Overview
Galvanizing solutions firm's fiscal Q3 sales rose 5.5%, beating analyst expectations
Adjusted EPS for fiscal Q3 beat analyst expectations, rising 9.4% yr/yr
Company repurchased $20 mln in shares and reduced debt by $35 mln in Q3
Outlook
AZZ Inc. narrows FY2026 sales guidance to $1.625 bln - $1.7 bln
Company expects FY2026 adjusted EBITDA of $360 mln - $380 mln
AZZ Inc. anticipates FY2026 adjusted EPS of $5.90 - $6.20
Result Drivers
METAL COATINGS GROWTH - Sales in Metal Coatings rose 15.7% due to increased volume from infrastructure-related projects in construction, industrial, and electrical transmission and distribution markets
PRECOAT METALS DECLINE - Precoat Metals sales fell 1.8% due to weaker demand in building construction, HVAC, and transportation markets
OPERATIONAL EXECUTION - Higher adjusted EBITDA and EPS were attributed to sales momentum and disciplined operational execution
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Sales | Beat | $425.70 mln | $418.16 mln (9 Analysts) |
Q3 Adjusted EPS | Beat | $1.52 | $1.47 (10 Analysts) |
Q3 Adjusted EBITDA | Slight Beat* | $91.20 mln | $90.76 mln (10 Analysts) |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the iron & steel peer group is "buy"
Wall Street's median 12-month price target for AZZ Inc is $123.00, about 11.4% above its January 6 closing price of $110.42
Press Release: ID:nPn9q4jF2a
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)