Core Insights - Acuity Brands reported revenue of $951.6 million for the quarter ended November 2024, reflecting a year-over-year increase of 1.8% and an EPS of $3.97 compared to $3.72 a year ago, with a slight revenue miss against the Zacks Consensus Estimate of $951.97 million [1] Revenue Performance - Revenues from Acuity Brands Lighting (ABL) were $886 million, slightly above the average estimate of $883.05 million, marking a year-over-year change of +1.1% [4] - Revenues from the Intelligent Spaces Group (ISG) reached $73.50 million, compared to the average estimate of $73.86 million, representing a year-over-year increase of +14.5% [4] - Eliminations in revenue were reported at -$7.90 million, slightly below the two-analyst average estimate of -$7.57 million, with a year-over-year change of +33.9% [4] Profitability Metrics - Adjusted operating profit for the Intelligent Spaces Group was $15.40 million, exceeding the average estimate of $13.98 million [4] - Adjusted operating profit for Acuity Brands Lighting was reported at $153.50 million, slightly below the average estimate of $154.04 million [4] Stock Performance - Acuity Brands' shares have returned -4.8% over the past month, compared to a -2.8% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Financial Data and Key Metrics - No specific financial data or key metrics changes mentioned in the provided content [1][2][3][4] Business Line Data and Key Metrics - No specific business line data or key metrics changes mentioned in the provided content [1][2][3][4] Market Data and Key Metrics - No specific market data or key metrics changes mentioned in the provided content [1][2][3][4] Company Strategy and Industry Competition - The company will provide updates on strategic progress and fiscal 2025 first quarter performance during the call [3] - Forward-looking statements are covered by the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 [3] Management Commentary on Operating Environment and Future Outlook - No specific management commentary on the operating environment or future outlook mentioned in the provided content [1][2][3][4] Other Important Information - Reconciliations of certain non-GAAP financial metrics with their corresponding GAAP measures are available in the 2025 first quarter earnings release and supplemental presentation on the Investor Relations website [4] Q&A Session Summary - No Q&A session details provided in the content [1][2][3][4]

Company Performance - Acuity Brands reported quarterly earnings of $3.97 per share, exceeding the Zacks Consensus Estimate of $3.89 per share, and up from $3.72 per share a year ago, representing an earnings surprise of 2.06% [1] - The company posted revenues of $951.6 million for the quarter ended November 2024, slightly missing the Zacks Consensus Estimate by 0.04%, but up from $934.7 million year-over-year [2] - Over the last four quarters, Acuity Brands has surpassed consensus EPS estimates four times and topped consensus revenue estimates two times [2] Stock Outlook - Acuity Brands shares have increased approximately 4% since the beginning of the year, outperforming the S&P 500's gain of 0.5% [3] - The current consensus EPS estimate for the upcoming quarter is $3.66 on revenues of $933.22 million, and for the current fiscal year, it is $16.71 on $4 billion in revenues [7] - The estimate revisions trend for Acuity Brands is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Building Products - Lighting industry, to which Acuity Brands belongs, is currently in the top 37% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Acuity Brands reported net sales of $951.6 million for Q1 fiscal 2025, an increase of $16.9 million, or 1.8% year-over-year[1] - Operating profit was $133.3 million, a slight increase of $0.4 million, or 0.3%, with an operating profit margin of 14.0%, down 20 basis points from the prior year[2] - Adjusted diluted earnings per share (EPS) rose to $3.97, up $0.25, or 6.7%, compared to the previous year[3] - Net sales for the three months ended November 30, 2024, were $951.6 million, an increase of 1.8% compared to $934.7 million for the same period in 2023[29] - Gross profit for the same period was $449.3 million, up from $428.4 million, reflecting a gross margin improvement[25] - Net income increased to $106.7 million, a 6.1% rise from $100.6 million year-over-year[25] - Diluted earnings per share (EPS) rose to $3.35, compared to $3.21 in the prior year, marking a 4.4% increase[31] Segment Performance - Acuity Brands Lighting segment generated net sales of $886.0 million, an increase of $9.6 million, or 1.1% year-over-year[4] - Acuity Intelligent Spaces segment saw net sales of $73.5 million, a significant increase of $9.3 million, or 14.5% year-over-year[6] - Acuity Brands Lighting segment net sales were $886.0 million, a slight increase of 1.1% from $876.4 million[32] - Acuity Intelligent Spaces segment net sales grew by 14.5% to $73.5 million, up from $64.2 million[32] Cash Flow and Capital Management - Net cash from operating activities was $132.2 million for the first three months of fiscal 2025, with approximately 17,000 shares repurchased for about $5 million[8] - Cash flows from operating activities were $132.2 million, down 30.4% from $190.0 million in the previous year[32] - Free cash flow decreased to $113.3 million, a decline of 35.4% from $175.4 million year-over-year[32] Acquisitions and Investments - The company completed the acquisition of QSC, LLC for a gross purchase price of $1.215 billion, effective January 1, 2025[9] - The company aims to aggressively deploy capital to grow the business and enter attractive new verticals[12] Shareholder Returns - The company declared dividends of $0.15 per share, an increase from $0.13 per share in the previous year[25] Assets and Adjusted Metrics - Total assets increased to $3,864.3 million as of November 30, 2024, compared to $3,814.6 million at the end of the previous quarter[22] - Adjusted operating profit for the company was $158.7 million, an increase of $4.8 million, or 3.1% year-over-year[2] - Adjusted operating profit (Non-GAAP) for the total company was $158.7 million, reflecting a 3.1% increase from $153.9 million[31]

