Apogee Enterprises Q1 2021 Earnings Report
Key Takeaways
Apogee Enterprises reported a challenging first quarter due to COVID-19, with revenue declining by 19% year-over-year to $289 million. Earnings per share were $0.11, and adjusted EPS was $0.15. The company managed to mitigate the impact of reduced revenue through cost management and capacity adjustments, resulting in positive earnings and strong cash flow. They did not provide guidance for fiscal year 2021.
Revenue decreased by 19% year-over-year to $289 million due to COVID-19 related volume declines.
Earnings per share were $0.11, and adjusted EPS was $0.15, impacted by COVID-19 related costs.
Strong cash flow was driven by effective working capital management.
Architectural Services segment backlog grew to a record $685 million.
Apogee Enterprises
Apogee Enterprises
Apogee Enterprises Revenue by Segment
Forward Guidance
Given the uncertainty in our end markets and the economy, at this time we are not providing guidance for fiscal 2021, but will strive to offer more details as the economic situation stabilizes.
Positive Outlook
- Signs of improvement in end markets and the economy are beginning to appear following the end of the first quarter.
- Optimism that results in the coming quarters will be stronger than the first quarter.
- Large-Scale Optical customers have begun to gradually reopen.
- Expect project delays and workforce absences to moderate in Architectural segments.
- Strong backlog provides good visibility in the longer lead-time parts of the business.
Challenges Ahead
- Uncertainty in end markets.
- Uncertainty in the economy.
- Significant COVID-19 related headwinds across the business.
- Near-complete shutdown of Large-Scale Optical segment customers for most of the quarter.
- Several projects temporarily halted or delayed in Architectural segments.
Revenue & Expenses
Visualization of income flow from segment revenue to net income