Gibraltar Industries, Inc. (NASDAQ:ROCK) Q1 2018 Earnings Conference Call - Final Transcript
May 04, 2018 • 09:00 am ET
Good day, ladies and gentlemen, and welcome to Gibraltar Industries' First Quarter 2018 Earnings Conference Call. At this time, all participants are in a listen-only mode. Today's call is being recorded and webcasted. My name is Devon and I will be your coordinator for today. We will be conducting a question-and-answer session towards the end of the conference call.
I would now like to turn the call over to David Calusdian from Company's Investor Relations firm, Sharon Merrill Associates. Please proceed.
Morning, everyone, and thank you for joining us. If you have not received a copy of the earnings press release that was issued this morning, you can find it in the investor info section of the Gibraltar website, gibraltar1.com. During the prepared remarks today, management will be referring to presentation slides that summarize the Company's first quarter performance. These slides also are posted to the Company's website.
Please turn to Slide 2 in the presentation. The Company's earnings press release and slide presentation contain forward-looking statements about future financial results. The Company's actual results may differ materially from the anticipated events, performance, or results expressed or implied by these forward-looking statements. Gibraltar advises you to read the risk factors detailed in its SEC filings, which can also be accessed through the Company's website.
Additionally, Gibraltar's earnings press release and remarks this morning contain adjusted financial measures. Reconciliation of GAAP to adjusted financial measures have been appended to the earnings release and slides. On our call this morning are Gibraltar's Chief Executive Officer, Frank Heard and Chief Financial Officer, Tim Murphy.
At this point, I will turn the call over to Frank and please turn to Slide 3.
Thanks, David. Good morning, everyone, and thank you for joining us on our call today. We began the year with a strong first quarter performance. We achieved financial results in line with our expectations and continue to benefit from the success of our four pillar strategy.
Our first quarter revenues of $215 million were up 4% year over year. We achieved GAAP earnings of $0.26, exceeding our guidance and more than double the earnings from our first quarter 2017. Our adjusted earnings were also $0.26, at the upper end of our guidance range and 30% higher than prior year. The steel and aluminum tariffs that took effect during the quarter created uncertainty in the market and impacted material costs across our segments, as expected. Market prices for steel and aluminum were up 40% and 30%, respectively, versus prior year.
That said, we are having success in mitigating the impact of these cost increases from tariffs through pricing actions by market, by segment, and by customer type. And at the same time, we continue to work collaboratively with our customers on this issue to ensure that they remain competitive as well.
From an end market perspective, we achieved a 10% increase in sales in our renewable energy and conservation segment and an 8% increase in our industrial and infrastructure segment, giving us confidence that