Apogee Enterprises Inc (NASDAQ:APOG) Q2 2021 Earnings Conference Call - Final Transcript
Sep 17, 2020 • 09:00 am ET
restricted capital spending to only essential capital projects. We expect capital spending in the second half will remain below the prior year levels although we will evaluate investments in high return growth and productivity initiatives. Our focus for capital deployment in the quarter was debt reduction. We paid down $43 million of debt, paying off the entire balance on our primary revolving credit facility. In the second half of the fiscal year, we expect to build our cash balance, which will further strengthen our liquidity and will provide dry powder for potential investments to drive productivity and accelerate our growth.
During the quarter, we also made a dividend payment of $4.9 million and we remain committed to dividends as part of our capital allocation strategy.
Before I wrap up, I would like to provide a few comments on our outlook for the remainder of the fiscal year, which are summarized on page 11 of our presentation. At this point, given the continued economic uncertainty caused by COVID, we have decided not to provide detailed financial guidance. As Joe mentioned, we are seeing some signs of stabilization in our end markets but considerable risks and uncertainty remain. In our Architectural segments, we expect to see continued project delays and soft market conditions.
In our Large-Scale Optical business, conditions will likely continue to improve, but we expect volumes to remain below the last year's level as the impact of COVID will continue to mute the recovery in retail. Overall, we expect the dynamic in the rest of the fiscal year will be similar to what we saw in second quarter, with pressure on our top line, offset by continued focus on cost management and productivity. While we are not providing full financial guidance, we do expect revenue and earnings in the second half of the fiscal year will be higher than the first half.
To wrap up, our team delivered impressive performance this quarter, stabilizing our business and rebounding strongly from the first quarter. In the near term, we are preparing for continued economic uncertainty, maintaining our focus on costs, execution and cash flow. Looking to the long term, we will continue to drive sustainable operating improvements across our business to position our Company for growth and improved profitability in the future.
With that, I'll turn the call back over to Joe.
Joseph F. Puishys
All right. Thanks, Nisheet.
I close by once again recognizing the entire Apogee family for what we've accomplished together over the last six months. Our employees have truly gone above and beyond to help our Company deal with the impact of COVID and economic turmoil. We've made significant changes to our business to prioritize the health and safety of our team and to ensure that we can continue to operate and meet our customer needs. I am particularly proud to be part of the Apogee team.
Looking ahead, the environment remains uncertain, but I'm optimistic about Apogee's direction for both the second half of the fiscal year, which will improve