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May 31, 2025
Azz Q1 2026 Earnings Report
AZZ reported increased revenue and record EPS in Q1 2026, driven by strong segment performance and a significant distribution gain.
Key Takeaways
AZZ delivered strong Q1 2026 results with record EPS and adjusted EBITDA. Metal Coatings saw increased volume, while Precoat Metals improved margins despite lower sales. A major cash distribution from the AVAIL JV boosted net income.
GAAP EPS rose to $5.66, driven by a $273.2M AVAIL JV distribution
Revenue increased to $422.0M, up from $413.2M last year
Adjusted EBITDA rose to $106.4M, with Metal Coatings leading performance
Debt reduced by $285M, net leverage lowered to 1.7x
Revenue by Segment
Forward Guidance
AZZ raised FY2026 guidance, reflecting confidence in segment performance, lower interest expenses, and improved operational leverage.
Positive Outlook
- FY2026 adjusted EPS guidance of $5.75–$6.25
- Sales expected between $1.625B–$1.725B
- EBITDA margin forecasted at 27–32% for Metal Coatings
- Improved demand outlook for Precoat Metals
- Successful bolt-on acquisition closed post-quarter
Challenges Ahead
- Precoat Metals volumes slightly down in some end markets
- Full year excludes future acquisitions or AVAIL JV earnings
- Interest rate exposure remains a macro risk
- Construction and HVAC markets still present uncertainties
- Ongoing inflationary pressures in materials like zinc and gas
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
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