News

Apogee Enterprises, Inc. APOG reported earnings per share (EPS) of $1.44 in first-quarter fiscal 2025 (ended Jun 1, 2024), surpassing the Zacks Consensus Estimate of $1.16. The bottom line increased 37.1% year over year.

Apogee generated revenues of $331.5 million in the quarter under review, down 8.3% year over year due to lower volume.

Apogee Enterprises, Inc. Price, Consensus and EPS Surprise

Apogee Enterprises, Inc. price-consensus-eps-surprise-chart | Apogee Enterprises, Inc. Quote

Operational Update

Cost of sales in the fiscal first quarter fell 13.4% year over year to $233 million. Gross profit increased 6.3% year over year to $99 million. The gross margin expanded to 29.8% in the quarter from the prior-year quarter's 25.7%.

Selling, general and administrative expenses decreased 2.9% year over year to $57 million. The operating income rose 22.5% year over year to $41 million.

Segment Performances

In the fiscal first quarter, revenues in the Architectural Framing Systems segment fell 18.9% year over year to $133 million due to lower end-market demand. The segment's operating profit was $18.4 million compared with the year-ago quarter's $19.9 million. The impacts of lower volumes were partially offset by favorable material costs, favorable mix and productivity gains.

Revenues in the Architectural Glass segment decreased 10.8% year over year to $87 million due to lower end-market demand. This was partially offset by improved pricing. The segment reported an operating income of $17 million, up 3.5% year over year.

Revenues in the Architectural Services segment improved 10.7% year over year to $99 million, owing to higher volumes and a favorable mix of projects. The segment reported an operating profit of $5.6 million against an operating loss of $0.6 million in the year-ago quarter.

Revenues in the Large-Scale Optical Technologies segment were down 5.8% year over year to $21 million, driven by lower volume. The segment reported an operating profit of $4.8 million in the fiscal first quarter compared with the prior-year quarter's $5.5 million.

Backlog

The Architectural Services segment's backlog came in at $867 million at the end of the fiscal first quarter compared with $808 million at the end of the prior quarter.

Financial Position

Apogee had cash and cash equivalents of $30 million at the end of first-quarter fiscal 2025 compared with $37 million at the end of fiscal 2024. Cash provided by operating activities was $5.5 million in the fiscal first quarter compared with the prior-year quarter’s $21.3 million.

The long-term debt was $77 million at the end of the fiscal first quarter compared with $62 million at the fiscal 2024-end.

FY25 Guidance

Apogee expects fiscal 2025 adjusted EPS between $4.65 and $5.00, up from the previously disclosed $4.35-$4.75. The company anticipates revenues to decline 4-7% from the fiscal 2024 reported figure. Management projects capital expenditure between $40 million and $50 million for fiscal 2025, and a long-term average tax rate of 24.5%.

Price Performance

Shares of Apogee have gained 37.1% in the past year against the industry's fall of 38.9%.

Image Source: Zacks Investment Research

Zacks Rank

Apogee currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Glass Product Stock Awaiting Results

O-I Glass, Inc. OI is expected to release its second-quarter 2024 results soon. The Zacks Consensus Estimate for the company’s earnings per share is pegged at 41 cents for the second quarter, suggesting a decline of 53.4% from the year-ago reported figure. The Zacks Consensus Estimate for total revenues is pinned at $1.8 billion, indicating a year-over-year decrease of 7.2%.

Industrial Product Stocks Awaiting Results

Applied Industrial Technologies AIT is expected to release its second-quarter 2024 results soon.

The Zacks Consensus Estimate for the company’s earnings per share is pegged at $2.52 for the second quarter, suggesting an improvement of 7.23% from the year-ago reported figure. The Zacks Consensus Estimate for total revenues is pinned at $1.2 billion, indicating a year-over-year increase of 2.4%.

Cintas Corporation CTAS is expected to release its second-quarter 2024 results soon. The Zacks Consensus Estimate for Cintas’ 2024 earnings is pegged at $3.80 per share, indicating year-over-year growth of 14.1%. The Zacks Consensus Estimate for total revenues is pinned at $2.5 billion, implying a year-over-year rise of 7.9%.

7 Best Stocks for the Next 30 Days

Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."

Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.2% per year. So be sure to give these hand picked 7 your immediate attention.

See them now >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

O-I Glass, Inc. (OI) : Free Stock Analysis Report

Cintas Corporation (CTAS) : Free Stock Analysis Report

Applied Industrial Technologies, Inc. (AIT) : Free Stock Analysis Report

Apogee Enterprises, Inc. (APOG) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.