Alamo Group reports Q4 non-GAAP EPS $2.39, consensus $2.28

Reports Q4 revenue $385.3M, consensus $396.85M. Backlog at the end of the year was $668.6M. Jeff Leonard, Alamo Group’s (ALG) President, and CEO commented, “The Company’s fourth quarter performance aligned with our expectations. The divergent market trends noted in the second and third quarters remained evident as the year concluded. Our governmental and industrial contractor markets remained strong in the Q4, and all product groups in the Industrial Equipment Division performed well. This division achieved double digit organic growth versus the Q4 of 2023 and again delivered strong profitability. Conditions in several markets for our Vegetation Management Equipment remained challenging. As had been the case for most of 2024, demand for this Division’s products from the forestry, tree care and agricultural markets exhibited continued softness due to higher interest rates, weakness in the housing sector, lower commodity prices and excess channel inventories. As a result, sales in the Vegetation Management Division declined 25% compared with the fourth quarter of 2023 and profitability remained under pressure. However, Q4 bookings in the Vegetation Management Division were the highest of the year and sequential backlog was slightly higher as well.”