Acuity Inc. (NYSE: AYI) reported strong financial results for the first quarter of fiscal 2026 with double-digit growth in sales, operating profit, and earnings per share. Results were driven by expansion in its AIS segment and continued margin improvement across the business.
For the quarter ended November 30, 2025, Acuity posted net sales of $1.1 billion, an increase of 20.2 percent compared to the prior year. Operating profit rose 20.3 percent year over year to $160.4 million, while adjusted operating profit increased 23.7 percent to $196.3 million. Adjusted operating margin expanded to 17.2 percent, up 50 basis points from the prior year.
Diluted earnings per share totaled $3.82, up 14.0 percent from the same quarter last year. On an adjusted basis, diluted EPS increased 18.1 percent to $4.69.
“We delivered strong performance in our first quarter of fiscal 2026,” said Neil Ashe, Chairman, President and CEO of Acuity. “We grew net sales, expanded our adjusted operating profit and margin, and increased our adjusted diluted earnings per share, while generating strong cash flow and allocating capital effectively.”
Segment Performance
Acuity Brands Lighting (ABL)
Acuity’s lighting segment generated net sales of $895.1 million in the first quarter, representing a modest 1.0 percent increase compared to the prior year. Meanwhile, operating profit for the segment increased 4.0 percent to $149.0 million, with operating margin improving 40 basis points to 16.6 percent. Adjusted operating margin expanded to 17.9 percent, reflecting continued productivity improvements and disciplined cost management.
Acuity Intelligent Spaces (AIS)
The Acuity Intelligent Spaces segment delivered significant growth, with net sales increasing to $257.4 million, up $183.9 million year over year. The results include three months of performance from QSC. Operating profit for AIS rose to $37.0 million, while adjusted operating profit increased to $56.6 million. Adjusted operating margin expanded 100 basis points to 22.0 percent, underscoring the segment’s strong profitability profile.
Cash Flow and Capital Allocation
Acuity generated $140.8 million in net cash from operating activities during the quarter. Capital allocation was prioritized, with 77,000 shares of common stock repurchased for $28 million and $100 million of term-loan borrowings repaid.
Outlook and Investor Call
Acuity hosted its first-quarter earnings conference call on January 8, 2026, led by CEO Neil Ashe. If you missed it, a replay of the call is available through the company’s Investor Relations website.
Click here to read the full report from Acuity