Apogee Enterprises Profit Rises, Yet Misses Estimates

(RTTNews) - Apogee Enterprises Inc. (APOG) Wednesday reported a higher third-quarter profit, mainly on a five percent sales growth. However, both quarterly earnings and revenue fell short of Wall Street estimates, as project timings impacted its Architectural glass segment.

For fiscal year 2014, the window-systems maker for commercial and security buildings, lifted the bottom end of its earnings outlook by two cents.

Minneapolis, Minnesota-based Apogee posted quarterly net income of $9.7 million or $0.33 per share, compared with $8 million or $0.28 per share last year.

On average, four analysts polled by Thomson Reuters expected earnings of $0.35 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter were higher at $199.4 million, compared with $190.4 million a year ago. Analysts expected sales of $202.6 million for the quarter.

Architectural Glass revenue fell 2 percent year-over-year due to project timing, while the segment's margin climbed to 2.2 percent from 0.6 percent.

Architectural Services revenue was up 2 percent, and Framing Systems gained 14 percent, due to the Alumicor acquisition and the U.S. storefront business.

In efforts to scale up its operations, Apogee said it earlier acquired a leader in the Canadian storefront and entrance market with about C$60 million in annual sales.

For fiscal year 2014, Apogee now expect earnings in the range of $0.95 to $1.00 per share, from its prior range of $0.93 to $1.00 per share. Analysts expect earnings of $0.97 per share for the year.

The company expects sales in 2014 to grow 10 to 11 percent, while analysts expect growth of 9.5 percent.

Apogee stock closed Wednesday at $5.83, up $1.51 or 4.40%, on a volume of 402 thousand shares on the Nasdaq. In after-hours, the stock dropped $0.64 or 1.79%.