Shares of Acuity Brands Inc. tumbled more than 9% on Tuesday, as the company posted weaker-than-expected second-quarter results. Notably, the company reported sales of $943.6 million for the three months ended February 28, up 3.8% YoY but missing estimates of $958.5 million. The earnings per share stood at $3.48, compared to $2.72 in the year-ago period, while adjusted earnings per share came to $3.06, beating the expected $2.73.
Importantly, Chief Financial Officer Karen Holcom stated that the sales were largely driven by price increases, while Chief Executive Neil Ashe said the company began to witness a slowing in the order rate for their project business. He further revealed that the slowed order rate is likely due to the shorter lead times as supply chain challenges start to abate.
Acuity Brands Inc is a leading American company based in Atlanta, Georgia. It manufactures lights, components, and building-management solutions, catering to the global lighting industry. Founded by R. Kelley Dunne in 2001, the company has grown exponentially in recent years, with the total estimated value being around $6.8 billion as of 2021.
Will Feuer is an experienced financial writer based in New York City. He is widely regarded for his expertise in finance and business analysis, having been published by renowned news outlets such as CNBC and the Wall Street Journal. With more than 10 years of professional experience in the fields of financial analysis and business reporting, Will has been able to cover several trending topics to the benefit of readers.
 shares dropped 9% after weaker than expected Q2 earnings. The Atlanta-based company reported sales of $943.6M, higher than last year but missing estimates. CFO Holcom said sales were largely due to price increases and CEO Ashe admitted to slowing order rates due to supply chain challenges. Despite this, Acuity Brands remains a leader in lighting, components and building-management solutions worth an estimated $6.8B. Get the full story with Will Feuer's expert analysis at CNBC and WSJ.){kind=link}