Shares of Apogee Enterprises, Inc. (APOG) fell 12% since reporting fourth-quarter fiscal 2025 results on April 24. APOG registered fourth-quarter fiscal 2024 (ended March 1, 2025) adjusted earnings per share (EPS) of 89 cents, missing the Zacks Consensus Estimate of 90 cents. The bottom line decreased 21.9% year over year.Including one-time items, the company reported earnings per share of 11 cents compared with the year-ago quarter's 71 cents. (Find the latest EPS estimates and surprises on Zacks Earnings ...

The shares of glass maker Apogee Enterprises (APOG -12.63%) were quite brittle on Thursday in the wake of the company's fiscal fourth quarter and full-year 2025 earnings release. Investors didn't take the news well, ultimately trading out of the stock and leaving it with an almost 13% decline in a trading session where the S&P 500 index rose by 2%.Declines in important metricsMuch of this was due to the fact that Apogee posted declines in key fundamentals; net sales were down by nearly 5% year over year at ...

Apogee Enterprises, Inc. (NASDAQ:APOG) Q4 2025 Earnings Conference Call April 24, 2025 9:00 AM ET Company Participants Jeff Huebschen - Vice President, Investor Relations Ty Silberhorn - Chief Executive Officer Matt Osberg - Chief Financial Officer Conference Call Participants Julio Romero - Sidoti & Company, LLC Gowshi Sri - Singular Research Operator Good day, and welcome to the Q4 2025 Apogee Enterprises Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker ...

Image source: The Motley Fool.Thursday, Apr 17, 2025CALL PARTICIPANTSTy Silberhorn: Chief Executive OfficerMatt Osberg: Chief Financial OfficerJeff Huebschen: Investor RelationsRISKSNonresidential construction forecasts now point to a slight decline, with interest rate-sensitive sectors like office, commercial, lodging, and multifamily projected to decline again in 2025. New tariffs on aluminum products are expected to negatively impact adjusted EPS by $0.45-$0.55 in fiscal 2026, with 60% affecting the Serv ...

