We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Gibraltar's (ROCK) Earnings & Revenues Beat Estimates in Q2
Read MoreHide Full Article
Gibraltar Industries, Inc. (ROCK - Free Report) reported better-than-expected results in second-quarter 2018 on robust domestic demand in the Renewable Energy & Conservation and Industrial & Infrastructure businesses. Additionally, the solid execution of 80/20 simplification initiatives and increased mix of higher-margin innovative products supported the upside.
Earnings/Revenues
The company’s adjusted earnings per share came in at 71 cents in the quarter, exceeding the Zacks Consensus Estimate of 55 cents by 29.1%. The bottom line surged 65.1% from the year-ago tally of 43 cents.
Net sales in the second quarter came in at $266 million, beating the consensus mark of $262 million. The top line also improved 7.4% year over year, driven by higher sales across all business segments.
Segmental Details
Revenues of the Residential Products segment came in at $131.1 million in the reported quarter, up 3% year over year. Segmental sales increased due to pricing growth to combat raw material cost increases.
Quarterly sales at the Industrial and Infrastructure Products segment came in at $61.2 million, up 6.3% year over year. The upside stemmed from solid contributions from new innovative industrial products and pricing actions related to raw material cost increases.
Renewable Energy and Conservation segment’s sales were up 17.4% year over year to $73.7 million in the quarter, driven by strong demand in both Gibraltar’s domestic renewable energy and conservation markets and continued traction of innovative products.
Costs and Margins
Cost of sales in the second quarter was $195.5 million, up 5.2% year over year. Gross profit margin in the quarter came in at 26.5%, up 150 basis points (bps) year over year.
Selling, general and administrative expenses came in at $38.2 million compared with $36.9 million a year ago. Interest expenses were down 11.8% year over year in the reported quarter. Adjusted operating margin in the quarter was 12.3%, up 200 bps year over year.
Gibraltar Industries, Inc. Price, Consensus and EPS Surprise
Exiting second-quarter 2018, Gibraltar Industries had cash and cash equivalents worth $210.7 million compared with $222.3 million recorded as on Dec 31, 2017. Long-term debt came in at $209.6 million, almost same as recorded at the end of 2017.
In the first six months of 2018, the company used $3.8 million cash for operating activities as against $21.7 million of cash provided by operating activities in the year-ago period.
Gibraltar Industries expects stronger demand for innovative products to boost revenues in the upcoming quarters. The company intends to gain efficiency on the back of strategic acquisitions and implementation of its 80/20 simplification projects.
The company expects revenues of $285-$295 million and adjusted earnings in the 65-72 cents per share range for third-quarter 2018.
The company anticipates to generate revenues of more than $1 billion in 2018. Also, adjusted earnings for the year are projected at $1.96-$2.08 per share.
Peer Releases
EMCOR Group Inc.’s (EME - Free Report) second-quarter 2018 adjusted earnings came in at $1.23 per share, beating the consensus mark of $1.00. The reported figure improved 23% from the year-ago 95 cents on higher productivity and improved margins. The company generated a record $1.95 billion in revenues, up 3.1% year over year and above the Zacks Consensus Estimate of $1.89 million.
Martin Marietta Materials, Inc. (MLM - Free Report) reported second-quarter 2018 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate and also improved year over year, given higher shipments, pricing improvements and benefits from growth initiatives. Adjusted earnings per share of $3.25 beat the Zacks Consensus Estimate of $2.84 by 14.4%. Earnings also increased 43.2% from the prior-year quarter.
D.R. Horton, Inc. (DHI - Free Report) reported third-quarter fiscal 2018 earnings of $1.18 per share, surpassing the Zacks Consensus Estimate of $1.08 by 9.3%. Earnings improved 55.3% from the year-ago profit level of 76 cents. Total revenues (Homebuilding, Forestar and Financial Services) came in at $4.44 billion. The figure surpassed the Zacks Consensus Estimate of $4.33 billion and also increased 17.4% year over year.
5 Medical Stocks to Buy Now
Zacks names 5 companies poised to ride a medical breakthrough that is targeting cures for leukemia, AIDS, muscular dystrophy, hemophilia, and other conditions.
New products in this field are already generating substantial revenue and even more wondrous treatments are in the pipeline. Early investors could realize exceptional profits.
