Hudson Technologies Q3 revenue and EPS miss estimates on weak pricing, low demand
Overview
US refrigerant products provider's Q3 revenue and EPS missed analyst expectations
Revenue declined on lower sales volume and 17% drop in pricing amid weak HFC market
Company ended Q3 debt-free with $35.3 mln in cash
Outlook
Company maintains full-year 2026 gross margin target in low-to-mid-twenty percent range
Hudson Technologies says it remains focused on core refrigerant sales, recovery and reclamation activities
Company plans to expand service offerings and reduce exposure to refrigerant pricing fluctuations
Result Drivers
WEAK MARKET PRICING - Co said Q3 revenue decline was driven by continued softness in HFC market pricing
LOWER SALES VOLUME - Co attributed Q3 revenue decline to reduced sales volume due to muted customer demand and adequate refrigerant inventories
HIGHER OPERATING COSTS - Co said increased operating costs, primarily fuel costs, contributed to lower gross margin
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $59.42 mln | $77.96 mln (4 Analysts) |
Q3 EPS | Miss | $0.05 | $0.12 (4 Analysts) |
Q3 Net Income | $2.04 mln | ||
Q3 Gross Margin | 25% | ||
Q3 Operating Income | $3.25 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the electrical components & equipment peer group is "buy"
Wall Street's median 12-month price target for Hudson Technologies Inc is $7.13, about 35.5% above its October 27 closing price of $5.26
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 14 three months ago
Reuters Recommended Reads
Oct 27 - Enphase Energy Q3 results miss estimates on weak US, Europe demand
Oct 28 - Fortive Corporation beats Q3 revenue on innovation investments, raises FY outlook
Oct 27 - Engineered components maker Crane's Q3 sales beat, partly on acquisitions
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)