Advanced Drainage Systems Q2 Profit Rises, But Misses View; Revenue Beats

(RTTNews) - Advanced Drainage Systems Inc. or ADS (WMS) reported Thursday that its net income available to common stockholders for the second quarter surged to $66.15 million or $0.93 per share from $6.03 million or $0.10 per share in the prior-year quarter.

Net sales increased 9.7 percent to $544.2 million from $495.9 million in the prior year.

On average, analysts polled by Thomson Reuters expected the company to report earnings of $1.05 per share on revenues of $533.94 million for the quarter. Analysts' estimates typically exclude special items.

For fiscal 2021, ADS forecast net sales in a range of $1.790 billion to $1.840 billion and adjusted EBITDA in a range of $495 to $515 million. The Street expects the company to report revenues of $1.82 billion.

The company's board of directors has appointed Brian King as Executive Vice President, Product Management and Marketing. King will lead the company's newly created Product Management and Marketing team, which will work to accelerate the development and launch of new products for both pipe and allied products.

King joins ADS from Owens Corning, where he served for several years focused on strategic marketing in their Roofing business.

ADS also said its board of directors has approved a quarterly cash dividend to its shareholders in the amount of $0.09 per share. The dividend will be paid on December 15, 2020 to shareholders of record at the close of business on December 1, 2020.