Littelfuse Outperforms Revenue Expectations, EPS Misses

Key Metrics Q4 CY2024:

* Revenue: $529.5 million (analyst estimate: $524.7 million)
* Adjusted EPS: $2.04 (analyst estimate: $2.06)
* Adjusted EBITDA: $95.8 million (analyst estimate: $98.67 million)

Revenue Guidance Q1 CY2025:

* Revenue midpoint: $535 million (analyst estimate: $535 million)
* Adjusted EPS midpoint: $1.80 (analyst estimate: $2.05)

Performance Overview:

Electronic component provider Littelfuse (LFUS) surpassed revenue forecasts in Q4 CY2024. However, sales remained flat year-over-year at $529.5 million. Adjusted EPS fell slightly below expectations, at $2.04 per share. The company projects revenue of around $535 million for Q1 CY2025, aligning with analyst estimates.

Business Highlights:

Littelfuse provides electrical protection and control components in various industries. Its revenue streams predominantly come from the Electronics (54%) and Automotive (30.5%) segments. In the past two years, Electronics revenue declined by an average of 10.6% annually, while Automotive revenue decreased by an average of 3%.

Financial Performance:

* Revenue: Littelfuse has grown its sales at a 7.8% compounded annual growth rate over the past five years. However, recent revenue has declined by 6.6% annually.
* Profitability: Operating margin has decreased by 3.4 percentage points over the past five years. In Q4, Littelfuse's operating profit margin was negative 6.9%, a significant decline year-over-year.
* Earnings Per Share: EPS growth has been unimpressive at 4.5% annually over the past five years. This suggests a decrease in profitability on a per-share basis. In the past two years, EPS has declined by 29.1% annually.

Conclusion:

Littelfuse exceeded revenue expectations but missed EPS estimates in Q4. Revenue guidance for Q1 is in line with analyst projections. The company's financial performance has been uneven, with declining profit margins and EPS. While Littelfuse's revenue growth has been solid in the past, recent trends indicate some challenges. Investors should carefully consider the company's valuation, business qualities, and recent financial results before making investment decisions.