Metal coating services firm AZZ Q2 adjusted EBITDA misses estimates

AZZ

08/10/2025 21:29

Overview

AZZ Inc fiscal Q2 sales rise 2% yr/yr to $417.3 mln

Adjusted EPS for fiscal Q2 of $1.55

Adjusted EBITDA for fiscal Q2 misses analyst expectations

Outlook

AZZ maintains FY2026 sales guidance at $1.625 - $1.725 bln

Company expects FY2026 adjusted EBITDA of $360 - $400 mln

AZZ projects FY2026 adjusted diluted EPS between $5.75 and $6.25

Result Drivers

METAL COATINGS GROWTH - Infrastructure-related project spending drove a 10.8% increase in Metal Coatings sales

PRECOAT METALS DECLINE - Weaker demand in building construction, HVAC, and appliance markets led to a 4.3% sales decline in Precoat Metals

EBITDA MISS - Adjusted EBITDA decreased due to a slow season in the Welding Services business within AVAIL

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EBITDA
Miss
$88.70 mln
$94.90 mln (9 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the iron & steel peer group is "buy"

Wall Street's median 12-month price target for AZZ Inc is $126.50, about 16.9% above its October 7 closing price of $105.08

The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: nPn3wSGx0a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)