Click here to close now.

Welcome!

.NET Authors: Aria Blog, Pat Romanski, Elizabeth White, Hovhannes Avoyan, Sanjeev Sharma

News Feed Item

AZZ incorporated Reports Results for the Third Quarter and Year-To-Date of Fiscal Year 2013, and Announces the Acquisition of G3 Galvanizing Limited in Halifax, Nova Scotia

For the nine months - Revenues Increase 25%, Net Income up 62%, Earnings per Share Increased 61% and Backlog Increased 63% when compared to the same period last year

FORT WORTH, Texas, Jan. 9, 2013 /PRNewswire/ -- AZZ incorporated (NYSE:AZZ), (the "Company" or "AZZ") a manufacturer of electrical products and a provider of galvanizing services, today announced unaudited financial results for the three and nine-month periods ended November 30, 2012. Revenues for the third quarter were $149.7 million compared to $116.5 million for the same quarter last year, an increase of 29 percent. Net income for the third quarter was $15.4 million, or $0.60 per diluted share, compared to net income of $10.0 million, or $0.39 per diluted share, in last year's third fiscal quarter. 

For the nine-month period, the Company reported revenues of $430.2 million compared to $345.5 million for the comparable period last year, an increase of 25 percent.  Net income for the nine months was $47.2 million, or $1.85 per diluted share, compared to $29.1 million, or $1.15 per diluted share in the comparable period of last year.  The net income and earnings per diluted share for the first nine months reflect a pre-tax gain of approximately $6 million related to a partial insurance settlement for assets destroyed in a fire at one of the Company's galvanizing facilities.  While we expect to receive substantial additional insurance proceeds under the policy in the future, the ultimate amount that we collect has not yet been determined.  Any future recoveries under this policy will be recognized in the period in which proceeds are approved by our insurance carrier.  Pro forma earnings per diluted share exclusive of this non operational income item for the first nine months were $1.73, a 50 percent gain over the same period last year.

Backlog at the end of our third quarter was $215.8 million, which includes the favorable impact of Nuclear Logistics Incorporated's acquired backlog. Backlog at the end of the third quarter of fiscal year 2012 was $132.1 million and $138.6 million at February 29, 2012. Incoming orders for the third quarter were $152.4 million while shipments for the quarter totaled $149.7 million, resulting in a book to ship ratio of 102 percent. Of the backlog of $215.8 million, 29 percent is to be delivered outside of the U.S.

Revenues for the Electrical and Industrial Products Segment for the third quarter of fiscal 2013 were $60.4 million as compared to $43.9 million for the same quarter last year, an increase of 38 percent.  NLI, acquired June 1, 2012, contributed $16.4 million of this increase.  Operating income for the segment increased 57 percent to $9 million compared to $5.7 million in the same period last year.  Operating margins for the third quarter were 15 percent for the quarter as compared to 13 percent in the prior year period. For the first nine months of fiscal 2013, revenues increased 26 percent to $171.6 million and operating income increased 38 percent to $25.1 million compared to $136.5 million and $18.2 million respectively, in the prior year period.  Operating margin for the first nine months was 15 percent as compared to 13 percent in the prior year period.

Revenues for the Company's Galvanizing Service Segment for the third quarter were $89.3 million, compared to the $72.6 million in the same period last year, an increase of 23 percent.  Operating income was $24.4 million as compared to $18.6 million in the prior period, an increase of 32 percent. Operating margins for the third quarter were 27 percent, compared to 26 percent in the same period last year. For the nine months of fiscal 2013, revenues increased 24 percent to $258.6 million and operating income increased 30 percent to $70.6 million compared to $209 million and $54.4 million respectively, for the first nine months of the prior year.  Year to date operating margins were 27 percent compared to 26 percent in the prior year period. 

David H. Dingus, president and chief executive officer of AZZ incorporated, commented, "The third quarter and first nine months of fiscal 2013 reflects favorable year over year growth in both segments and effective identification and execution of our opportunities in a market environment of continued economic and regulatory uncertainty.  We are extremely pleased with the reported results.  We continue our effort to identify product and market expansion opportunities to further enhance our strategic position."

