According to Reuters, shares of Acuity Brands, Inc. (NYSE: AYI) rose to 11 percent after the lighting manufacturer released its third quarter earnings early Thursday.
The lighting company announced a net income of $82.2 million ($1.90 per share) from $74 ($1.69) million the previous quarter. As a result, adjusted earnings per share rose to $2.15, above the estimated $2.02. During the third quarter, sales rose from 891.6 million from $851.5million, also higher than prior estimates. 98% revenue is gained from North America.
Although the lighting industry is known to be extremely competitive, Acuity has been able to make growth in sales in the lower double digits which is approximately twice of its competitors.
CEO Vernon Nagel stated, "Our third quarter net sales reflect continued solid performance even though initial industry data suggests that the growth rate of the Company's key end markets in North America grew only in the low single-digit range." He added, “The market growth rate reflected continued softness in demand for certain short-cycled, smaller lighting projects."
Despite positive earnings from the quarter, shares have fell 14% since the beginning of 2017.