|
Ferguson Enterprises Inc on Tuesday said it is poised for a ‘strong’ performance despite a tricky market conditions. In the first quarter ended October 31, the Newport News, Virginia-based heating and plumbing products distributor said its pretax profit rose 14% to $712 million from $624 million a year prior. Net income rose 21% year-on-year to $570 million from $470 million. Ferguson’s net sales rose 5.1% to $8.17 billion from $7.77 billion a year earlier. ‘Our associates again delivered strong results, continuing to execute our growth strategy in a challenging market environment. We are particularly pleased with another quarter of double-digit non-residential revenue growth. Our scale-advantaged business model and consistent market outperformance enable us to invest in organic growth, as well as consolidate our markets and return capital to shareholders while maintaining a strong balance sheet,’ Chief Executive Officer Kevin Murphy. ‘We are poised to deliver a strong calendar year 2025 performance and we remain confident in our markets over the medium term. While we continue to operate in an uncertain environment, we will stay focused on leveraging multiyear tailwinds in both residential and non-residential markets as we support the complex project needs of the water and air specialized professional.’ For the 2025 calendar year, Ferguson Enterprises expects net sales growth of around 5%. It had previously predicted mid-single digit growth. Its adjusted operating margin guidance for the 2025 calendar year is now 9.4% to 9.6%, the bottom end of the range lifted from 9.2%. Capital expenditure of around $350 million is expected, its outlook changed from a $300 million to $350 million range. During the first financial quarter, organic revenue advanced 4.2%, slowing from a 5.8% rise in the quarter ended July 31. However, in the first quarter of the prior financial year, organic revenue fell 0.3%. Ferguson Enterprises upped its quarterly dividend by 7% on-year to $0.89 per share. Shares in the company fell 2.5% to 18,130.00 pence each in London on Tuesday afternoon. Copyright 2025 Alliance News Ltd. All Rights Reserved.
|
