AZZ Q1 FY27: Revenue +6.3%, net income -69.6% on below-the-line drag; adds $150M receivables facility

Filed July 8, 2026 · Period ending May 31, 2026 · Compared to 10-Q Jul 9, 2025 · ~2 min read

Key Changes

• high

  Net income fell 69.6% to $52.0M despite operating income rising 10.8% to $77.0M. The $118.9M divergence stems from a $126.4M net below-the-line drag (non-operating/other -$167.3M, income tax +$40.9M), not operational weakness. Prior year included $165.8M AVAIL JV windfall; adjusted EPS rose 3.9% to $1.85.

  MD&A: Non-GAAP Reconciliation verify on EDGAR →
• high

  Entered $150M receivables securitization facility (July 2025) secured by $268.1M in trade receivables and contract assets, fully drawn at SOFR+0.95%. Proceeds paid down Term Loan B. Structured as secured borrowing; receivables remain on balance sheet.

  Notes: Debt view on EDGAR →
• high

  Amended revolving credit facility (May 2026): extended maturity to 2029 from 2026, reduced interest rate tiers 50bp to SOFR+1.25%-2.25%, lowered commitment fees. Partial extinguishment wrote off $0.6M in unamortized debt costs.

  Notes: Debt view on EDGAR →