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Acuity Brands is shining after a strong Q4 (Aug) report, highlighted by a large EPS beat and solid FY26 guidance. Revenue rose 17.1% yr/yr to $1.21 bln, roughly in line with expectations, but the real upside came from margin performance and forward guidance.

• The mid-points of FY26 guidance came in ahead of expectations with adjusted EPS of $19.00-20.50 and revenue of $4.7-4.9 bln at the midpoints.
• ABL (Acuity Brands Lighting) revenue grew 1% yr/yr to $962 mln, with operating margin expanding 210 bps yr/yr to 20.1%, driven by cost reductions and productivity gains.
• AIS (Acuity Intelligent Spaces) revenue jumped to $255 mln, up $171 mln, driven by the QSC acquisition. QSC grew 15% yr/yr; Atrius and Distech combined rose 13%.
• The company cited resilience in ABL despite economic uncertainty, aided by share gains, pricing actions, and supply chain optimization to mitigate tariff impact.
• Acuity emphasized its ability to operate efficiently in a tepid macro environment, citing aggressive margin management and differentiated tech in AIS.

Briefing.com Analyst Insight:

Investors appear encouraged by Acuity's solid execution and better-than-feared FY26 guidance in a tough macro backdrop. Despite ongoing tariff pressures and economic headwinds, the company is expanding margins, taking share, and executing well in both legacy and newly acquired businesses. While not flashy, Acuity is proving it can grind out growth and profitability—attributes that resonate in this type of market.