Acuity CEO expects business to be slow in first half of 2013 but sees improvement later in the year

Acuity Brands, Inc., Conyers, Ga., announced that its fiscal 2013 first-quarter net sales were $481.1 million, an increase of $6.8 million, or 1.4%, compared with the year-ago period.

Vernon Nagel, chairman, president, and CEO of Acuity Brands, said in a press release announcing the results, “Our first-quarter results reflect what we believe was a lull in demand in the nonresidential construction market as well as temporary inefficiencies and costs associated with the closure of our Cochran, Ga., production facility. As indicated in our fourth quarter SEC filings, earnings release and conference call, we cautioned that end-customer demand could be inconsistent and tepid, particularly during the first half of the year, due to the weak pace of economic recovery in the U.S. and abroad.

"Although shipment volume increased modestly in the first quarter as compared with the year-ago period, it appeared certain customers took a "wait and see" approach surrounding the uncertainties of the outcomes of the U.S. elections and the resolution of the pending “fiscal cliff” resulting in weak demand.

“While we currently see favorable trends in our daily order rate, we still expect demand to be volatile in our second quarter, as businesses and consumers adjust their spending plans to take into account the uncertainties associated with U.S. fiscal policy and global economic concerns. We currently believe this will be followed by more stable demand in the second half of our fiscal 2013.” Details