Apogee Enterprises, Inc. (Nasdaq: APOG) announced the completion of its acquisition of UW Interco, LLC (“UW Solutions”), a vertically integrated producer of high-performance coated substrates for graphic arts, building products, and other applications, in a $242 million cash transaction.
Ty R. Silberhorn, Apogee’s CEO, expressed enthusiasm for the acquisition, stating, “I am excited to welcome the UW Solutions team to Apogee. This acquisition expands the capabilities and market opportunity of our Large-Scale Optical segment, leveraging the combined strengths of both businesses to create a new engine for growth.”
Apogee anticipates that in fiscal 2025, the acquisition will add about $30 million in net sales and reduce adjusted diluted EPS by approximately $0.10 due to increased interest and amortization expenses. By fiscal 2026, the acquisition is projected to be accretive, generating around $100 million in revenue with an adjusted EBITDA margin of approximately 20%.
For further details, refer to Apogee’s press release dated September 25, 2024.
About Apogee Enterprises, Inc.
Apogee Enterprises, Inc. (Nasdaq: APOG), headquartered in Minneapolis, MN, is a leading provider of architectural building products and high-performance coated materials. Its portfolio includes architectural glass, windows, curtainwalls, storefronts, entrance systems, project management and installation services, and coatings designed for enhanced protection, innovative design, and improved performance across various applications.
Use of Non-GAAP Financial Measures
This release contains the following non-GAAP measures: adjusted EBITDA (adjusted net earnings before interest, taxes, depreciation, and amortization) margin and adjusted diluted EPS (adjusted net earnings per diluted share). These measures are used by the Company to provide meaningful supplemental information about its operating performance by excluding amounts that are not considered part of core operating results to enhance comparability of results from period to period. Management uses non-GAAP measures to evaluate the Company’s historical and prospective financial performance, measure operational profitability on a consistent basis, as a factor in determining executive compensation, and to provide enhanced transparency to the investment community. Non-GAAP measures should be viewed in addition to, and not as a substitute for, the reported financial results of the Company prepared in accordance with GAAP. Other companies may calculate these measures differently, limiting the usefulness of the measures for comparison with other companies. The Company is not providing reconciliations for these forward-looking non-GAAP financial measures because the Company is unable to predict with reasonable certainty the ultimate outcome of adjusted items without unreasonable efforts. These items are uncertain, depend on various factors and could be material to financial results computed in accordance with GAAP.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “should,” “will” and similar expressions are intended to identify “forward-looking statements.” These statements reflect Apogee management’s expectations or beliefs as of the date of this release. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These forward-looking statements are subject to significant risks that could cause actual results to differ materially from the expectations reflected in the forward-looking statements. More information concerning potential factors that could affect future financial results is included in the company’s Annual Report on Form 10-K and in subsequent filings with the U.S. Securities and Exchange Commission.
