Revenue and Profitability: Revenue for Q2 2025 stands at $409 million, up 2.6% YoY. Gross profit reached $103.5 million, with a gross profit margin of 25.3%, marking a 90 basis point increase from 24.4% YoY. Operating income improved to $67.6 million, boosting the operating income ratio to 16.5% compared to 15.3% prior, indicating enhanced profitability due to higher operational efficiencies and improved cost management.
Cash Flow and Debt Management: AZZ generated $119.4 million in cash flow from operations in the first half of FY2025, slightly outpacing the prior year of $118.3 million. The company continues its strategy of debt reduction, having paid down $20 million during Q2, signaling a reduction in interest expense from $27.8 million in the previous year to $21.9 million this quarter.
EPS Performance: Diluted EPS for the quarter was $1.18, a significant increase of 20.20% YoY.