Financial Performance - For the first quarter of fiscal 2025, net sales increased by $16.9 million, or 1.8%, to $951.6 million compared to $934.7 million in the prior-year period[107] - Gross profit for the first quarter of fiscal 2025 rose by $20.9 million, or 4.9%, to $449.3 million, with a gross profit margin increase of 140 basis points to 47.2%[108] - Operating profit for the first quarter of fiscal 2025 was $133.3 million, representing 14.0% of net sales, a slight increase from $132.9 million or 14.2% of net sales in the prior-year period[110] - Net income for the first quarter of fiscal 2025 increased by $6.1 million, or 6.1%, to $106.7 million, with diluted earnings per share rising by $0.14, or 4.4%, to $3.35[115] Cash Flow and Investments - Cash position at November 30, 2024, was $935.6 million, an increase of $89.8 million from August 31, 2024[94] - Cash flows from operating activities for the three months ended November 30, 2024, were $132.2 million, a decrease of $57.8 million from $190.0 million in the prior-year period[95] - The company invested $18.9 million in property, plant, and equipment during the three months ended November 30, 2024, compared to $14.6 million in the prior-year period[101] - Dividends paid on common stock were $4.5 million ($0.15 per share) for the three months ended November 30, 2024, compared to $4.1 million ($0.13 per share) in the prior-year period[103] Debt and Acquisitions - The company had an outstanding debt balance of $496.3 million as of November 30, 2024, with compliance to all covenants under financing arrangements[97] - On January 1, 2025, the company acquired QSC, LLC for $1.215 billion, funded through cash on hand and proceeds from the Term Loan Facility[105] Segment Performance - Acuity Brands Lighting net sales for Q1 fiscal 2025 increased by $9.6 million, or 1.1%, to $886.0 million compared to $876.4 million in the prior-year period[116] - Operating profit for Acuity Brands Lighting was $143.3 million, representing a margin of 16.2%, a slight decrease from $143.8 million and 16.4% in the prior-year period[117] - Acuity Intelligent Spaces net sales for Q1 fiscal 2025 rose by $9.3 million, or 14.5%, to $73.5 million compared to $64.2 million in the prior-year period[118] - Operating profit for Acuity Intelligent Spaces increased to $10.8 million, up from $5.3 million, reflecting a 103.8% increase[118] - The increase in Acuity Intelligent Spaces sales was primarily driven by higher sales of Distech products[118] - Higher labor and overhead costs impacted the operating profit of Acuity Brands Lighting, despite the increase in net sales[117] Accounting and Risk Management - The company has not reported any material changes in critical accounting estimates during the current period[120] - There are no significant changes to market risk exposure compared to previous disclosures[122] - The company has evaluated the effectiveness of its disclosure controls and procedures as of November 30, 2024, and concluded they are effective[124] - No changes in internal control over financial reporting have materially affected the company during the most recent fiscal quarter[126]

Core Insights - Acuity Brands, Inc. reported net sales of $951.6 million for the first quarter of fiscal 2025, reflecting a year-over-year increase of $16.9 million, or 1.8% [2][9] - The company achieved an operating profit of $133.3 million, a slight increase of $0.4 million, or 0.3% compared to the previous year [3][9] - Adjusted diluted earnings per share rose to $3.97, marking an increase of $0.25, or 6.7% from $3.72 in the prior year [4][9] Financial Performance - The first quarter of fiscal 2025 saw an adjusted operating profit of $158.7 million, up $4.8 million, or 3.1% from the previous year [3][9] - The adjusted operating profit margin improved to 16.7%, an increase of 20 basis points year-over-year [3][9] - Net cash from operating activities was reported at $132.2 million for the first three months of fiscal 2025 [10] Segment Performance - Acuity Brands Lighting generated net sales of $886.0 million, an increase of $9.6 million, or 1.1% compared to the prior year [5][29] - Acuity Intelligent Spaces reported net sales of $73.5 million, reflecting a significant increase of $9.3 million, or 14.5% year-over-year [7][29] - Operating profit for Acuity Brands Lighting was $143.3 million, a decrease of $0.5 million, or 0.3% compared to the prior year [6][29] Acquisition Details - The company completed the acquisition of QSC, LLC effective January 1, 2025, for a gross purchase price of $1.215 billion [11][9] - This acquisition is expected to enhance Acuity's capabilities in cloud-manageable audio, video, and control solutions [11] Cash Flow and Capital Allocation - The company repurchased approximately 17,000 shares of common stock for about $5 million during the quarter [10] - Cash and cash equivalents at the end of the period were reported at $935.6 million, up from $845.8 million at the beginning of the period [10][28]

