Acuity Inc. reported fourth-quarter adjusted earnings that exceeded analyst expectations, while revenue came in slightly below estimates. The industrial technology company posted adjusted earnings per share of $5.20, surpassing the analyst consensus of $4.84, while revenue reached $1.21 billion, just short of the $1.23 billion analysts had anticipated.
The company’s fourth quarter revenue grew 17.1% compared to the same period last year, driven by strong performance across its business segments. Adjusted operating profit increased to $225.3 million, up from $178.5 million in the prior year, with adjusted operating profit margin expanding by approximately 130 basis points to 18.6%.
Acuity shares fell 1.8% following the earnings release, reflecting mixed investor reaction to the results.
"Our fiscal 2025 fourth quarter performance was strong. We grew net sales, expanded our adjusted operating profit and adjusted operating profit margin, and increased our adjusted diluted earnings per share," stated Neil Ashe, Chairman, President and Chief Executive Officer of Acuity Inc.
The company’s Acuity Brands Lighting segment generated $962.4 million in revenue, a modest 0.8% increase YoY, while the Acuity Intelligent Spaces segment saw substantial growth with revenue of $255.2 million, significantly higher than the prior year.
For the full fiscal year 2025, Acuity reported net sales of $4.3 billion, representing a 13.1% increase from fiscal 2024. Annual adjusted earnings per share reached $18.01, up 15.7% from $15.56 in the previous year.
During the fourth quarter, the company incurred a non-cash pension-settlement charge of $30.9 million resulting from the de-risking of pension plans in the United States and Mexico, which impacted reported earnings.
Acuity generated $601.4 million in operating cash flow for fiscal 2025 and continued its capital allocation strategy, including share repurchases of approximately 436,000 shares totaling $118.5 million.
Source :
https://www.investing.com/news/earnings/acuity-beats-q4-earnings-expectations-despite-revenue-miss-4265706
