AZZ Inc. reports Q1 adjusted EPS $1.46, consensus $1.30

Reports Q1 revenue $413.2, consensus $402.05M. CEO Tom Ferguson commented, “We are very pleased with our Q1 sales of $413M and adjusted EPS of $1.46, fueled by strong topline growth of 5.7% over the prior year. Both segments performed well, delivering organic sales expansion of 4.7% for Metal Coatings and 6.5% for Precoat Metals. Consolidated EBITDA margin grew to 22.8%, driven by increased volume and zinc productivity over the prior year. This quarter, we continued to generate strong operating cash flows that permitted us to further strengthen our balance sheet. We further reduced debt by $25M in the quarter, on pace to reach our stated target of $60M-$90M for the fiscal year. Capital expenditures for the first quarter of approximately $27.4 million included $16.2 million of spending related to our new greenfield plant in Washington, Missouri, which continues to track to the previously disclosed construction timeline and budget”.