Core Viewpoint - Acuity Brands (AYI) is positioned well to potentially beat earnings estimates in its upcoming quarterly report, supported by a solid history of exceeding expectations and positive analyst sentiment [1][6]. Earnings Performance - In the last reported quarter, Acuity Brands achieved earnings of $4.30 per share, surpassing the Zacks Consensus Estimate of $4.19 per share, resulting in a surprise of 2.63% [2]. - For the previous quarter, the company was expected to report earnings of $4.10 per share but delivered $4.15 per share, yielding a surprise of 1.22% [2]. Analyst Sentiment - Recent earnings estimates for Acuity Brands have been revised upward, indicating a positive outlook among analysts [3]. - The Zacks Earnings ESP for Acuity Brands is currently +1.16%, suggesting bullish sentiment regarding the company's earnings prospects [6]. Predictive Metrics - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a historical success rate of nearly 70% in beating consensus estimates [4]. - The Most Accurate Estimate, which is part of the Earnings ESP calculation, reflects the latest analyst revisions and is considered more accurate than earlier consensus predictions [5]. Upcoming Earnings Report - Acuity Brands is expected to release its next earnings report on January 8, 2025, and the combination of a positive Earnings ESP and a Zacks Rank 3 indicates a strong possibility of another earnings beat [6].

Core Viewpoint - Acuity Brands, Inc. is expected to report strong first-quarter fiscal 2025 results, with earnings and revenues anticipated to increase year over year, driven by product innovations and market expansion efforts [1][4]. Earnings Expectations - The Zacks Consensus Estimate for earnings per share has risen to $3.88, reflecting a 4.3% increase from $3.72 reported in the same quarter last year [3]. - Revenue expectations are set at $951.9 million, indicating a 1.8% increase from the previous year [3]. Revenue Growth Drivers - The anticipated growth in earnings and revenues is attributed to improvements in product vitality, service levels, technological advancements, and new product innovations [4]. - The ABL segment is projected to see a 1% year-over-year revenue increase to $885.3 million, with various revenue streams within the segment expected to grow modestly [5]. Segment Performance - The Intelligent Spaces Group (ISG) segment is expected to experience significant growth, with revenues projected to increase by 15.1% year over year to $73.9 million [6]. Profitability Factors - Ongoing product introductions and enhancements are central to driving profitability, with a focus on diverse customer needs contributing to margin improvement [7]. - The adjusted EBITDA margin is expected to improve to 17.9% from 17.8% a year ago, reflecting effective cost management and pricing strategies [7]. Earnings Prediction Model - The company's earnings prediction model indicates a likely earnings beat, supported by a positive Earnings ESP of +1.16% and a Zacks Rank of 3 (Hold) [8].

Core Viewpoint - Analysts project Acuity Brands (AYI) will report quarterly earnings of $3.88 per share, a 4.3% increase year over year, with revenues expected to reach $951.85 million, reflecting a 1.8% increase from the same quarter last year [1] Earnings Estimates - There has been no revision in the consensus EPS estimate for the quarter over the last 30 days, indicating analysts' stable outlook on their initial forecasts [1][2] Revenue Estimates - The estimated revenues for Acuity Brands Lighting (ABL) are projected at $883.05 million, showing a year-over-year change of +0.8% [4] - The consensus estimate for revenues from the Intelligent Spaces Group (ISG) is $73.86 million, indicating a significant year-over-year increase of +15% [4] Profit Estimates - Analysts expect the adjusted operating profit for the Intelligent Spaces Group to be $13.98 million, up from $10.30 million reported in the same quarter last year [5] - The adjusted operating profit for Acuity Brands Lighting is anticipated to reach $154.04 million, slightly above the year-ago value of $153.80 million [5]

Core Points - Acuity Brands, Inc. will release its fiscal 2025 first-quarter results on January 8, 2025, at 6:00 a.m. (EST) [1] - The original release date was January 9, 2025, but was changed due to the observance of the National Day of Mourning for former President Jimmy Carter [2] - A conference call will follow the earnings release at 8:00 a.m. (EST), led by Neil Ashe, the Chairman, President, and CEO of Acuity Brands [1] Company Overview - Acuity Brands, Inc. is a market-leading industrial technology company focused on solving problems in spaces, light, and more [4] - The company operates through two business segments: Acuity Brands Lighting and Acuity Intelligent Spaces, providing products and services that enhance people's lives [4] - Acuity Brands aims for growth through innovative product development, including lighting, lighting controls, building management solutions, and location-aware applications [5] Operational Insights - The company is based in Atlanta, Georgia, with operations across North America, Europe, and Asia, supported by approximately 13,000 associates [6] - Acuity Brands focuses on customer-centric efficiencies to increase market share and deliver superior returns [5] - The company is committed to deploying capital aggressively to grow its business and enter attractive new verticals [5]