CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Acuity shares brighten by 12% on 4Q profit beat

By William Hoffman

Edited by Misty Lynch

14:58, 6 October 2021

Acuity shares up on 4Q profit beat
Acuity beats earnings expectations - Photo: Acuity

Shares of lighting and building management company Acuity Brands are up more than 12% after it reported quarterly profits that exceeded expectations.

Net sales increased by 11.4% year over year in the fiscal fourth quarter 2021 to $993m (£731.9m), according to the company’s earnings presentation. Additionally, the company increased its gross profit margins by 10 basis points by improving productivity, boosting sales volumes and increasing prices to overcome higher material, labour, and freight costs, according to a press release.

Shares for the Atlanta-based company – which sells various lighting solutions in indoor, outdoor, residential and industrial uses – were trading at $200 per share, up from the previous day’s close at $176 per share. Year to date the shares are up nearly 65% over 2020 levels.

Operating profit margin

Much of the earnings call focused on the company’s ability to grow its operating profit margin to 15.8% of total sales in the fourth quarter, up 150 basis points year over year.

That led to operating profit of $132.8m in the fourth quarter, up 25.4% year over year.


14,369.60 Price
+0.020% 1D Chg, %
Long position overnight fee -0.0255%
Short position overnight fee 0.0032%
Overnight fee time 21:00 (UTC)
Spread 1.8

Oil - Crude

69.74 Price
-4.590% 1D Chg, %
Long position overnight fee -0.0155%
Short position overnight fee -0.0064%
Overnight fee time 21:00 (UTC)
Spread 0.03


0.53 Price
+7.160% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.00485


1,959.49 Price
+0.850% 1D Chg, %
Long position overnight fee -0.0183%
Short position overnight fee 0.0101%
Overnight fee time 21:00 (UTC)
Spread 0.30

“The industry collectively has gone through a series of price increases – we’ve done three – and we’re seeing the benefit of that. Obviously, those will be cumulative and layer the further along we get,” Neil Ashe, president and CEO of Acuity Brands, said on the earnings call.

Financial performance

Acuity started the fiscal year off with back-to-back quarters with lower net sales year over year but ended up overall.

In the first and second fiscal quarters sales were down by more than 5% year over year, but by the third quarter net sales growth was up by nearly 16% over the prior year’s quarter and higher than pre-pandemic levels.

Net sales for the full year ended up 4% higher at $3.5bn while gross profit increased by 5.2% to $1.5bn.

Read more: Supply chain, Covid-19 weigh on Bed Bath & Beyond’s earnings


Rate this article

Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 530.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading