SharkNinja (SN) Q2 2024 earnings summary

Executive summary

• Achieved 38% adjusted net sales growth year-over-year, with all growth organic and highly profitable.

• Net sales rose 31.4% year-over-year to $1,248.7 million in Q2 2024, with adjusted net sales up 37.9% to $1,248.7 million.

• Adjusted EBITDA increased 48% to $168 million, and adjusted EPS rose 51% to $0.71 compared to the same quarter last year.

• Growth was broad-based across product categories and geographies, driven by innovation, market share gains, and global expansion.

• Raised full-year 2024 guidance for adjusted net sales, adjusted EPS, and adjusted EBITDA due to strong performance and momentum.

Financial highlights

• Net sales increased 31% to nearly $1.25 billion; adjusted net sales up 38% excluding divested APAC business.

• Adjusted EBITDA grew 48% to $168 million, with margin up 90 basis points year-over-year.

• GAAP gross profit rose 51% to $601 million (48.1% of net sales); adjusted gross profit up 56% to $614 million (49.2% of adjusted net sales).

• Adjusted net income was $100 million ($0.71/share), up from $65 million ($0.47/share) last year.

• Cash at quarter end was $138 million; total debt $910 million; net leverage ratio 0.9x.

Outlook and guidance

• Full-year adjusted net sales expected to increase 22%-24% (prior: 12%-14%).

• Adjusted EPS guidance raised to $4.05-$4.21 (26%-31% growth).

• Adjusted EBITDA now expected at $910-$940 million (20%-31% growth).

• Net interest expense expected at ~$65 million; capex $160-$180 million; effective tax rate 24%-25%.