Apogee Enterprises Inc. (NASDAQ: APOG), a Minneapolis-based architectural product and service leader, announced its first quarter earnings after Wednesday market close. Its Q1 EPS of $0.61 is better than the analyst consensus estimate of $0.49, while revenue for this quarter came in at $247.9 million, a little bit higher than estimate of $247.18 million, showing 3 percent increase from last fiscal year.
“I am very pleased with our start to fiscal 2017 - in the first quarter, we grew gross margin by 280 basis points, operating margin by 300 basis points and earnings per share by 49 percent,” said Joseph F. Puishys, Apogee chief executive officer. “Revenue growth at 3 percent was consistent with our expectations, given the timing of project activity.” According to 8-k, its backlog went up by 8 percent. Apogee sees earnings per share for fiscal 2017 of $2.70 to $2.85, up from $2.65 to $2.80.
Apogee is organized in four segments - Architectural Glass, Architectural Services, Architectural Framing systems and Large-Scale Optical Technologies. Revenue of Architectural Glass segment went down 8 percent, based on timing of project activity, while operating income for this segment increased 15 percent. According to the company, operating margin was improved due to excellent pricing and product mix, and strong operational performance. Revenue grew up by 13 percent for both Architectural Services segment and Architectural Framing Systems segment. Those three architectural segments delivered a much more satisfying result than Large-Scale Optical Technologies segment whose revenue was flat and operating income was down 4 percent.
Apogee shares moved to $45.33 as of 4:00 pm on Thursday, 9.23% up from previous closing price $41.50.