Electrical equipment maker AZZ Inc. (AZZ) Monday reported a higher fourth-quarter profit, as net sales climbed 14 percent, boosted by growth across its segments. The company also lifted its earnings and revenue outlook for fiscal 2014 to reflect acquisition of Aquilex SRO.
In February end, AZZ agreed to acquire Aquilex Specialty Repair and Overhaul, LLC from Aquilex Holdings LLC for $250 million in cash. Aquilex provides maintenance, repair and revitalization services to the nuclear and fossil fuel power generation markets as well as the refining and industrial markets.
In the fourth quarter, the company's net income increased to $13.23 million or $0.52 per share from $11.64 million or $0.46 per share in the previous year. Excluding non-recurring items, earnings per share for the recent quarter was $0.50 per share.
On average, five analysts polled by Thomson Reuters estimated earnings per share of $0.48 for the quarter. Analysts estimates typically exclude one-time items.
Net sales for the quarter grew 14 percent to $140.39 million from $123.63 million a year earlier, while it came below analysts' estimate of $142.69 million.
Revenues for Electrical and Industrial Products segment increased 18 percent from last year and Galvanizing Service segment showed an increase of 11 percent.
Backlog at the end of the fourth quarter was $221.7 million, up from $138.6 million in the prior year.
For the fiscal year ended February 28, the company posted net income of $60.46 million or $2.37 per share, higher than $40.74 million or $1.61 per share a year ago. Annual sales increased 22 percent to $570.59 million from $469.11 million in the preceding year.
For fiscal 2014, the firm now expects earnings per share to be in the range of $2.65 to $2.95, up from the prior outlook of $2.50 to $2.75 per share. Revenues are now anticipated to be between $825 and $900 million, compared to the earlier guidance of between $625 and $660 million.
Analysts are currently looking for earnings per share of $2.96, on revenues of $880.05 million for the fiscal year.
The board has also declared a dividend of $0.14 per share, to shareholders of record on April 19, 2013, payable on May 3.
AZZ is currently trading at $47.33, up 2.18 percent, on a volume of 52 thousand shares on the NYSE.
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