AZZ Inc. Rises Following Q2 Earnings Beat, Reaffirmed Guidance

AZZ Inc. AZZ shares rose in Tuesday's after-hours session following the company's second-quarter earnings report.

What To Know: AZZ reported quarterly earnings of $1.27 per share which beat the analyst consensus estimate of $1.08, a 2.42% increase over earnings of $1.24 per share from the same period last year. The company reported quarterly sales of $398.50 million which beat the analyst consensus estimate of $396.91 million, a 2.02% decrease over sales of $406.71 million the same period last year.

The company's Metal Coatings segment reported record sales of $169.8 million, up 2.4%.

The company also reaffirmed full-year 2024 guidance, anticipating earnings per share to be in a range between $3.85 and $4.35 and sales between $1.40 billion and $1.55 billion.

Tom Ferguson, president, and CEO of AZZ, commented, "I am pleased to report that our second quarter results were in line with our expectations and set us up well for the balance of the year. While Precoat Metals faced softer market conditions, particularly in certain construction and appliance markets, the team focused on driving profitability, and exceeded 20% EBITDA margin.

"Metal Coatings continued to benefit from infrastructure spending, posted another record quarter for sales and operating income, and exceeded 30% EBITDA margin. Through better earnings and continued good management of working capital, we reduced year-to-date debt by $60.0 million, which included $20.0 million of debt reduction from the first quarter.  We also repriced our term loan B, resulting in more favorable interest rates."

AZZ Price Action: Shares of AZZ were up 3.49% at $47.50 in the after-hours session at the time of publication, according to Benzinga Pro. 

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