Latest news with #TomFerguson
Malaysian Reserve
5 days ago
- Business
- Malaysian Reserve
AZZ Inc. Announces Dual Listing on NYSE Texas
FORT WORTH, Texas, Aug. 6, 2025 /PRNewswire/ — AZZ Inc. (NYSE: AZZ), the leading independent provider of hot-dip galvanizing and coil coating solutions in North America, announced today the dual listing of its common stock on NYSE Texas, the new, fully electronic equities exchange based in Dallas, Texas. 'AZZ has been publicly traded on the NYSE for almost three decades and has been based in Texas since its incorporation in 1956,' said Tom Ferguson, AZZ's President and Chief Executive Officer. 'We are pleased to be a Founding Member of NYSE Texas and show our support to the state we have called home for nearly seventy years. As the Lone Star State's economy continues to thrive and build momentum, we are well-positioned to serve the growing need for sustainable, metal coating solutions that enhance the longevity and appearance of buildings, products and infrastructure that are essential to everyday life.' 'As a leading hot-dip galvanizing and coil coating company based in Fort Worth, we are excited to welcome AZZ to our NYSE Texas community,' said Chris Taylor, Chief Development Officer, NYSE Group. About AZZ Inc. is the leading independent provider of hot-dip galvanizing and coil coating solutions to a broad range of end-markets. Collectively, our business segments provide sustainable, unmatched metal coating solutions that enhance the longevity and appearance of buildings, products and infrastructure that are essential to everyday life. Safe Harbor StatementCertain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by terminology such as 'may,' 'could,' 'should,' 'expects,' 'plans,' 'will,' 'might,' 'would,' 'projects,' 'currently,' 'intends,' 'outlook,' 'forecasts,' 'targets,' 'anticipates,' 'believes,' 'estimates,' 'predicts,' 'potential,' 'continue,' or the negative of these terms or other comparable terminology. Such forward-looking statements are based on currently available competitive, financial, and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain, and investors must recognize that actual results may differ from those expressed or implied in the forward-looking statements. Forward-looking statements speak only as of the date they are made and are subject to risks that could cause them to differ materially from actual results. Certain factors could affect the outcome of the matters described herein. This press release may contain forward-looking statements that involve risks and uncertainties including, but not limited to, changes in customer demand for our manufactured solutions, including demand by the construction markets, the industrial markets, and the metal coatings markets. We could also experience additional increases in labor costs, components and raw materials including zinc and natural gas, which are used in our hot-dip galvanizing process; supply-chain vendor delays; customer requested delays of our manufactured solutions; delays in additional acquisition opportunities; an increase in our debt leverage and/or interest rates on our debt, of which a significant portion is tied to variable interest rates; availability of experienced management and employees to implement AZZ's growth strategy; a downturn in market conditions in any industry relating to the manufactured solutions that we provide; economic volatility, including a prolonged economic downturn or macroeconomic conditions such as inflation or changes in the political stability in the United States or Canada; tariffs; acts of war or terrorism inside the United States or abroad; and other changes in economic and financial conditions. AZZ has provided additional information regarding risks associated with the business, including in Part I, Item 1A. Risk Factors, in AZZ's Annual Report on Form 10-K for the fiscal year ended February 28, 2025, and other filings with the SEC, available for viewing on AZZ's website at and on the SEC's website at You are urged to consider these factors carefully when evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. These statements are based on information as of the date hereof and AZZ assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. Investor Relations and Company Contact: David Nark, Chief Marketing, Communications, and Investor Relations OfficerAZZ Inc.(817) Investor Contact:Sandy Martin / Phillip KupperThree Part Advisors(214)
Yahoo
5 days ago
- Business
- Yahoo
AZZ Inc. Announces Dual Listing on NYSE Texas
