ACUITY BRANDS Reports Q1 Earnings, Total Revenue Declines 14.5% But Net Income Increases 7.8% Year-Over-Year
January 15, 2023
Earnings report
Acuity Brands Intrinsic Stock Value – ACUITY BRANDS ($NYSE:AYI), Inc. is a leading manufacturer and distributor of lighting and building management solutions. The company specializes in creating innovative lighting, controls, and home automation products to enhance the safety, security, comfort, and convenience of its customers. On January 9 2023, ACUITY BRANDS reported its earnings results for FY2023 Q1. According to the report, the company had total revenue of USD 74.9 million, a decrease of 14.5% compared to the same period of the prior year.
In addition, the company’s net income was USD 997.9 million, an increase of 7.8% compared to the same period of the prior year, as of November 30 2022. Overall, ACUITY BRANDS reported mixed results for its FY2023 Q1 earnings. Despite a decrease in total revenue, the company’s net income increased compared to the same period of the prior year. The company’s cash flow from operations also increased compared to the same period of the prior year, indicating that it is well-positioned for future growth.
Price History
The company’s total revenue declined 14.5% year-over-year, but net income increased 7.8% year-over-year. On the other hand, ACUITY BRANDS stock opened at $175.4 and closed at $174.6, up by 2.9% from its last closing price of 169.8. Despite the decline in revenue, the company’s stock opened at $175.4 and closed at $174.6, up by 2.9% from its last closing price of 169.8. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Acuity Brands. More…
| Total Revenues | Net Income | Net Margin |
| 4.08k | 371.3 | 9.2% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Acuity Brands. More…
| Operations | Investing | Financing |
| 419.2 | -67.5 | -563.7 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Acuity Brands. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 3.44k | 1.53k | 59.21 |
Key Ratios Snapshot
Some of the financial key ratios for Acuity Brands are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 4.5% | 5.2% | 12.4% |
| FCF Margin | ROE | ROA |
| 8.7% | 16.6% | 9.2% |
VI Analysis – Acuity Brands Intrinsic Stock Value
ACUITY BRANDS is a company whose long term potential is reflected in its fundamentals. VI app makes it easy to analyze the company’s performance. VI Line has calculated the intrinsic value of ACUITY BRANDS share to be around $188.2. Currently, the stock of ACUITY BRANDS is trading at $174.6, which is slightly undervalued by 7%. Thus, it is a fair price for investors looking to invest in the company. Investors can also benefit from the potential upside of this stock as the company’s fundamentals remain strong. The company is well-positioned to capitalize on the opportunities arising from modern business trends. Its products are designed to meet the needs of the ever changing market and provide customers with innovative solutions. The company’s financials also provide a clear indication of its potential. It has consistently recorded positive cash flows and its net income has grown at a steady rate over the past few years. The company’s strong balance sheet has made it resilient to the effects of economic recessions. The company’s business model is also worth noting. It has a diversified portfolio that consists of several different products and services. This provides a level of stability and reduces the risk of relying too heavily on any one product or service. Furthermore, its customer base is diverse and includes both small and large businesses. This further reduces the risk associated with relying on a single customer base for revenue. Its stock is currently undervalued by 7%, making it a good investment opportunity. Investors should take advantage of this opportunity to benefit from the potential upside of this stock. More…
VI Peers
The competition in the lighting industry is fierce, with Acuity Brands Inc being one of the most prominent competitors. It is up against a range of other players such as Hengdian Group Tospo Lighting Co Ltd, Lena Lighting SA, and Dongguan Kingsun Optoelectronic Co Ltd. Each of these companies is vying for a share of the market with their own unique range of products and services. As such, they are all competing to be the top choice for customers looking to purchase lighting solutions.
– Hengdian Group Tospo Lighting Co Ltd ($SHSE:603303)
Hengdian Group Tospo Lighting Co Ltd is a Chinese lighting manufacturer and distributor that specializes in LED lighting products. As of 2022, the company has a market capitalization of 8.88 billion, indicating that it is a large and successful enterprise. Furthermore, the company has achieved a Return on Equity of 6.08%, which is an impressive figure for such a large company. This indicates that the company is able to efficiently and effectively use its resources to generate returns for its shareholders.
– Lena Lighting SA ($LTS:0O7K)
Lena Lighting SA is a leading provider of lighting solutions for commercial, industrial, and residential applications. The company designs, manufactures, and distributes LED and conventional lighting systems for a variety of purposes. As of 2022, Lena Lighting SA has a market cap of 95.27M and a Return on Equity of 8.26%. Its market cap is an indication of the company’s ability to generate profits from its investments and reflects the overall value of its stock in the market. Its ROE measures the efficiency of its management and financial performance, showing how well the company is doing in terms of generating returns on its investments.
– Dongguan Kingsun Optoelectronic Co Ltd ($SZSE:002638)
Dongguan Kingsun Optoelectronic Co Ltd is a Chinese based company that specializes in the design and manufacture of optoelectronic components for a variety of industries. The company has a market cap of 3.42B as of 2022, making it one of the larger companies in its sector. Despite having a relatively high market cap, the company has a Return on Equity of -15.89%, which is lower than many of its competitors. This suggests that the company may be struggling to turn a profit or is facing other issues that are affecting its performance.
Summary
Investors looking to take advantage of the potential upside in ACUITY BRANDS should consider the company’s strong financial performance. The company reported total revenue of USD 74.9 million and net income of USD 997.9 million for the first quarter of fiscal year 2023, a decrease and increase respectively compared to the same period of the prior year. These results indicate that ACUITY BRANDS is well-positioned to capitalize on future opportunities, despite the current economic conditions.
Overall, ACUITY BRANDS is a strong investment prospect considering its strong financial performance and balance sheet position. Investors should consider the company’s potential for future growth and profitability when making their investment decisions.
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