Alamo Group Inc. ( (ALG) ) has released its Q1 earnings. Here is a breakdown of the information Alamo Group Inc. presented to its investors.
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Alamo Group Inc. is a company specializing in the design, manufacture, distribution, and service of equipment for vegetation management, infrastructure maintenance, and other applications, operating in the industrial and agricultural sectors with a global presence.
In its first quarter of 2025, Alamo Group Inc. reported net sales of $391.0 million, which represents an 8.1% decrease compared to the same period last year, but a slight increase from the fourth quarter of 2024. The company saw a notable performance in its Industrial Equipment Division, which experienced a 12.5% year-over-year sales increase, while the Vegetation Management Division saw a 26.8% decline.
Key financial metrics highlighted include a net income of $31.8 million and a fully diluted EPS of $2.64, marking a 13.5% improvement from the previous quarter. The company also reported a significant reduction in total debt net of cash, showing a 91.7% improvement compared to the first quarter of 2024. The backlog at the end of the quarter stood at $702.7 million, indicating a 5.1% increase from the end of 2024.
Looking forward, Alamo Group Inc. anticipates continued strong demand in its Industrial Equipment Division and a return to growth in its Vegetation Management Division. The company expects improved profitability driven by cost reduction actions implemented in 2024 and remains cautiously optimistic about the upcoming quarters, despite potential risks from global trade negotiations and tariffs.