Thursday, July 10, 2025
Mark Reichman, Managing Director, Equity Research Analyst, Natural Resources, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
FY 2026 first quarter financial results. AZZ reported adjusted net income of $53.8 million or $1.78 per share compared to $44.0 million or $1.46 per share during the prior year period. We had forecast adjusted net income of $50.1 million or $1.66 per share. Compared to the first quarter of FY 2025, sales increased 2.1% to $422.0 million. Adjusted EBITDA increased 13.1% to $106.4 million, representing 25.2% of sales compared to 22.8% of sales during the prior year period. We had projected adjusted EBITDA of $99.5 million.
Meaningful debt reduction. Cash from operations during the fiscal first quarter amounted to $314.8 million, including proceeds of $273.2 million received from AVAIL’s sale of the Electrical Products Group. Following debt reduction of $285.4 million, AZZ ended the quarter with a net leverage ratio of 1.7x TTM adjusted EBITDA. As of May 31, long-term debt, gross was $614.9 million compared to $900.3 million on February 28. Net of unamortized debt issuance costs, long-term debt was $569.8 million on May 31 compared to $852.4 million on February 28.
Get the Full Report
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