FORT WORTH, Texas, Aug. 6, 2025 /PRNewswire/ -- AZZ Inc. (NYSE: AZZ), the leading independent provider of hot-dip galvanizing and coil coating solutions in North America, announced today the dual listing of its common stock on NYSE Texas, the new, fully electronic equities exchange based in Dallas, Texas. "AZZ has been publicly traded on the NYSE for almost three decades and has been based in Texas since its incorporation in 1956," said Tom Ferguson, AZZ's President and Chief Executive Officer. "We are pleased to be a Founding Member of NYSE Texas and show our support to the state we have called home for nearly seventy years. As the Lone Star State's economy continues to thrive and build momentum, we are well-positioned to serve the growing need for sustainable, metal coating solutions that enhance the longevity and appearance of buildings, products and infrastructure that are essential to everyday life." "As a leading hot-dip galvanizing and coil coating company based in Fort Worth, we are excited to welcome AZZ to our NYSE Texas community," said Chris Taylor, Chief Development Officer, NYSE Group. About AZZ Inc. is the leading independent provider of hot-dip galvanizing and coil coating solutions to a broad range of end-markets. Collectively, our business segments provide sustainable, unmatched metal coating solutions that enhance the longevity and appearance of buildings, products and infrastructure that are essential to everyday life. Safe Harbor StatementCertain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by terminology such as "may," "could," "should," "expects," "plans," "will," "might," "would," "projects," "currently," "intends," "outlook," "forecasts," "targets," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. Such forward-looking statements are based on currently available competitive, financial, and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain, and investors must recognize that actual results may differ from those expressed or implied in the forward-looking statements. Forward-looking statements speak only as of the date they are made and are subject to risks that could cause them to differ materially from actual results. Certain factors could affect the outcome of the matters described herein. This press release may contain forward-looking statements that involve risks and uncertainties including, but not limited to, changes in customer demand for our manufactured solutions, including demand by the construction markets, the industrial markets, and the metal coatings markets. We could also experience additional increases in labor costs, components and raw materials including zinc and natural gas, which are used in our hot-dip galvanizing process; supply-chain vendor delays; customer requested delays of our manufactured solutions; delays in additional acquisition opportunities; an increase in our debt leverage and/or interest rates on our debt, of which a significant portion is tied to variable interest rates; availability of experienced management and employees to implement AZZ's growth strategy; a downturn in market conditions in any industry relating to the manufactured solutions that we provide; economic volatility, including a prolonged economic downturn or macroeconomic conditions such as inflation or changes in the political stability in the United States or Canada; tariffs; acts of war or terrorism inside the United States or abroad; and other changes in economic and financial conditions. AZZ has provided additional information regarding risks associated with the business, including in Part I, Item 1A. Risk Factors, in AZZ's Annual Report on Form 10-K for the fiscal year ended February 28, 2025, and other filings with the SEC, available for viewing on AZZ's website at and on the SEC's website at You are urged to consider these factors carefully when evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. These statements are based on information as of the date hereof and AZZ assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. Investor Relations and Company Contact: David Nark, Chief Marketing, Communications, and Investor Relations OfficerAZZ Inc.(817) Investor Contact:Sandy Martin / Phillip KupperThree Part Advisors(214) View original content to download multimedia: SOURCE AZZ, Inc. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
09-07-2025
- Business
- Yahoo
AZZ Inc. Reports Fiscal Year 2026 First Quarter Results
Delivers Record Quarterly Sales, Adjusted EBITDA, and Adjusted EPS over Prior Year Raising Fiscal Year 2026 Guidance on Strong Earnings FORT WORTH, Texas, July 9, 2025 /PRNewswire/ -- AZZ Inc. (NYSE: AZZ), the leading independent provider of hot-dip galvanizing and coil coating solutions, today announced financial results for the first quarter ended May 31, 2025. Fiscal Year 2026 First Quarter Overview (as compared to prior fiscal year first quarter(1)): Total Sales of $422.0 million, up 2.1% Metal Coatings sales of $187.2 million, up 6.0% Precoat Metals sales of $234.7 million, down 0.8% $273.2 million cash received from our minority interest in AVAIL related to the sale of the Electrical Products Group to nVent Electric plc Net Income of $170.9 million, up 331.6%; Adjusted net income of $53.8 million, up 22.3% GAAP diluted EPS of $5.66 per share, up 510.1%; Adjusted diluted EPS of $1.78, up 21.9% Adjusted EBITDA of $106.4 million or 25.2% of sales, versus prior year of $94.1 million, or 22.8% of sales Segment Adjusted EBITDA margin of 32.9% for Metal Coatings and 20.7% for Precoat Metals Debt reduction of $285 million in the quarter, resulting in net leverage ratio 1.7x Cash dividend of $0.17 per share to common shareholders paid in the quarter (1) Adjusted