Alamo Group Q3 sales beat estimates on growth in industrial equipment division

Alamo

06/11/2025 22:02

Overview

Alamo Group Q3 net sales rise 4.7%, beating analyst expectations

EPS for Q3 misses analyst estimates, reflecting operational challenges

Industrial Equipment Division sales grow 17%, while Vegetation Management sales decline 9%

Outlook

Company sees healthy backlog levels in Industrial Equipment Division

Alamo Group plans to invest in organic growth and acquisitions

Result Drivers

INDUSTRIAL EQUIPMENT GROWTH - Industrial Equipment Division sales increased 17% due to healthy backlog and modest growth in bookings

VEGETATION MANAGEMENT DECLINE - Vegetation Management Division sales decreased 9% due to softness in end markets

OPERATIONAL INITIATIVES - Co is consolidating facilities in Vegetation Management Division to reduce fixed costs and improve productivity

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$420 mln
$407.50 mln (4 Analysts)
Q3 EPS
Miss
$2.10
$2.64 (4 Analysts)
Q3 Net Income
Miss
$25.40 mln
$32.40 mln (3 Analysts)
Q3 Operating Income
Miss
$37.50 mln
$45.40 mln (3 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

Wall Street's median 12-month price target for Alamo Group Inc is $234.00, about 24.3% above its November 5 closing price of $177.22

The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nPn2Htf8ha

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)