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Tom Ferguson, president and chief executive officer of AZZ Inc., commented, "We are off to a solid start in fiscal year 2020, with 10% revenue and 35% net income growth year-over-year. Our Energy segment, given a normal Spring season for turnarounds, made a solid contribution to first quarter consolidated revenue which increased 10.3% to $289.1 million. The Metal Coatings segment continues to strengthen with increased demand and improved operational efficiencies, driving consolidated net income up 35.4% to $21.3 million this year compared to $15.7 million in the first quarter last year. While our consolidated bookings were down 13.3% to $256.3 million compared to $295.7 million in the first quarter last year, it's important to note, during the first half of fiscal year 2019, we booked two large Chinese orders with $45 million in the first quarter and $55 million in the second quarter. These sizable orders are anticipated to be shipped over a period of years. As part of our ongoing efforts, we continue to build on the positive momentum in the Energy segment, with a strong backlog of more than $300 million, setting the stage for solid performance into the back half of the year, while our Metal Coatings business continues to gain traction from our key initiatives to drive growth both organically and through acquisitions."

"Metal Coatings segment revenue increased 6.0% from the first quarter of last year. Operating margins increased to 24.1%, compared to 21.9% in the first quarter of fiscal year 2019, on lower zinc costs flowing through our kettles, better pricing, and the immediate benefits of our two acquisitions made in the quarter," Mr. Ferguson stated. "We have taken steps to improve labor productivity and are seeing our Digital Galvanizing System ("DGS") driving greater operational efficiency and productivity. AZZ remains the industry leader in North America with 41 galvanizing plants. We are pleased to be gaining meaningful traction in our new businesses - powder coating and galvanized rebar giving us growing confidence that our investments will yield positive financial performance in the years to come."

Mr. Ferguson continued, "Our Energy segment's High Voltage Bus business had a strong first quarter, executing on a large contract in China that will continue to be shipped throughout this fiscal year. Our electrical served markets displayed improvement compared to prior year, and we are especially pleased with the demand for our specialty welding solutions both domestically and internationally. We remain somewhat cautious due to the uncertainty related to tariffs and the Chinese trade situation, as well as the tighter market for labor in many of our U.S. locations. Looking forward, we are reaffirming our previously issued fiscal 2020 guidance of earnings per share in the range of $2.25 to $2.75 per diluted share and annual sales in the range of $950 million to $1,030 million."
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