Net Income, Adjusted EPS, Adjusted EBITDA, and net leverage ratio are non-GAAP financial measures as defined and reconciled in the tables below. Tom Ferguson, President, and Chief Executive Officer of AZZ, commented, "We are off to a great start in the fiscal year as sales grew to $422.0 million, up 2.1% over the prior year, with Adjusted diluted EPS of $1.78 up 21.9%. Consolidated Adjusted EBITDA grew to $106.4 million, or 25.2% of sales, primarily driven by higher volume for hot-dip galvanized steel and operational productivity over the prior year. Metal Coatings benefited from improved zinc utilization and delivered an Adjusted EBITDA margin of 32.9%. Precoat Metals' Adjusted EBITDA margin improved to 20.7%, primarily due to favorable mix and improved operational performance. While volumes were slightly lower for Precoat Metals, customer demand improved, as shipments of customer inventories increased compared to first quarter of last year. Our fiscal first quarter cash from operations of $314.8 million, including proceeds from AVAIL's sale of the Electrical Products Group, allowed us to reduce debt by $285.4 million. We ended the quarter with a net leverage ratio of 1.7x. Subsequent to the quarter, we successfully closed a bolt-on acquisition within our Metal Coatings segment and announced the increase of our quarterly cash dividend to common shareholders from $0.17 to $0.20 per share. I want to thank all of our dedicated AZZ employees for their hard work, dedicated focus on sales volume, and productivity improvements. Our employees continue to demonstrate their pride and passion for delivering outstanding quality and service to our customers, while driving operational excellence. We are on track to set new profitability records in fiscal year 2026 as we continue to execute on our strategic plans." Ferguson concluded. Segment Performance First Quarter 2026 Metal Coatings Sales of $187.2 million increased by 6.0% over the first quarter of last year, primarily due to increased volume supported by infrastructure related project spending in several end markets, including construction, industrial, and electrical transmission and distribution. Segment Adjusted EBITDA of $61.5 million resulted in Adjusted EBITDA margin of 32.9%, on increased volume and improved zinc utilization, an increase of 200 basis points from the prior year first quarter. First Quarter 2026 Precoat Metals Sales of $234.7 million were 0.8% lower than the first quarter of last year on decreased volume in certain end markets, including construction, HVAC, and appliance. Segment EBITDA of $48.5 million resulted in EBITDA margin of 20.7%, an increase of 50 basis points from the prior year first quarter. Balance Sheet, Liquidity and Capital Allocation The Company generated significant operating cash of $314.8 million for the first three months of fiscal year 2026 through improved earnings, which included a distribution of $273.2 million from the AVAIL JV following AVAIL's sale of its Electrical Products Group, coupled with our disciplined working capital management. At the end of the first quarter, the Company's net leverage was 1.7x trailing twelve months Adjusted EBITDA. During the first three months of fiscal year 2026, the Company paid down debt of $285.4 million and returned cash to common shareholders through cash dividend payments totaling $5.1 million. Capital expenditures for the first three months of fiscal year 2026 were $20.9 million, including $3.2 million of spending related to the new Washington, Missouri facility, and full fiscal year capital expenditures are expected to be approximately $60 - $80 million. Pursuant to the Company's existing $100 million Share Repurchase Program, the Company has a remaining balance of $53.2 million available for repurchases. Financial Outlook — Fiscal Year 2026 Guidance We are adjusting fiscal year guidance, reflecting confidence in our strategic execution, operational resilience, and market positioning. Fiscal year 2026 guidance reflects our best estimates given anticipated market conditions for the full year, lower interest expense, an annualized effective tax rate of 25% and excludes M&A activity and any federal regulatory changes that may emerge. FY2026 Guidance(1) Sales$1.625 - $1.725 billion Adjusted EBITDA$360 - $400 million Adjusted Diluted EPS $5.75 - $6.25(1) FY2026 Guidance Assumptions: any future any future equity in earnings from AVAIL joint defines adjusted earnings per share to exclude intangible asset amortization, restructuring charges and additional stock compensation expense related to the adoption of our executive retiree long-term incentive program from the reported GAAP EBITDA margin range of 27 - 32% for the Metal Coatings segment and 17% - 22% for the Precoat Metals segment. Conference Call Details AZZ Inc. will conduct a live conference call with Tom Ferguson, Chief Executive Officer, Jason Crawford, Chief Financial Officer, and David Nark, Chief Marketing, Communications, and Investor Relations Officer to discuss financial results for the first quarter of the fiscal year 2026, Thursday, July 10, 2025, at 