Acquisition Helps Lift AZZ 3Q Profit 54 Percent
FORT WORTH, Texas (AP) â¿¿ Electrical equipment maker AZZ said Wednesday that net income rose 54 percent in its fiscal third quarter, buoyed by a recent acquisition.
The company, which supplies utilities, power plants, mining companies and other industries, also raised its earnings forecast for the year, but trimmed the high end of its revenue outlook.
For the three months ended Nov. 30, AZZ Inc. earned $15.4 million, or 60 cents per share. A year earlier the company earned $10 million, or 39 cents per share. Analysts polled by FactSet expected profit of 57 cents per share.
Revenue climbed 29 percent to $149.7 million from $116.5 million, thanks to a big boost from Nuclear Logistics. AZZ bought the company, which provides equipment for nuclear power plants, in June for an undisclosed amount.Electrical and industrial products division revenue increased 38 percent to $60.4 million, with nearly all of the gain coming from Nuclear Logistics. At the company's steel galvanizing unit, revenue climbed 23 percent to $89.3 million. The Fort Worth, Texas company also said Wednesday that it's bought G3 Galvanizing, its second Canadian acquisition since October. AZZ didn't release what it paid for G3. The company now predicts profit of $2.35 to $2.45 per share for its 2013 fiscal year, which ends in February. It had earlier forecast earnings of $2.25 to $2.40 per share, while analysts expected earnings of $2.37 per share. AZZ forecast revenue between $575 million to $585 million, down from its previous prediction of $575 million to $600 million.
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