Strong Free Cash FlowAlligo consistently converts earnings into free cash flow (historical FCF roughly ~71%–90%+ of net income). Durable positive FCF supports reinvestment in distribution, working capital funding, and potential deleveraging or shareholder returns, bolstering financial resilience over months.
Steady EBITDA MarginsA stable ~12% EBITDA margin indicates underlying operating resilience and scale economics in sourcing and distribution. Even with compressed net profit, reliable operating profitability helps fund fixed costs, supports predictable cash generation, and cushions short-term revenue swings.
Established B2B Distribution NetworkAlligo’s concept-based distribution (Swedol, TOOLS), multi-channel footprint and focus on professional customers create durable customer relationships, category expertise, and procurement scale that sustain margins and competitive position in industrial/construction supply markets.