Image: Bigstock
Gibraltar's (ROCK) Earnings & Revenues Beat Estimates in Q2
Gibraltar Industries, Inc. (ROCK - Free Report) reported better-than-expected results in second-quarter 2018 on robust domestic demand in the Renewable Energy & Conservation and Industrial & Infrastructure businesses. Additionally, the solid execution of 80/20 simplification initiatives and increased mix of higher-margin innovative products supported the upside.
Earnings/Revenues
The company’s adjusted earnings per share came in at 71 cents in the quarter, exceeding the Zacks Consensus Estimate of 55 cents by 29.1%. The bottom line surged 65.1% from the year-ago tally of 43 cents.
Net sales in the second quarter came in at $266 million, beating the consensus mark of $262 million. The top line also improved 7.4% year over year, driven by higher sales across all business segments.
Segmental Details
Revenues of the Residential Products segment came in at $131.1 million in the reported quarter, up 3% year over year. Segmental sales increased due to pricing growth to combat raw material cost increases.
Quarterly sales at the Industrial and Infrastructure Products segment came in at $61.2 million, up 6.3% year over year. The upside stemmed from solid contributions from new innovative industrial products and pricing actions related to raw material cost increases.
Renewable Energy and Conservation segment’s sales were up 17.4% year over year to $73.7 million in the quarter, driven by strong demand in both Gibraltar’s domestic renewable energy and conservation markets and continued traction of innovative products.
Costs and Margins
Cost of sales in the second quarter was $195.5 million, up 5.2% year over year. Gross profit margin in the quarter came in at 26.5%, up 150 basis points (bps) year over year.
Selling, general and administrative expenses came in at $38.2 million compared with $36.9 million a year ago. Interest expenses were down 11.8% year over year in the reported quarter. Adjusted operating margin in the quarter was 12.3%, up 200 bps year over year.
Gibraltar Industries, Inc. Price, Consensus and EPS Surprise
Gibraltar Industries, Inc. Price, Consensus and EPS Surprise | Gibraltar Industries, Inc. Quote
Balance Sheet and Cash Flow
Exiting second-quarter 2018, Gibraltar Industries had cash and cash equivalents worth $210.7 million compared with $222.3 million recorded as on Dec 31, 2017. Long-term debt came in at $209.6 million, almost same as recorded at the end of 2017.
In the first six months of 2018, the company used $3.8 million cash for operating activities as against $21.7 million of cash provided by operating activities in the year-ago period.
2018 Guidance Reiterated
This Zacks Rank #3 (Hold) company reaffirmed its view for 2018. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Gibraltar Industries expects stronger demand for innovative products to boost revenues in the upcoming quarters. The company intends to gain efficiency on the back of strategic acquisitions and implementation of its 80/20 simplification projects.
The company expects revenues of $285-$295 million and adjusted earnings in the 65-72 cents per share range for third-quarter 2018.
The company anticipates to generate revenues of more than $1 billion in 2018. Also, adjusted earnings for the year are projected at $1.96-$2.08 per share.
Peer Releases
EMCOR Group Inc.’s (EME - Free Report) second-quarter 2018 adjusted earnings came in at $1.23 per share, beating the consensus mark of $1.00. The reported figure improved 23% from the year-ago 95 cents on higher productivity and improved margins. The company generated a record $1.95 billion in revenues, up 3.1% year over year and above the Zacks Consensus Estimate of $1.89 million.
Martin Marietta Materials, Inc. (MLM - Free Report) reported second-quarter 2018 results, wherein earnings and revenues surpassed the Zacks Consensus Estimate and also improved year over year, given higher shipments, pricing improvements and benefits from growth initiatives. Adjusted earnings per share of $3.25 beat the Zacks Consensus Estimate of $2.84 by 14.4%. Earnings also increased 43.2% from the prior-year quarter.
D.R. Horton, Inc. (DHI - Free Report) reported third-quarter fiscal 2018 earnings of $1.18 per share, surpassing the Zacks Consensus Estimate of $1.08 by 9.3%. Earnings improved 55.3% from the year-ago profit level of 76 cents. Total revenues (Homebuilding, Forestar and Financial Services) came in at $4.44 billion. The figure surpassed the Zacks Consensus Estimate of $4.33 billion and also increased 17.4% year over year.
5 Medical Stocks to Buy Now
Zacks names 5 companies poised to ride a medical breakthrough that is targeting cures for leukemia, AIDS, muscular dystrophy, hemophilia, and other conditions.
New products in this field are already generating substantial revenue and even more wondrous treatments are in the pipeline. Early investors could realize exceptional profits.
Click here to see the 5 stocks >>