11:00 A.M. ET. Interested parties can access the conference call by dialing (844) 855-9499 or (412) 317-5497 (international). A webcast of the call will be available on the Company's Investor Relations page at A replay of the call will be available at (877) 344-7529 or (412) 317-0088 (international), replay access code: 2234808 through July 17, 2025, or by visiting for the next 12 months. About AZZ Inc. AZZ Inc. is the leading independent provider of hot-dip galvanizing and coil coating solutions to a broad range of end-markets in North America. Collectively, our business segments provide sustainable, unmatched metal coating solutions that enhance the longevity and appearance of buildings, products and infrastructure that are essential to everyday life. Safe Harbor Statement Certain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by terminology such as "may," "could," "should," "expects," "plans," "will," "might," "would," "projects," "currently," "intends," "outlook," "forecasts," "targets," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. Such forward-looking statements are based on currently available competitive, financial, and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain, and investors must recognize that actual results may differ from those expressed or implied in the forward-looking statements. Forward-looking statements speak only as of the date they are made and are subject to risks that could cause them to differ materially from actual results. Certain factors could affect the outcome of the matters described herein. This press release may contain forward-looking statements that involve risks and uncertainties including, but not limited to, changes in customer demand for our manufactured solutions, including demand by the construction markets, the industrial markets, and the metal coatings markets. We could also experience additional increases in labor costs, components and raw materials including zinc and natural gas, which are used in our hot-dip galvanizing process, paint used in our coil coating process; supply-chain vendor delays; customer requested delays of our manufactured solutions; delays in additional acquisition opportunities; an increase in our debt leverage and/or interest rates on our debt, of which a significant portion is tied to variable interest rates; availability of experienced management and employees to implement AZZ's growth strategy; a downturn in market conditions in any industry relating to the manufactured solutions that we provide; economic volatility, including a prolonged economic downturn or macroeconomic conditions such as inflation or changes in the political stability in the United States and other foreign markets in which we operate; tariffs, acts of war or terrorism inside the United States or abroad; and other changes in economic and financial conditions. AZZ has provided additional information regarding risks associated with the business, including in Part I, Item 1A. Risk Factors, in AZZ's Annual Report on Form 10-K for the fiscal year ended February 28, 2025, and other filings with the SEC, available for viewing on AZZ's website at and on the SEC's website at You are urged to consider these factors carefully when evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. These statements are based on information as of the date hereof and AZZ assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. Company Contact: David Nark, Chief Marketing, Communications, and Investor Relations OfficerAZZ Inc.(817) Investor Contact:Sandy Martin / Phillip KupperThree Part Advisors(214) 616-2207 or (817) AZZ Inc. Condensed Consolidated Statements of Income (dollars in thousands, except per share data) (unaudited)Three Months Ended May 31, 20252024 Sales$ 421,962$ 413,208 Cost of sales317,832310,538 Gross margin104,130102,670Selling, general and administrative34,58132,921 Operating income69,54969,749Interest expense, net(18,563)(22,774) Equity in earnings of unconsolidated subsidiaries173,5233,824 Other income, net1,327204 Income before income taxes225,83651,003 Income tax expense54,92811,401 Net income170,90839,602 Series A Preferred Stock Dividends—(1,200) Redemption premium on Series A Preferred Stock—(75,198) Net income (loss) available to common shareholders $ 170,908$ (36,796)Basic earnings (loss) per common share$ 5.71$ (1.38) Diluted earnings (loss) per common share$ 5.66$ (1.38)Weighted average shares outstanding - Basic29,94126,751 Weighted average shares outstanding - Diluted30,21726,751Cash dividends declared per common share$ 0.17$ 0.17 AZZ Inc. Segment Reporting (dollars in thousands) (unaudited)Three Months Ended May 31,20252024 Sales:Metal Coatings $ 187,215$ 176,651 Precoat Metals 234,747236,557 Total Sales $ 421,962$ 413,208 Adjusted EBITDAMetal Coatings $ 61,516$ 54,645 Precoat Metals 48,47747,687 Infrastructure Solutions 7,6173,795 Total Segment Adjusted EBITDA(1) $ 117,610$ 106,127 (1) See the non-GAAP disclosure section below for a reconciliation between the various measures calculated in accordance with GAAP to the non-GAAP financial measures. AZZ Inc. Condensed Consolidated