How did ESAB's Q4 earnings surprise impact annual performance?

**ESAB's Q4 earnings surprise had a positive impact on annual performance**, as evidenced by several key indicators:

1. **Annual Net Income**: The company's annual net income for FY2024 was $17.0 million. Although Q4's net income of $4.2 million decreased from $4.6 million in Q4 2023, the overall annual performance remained stable.
2. **Earnings Per Share (EPS)**: ESAB's annual EPS for FY2024 was $1.78, slightly below the annual estimate of $1.80. However, Q4's EPS of $0.44 exceeded the analyst estimate of $0.42, indicating a strong performance in earnings per share during the quarter.
3. **Revenue**: The company's total interest income for Q4 2024 reached $26.1 million, surpassing the analyst estimate of $17.07 million. This surge in revenue was driven by asset growth and higher yields, which positively influenced the annual revenue figures.
4. **Profit Margin**: Despite a decline in net interest margin to 2.79% in Q4 2024 from 2.97% in Q4 2023, the company's overall profitability was supported by lower expenses and higher yields.
5. **Asset Quality**: ESAB's nonperforming assets improved to 0.58% of total assets at September 30, 2024, down from 0.63% a year earlier, reflecting disciplined credit management and a healthier asset portfolio.

In conclusion, while Q4's performance showed a decrease in net income compared to the previous year, the earnings surprise in key metrics such as EPS and revenue, along with improved asset quality, contributed to a robust annual performance for ESAB.