ALAMO GROUP INC Q3 FY25 Results

“The Company’s third quarter results were mixed. The Industrial Equipment Division continued to perform exceptionally well, delivering strong year-over-year double digit net sales growth for the seventh consecutive quarter. While Industrial Equipment orders fluctuate from quarter to quarter, year-to-date bookings in the division reflect modest growth and backlog levels remain healthy. In contrast, the Vegetation Management Division continued to experience softness in its end markets, however, bookings in the division slightly improved. Operationally, in the Vegetation Management Division we have consolidated facilities in an effort to reduce fixed costs and improve manufacturing throughput and materials management. To date, we have realized the fixed cost savings. While productivity improvements are tracking more slowly than anticipated, we are advancing our operational initiatives and expect further benefits in the coming quarters.” “With continued strong operating cash flows, ample cash on hand and significant availability under our Revolving Facility, we are well positioned to invest in both organic growth and operating initiatives as well as to deliver on our acquisition strategy. Regarding our acquisition strategy, we are excited about our growing pipeline of opportunities that have a strong strategic fit and attractive financial profiles. We look forward to a further discussion regarding our results and operating strategy during our upcoming Earnings Conference Call.”