Balance Sheets (dollars in thousands) (unaudited)As of May 31, 2025February 28, 2025 Assets: Current assets$ 407,945$ 375,444 Property, plant and equipment, net597,892592,941 Other non-current assets, net1,153,3481,258,716 Total Assets$ 2,159,185$ 2,227,101Liabilities and Shareholders' equity: Current liabilities$ 270,097$ 220,992 Long-term debt, net569,807852,365 Other non-current liabilities104,983108,249 Shareholders' Equity1,214,2981,045,495 Total Liabilities and Shareholders' equity $ 2,159,185$ 2,227,101 AZZ Inc. Condensed Consolidated Statements of Cash Flows (dollars in thousands) (unaudited)Three Months Ended May 31, 20252024 Net cash provided by operating activities$ 314,782$ 71,944 Net cash used in investing activities(17,122)(27,379) Net cash used in financing activities(295,512)(38,542) Effect of exchange rate changes on cash(593)174 Net increase in cash and cash equivalents1,5556,197 Cash and cash equivalents at beginning of period 1,4884,349 Cash and cash equivalents at end of period$ 3,043$ 10,546(1) For the three months ended May 31, 2025, net cash provided by operating activities includes distributions from AVAIL of $273.2 million. Refer to footnote 6 on page 10. AZZ DisclosureAdjusted Net Income, Adjusted Earnings Per Share and Adjusted EBITDA In addition to reporting financial results in accordance with Generally Accepted Accounting Principles in the United States ("GAAP"), we provide adjusted net income, adjusted earnings per share and Adjusted EBITDA (collectively, the "Adjusted Earnings Measures"), which are non-GAAP measures. Management believes that the presentation of these measures provides investors with greater transparency when comparing operating results across a broad spectrum of companies, which provides a more complete understanding of our financial performance, competitive position, prospects for future capital investment and debt reduction. Management also believes that investors regularly rely on non-GAAP financial measures, such as adjusted net income, adjusted earnings per share and Adjusted EBITDA to assess operating performance and that such measures may highlight trends in our business that may not otherwise be apparent when relying on financial measures calculated in accordance with GAAP. Management defines adjusted net income and adjusted earnings per share to exclude intangible asset amortization, restructuring charges, and additional stock compensation expense related to the adoption of our executive retiree long-term incentive program from the reported GAAP measure. Management defines Adjusted EBITDA as adjusted net income excluding depreciation, amortization, interest, provision for income taxes and Series A Preferred Stock dividends. Management believes Adjusted EBITDA is used by investors to analyze operating performance and evaluate the Company's ability to incur and service debt, as well as its capacity for making capital expenditures in the future. Management provides non-GAAP financial measures for informational purposes and to enhance understanding of the Company's GAAP consolidated financial statements. Readers should consider these measures in addition to, but not instead of or superior to, the Company's financial statements prepared in accordance with GAAP, and undue reliance should not be placed on these non-GAAP financial measures. Additionally, these non-GAAP financial measures may be determined or calculated differently by other companies, limiting the usefulness of those measures for comparative purposes. The following tables provide a reconciliation for the three months ended and year ended May 31, 2025 and May 31, 2024 between the non-GAAP Adjusted Earnings Measures to the most comparable measures, calculated in accordance with GAAP (dollars in thousands, except per share data): Adjusted Net Income and Adjusted Earnings Per ShareThree Months Ended May 31,20252024AmountPer Diluted Share(1)AmountPer Diluted Share(1) Net income $ 170,908$ 39,602 Less: Series A Preferred Stock dividends —(1,200) Less: Redemption premium on Series A Preferred Stock —(75,198) Net income (loss) available to common shareholders(2) 170,908(36,796) Impact of Series A Preferred Stock dividends(2) —1,200 Net income (loss) and diluted earnings (loss) per share for Adjusted net income calculation(2) 170,908$ 5.66(35,596)$ (1.18) Adjustments:Amortization of intangible assets 5,7340.195,7930.20 Restructuring charges(3) 3,8270.13—— Redemption premium on Series A Preferred Stock(4) ——75,1982.49 Executive retiree long-term incentive program(5) 2,1850.07—— AVAIL JV excess distribution(6) (165,826)(5.49)—— Subtotal (154,080)(5.10)80,9912.69 Tax impact(7) 36,9791.22(1,390)(0.05) Total adjustments (117,101)(3.88)79,6012.64 Adjusted net income and adjusted earnings per share (non-GAAP) $ 53,807$ 1.78$ 44,005$ 1.46 Weighted average shares outstanding - Diluted for Adjusted earnings per share(2) 30,21730,194 See notes on page 10. Adjusted EBITDAThree Months Ended May 31,20252024 Net income $ 170,908$ 39,602 Interest expense 18,56322,774 Income tax expense 54,92811,401 Depreciation and amortization 21,82720,323 