NYSE$ALG

Alamo Group Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Alamo Group reported record sales and earnings for the first quarter of 2022.

Alamo Group Inc. reported a strong first quarter in 2022, marked by record net sales of $362.0 million, a 16.3% increase from the previous year, and net income of $18.5 million, up 5.8%. The company's performance was driven by robust demand across its Vegetation Management and Industrial Equipment divisions, though it faced challenges from supply chain disruptions and cost inflation.

  • Net sales reached $362.0 million, a 16.3% increase compared to the first quarter of 2021.
  • Vegetation Management net sales were $221.0 million, up 20.2% from the previous year.
  • Industrial Equipment net sales totaled $141.0 million, reflecting a 10.8% increase year-over-year.
  • The company's backlog surged to $917.8 million, up 102.8% compared to the prior year.

Headline financials

Total Revenue

$362M

Previous: $311M+16.3%
EPS (adj)

$1.63

Previous: $1.47+10.9%
Total Backlog

$918M

No prior period
Capital Expenditures

-$4.36M

Previous: -$3.48M-25.3%
Free Cash Flow

$14.1M

Previous: $14M+0.9%
Net Income

$18.5M

Previous: $17.5M+5.8%
Operating Income

$29.1M

Previous: $25.4M+14.5%
Gross Profit

$86.6M

Previous: $76.4M+13.4%
Cash & Equivalents

$84.3M

Previous: $105M-19.9%
Total Assets

$1.34B

Previous: $1.21B+10.9%
Stock-Based Comp

$1.37M

Previous: $1.24M+10.6%

Revenue & EPS history

Alamo Group · Revenue · Quarterly

$362M

Q1 2022+16.3%vs Q1 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Alamo Group · $219M total across 1 segment · Q3 2021

  • Industrial Equipment
    $219M+11.6%

Forward guidance

Alamo Group anticipates continued strong customer demand but expects ongoing challenges from supply chain disruptions and cost inflation in the second quarter of 2022. The company plans to closely monitor costs and implement further pricing measures to protect margins.

Tailwinds

  • Strong customer demand in virtually every market.
  • Record order bookings received in the first quarter.
  • Order backlog moving significantly higher, setting a company record.
  • Governmental mower sales in Europe and North America were notably stronger.
  • South American operations continued to develop positively with net sales that more than doubled.

Headwinds

  • No supply chain relief in sight.
  • No near-term moderation in cost inflation.
  • Steel prices began moving higher again in April.
  • COVID outbreak in China, worsening severe congestion at Chinese ports, and logistics problems generally.
  • Shortages of other components such as axles and transmissions are compounding the problem.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.8%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+0.8%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+23.2%

Q3 2014

Best reaction

-16.2%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.3%-4.4%-13.0%
Q4 2025-15.7%-23.0%-23.0%
Q3 2025+0.8%+0.2%-9.3%
Q1 2025+6.9%+12.3%+16.0%
Q4 2024-5.0%-3.3%-1.9%
Q3 2024+8.3%+7.9%+15.5%
Q2 2024-3.3%-9.4%-2.9%
Q1 2024+0.0%+0.1%-2.0%
Q4 2023-5.1%-5.8%-0.1%
Q3 2023+14.0%+14.5%+18.2%
Q2 2023-7.4%-7.4%-9.3%
Q1 2023+1.1%+1.7%+0.7%
Q4 2022+10.8%+13.3%+9.8%
Q3 2022-4.4%-0.9%+1.4%
Q2 2022+4.0%+5.6%+1.0%
Q1 2022-4.7%-9.8%-5.9%
Q4 2021+2.4%+2.7%+9.5%
Q3 2021-1.9%+1.9%-7.8%
Q2 2021+0.1%+2.0%+6.3%
Q1 2021+1.5%+0.4%-5.5%
Q4 2020-5.3%-4.1%-4.9%
Q3 2020+0.0%+3.9%+14.8%
Q2 2020+4.6%+5.6%+9.7%
Q1 2020+3.6%+2.5%+22.6%
Q4 2019-9.5%-6.6%-25.8%
Q3 2019-16.2%-14.4%-10.2%
Q2 2019+9.9%+7.8%+14.7%
Q1 2019-0.1%+1.9%-8.4%
Q4 2018+2.0%+2.5%+5.2%
Q3 2018+6.0%+1.7%-3.5%
Q2 2018+0.7%+1.7%+2.5%
Q1 2018-12.7%-14.6%-14.6%
Q4 2017-4.0%+0.7%-1.1%
Q3 2017+4.0%+4.9%+11.8%
Q2 2017-2.3%-0.9%-1.4%
Q1 2017+4.2%+6.8%+9.8%
Q4 2016-3.1%-3.7%-2.2%
Q3 2016+0.2%+4.3%+14.3%
Q2 2016-3.4%-1.4%-0.5%
Q1 2016+0.7%
Q4 2015+12.5%
Q3 2015+10.8%
Q2 2015-1.8%
Q1 2015-7.1%
Q4 2014+18.5%
Q3 2014+23.2%
Q2 2014+0.5%
Q1 2014-6.1%
Q4 2013+8.5%
Q3 2013+6.4%
Q2 2013+5.3%
Q1 2013+2.4%
Q4 2012+2.7%
Q3 2012-3.8%
Q2 2012-4.2%
Q1 2011-0.3%
Q1 2012+1.2%
Q4 2009+2.5%
Q4 2011+2.5%
Q3 2010-1.0%
Q3 2011-1.0%
Q2 2011-2.6%
Q2 2010-2.6%
Q4 2010-2.6%
Q1 2010+7.7%

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