Apogee Enterprises, Inc. which provides glass solutions for the architectural and picture framing industries, announced fiscal 2011 3Q results on 15 December 2010. Revenues of USD 147.2 million were d…
Apogee Enterprises, Inc. which provides glass solutions for the architectural and picture framing industries, announced fiscal 2011 3Q results on 15 December 2010. Revenues of USD 147.2 million were down 18% year-on-year, operating loss was USD 1.8 million, compared to earnings of USD 16.1 million, and loss from continuing operations was USD 0.08 per share, versus earnings of USD 0.39 per share. Architectural segment revenues declined 21% year-on-year, with an operating loss of USD 8.4 million. Backlog ended at USD 165.7 million, compared to USD 193.0 million at the end of the 2Q and USD 246.4 million at the end of the prior-year period. Large-scale optical segment revenues were flat, as was operating income at USD 7.4 million. Cash and short-term investments totaled USD 46.4 million, compared to USD 69.4 million at the end of the 2Q and USD 102.6 million at the end of fiscal 2010. Brazilian architectural glass fabricator Glassec, now Glassec Viracon, was acquired for approximately USD 22 million in cash during the quarter. “Although our results continue to be impacted by extremely challenging commercial construction market conditions, we remain focused on our strategies and longer-term opportunities for Apogee”, said Russell Huffer, Apogee chairman and chief executive officer. “Our purchase of a leading architectural glass fabricator in Brazil during the quarter gives Apogee entre to the large developing market for energy-efficient architectural glass products in Latin America. Despite a difficult quarter, we have maintained a strong balance sheet, with more than USD 45 million in cash and short-term investments after funding the acquisition. “3Q architectural segment revenues declined year over year but improved slightly from the 2Q as overall non-residential construction markets remain stagnant; we incurred architectural segment operating losses primarily due to low architectural glass pricing and low volume in the segment”, he said. “Our 3Q reported architectural backlog declined compared to the 2Q; however, the total of our backlog along with the dollar value of awarded projects awaiting final signed contracts was comparable to the 2Q level”. “Our picture framing business maintained revenues and strong operating income in our seasonally strongest quarter as customers continued to utilize our best value-added framing products”, said Mr. Huffer. “Despite the ongoing extremely difficult conditions for our architectural businesses, we believe that we are well positioned for the eventual rebound in our markets with our strong balance sheet, leading green energy-efficient products, and operational and strategic initiatives”, he concluded.