Shares of Ferguson Plc (NYSE: FERG) gained ground in Tuesday's trading after the plumbing and heating products distributor reported better-than-expected fourth-quarter earnings and struck an optimistic tone about its long-term prospects, despite ongoing challenges in the near term.
For the quarter ended July 31, Ferguson posted net sales of $7.95 billion, up 1.4% year-over-year. While this slightly missed analysts' estimates, the company saw organic volume growth of about 2% after adjusting for modest price deflation of around 2%. Adjusted earnings per share of $2.98 beat consensus estimates.
Ferguson's performance was mixed across key markets. In the U.S., which accounts for roughly half of the company's sales, residential end markets remained muted due to weakening housing activity in the second half of the fiscal year. However, non-residential markets proved more resilient, growing by approximately 3% in the fourth quarter on solid demand for waterworks projects and commercial/industrial work.
Comments