Adjustments:Restructuring charges(3) 3,827— Executive retiree long-term incentive program(5) 2,185— AVAIL JV excess distribution(6) (165,826)— Adjusted EBITDA (non-GAAP) $ 106,412$ 94,100 See notes on page 10. Adjusted EBITDA by SegmentThree Months Ended May 31, 2025Metal CoatingsPrecoat MetalsInfra- structure SolutionsCorporateTotal Net income (loss) $ 50,671$ 39,354$ 173,443$ (92,560)$ 170,908 Interest expense ———18,56318,563 Income tax expense ———54,92854,928 Depreciation and amortization 6,6609,123—6,04421,827 Adjustments:Restructuring charges(3) 3,827———3,827 Executive retiree long-term incentive program(5) 358——1,8272,185 AVAIL JV excess distribution(6) ——(165,826)—(165,826) Adjusted EBITDA (non-GAAP) $ 61,516$ 48,477$ 7,617$ (11,198)$ 106,412 See notes on page 10. Three Months Ended May 31, 2024Metal CoatingsPrecoat MetalsInfra- structure SolutionsCorporateTotal Net income (loss) $ 47,988$ 40,094$ 3,795$ (52,275)$ 39,602 Interest expense ———22,77422,774 Income tax expense ———11,40111,401 Depreciation and amortization 6,6577,593—6,07320,323 Adjusted EBITDA (non-GAAP) $ 54,645$ 47,687$ 3,795$ (12,027)$ 94,100 See notes on page 10. Debt Leverage Ratio ReconciliationTrailing Twelve Months EndedMay 31, 2025February 28, 2025 Gross debt $ 614,875$ 900,250 Less: Cash per bank statement (17,928)(12,670) Add: Finance lease liability 10,1606,647 Consolidated indebtedness $ 607,107$ 894,227 Net income $ 260,139$ 128,833 Depreciation and amortization 83,71082,205 Interest expense 77,07181,282 Income tax expense 85,37641,850 EBITDA 506,296334,170 Cash items(8) 20,03515,325 Non-cash items(9) 14,81812,161 Equity in earnings, net of distributions (173,835)(3,598) Adjusted EBITDA per Credit Agreement $ 367,314$ 358,058 Net leverage ratio 1.7x2.5x (1) Earnings per share amounts included in the "Adjusted Net Income and Adjusted Earnings Per Share" table above may not sum due to rounding differences. (2) For the three months ended May 31, 2024, diluted earnings per share is based on weighted average shares outstanding of 26,751, as the Series A Preferred Stock that was redeemed May 9, 2024, is anti-dilutive for this calculation. The calculation of adjusted diluted earnings per share is based on weighted average shares outstanding of 30,194, as the Series A Preferred Stock is dilutive to adjusted diluted earnings per share. Adjusted net income for adjusted earnings per share also includes the addback of Series A Preferred Stock dividends for the period noted above. For further information regarding the calculation of earnings per share, see "Item 1. Financial Statements—Note 3" in the Company's Form 10-Q for the first quarter of fiscal year 2026. (3) Includes restructuring charges related to the closure of two surface technology facilities in our Metal Coatings segment. (4) On May 9, 2024, we redeemed AZZ's Series A Preferred Stock. The redemption premium represents the difference between the redemption amount paid and the book value of the Series A Preferred Stock. (5) During the three months ended May 31, 2025, we recognized additional stock-based compensation expense of $2.2 million upon the adoption of the Executive Retiree Long-term Incentive Program. For further information regarding the adoption of the ERP, see "Item 1. Financial Statements—Note 15" in the Company's Form 10-Q for the first quarter of fiscal year 2026. (6) During the three months ended May 31, 2025, AVAIL completed the sale of the Electrical Products Group business to nVent Electric plc. Following the completion of the sale, we received a distribution of $273.2 million, which exceeded our investment in the AVAIL JV of $107.4 million as of May 31, 2025. Since we are not liable for the obligations of the AVAIL JV nor otherwise committed to provide financial support after writing off our investment in the AVAIL JV, we recognized $165.8 million as a gain for the three months ended May 31, 2025. We recorded $173.5 million in equity in earnings, which consists of 1) $7.7 million of equity in earnings from the AVAIL JV's operations for the three months ended May 31, 2025, and 2) $165.8 million of a gain from distribution received in excess of our investment in the AVAIL JV. For further information, see "Item 1. Financial Statements—Note 7" in the Company's Form 10-Q for the first quarter of fiscal year 2026. (7) The non-GAAP effective tax rate for each of the periods presented is estimated at 24.0%. (8) Cash items include certain legal settlements, accruals, and retirement and other severance expenses, and restructuring charges associated with the Metal Coatings segment. (9) Non-cash items include stock-based compensation expense. View original content to download multimedia: SOURCE AZZ, Inc. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-07-2025
- Business
- Yahoo
AZZ (NYSE:AZZ) Misses Q2 Sales Targets
