AZZ Beats Q2 2027 Estimates and Raises Full-Year EPS Guidance
As seen on the 24/7 Wall St. homepage on October 13, 2026.
Management raised full-year adjusted EPS guidance to $7.00-$7.30 from $6.75-$7.15 after both Metal Coatings and Precoat Metals set record sales. Metal Coatings revenue jumped 22.9% to $233.5 million on heavier steel volumes from construction and infrastructure work, and the Seattle Galvanizing deal closed for $57.5 million.
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AZZ posted adjusted diluted EPS of $2.00 for its fiscal second quarter of 2027, beating expectations, and both business segments delivered record sales.
Metal Coatings led the quarter with revenue up 22.9%, driven by heavier steel volumes from construction, infrastructure, and transportation customers plus higher selling prices. Precoat Metals also set a record, helped by the ramp-up of the Washington, Missouri coil coating facility.
Management used the quarter's strength to close the $57.5 million acquisition of Seattle Galvanizing in Arlington, Washington, adding Pacific Northwest capacity. AZZ also repurchased stock, raised its quarterly dividend by 20%, reduced debt and grew operating cash flow.
Management lifted full-year fiscal 2027 adjusted diluted EPS guidance to $7.00 to $7.30 and raised its sales and Adjusted EBITDA outlooks. The updated outlook excludes any acquisitions beyond Seattle Galvanizing and changes in federal regulations.
AZZ has beaten consensus estimates in six of the past eight quarters, and this quarter was the widest positive surprise in that stretch. The raised outlook puts the onus on the company to sustain record segment margins if construction demand softens or zinc and natural gas costs escalate.
Mentioned: AZZ