Apogee Enterprises Shows Good Progress
The market has been facing all sorts of problems and challenges over the past three months but regardless of the challenges, it seems that Apogee Enterprises stock has been doing well. The manufacturer of glass has had a strong impact on the market with their architectural materials and investors and shareholders are hopeful for the company. Apogee Enterprises generated results in their third quarter that indicate the company is succeeding and has met the expectations and targets of shareholders. The future of the company seems to be just as positive as their present.
A Quick Look at Apogee Enterprises Successful Results
Apogee Enterprises posted quarterly results that exceeded what investors were expecting. Thus, the company posted an increase in revenues of 23 percent, so that they reached $244.4 million. Investors were expecting to see $239 million in revenues. EPS was even more impressive, exhibiting an increase of 42 percent. The backlog of the company grew to $494 million, which represents a growth of 65 percent compared to the figures of the previous year.
If one takes a closer look at Apogee Enterprises, the four business segments will exhibit precisely how powerful the company as a whole is. All four segment achieved progress and revenue growth. Architectural framing systems increased by 36 percent, architectural glass systems showed increases of 23 percent, architectural services as well as large scale optical tech also advanced by figures in the double digits.
Apogee Enterprises was happy with the progress they had achieved and the CEO of the company, Joseph Puishy highlighted the results the four segments had achieved as well as their growth. He also discussed how efficient the company was and how it had succeeded in growing their operating margins to the biggest levels in five years.
How Does the Future Look for Apogee Enterprises?
The company has generated good results and is determined to keep doing so in FY 2016 as well. Apogee Enterprises offered EPS guidance between $1.64 and $1.72. Investors are agreeing with these figures. Apogee Enterprises is also certain that they will be able to show at least 20 percent or more in growth for the full fiscal year. Puishy stated that the company is confident they will be able to keep this growth trend intact thanks to how strong their architectural business is and because of the positive predictions in regards to the commercial construction market it operates in.
The backlog of the company is another reason for Apogee Enterprises confidence. The company feels they will be able to complete a minimum of 40 percent of the work during this fiscal year, and they have $312 million in orders that are backlogged, which will be finished in FY 2016 or later.
Even with all the great results, the company didn’t see a lot of response from the stock market. The shares only advanced by 5 percent. However, the weak performance of the shares doesn’t indicate that Apogee Enterprises isn’t prepared for the future. They are confident and know that they can only expect the best from what is to come. Investors are also unaffected by the response of the stock market as they are also confident and have faith in the future of the company.