Metal coating and infrastructure solutions provider AZZ (NYSE:AZZ) missed Wall Street's revenue expectations in Q2 CY2025 as sales rose 2.1% year on year to $422 million. The company's full-year revenue guidance of $1.68 billion at the midpoint came in 0.5% below analysts' estimates. Its non-GAAP profit of $1.78 per share was 11.7% above analysts' consensus estimates. Is now the time to buy AZZ? Find out in our full research report. Revenue: $422 million vs analyst estimates of $435.9 million (2.1% year-on-year growth, 3.2% miss) Adjusted EPS: $1.78 vs analyst estimates of $1.59 (11.7% beat) Adjusted EBITDA: $106.4 million vs analyst estimates of $98.37 million (25.2% margin, 8.2% beat) The company reconfirmed its revenue guidance for the full year of $1.68 billion at the midpoint Management raised its full-year Adjusted EPS guidance to $6 at the midpoint, a 3.4% increase EBITDA guidance for the full year is $380 million at the midpoint, above analyst estimates of $370.5 million Operating Margin: 16.5%, in line with the same quarter last year Market Capitalization: $2.96 billion Tom Ferguson, President, and Chief Executive Officer of AZZ, commented, "We are off to a great start in the fiscal year as sales grew to $422.0 million, up 2.1% over the prior year, with Adjusted diluted EPS of $1.78 up 21.9%. Consolidated Adjusted EBITDA grew to $106.4 million, or 25.2% of sales, primarily driven by higher volume for hot-dip galvanized steel and operational productivity over the prior year. Metal Coatings benefited from improved zinc utilization and delivered an Adjusted EBITDA margin of 32.9%. Precoat Metals' Adjusted EBITDA margin improved to 20.7%, primarily due to favorable mix and improved operational performance. While volumes were slightly lower for Precoat Metals, customer demand improved, as shipments of customer inventories increased compared to first quarter of last year." Responsible for projects like nuclear facilities, AZZ (NYSE:AZZ) is a provider of metal coating and power infrastructure solutions. Reviewing a company's long-term sales performance reveals insights into its quality. Any business can have short-term success, but a top-tier one grows for years. Luckily, AZZ's sales grew at a solid 10% compounded annual growth rate over the last five years. Its growth beat the average industrials company and shows its offerings resonate with customers, a helpful starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. AZZ's recent performance shows its demand has slowed as its annualized revenue growth of 2.6% over the last two years was below its five-year trend. This quarter, AZZ's revenue grew by 2.1% year on year to $422 million, falling short of Wall Street's estimates. We also like to judge companies based on their projected revenue growth, but not enough Wall Street analysts cover the company for it to have reliable consensus estimates. This signals AZZ could be a hidden gem because it doesn't get attention from professional brokers. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. Operating margin is a key measure of profitability. Think of it as net income - the bottom line - excluding the impact of taxes and interest on debt, which are less connected to business fundamentals. AZZ has been an efficient company over the last five years. It was one of the more profitable businesses in the industrials sector, boasting an average operating margin of 14.7%. This result was particularly impressive because of its low gross margin, which is mostly a factor of what it sells and takes huge shifts to move meaningfully. Companies have more control over their operating margins, and it's a show of well-managed operations if they're high when gross margins are low. Analyzing the trend in its profitability, AZZ's operating margin rose by 3.6 percentage points over the last five years, as its sales growth gave it operating leverage. This quarter, AZZ generated an operating margin profit margin of 16.5%, in line with the same quarter last year. This indicates the company's cost structure has recently been stable. We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company's growth is profitable. AZZ's EPS grew at an astounding 21.2% compounded annual growth rate over the last five years, higher than its 10% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded. Diving into the nuances of AZZ's earnings can give us a better understanding of its performance. As we mentioned earlier, AZZ's operating margin was flat this quarter but expanded by 3.6 percentage points over the last five years. This was the most relevant factor (aside from the revenue impact) behind its higher earnings; interest expenses and taxes can also affect EPS but don't tell us as much about a company's fundamentals. Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business. For AZZ, its two-year annual EPS growth of 24.5% was higher than its five-year trend. We love it when earnings growth accelerates, especially when it accelerates off an already high base. In Q2, AZZ reported EPS at $1.78, up from $1.46 in the same quarter last year. This print easily cleared analysts' estimates, and shareholders should be content with the results. Over the next 12 months, Wall Street expects AZZ's full-year EPS of $5.52 to grow 9.8%. We were impressed by how significantly AZZ blew past analysts' EPS and EBITDA expectations this quarter. We were also glad it raised its full-year EPS and EBITDA guidance. On the other hand, its revenue missed and its full-year revenue guidance fell slightly short of Wall Street's estimates. Overall, this print was mixed but still had some key positives. The stock remained flat at $100.88 immediately after reporting. So do we think AZZ is an attractive buy at the current price? When making that decision, it's important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it's free. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-05-2025
