On Tuesday, lighting equipment maker Acuity Brands Inc. (NYSE: AYI) reported that its fiscal first-quarter profit dropped 38% due to lower demand for its products. On the other hand, food and animal safety company Neogen Corp. (NASDAQ: NEOG) said that its second-quarter profit rose 20%, boosted by acquisitions.
For the quarter that ended Nov. 30, Acuity Brands earned $19.4 million, or 48 cents per share, which was 33.3% lower than in the same quarter of the previous year. Excluding a pretax charge related to the consolidation of facilities, the company posted an adjusted operating profit of $55.8 million, or 82 cents per share. Sales fell 11% to $452.0 million. Analysts polled by Thomson Reuters had expected a profit of 76 cents per share on $461.3 million in revenue.
Acuity said the rapid decline in demand for lighting products and a dramatic jump in material and component costs during the quarter were unprecedented. The Atlanta-based company said it expects the second quarter to be challenging due to the turbulent economic environment, and for demand from its core markets to be lower for fiscal 2009.
Acuity's share price fell 26 cents, or 0.7% Tuesday, and are 16.5% lower than a year ago.
Michigan-based Neogen's earnings for the period ended Nov. 30 rose 15.4% to $3.9 million, or 26 cents per share, marking the company's 63rd-consecutive profitable quarter. Revenue grew 15% from a year ago to $31.2 million. Analysts surveyed by Thomson Reuters had predicted a profit of 25 cents per share on sales of $32.3 million.
Sales for the company's animal safety unit were aided by the July 2008 acquisition of some agricultural and veterinary disinfectants from DuPont Animal Health Solutions. Sales of Kane products such as veterinary obstetrical gloves, bovine hoofcare, and surgical supplies, acquired in August 2007, also continued to climb. Acquisitions boosted operating income by 22 percent to $5.9 million.
Shares of the Neogen added 14 cents, or 0.5%, Tuesday and continued to climb in afterhours trading. The share price is 1.1% lower than it was a year ago.
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