AZZ Shares Sink After Weak Demand Hurt 2Q Sales

Dow Jones10-09
 

By Connor Hart

 

Shares of AZZ fell after the company reported lower-than-expected results in its fiscal second quarter, with sales hurt by weak demand across several end markets.

The stock declined 8.8% to $96.57 in premarket trading Thursday. Through Wednesday's close, shares are up 30% over the past year.

The provider of hot-dip galvanizing and coil-coating solutions late Wednesday posted adjusted earnings of $1.55 a share on revenue of $417.3 million. Analysts polled by FactSet were looking for adjusted earnings of $1.57 a share on revenue of $426.6 million.

For its three months ended Aug. 31, profit rose to $89.3 million, from $35.4 million a year earlier.

Chief Executive Tom Ferguson said the company's precoat-metals unit experienced weaker demand in end markets such as building construction; heating, ventilation and air conditioning; and appliances. Sales fell 4.3% to $227.3 million.

This loss was offset by sales of metal coatings, which climbed 11% on increased volumes from infrastructure-related spending in the construction, industrial, and electrical transmission and distribution markets, said AZZ.

For the fiscal year, the Fort Worth, Texas-based company continues to expect adjusted earnings per share of $5.75 to $6.25 and sales of about $1.63 billion to $1.73 billion.

 

Write to Connor Hart at connor.hart@wsj.com

 

(END) Dow Jones Newswires

October 09, 2025 08:51 ET (12:51 GMT)

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