AZZ Beats On Q1 Earnings, Raises FY22 Guidance

AZZ Inc AZZ reported Q1 sales of $229.83 million, an increase of 7.7% year-over-year, beating a consensus of $223.69 million.
Earnings per share were $0.88, beating the consensus of $0.62.
Sales by segments: Metal Coatings $127.7 million (+7.3% Y/Y); and Infrastructure Solutions $102.1 million (+8.3% Y/Y).
The gross margin expanded by 540 bps to 25.2%.
Operating income increased by 114.5% to $30.71 million, and the margin expanded by 665 bps to 13.4%.
The company generated net cash by operating activities of $11.06 million, compared to the $11.18 million cash used in Q1 2020.
AZZ had cash and cash equivalents of $12.4 million as of May 31, 2021.
During the quarter, the company repurchased 125,770 shares, totaling $6.3 million.
Outlook: For the fiscal year 2022, AZZ expects sales of $855 million to $935 million (prior $835 million to $935 million) vs. consensus of $911.5 million; and EPS of $2.65 to $3.05 (prior $2.45 to $2.95) vs. consensus of $2.70.
Price action: AZZ shares are trading higher by 0.27% at $51.69 in the premarket session on the last check Friday.

Earnings Calendar