SEGUIN, Texas —Alamo Group Inc. (ALG) today reported results for the first quarter ended March 31, 2025.
Highlights:
- Net Sales of $391.0 million, down 8.1% versus the same period in the prior year, up 1.5% versus fourth quarter 2024
- Industrial Equipment Division net sales of $227.1 million, up 12.5% year-over-year
- Vegetation Management Division net sales of $163.9 million, down 26.8% year-over-year
- Income from operations of $44.5 million, 11.4% of net sales – an increase of 40 basis points versus the first quarter of 2024 and 130 basis points versus the full year 2024
- Net Income of $31.8 million
- Fully diluted EPS increased to $2.64 per share, an improvement of almost 13.5% compared to the fourth quarter of 2024
- Total debt was $216.8 million. Total debt net of cash was further reduced to $16.5 million, representing an improvement of $183.2 million or 91.7% compared to the first quarter in 2024 (1)
- Backlog at the end of the first quarter was $702.7 million, up 5.1% from year-end 2024
- Trailing twelve-month EBITDA of $217.8 million was 13.7% of Net Sales (1)
First Quarter Results
First quarter 2025 net sales of $391.0 million declined 8.1% compared to $425.6 million in the first quarter of 2024. Gross profit of $102.8 million or 26.3% of net sales declined by $8.8 million as a result of lower net sales, however, gross margin improved by nearly 10 basis points, compared to the same period of the prior year. The Vegetation Management Division began to recover as first quarter 2025 operating margin of 8.1% reflected sequential improvement of 410 basis points, driven by the cost reduction actions completed in 2024. The Industrial Equipment Division continued to carry out operational improvements, and delivered an operating margin of 13.7%, representing 130 basis points of sequential improvement.