Acuity Inc Q1 adjusted EPS beats estimates as margins expand

Overview

• Industrial technology firm's fiscal Q1 net sales rose 20% yr/yr, meeting analyst expectations

• Adjusted EPS for fiscal Q1 beat analyst expectations

• Company repurchased shares and repaid term-loan borrowings

Result Drivers

• AIS GROWTH - Acuity Intelligent Spaces segment saw a significant increase in net sales, partly due to the inclusion of QSC performance

• ABL PERFORMANCE - Acuity Brands Lighting segment reported modest growth in net sales and operating profit

• MARGIN IMPROVEMENT - Adjusted operating profit margin increased, particularly in the AIS segment

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the construction supplies & fixtures peer group is "buy"

• Wall Street's median 12-month price target for Acuity Inc is $406.50, about 9.9% above its January 7 closing price of $369.79

• The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nGNX9VwFWt

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