United States. Resideo Technologies recently announced its financial and operating results for the second quarter ended July 3, 2021.
Highlights of the second quarter of 2021
Net income of US$1.5 billion, up 44% from the US$1.0 billion recorded in the second quarter of 2020
- Gross profit margin of 25.8%, 290 basis points higher compared to gross profit margin of 22.9% in the comparable period of the previous year
Operating profit of US$121 million, an increase of US$127 million over an operating loss of US$6 million in the second quarter of 2020
- Cash provided for operating activities of US$94 million compared to cash provided for operating activities of US$145 million in the comparable period of the prior year
Cash flow and liquidity
The company reported net cash provided by operating activities of $94 million for the second quarter of 2021, a decrease of $51 million from the comparable period of the prior year. The lower operating cash generation was primarily the result of unusual positive cash flow items in 2020 related to COVID-19, including declining working capital and cash conservation efforts. As of July 3, 2021, Resideo had cash and cash equivalents of $579 million and total outstanding debt of $1.2 billion.
Panorama
The company updated its outlook for 2021 and now expects full-year revenue to be in the range of $5.85 billion to $5.95 billion, gross profit margin in the range of 26% to 28% and operating profit in the range of $535 million to $565 million.
The company expects third-quarter 2021 revenue to be in the range of $1.50 billion to $1.55 billion, a gross profit margin in the range of 26.5% to 28.5% and operating profit in the range of $140 million to $150 million.
