What happened
Shares of Atkore (ATKR 3.71%), which manufactures and sells electrical, safety, and infrastructure products, were rising today after the company reported better-than-expected results in the fourth quarter.
As a result, Atkore's stock was up 14.6% as of 10:51 a.m. ET.
So what
Investors were happy to see the company report non-GAAP (adjusted) earnings per share of $5.52 -- up about 26% from the year-ago quarter -- and easily outpacing Wall Street's consensus estimate of $5.08.
Atkore's top line also beat estimates, with the company's consolidated revenue rising 11% from the year-ago quarter and surpassing $1 billion, compared to analysts' average estimate of $981.8 million.
"Atkore delivered record results for fiscal 2022, as we continue to successfully execute on our strategic initiatives to expand our portfolio and deliver differentiated value to our customers," Atkore CEO Bill Waltz said in a press release.
In addition to reporting strong fourth-quarter results, management issued full-year guidance that made investors happy.
The company expects 2023 adjusted earnings to be in the range of $13.10 to $14.90, compared to analysts' consensus estimate of $13.31 per share.
Now what
While the outlook seems good, Waltz did say that some pricing trends could normalize next year, which could impact Atkore's business.
"As anticipated, the strong pricing environment experienced in recent years is expected to normalize in fiscal 2023, which will impact our top- and bottom-line performance through the year," Waltz said.
But with strong guidance and solid fourth-quarter results, it's clear investors are optimistic about this stock right now.
