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Atkore shares plunge 8% on weak 2025 outlook as Q4 earnings miss estimates

EditorRachael Rajan
Published 11/21/2024, 07:38 PM
ATKR
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HARVEY, Ill. - Atkore Inc. (NYSE:ATKR) shares fell sharply, by 8.10%, after the electrical products manufacturer provided weaker-than-expected guidance for fiscal 2025, overshadowing better-than-anticipated fourth quarter revenue.

The company reported fourth quarter revenue of $788.3 million, down 9.4% YoY but above analyst estimates of $749.49 million. Adjusted earnings per share came in at $2.43, slightly below the $2.47 consensus forecast.

For fiscal 2025, Atkore projects adjusted earnings per share of $7.80-$8.90, well below the $11.67 analyst consensus. The company expects revenue of $2.9-$3.2 billion, compared to estimates of $3.039 billion.

"Given the expected decline in net sales and profitability this year, we remained focused on executing our strategic initiatives which we believe will further strengthen our Company for the long-term," said Bill Waltz, Atkore President and CEO.

Fourth quarter net income decreased 48.1% YoY to $73.1 million. Adjusted EBITDA fell 39.6% to $140.2 million, with adjusted EBITDA margin contracting to 17.8% from 26.7% a year ago.

The company's Electrical segment saw net sales decline 13.1% to $564.5 million, while Safety & Infrastructure revenue rose 1.9% to $224.5 million.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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