 million for the quarter ending March 31, 2022 on both a GAAP basis and non-GAAP basis.
- Net income fell from an $8.1 million loss to a $183.9 million loss on a GAAP basis and from a $23.3 million gain to a $127.7 million loss on a non-GAAP basis.
- Diluted earnings per share fell from a 10-cent loss to a $2.23 loss on a GAAP basis and from a 29-cent gain to a $1.61 loss on a non-GAAP basis.
- Banking experienced continued momentum for the DN Series ATMs, with new systems live and certified in over 80 countries.
- Retail expanded its relationship with a global grocery retailer with a $39 million contract as the single supplier for devices, software and services continuing through 2023.
- The company also secured a $6 million managed services contract in Europe with one of the largest express delivery companies in the world.
- The company also launched its Vynamic retail platform, a cloud-native software solution for retailers with the ability to have services deployed individually or used together, giving the retailer an end-to-end management solution.
- The company also continued momentum for its electric vehicle charging services business, demonstrated by its expanded partnership with alpitronic with a contract for more than 10,000 chargers across Europe, and two additional agreements with other notable players in the EV charging space, including a pilot project to service more than 7,000 chargers in the U.S.
Shares traded today at $2.66 against a 52-week range of $2.20-$14.95.
The $829.8 million in quarterly revenue missed analyst expectations by $84.95 million and the non-GAAP EPS of a $1.61 loss missed expectations by $1.40, according to Seeking Alpha.
«Like many companies, we faced several challenges during the first quarter from the global pandemic, war in Ukraine, rising inflation and uncertainty around financial markets and global supply chains,» Octavio Marquez, president and CEO, said in the press release. «Through our discipline, hard work and commitment to customers we remained resilient against these challenges. While market demand for our solutions is very strong, we recognize the need to accelerate conversion of product backlog to revenue and applying even more operational rigor to manage these challenges.»
The full year 2022 revenue outlook has been revised from $4.0 billion — $4.2 billion to $3.7 billion — $3.9 billion.