Sales and Revenue - In fiscal 2025, the Architectural Metals Segment accounted for approximately 39% of net sales, while the Architectural Services Segment contributed about 31%[20] - The Architectural Glass Segment provides customized solutions and accounted for approximately 21% of net sales in fiscal 2025[20] - The Performance Surfaces Segment, which develops high-performance coated materials, represented approximately 9% of net sales in fiscal 2025[20] - Consolidated net sales for fiscal 2025 were $1.36 billion, a decrease of 3.9% compared to $1.42 billion in fiscal 2024, primarily due to lower volume in Architectural Metals and Architectural Glass, partially offset by a $32.0 million contribution from the acquisition of UW Solutions[131] - Net sales decreased to $524.7 million in fiscal 2025 from $601.7 million in fiscal 2024, primarily due to reduced volume and lower end market demand[136] - The company experienced a decline in net sales in the Architectural Glass segment to $322.2 million in fiscal 2025 from $378.4 million in fiscal 2024, driven by lower volume[137] - Architectural Metals segment net sales decreased by 12.8% to $524.7 million, while Architectural Services saw an increase of 11.0% to $419.9 million[132] Financial Performance - Gross profit for fiscal 2025 was $359.9 million, with a gross margin of 26.4%, an improvement from 25.9% in fiscal 2024, driven by a favorable mix of projects and lower quality-related costs[131] - Operating income decreased to $118.1 million in fiscal 2025, with an operating margin of 8.7%, down from 9.4% in fiscal 2024, primarily due to lower sales volume and acquisition-related expenses[131] - Net earnings for fiscal 2025 were $85.1 million, a decline of 14.6% from $99.6 million in fiscal 2024, with diluted earnings per share (EPS) of $3.89 compared to $4.51 in the previous year[128] - Adjusted operating income grew 2.4% to $149.8 million, with an adjusted operating margin improving to 11.0%[131] - The effective income tax rate increased to 24.4% in fiscal 2025 from 22.9% in fiscal 2024, primarily due to an increase in tax expense for discrete items[131] - Acquisition-related costs totaled $10.3 million in fiscal 2025, impacting net earnings and adjusted earnings per share[149] Employee and Workplace Safety - The company had approximately 4,500 employees as of March 1, 2025, reflecting an increase from 4,400 employees the previous year[44] - The company aims to achieve an incident rate of zero in workplace safety through its enterprise-wide health and safety program[46] - The company conducts annual safety culture assessments and compliance audits to enhance safety programs and employee engagement[47] - The company offers comprehensive health and wellness programs, including medical insurance and preventive care, to support employee well-being[48] - The company emphasizes diversity and inclusion, conducting annual training to reduce bias and promote equal opportunity[49] - The talent management program focuses on employee development, offering training, coaching, and education assistance for career growth[50] Strategic Initiatives and Growth - The company invested in organic and inorganic growth initiatives, including the acquisition of UW Interco, LLC and capacity expansion in the Performance Surfaces segment[21] - The company aims to shift its business mix toward higher operating margin offerings to improve return on invested capital performance[19] - The company is exploring strategic opportunities, including acquisitions and divestitures, to drive long-term growth and efficiency[63] - The company’s strategy includes strengthening core capabilities through a center-led functional expertise model and the Apogee Management System[19] Risks and Challenges - The company is influenced by North American economic conditions, particularly in the non-residential construction industry, which affects sales and operations[56] - The company faces risks from global instability, which could adversely affect operations and project timelines[59] - Supply chain disruptions, particularly in aluminum and raw glass, could negatively impact the company's operating results[70] - Rising interest rates and inflation could reduce demand for the company's products and services, negatively impacting profitability[86] - The company is vulnerable to fluctuations in economic cycles, which may affect supplier performance and contract terms[72] - Difficulties in maintaining information technology systems and potential cybersecurity threats could disrupt business operations and increase expenses[74] - The company may face increased costs due to changes in trade policies and tariffs, which could adversely affect operating results and profitability[79] - The company has experienced product liability and warranty claims, which could lead to additional expenses and negatively impact operating results[83] - The company’s liquidity may be adversely affected by changes in capital and credit markets, impacting its ability to fund operations and pursue business opportunities[91] - The company’s internal controls over financial reporting may not always prevent misstatements, potentially leading to restatements and regulatory investigations[90] - The number of data security incidents has increased regulatory focus on security requirements, which may lead to additional compliance costs[78] Project and Restructuring Updates - The Company incurred a total of $16.7 million in pre-tax charges related to "Project Fortify," delivering estimated annualized cost savings of approximately $14 million[123] - An extension of "Project Fortify Phase 2" is expected to incur approximately $24 million to $26 million in pre-tax charges, with annualized pre-tax cost savings projected at $13 million to $15 million[124] - The company recognized restructuring charges related to Project Fortify totaling $6.2 million in asset impairment, $5.9 million in employee termination costs, and $0.3 million in other costs for fiscal 2024[156] Shareholder Returns and Stock Performance - Cash dividends paid per share for fiscal 2025 totaled $1.0100, an increase from $0.9700 in fiscal 2024[111] - The Company repurchased a total of 548,337 shares at an average price of $58.70 during the fourth quarter of fiscal 2025[112] - The company returned $67.1 million to shareholders through share repurchases and dividends, compared to $33 million in the prior year[165] Backlog and Contract Management - The company had $394.1 million of backlog bonded by performance bonds with a face value of $1.2 billion as of March 1, 2025[179] - Approximately 36% of total revenue in fiscal 2025 was derived from longer-term, fixed-price contracts, primarily in the Architectural Services Segment[186] - The company measures progress on long-term contracts using an input method, comparing total costs incurred to-date to estimated total costs, recording that proportion of the total contract price as revenue[186] - Architectural Services Segment backlog was $720.3 million at the end of fiscal 2025, down from $807.8 million in the prior year[140] Market and Economic Conditions - The Performance Surfaces Segment relies heavily on the U.S. retail custom picture framing industry, which is sensitive to consumer confidence[57] - The company is exposed to market risks related to changes in interest rates, foreign currency exchange rates, and raw material pricing[206] - A 200 basis point change in interest rates could impact net earnings by approximately $0.6 million[208] - The company manages foreign currency risk through local operations and forward purchase foreign currency contracts[211] - The company cannot accurately calculate the pre-tax impact of a 1% change in commodity costs of aluminum and lumber on fiscal 2025 operating results due to various influencing factors[214] Cybersecurity and Legal Matters - The company reported no material adverse effects from cybersecurity incidents, maintaining a robust cybersecurity risk management program[97] - The Board oversees the cybersecurity risk management program, receiving updates on the Company's cyber risk profile at least twice a year[101] - The Company has not identified any legal proceedings that would have a material adverse effect on its financial condition[106] Impairment and Valuation - The company incurred $7.6 million in pre-tax impairment charges related to indefinite-lived intangibles in the Architectural Metals Segment due to strategic branding changes[88] - A 100 basis point increase in the weighted average cost of capital could decrease estimated fair values of reporting units by $13 million to $60 million[194] - The company has intangible assets with indefinite useful lives, and for fiscal 2025, recognized an impairment expense of $7.6 million due to carrying amounts exceeding fair value[198] - For fiscal 2025, the company bypassed qualitative assessments for goodwill impairment and directly compared fair value to carrying value, with fair value exceeding carrying value across all reporting units[194] - Management is responsible for maintaining adequate internal control over financial reporting to ensure reliability and compliance with accounting principles[215]

