Severe February weather and charges tied to an acquisition contributed to Apogee Enterprises posting a fourth-quarter loss.
Its stock lost more than 6 % of its value to close Thursday at $36.40, after the company missed analyst expectations.
Apogee, the Bloomington-based architectural glass manufacturer that provided the glass for U.S. Bank Stadium, saw fourth-quarter revenue fall 2% to $346 million.
"For 2019, we made progress on many fronts despite a few challenges during the year," CEO Joseph Puishys told analysts during a morning conference call.
Apogee finished the year in strong fashion "by delivering improved performance in a number of our businesses," he said. "Unfortunately, our fourth-quarter results were negatively impacted by unusually severe winter weather, which caused disruptions at some of our manufacturing locations. Despite several challenges during the year, we achieved another year of growth, with revenue increasing to a record $1.4 billion."
Puishys said demand remained strong in U.S. architectural end markets, which drove "robust order flow and backlog growth going into fiscal 2020."
For the quarter ended March 2, though, the company lost $12 million, or 45 cents a share.
The loss included nearly $43 million in project-related contract charges that were acquired with the $195 million acquisition of aluminum window maker EFCO in 2017. Apogee also suffered $3.1 million noncash impairment of an EFCO trade name during the quarter. Apogee purchased the EFCO company from Pella Corp.
The profit loss compared to a 78 cents-a-share gain reported for the same quarter one year ago.
Excluding one-time items, adjusted quarterly earnings fell 11% to 85 cents a share, which missed analysts' expectations for 91 cents a share.
For the quarter, Apogee's architectural glass division enjoyed double-digit sales growth, while its building framing division saw sales fall 7%. Architectural-services sales slipped slightly during the quarter, but grew to record sales for the full year.
Puishys noted that the company made progress overcoming labor and productivity issues that had affected its Architectural Glass segment earlier in the year. "We hired and trained nearly 400 net new production employees during the year, [which is] an increase of over 20% in very tight labor markets. We made strong progress to restore productivity," he said.
Full-year fiscal 2019 revenue grew 5.8% to a record $1.4 billion. But 2019 profit fell 40% to $45.7 million, or $1.63 a share. Excluding one-time items, 2019 adjusted earnings fell 35% to $2.96 a share. Analysts on average had expected $3.07 a share.