Acuity Inc. (NYSE:AYI) reported fiscal first-quarter 2026 results Thursday, posting double-digit revenue growth and topping earnings expectations, driven by continued momentum in its intelligent building solutions business.
The company reported quarterly net sales growth of 20.2% year-over-year to $1.14 billion, in line with the analyst consensus estimate.
It clocked an adjusted EPS of $4.69, beating the analyst consensus estimate of $4.59.
Segment Performance
The company generates revenue through two primary segments: Acuity Brands Lighting & Controls, which sells commercial and architectural lighting and controls, and Acuity Intelligent Spaces, which provides building management, HVAC, and audiovisual solutions.
Sales growth was driven overwhelmingly by Acuity Intelligent Spaces, with revenue surging 250.2% year-over-year to $257.4 million. By comparison, Acuity Brands Lighting & Controls contributed $895.1 million in revenue, representing a modest 1.0% increase from the prior year.
Margins and Cash Flow
Operating margin held steady year over year at 14.0%, even as operating profit rose 20.3%.
Consolidated adjusted operating margin expanded 50 basis points to 17.2%.
Adjusted operating margin at Acuity Brands Lighting & Controls improved 60 basis points to 17.9%, while Acuity Intelligent Spaces saw a 100-basis-point increase to 22.0%.
Adjusted EBITDA climbed to $211.2 million from $171.6 million a year earlier, with margin expanding 50 basis points to 18.5%. Operating cash flow totaled $140.8 million for the quarter.
During the quarter, the company repurchased approximately 77,000 shares of common stock for approximately $28 million and repaid $100.0 million of term loan borrowings.
Acuity ended the period with $376.1 million in cash and equivalents as of Nov. 30, 2025, down from $422.5 million as of Aug. 31, 2025.
AYI Price Action: Acuity shares have gained about 19% over the past 12 months. In premarket trading Thursday, the stock was up 1.43% at $364.50, approaching its 52-week high of $380.16, according to Benzinga Pro data.
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