Apogee Enterprises, Inc. Nasdaq: APOG Fiscal 2025 Fourth Quarter Earnings Call April 24, 2025 University of Washington, NanoES – Seattle © Aaron Leitz Photography; courtesy of ZGF Non-GAAP measures & forward-looking statements This presentation contains measures of financial performance that are not defined by U.S. GAAP. We believe that these measures provide useful information and include these measures in other communications to investors. For each of these non-GAAP financial measures, we provide a reconc ...

Apogee Enterprises (APOG) came out with quarterly earnings of $0.89 per share, missing the Zacks Consensus Estimate of $0.90 per share. This compares to earnings of $1.14 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1.11%. A quarter ago, it was expected that this glass products company would post earnings of $1.14 per share when it actually produced earnings of $1.19, delivering a surprise of 4.39%.Over the last four quart ...

Press Release FOR RELEASE: April 24, 2025 APOGEE ENTERPRISES REPORTS FISCAL 2025 FOURTH QUARTER AND FULL YEAR RESULTS MINNEAPOLIS, MN, April 24, 2025 – Apogee Enterprises, Inc. (Nasdaq: APOG) today reported its fiscal 2025 fourth-quarter and full-year results. The prior year fourth-quarter and full-year results included the impact of an additional week of operations compared to fiscal 2025. The Company reported the following selected financial results: During the fourth quarter, the Company changed the name ...

A month has gone by since the last earnings report for Apogee Enterprises (APOG) . Shares have lost about 4.9% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Apogee Enterprises due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Apogee Beats on Q3 Earnings, Anticipat ...

Apogee Enterprises, Inc. (APOG) reported adjusted earnings per share (EPS) of $1.19 for third-quarter fiscal 2025 (ended Nov. 30, 2024), surpassing the Zacks Consensus Estimate of $1.14. The bottom line marked a 3% drop from the prior-year quarter.APOG attributed the decline to unfavorable sales leverage impacts of lower volume, a less favorable product mix, and higher incentive compensation and lease expenses, partially offset by a more favorable mix of projects in Architectural Services and lower insuranc ...