AZZ Inc. Raises Full Year Fiscal Year 2025 Guidance

Core Viewpoint - AZZ Inc. has revised its financial guidance for fiscal year 2025, indicating confidence in operational performance and growth opportunities in various end-markets [1][2]. Financial Guidance - Revised FY 2025 guidance includes: - Sales: $1.525 - $1.625 billion, up from $1.5 - $1.6 billion [1] - Adjusted EBITDA: $310 - $360 million, up from $300 - $350 million [1] - Adjusted Diluted EPS: $4.50 - $5.00, up from $4.25 - $4.75 [1] - The guidance excludes future acquisitions and includes approximately $15-$18 million of equity income from a minority interest in an unconsolidated subsidiary [1]. Operational Performance - The company is experiencing strength in many end-markets and has successfully repriced its Term Loan B, reducing the interest rate margin by 50 basis points [2]. - S&P Global upgraded the rating on AZZ's senior secured debt to 'BB-' from 'B', reflecting improved financial stability [2]. - Capital expenditures for FY 2025 are expected to remain at approximately $100 - $120 million, with a focus on completing a greenfield plant in Missouri [2]. Strategic Focus - The company aims to achieve organic growth within its Metal Coatings and Precoat Metals segments, focusing on market share growth and superior customer service [3]. - AZZ generates industry-leading margins and free cash flow, with plans to allocate cash flow to further deleverage the company by approximately $60 - $90 million [2][3]. Company Overview - AZZ Inc. is a leading independent provider of hot-dip galvanizing and coil coating solutions, serving a broad range of end-markets [4]. - The company's solutions enhance the longevity and appearance of essential infrastructure and products [4].