Apogee Enterprises, Inc. reported its first-quarter results for fiscal 2026, demonstrating robust growth despite challenging market conditions.
First Quarter Financial Results
Apogee Enterprises began fiscal 2026 with net sales increasing by 4.6% to $346.6 million, surpassing the expected figure of $323.7 million. The growth was primarily driven by the acquisition of UW Solutions, which contributed $22.0 million in sales. Despite a challenging environment marked by tariffs and increased aluminum costs, the company managed to achieve an adjusted diluted earnings per share (EPS) of $0.56, exceeding the anticipated $0.5.
However, the quarter wasn't without its challenges, reporting a net loss of $2.7 million compared to net earnings of $31.0 million from the same period last year. This loss was attributed to restructuring charges and tariff impacts.
Fiscal 2026 Outlook Revision
Apogee Enterprises has revised its fiscal 2026 outlook upward, projecting net sales between $1.40 billion and $1.44 billion, compared to the previous range of $1.37 billion to $1.43 billion. The expected diluted EPS has also been revised to a range of $2.59 to $3.12, with adjusted diluted EPS anticipated at between $3.80 and $4.20, reflecting confidence in overcoming first-half challenges, particularly related to tariffs.
Strategic Initiatives and Expectations
CEO Ty R. Silberhorn expressed optimism about the company’s trajectory, noting the successful integration of UW Solutions and ongoing efforts to mitigate tariff impacts. Apogee plans to continue its strategic initiatives under Project Fortify Phase 2, aimed at enhancing operational efficiency. These efforts are expected to yield significant cost savings and strengthen the company’s competitive position in the market.
The revised guidance from Apogee Enterprises underscores the company’s commitment to leveraging its strengths and strategic investments for sustained growth amid external challenges.