The company today announced that it has acquired G3 Galvanizing, a galvanizing operation in Halifax, Nova Scotia on January 2, 2013.  This acquisition is part of the stated AZZ strategy to continue the geographic expansion of its served markets that should provide a basis for continued growth of the Galvanizing Services Segment of AZZ.  G3, while relatively small in terms of production and revenue, has a rich heritage of providing superior level of service and support to the customers in Canadian Maritimes.  Operated with pride and integrity since its founding, this very successful operation will complement our existing network of North American plants.  Existing operating management has agreed to remain with the company and the acquisition is anticipated to be accretive in the first year of operation.

Based upon the evaluation of information currently available to management, we are revising our fiscal year 2013 guidance for revenues to be in the range of $575 to $585 million.  Our earnings are anticipated to be in the range of $2.35 and $2.45 per diluted share.  This guidance reflects the two-for-one-stock split effective July 30, 2012.  The previously issued guidance was for revenues to be in the range of $575 to $600 million and that fully diluted earnings per share to be in the rage of $2.25 to $2.40 after the effect of the two-for-one stock split.  Our guidance does reflect the acquisition of NLI during the last nine months of fiscal 2013 and the acquisition of Galvcast for the last five months of fiscal 2013, and G3 Galvanizing for the last two months of the fiscal 2013.

AZZ incorporated will conduct a conference call to discuss financial results for the third quarter of fiscal year 2013 at 11:00 A.M. ET on Wednesday, January 9, 2013.  Interested parties can access the conference call by dialing (877) 317-6789 or (412) 317-6789 (international). The call will be web cast via the Internet at www.azz.com/azzinvest.htm.  A replay of the call will be available for three days at (877) 344-7529 or (412) 317-0088 (international), confirmation #10022595 or for 30 days at www.azz.com/azzinvest.htm.  

AZZ incorporated is a specialty electrical equipment manufacturer serving the global markets of power generation, transmission and distribution and industrial, as well as a leading provider of hot dip galvanizing services to the North American steel fabrication market.

Certain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by terminology such as, "may," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential," "continue," or the negative of these terms or other comparable terminology. Such forward-looking statements are based on currently available competitive, financial and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain, and investors must recognize that actual results may differ from those expressed or implied in the forward-looking statements. This release may contain forward-looking statements that involve risks and uncertainties including, but not limited to, changes in customer demand and response to products and services offered by AZZ, including demand by the power generation markets, electrical transmission and distribution markets, the industrial markets, and the hot dip galvanizing markets; prices and raw material cost, including zinc and natural gas which are used in the hot dip galvanizing process; changes in the economic conditions of the various markets that AZZ serves, foreign and domestic, customer request delays of shipments, acquisition opportunities, currency exchange rates, adequacy of financing, and availability of experienced management employees to implement AZZ's growth strategy. AZZ has provided additional information regarding risks associated with the business in AZZ's Annual Report on Form 10-K for the fiscal year ended February 29, 2012 and other filings with the SEC, available for viewing on AZZ's website at www.azz.com and on the SEC's website at www.sec.gov.  You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. These statements are based on information as of the date hereof and AZZ assumes no obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact:

Dana Perry, Senior Vice President – Finance and CFO


AZZ incorporated 817-810-0095


Internet: www.azz.com




Lytham Partners 602-889-9700


Joe Dorame or Robert Blum


Internet: www.lythampartners.com

---Financial tables on the following page---

 

AZZ incorporated

Condensed Consolidated Statement of Income

(in thousands except per share amounts)

 


Three Months Ended


Nine Months Ended


November 30, 2012


November 30, 2011


November 30, 2012


November 30, 2011


(unaudited)


(unaudited)


(unaudited)


(unaudited)









Net sales

$149,675


$116,493


$430,203


$345,487

Costs and Expenses:








     Cost of Sales

104,672


85,686


304,022


253,231

     Selling, General and Administrative

17,895


11,320


49,019


36,110

     Interest Expense

3,234


3,519


9,802


10,453

     Net (Gain) Loss on Sales or Insurance Settlement of Property, Plant and Equipment

157


(7)


(5,794)


164

     Other (Income)

(454)


(193)


(700)


(1,225)


$125,504


$100,325


$356,349


$298,733









Income before income taxes

24,171


16,168


73,854


46,754

Income Tax Expense

8,807


6,147


26,631


17,662

Net income

$15,364


$10,021


$47,223


$29,092

Net income per share








      Basic

$0.61


$0.40


$1.87


$1.16

      Diluted

$0.60


$0.39


$1.85


$1.15

      Diluted average shares outstanding

25,603


25,374


25,537


25,340









 

Segment Reporting

(in thousands)