- Yahoo
Las Vegas driver hit with $417 ticket wants traffic laws changed: ‘When you're retired, that's a lot of money'
LAS VEGAS (KLAS) — Pay first, fight later: If you get a traffic ticket in Nevada, you have to pay the penalty before you even go to court — $417 later, a Las Vegas couple learned that the hard way. In January, a Clark County School District police officer pulled over Kim Ferguson for speeding. 'Hi, how are you doing?' the interaction began, according to body-camera video the 8 News Now Investigators obtained. But that quick, friendly greeting later gave Ferguson a not-so-pleasant feeling. 'I said, 'Oh my gosh. I've never had a ticket before. I don't know what to do,'' she said about the stop. Her ticket-free streak ended as the officer cited her for going over the speed limit in a 15-mile-per-hour school zone. 'The reason I'm stopping you is it's a 15-mile-an-hour school zone right now on Spencer,' the officer said. 'You're doing a 31 going through it.' The officer would lower that speed to 20 for Ferguson's ticket, telling her it would cost several hundred dollars. Ferguson, who said she drives below the speed limit and was following the flow of traffic as it sped up at the end of the school zone, expected a $200 bill. 'We looked on the thing and I told my husband, 'Oh my god, it's $417,'' Ferguson said. It's $417 a state law requires her to pay, whether she wanted to fight it or not. 'You're going to have to contact the court to pay the fine — if you want to go to court to court to contest it. All the information is right here,' the officer said before driving off. 'When you're retired, that's a lot of money,' said Kim's husband, Tom Ferguson, calling the system a revenue generator. 'Now maybe to some people it's not, but to us it is.' The Fergusons paid the ticket and said there was no point in fighting it. They added that it would cost more money to hire a lawyer. 'The punishment doesn't match the crime,' Tom Ferguson said. 'If you were doing 50 miles per hour in a school zone, I would understand that, but 20? It doesn't make sense to me.' It did not make sense to lawmakers either. Since 2021, Nevada lawmakers, both Democrats and Republicans, have changed most traffic infractions, like a speeding ticket, to be a civil infraction, not a criminal one. That means tickets no longer carry the threat of jail time, and missed court appearances do not really matter in the long run since the court may already have your money. The way state law is interpreted now: 'The court shall require the person to post a bond equal to the amount of the full payment of the monetary penalty,' means ticketed drivers have to pay in full, no matter what. 'I think the bigger issue, especially among my colleagues here at the Legislature, is just the unfairness in having to pay the fine first and then be seen by a judge,' Democratic State Sen. Melanie Scheible said. Her proposal, Senate Bill 359, would amend Nevada's traffic-ticket law to give courts flexibility to reduce that bond — that ticket payment. 'For many Nevadans, especially those with limited financial means, this upfront payment creates a financial barrier to their right to a hearing,' Scheible said during a recent legislative hearing. In Kim Ferguson's case, she paid the bond and lost faith in the system. In addition, changes in Senate Bill 359 would combine civil and criminal infractions — minor speeding offenses versus driving without a license — and allow a judge to deal with both in one hearing. 'We have to continue to develop legislation that still allows for our enforcement agencies to hold people accountable when they violate traffic laws,' Scheible said. The Fergusons feel the system is a money maker, adding that they paid an additional fee to pay online. Moving forward, Kim Ferguson, who said she always drives below the speed limit, said this was her first and final citation. 'I just go a lot slower now — there's no more tickets,' she said. The 8 News Now Investigators discovered a potential error on the ticket, leading to questions about the validity of the entire case. The officer who wrote the ticket noted a registration lapse, however, the Fergusons said they always keep up with their payments. A spokesperson for the Nevada Department of Motor Vehicles confirmed it did not appear the Fergusons ever had a lapse in coverage. Scheible's proposal passed unanimously out of the state Senate. It was moving forward in the Assembly and would likely pass in that chamber as well. 8 News Now Investigator David Charns can be reached at dcharns@ Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
