Consolidated Sales Growth
Net sales of $121.1M in Q1, up 23.9% year-over-year, driven primarily by Rail strength.
Rail Segment Outperformance
Rail revenues of $74.8M, up 38.4% YoY with Rail Products up 40.8% and Global Friction Management up 39.5%.
Profitability Expansion
Consolidated gross profit up 27.5% with gross margin improving 60 basis points to 21.2%; adjusted EBITDA of $5.2M, up 183% YoY.
Infrastructure Precast Momentum
Infrastructure sales up 5.9% with Precast Concrete up 17.2% and Infrastructure gross margin improving 200 basis points to 20.6%.
Improved Cash Generation and Leverage
Net debt down $24.2M to $55.7M vs. prior year; gross leverage reduced from 2.5x to 1.2x; operating cash flow improved by $15.7M YoY.
Trailing 12-Month Results Near Guidance Midpoints
Trailing 12-month sales of $563.4M and adjusted EBITDA of $42.4M are at or near 2026 guidance midpoints, supporting reaffirmation of full-year guidance.
Disciplined Capital Allocation
Q1 capex $3.0M (2.4% of sales) with planned increase to ~2.7% of sales for 2026 to support Precast growth; ~1M shares repurchased since early 2023 (~9.3% of shares) and $28.7M buyback authorization remaining.
Operational and Commercial Wins
Strong April order intake (management noted ~15% added to backlog in April) and continued commercial progress in Friction Management including progress toward Western Europe adoption.
Safety and Execution
Infrastructure Group reported zero injuries for the quarter, highlighted as a positive indicator of operational discipline.