 


Three Months Ended


Nine Months Ended


November 30, 2012


November 30, 2011


November 30, 2012


November 30, 2011


(unaudited)


(unaudited)


(unaudited)


(unaudited)







Net Sales:








   Electrical and Industrial Products

$60,421


$43,849


$171,633


$136,518

   Galvanizing Services

89,254


72,644


258,570


208,969


$149,675


$116,493


$430,203


$345,487









Segment Operating Income:








   Electrical and Industrial Products

$8,952


$5,719


$25,087


$18,214

   Galvanizing Services

24,449


18,555


70,631


54,431

   Total Segment Operating Income

$33,401


$24,274


$95,718


$72,645









 

Condensed Consolidated Balance Sheet

(in thousands)

 


November 30,

2012

February 29,

2012


(unaudited)

 (audited)




Assets:



      Current assets

$252,132

$302,736

      Net property, plant and equipment

$152,006

$135,827

      Other assets, net

$270,327

$168,212

      Total assets

$674,465

$606,775




Liabilities and shareholders' equity:



      Current liabilities

$109,493

$77,979

      Long term debt due after one year

$196,429

$210,714

      Other liabilities

$41,174

$30,473

      Shareholders' equity

$327,369

$287,609

Total liabilities and shareholders' equity

$674,465

$606,775







 

Condensed Consolidated Statement of Cash Flows

(in thousands)

 


Nine Months Ended


November 30,

2012

November 30,

2011


(unaudited)

(unaudited)




Net cash provided by (used in) operating activities

$66,587

$46,832

Net cash provided by (used in) investing activities

($133,602)

($16,070)

Net cash provided by (used in) financing activities

($26,807)

($9,221)

Effect of exchange rate changes on cash

$27

$168

Net increase (decrease) in cash and cash equivalents

$(93,797)

$21,709

Cash and cash equivalents at beginning of period

$143,303

$138,390

Cash and cash equivalents at end of period

$49,506

$160,099




 

SOURCE AZZ incorporated

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of presentation. In her session at @ThingsExpo, Jocelyn Scheirer, CEO & Founder of Bionolux, will discuss ho...
Roberto Medrano, Executive Vice President at SOA Software, had reached 30,000 page views on his home page - http://RobertoMedrano.SYS-CON.com/ - on the SYS-CON family of online magazines, which includes Cloud Computing Journal, Internet of Things Journal, Big Data Journal, and SOA World Magazine. He is a recognized executive in the information technology fields of SOA, internet security, governance, and compliance. He has extensive experience with both start-ups and large companies, having been involved at the beginning of four IT industries: EDA, Open Systems, Computer Security and now SOA.
When it comes to the Internet of Things, hooking up will get you only so far. If you want customers to commit, you need to go beyond simply connecting products. You need to use the devices themselves to transform how you engage with every customer and how you manage the entire product lifecycle. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, will show how “product relationship management” can help you leverage your connected devices and the data they generate about customer usage and product performance to deliver extremely compelling and reliabl...
SYS-CON Events announced today that GENBAND, a leading developer of real time communications software solutions, has been named “Silver Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. The GENBAND team will be on hand to demonstrate their newest product, Kandy. Kandy is a communications Platform-as-a-Service (PaaS) that enables companies to seamlessly integrate more human communications into their Web and mobile applications - creating more engaging experiences for their customers and boosting collaboration and productiv...
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, shared some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, a...
The industrial software market has treated data with the mentality of “collect everything now, worry about how to use it later.” We now find ourselves buried in data, with the pervasive connectivity of the (Industrial) Internet of Things only piling on more numbers. There’s too much data and not enough information. In his session at @ThingsExpo, Bob Gates, Global Marketing Director, GE’s Intelligent Platforms business, to discuss how realizing the power of IoT, software developers are now focused on understanding how industrial data can create intelligence for industrial operations. Imagine ...
The 3rd International @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - is now accepting submissions to demo smart cars on the Expo Floor. Smart car sponsorship benefits include general brand exposure and increasing engagement with the developer ecosystem.
Operational Hadoop and the Lambda Architecture for Streaming Data Apache Hadoop is emerging as a distributed platform for handling large and fast incoming streams of data. Predictive maintenance, supply chain optimization, and Internet-of-Things analysis are examples where Hadoop provides the scalable storage, processing, and analytics platform to gain meaningful insights from granular data that is typically only valuable from a large-scale, aggregate view. One architecture useful for capturing and analyzing streaming data is the Lambda Architecture, representing a model of how to analyze rea...
SYS-CON Events announced today that Vitria Technology, Inc. will exhibit at SYS-CON’s @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Vitria will showcase the company’s new IoT Analytics Platform through live demonstrations at booth #330. Vitria’s IoT Analytics Platform, fully integrated and powered by an operational intelligence engine, enables customers to rapidly build and operationalize advanced analytics to deliver timely business outcomes for use cases across the industrial, enterprise, and consumer segments.
SYS-CON Events announced today that SoftLayer, an IBM company, has been named “Gold Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place June 9-11, 2015 at the Javits Center in New York City, NY, and the 17th International Cloud Expo®, which will take place November 3–5, 2015 at the Santa Clara Convention Center in Santa Clara, CA. SoftLayer operates a global cloud infrastructure platform built for Internet scale. With a global footprint of data centers and network points of presence, SoftLayer provides infrastructure as a service to leading-edge customers ranging from ...
The explosion of connected devices / sensors is creating an ever-expanding set of new and valuable data. In parallel the emerging capability of Big Data technologies to store, access, analyze, and react to this data is producing changes in business models under the umbrella of the Internet of Things (IoT). In particular within the Insurance industry, IoT appears positioned to enable deep changes by altering relationships between insurers, distributors, and the insured. In his session at @ThingsExpo, Michael Sick, a Senior Manager and Big Data Architect within Ernst and Young's Financial Servi...
SYS-CON Events announced today that Open Data Centers (ODC), a carrier-neutral colocation provider, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. Open Data Centers is a carrier-neutral data center operator in New Jersey and New York City offering alternative connectivity options for carriers, service providers and enterprise customers.
When it comes to the Internet of Things, hooking up will get you only so far. If you want customers to commit, you need to go beyond simply connecting products. You need to use the devices themselves to transform how you engage with every customer and how you manage the entire product lifecycle. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, will show how “product relationship management” can help you leverage your connected devices and the data they generate about customer usage and product performance to deliver extremely compelling and reliabl...
SYS-CON Events announced today that CodeFutures, a leading supplier of database performance tools, has been named a “Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. CodeFutures is an independent software vendor focused on providing tools that deliver database performance tools that increase productivity during database development and increase database performance and scalability during production.
The IoT market is projected to be $1.9 trillion tidal wave that’s bigger than the combined market for smartphones, tablets and PCs. While IoT is widely discussed, what not being talked about are the monetization opportunities that are created from ubiquitous connectivity and the ensuing avalanche of data. While we cannot foresee every service that the IoT will enable, we should future-proof operations by preparing to monetize them with extremely agile systems.
There’s Big Data, then there’s really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. Learn about IoT, Big Data and deployments processing massive data volumes from wearables, utilities and other machines.
The explosion of connected devices / sensors is creating an ever-expanding set of new and valuable data. In parallel the emerging capability of Big Data technologies to store, access, analyze, and react to this data is producing changes in business models under the umbrella of the Internet of Things (IoT). In particular within the Insurance industry, IoT appears positioned to enable deep changes by altering relationships between insurers, distributors, and the insured. In his session at @ThingsExpo, Michael Sick, a Senior Manager and Big Data Architect within Ernst and Young's Financial Servi...
“In the past year we've seen a lot of stabilization of WebRTC. You can now use it in production with a far greater degree of certainty. A lot of the real developments in the past year have been in things like the data channel, which will enable a whole new type of application," explained Peter Dunkley, Technical Director at Acision, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
SYS-CON Events announced today that Intelligent Systems Services will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Established in 1994, Intelligent Systems Services Inc. is located near Washington, DC, with representatives and partners nationwide. ISS’s well-established track record is based on the continuous pursuit of excellence in designing, implementing and supporting nationwide clients’ mission-critical systems. ISS has completed many successful projects in Healthcare, Commercial, Manufacturing, ...
PubNub on Monday has announced that it is partnering with IBM to bring its sophisticated real-time data streaming and messaging capabilities to Bluemix, IBM’s cloud development platform. “Today’s app and connected devices require an always-on connection, but building a secure, scalable solution from the ground up is time consuming, resource intensive, and error-prone,” said Todd Greene, CEO of PubNub. “PubNub enables web, mobile and IoT developers building apps on IBM Bluemix to quickly add scalable realtime functionality with minimal effort and cost.”