Toro (TTC) came out with quarterly earnings of $0.65 per share, beating the Zacks Consensus Estimate of $0.63 per share. This compares to earnings of $0.64 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.17%. A quarter ago, it was expected that this landscaping, maintenance and irrigation equipment maker would post earnings of $0.96 per share when it actually produced earnings of $0.95, delivering a surprise of -1.04%.Over t ...

Toro's Professional segment helped it surpass EPS estimates in Q1 2025, but total revenue missed expectations.Outdoor maintenance solutions provider Toro (TTC -4.49%) reported mixed fiscal 2025 first-quarter financial results on Thursday, March 6. Adjusted EPS of $0.65 surpassed analysts' consensus expectations of $0.63. However, Q1 revenue was $995 million, falling short of the anticipated $1 billion. Challenges in the Residential segment contributed to this shortfall. Overall, the quarter showcased strong ...

Core Viewpoint - Toro Corp. has announced a spin-off of its Handysize tanker business, creating a new subsidiary named Robin Energy Ltd., which will hold one Handysize tanker and Xavier Shipping Co. [1][2] Group 1: Spin-Off Details - The spin-off will allow Toro shareholders to receive one common share of Robin for every eight common shares of Toro they own [1][2] - Robin has applied for its shares to be listed on the Nasdaq Capital Market, with Toro's CEO, Petros Panagiotidis, appointed as Robin's Chairman and CEO [1][2] Group 2: Strategic Benefits - The spin-off is expected to enhance operational efficiencies and allow both Toro and Robin to focus on their respective business lines [2] - The transaction aims to attract new investors and provide shareholders with flexibility in managing their equity holdings in the shipping sectors [2] Group 3: Shareholder Actions - Toro shareholders will not need to take any action to receive their Robin shares, and no payment or exchange of Toro shares is required [3] - Fractional shares of Robin will not be distributed; instead, they will be aggregated and sold in the market, with net proceeds distributed to shareholders [3] Group 4: Regulatory and Filing Information - Robin has filed a registration statement on Form 20-F with the SEC, detailing the terms of the spin-off [4] - The completion of the spin-off is subject to the effectiveness of the registration statement and the approval of Robin's share listing on Nasdaq [4] Group 5: Company Overview - Toro Corp. is an international energy transportation services company with a fleet that includes five vessels, comprising one Handysize tanker and four LPG carriers [5] - The company operates under the laws of the Republic of the Marshall Islands and trades on the Nasdaq Capital Market under the symbol "TORO" [6]

Group 1 - The Toro Company (NYSE: TTC) is insulated from tariffs as the majority of its products are manufactured in the U.S.A [1] - The company is focusing on enhancing its portfolio by offering higher-margin products through brand consolidation [1] Group 2 - The emphasis of equity research is on intrinsic value, prioritizing undervalued and growing companies, particularly those in early development stages [2]

Core Insights - The Toro Company reported fourth-quarter fiscal 2024 results with both revenues and earnings falling short of the Zacks Consensus Estimate, although both metrics improved compared to the same quarter last year [1][4][5] Financial Performance - Adjusted earnings were reported at 95 cents per share, slightly below the consensus estimate of 96 cents, but up from 71 cents in the prior year [4] - Net sales reached $1,076 million, missing the consensus estimate of $1,086 million, but reflecting a 9.4% increase year-over-year [5] - Adjusted gross profit increased by 5.1% year-over-year to $347.8 million, while gross margin contracted by 130 basis points to 32.3% due to rising costs [6] - SG&A expenses improved by 2.1% year-over-year to $240 million, with a decrease in this metric as a percentage of net sales by 160 basis points to 22.3% [7] - Adjusted operating earnings were $117 million, compared to $99.5 million in the same quarter last year, with an adjusted operating margin of 10.9%, up 80 basis points year-over-year [8] Segment Performance - Professional segment net sales were $913.9 million, a 10.3% increase from $828.9 million in the prior year, driven by higher shipments of golf and grounds products [9] - Residential segment net sales reached $155.1 million, a 4.5% increase from $148.4 million in the previous year, supported by greater shipments of lawn care products [10] Financial Position - As of the end of the fiscal fourth quarter, the company had cash and cash equivalents of $199.5 million, long-term debt of $911.8 million, and shareholders' equity of $1.55 billion [12] - Net inventories declined by 4.5% year-over-year, with net cash provided by operating activities at $569.9 million and free cash flow at $470.7 million [12] Future Outlook - For fiscal 2025, the company projects net sales growth of 0% to 1% and adjusted EPS between $4.25 and $4.40, supported by strong demand in underground construction and golf segments [13]

Core Viewpoint - Toro (TTC) reported quarterly earnings of $0.95 per share, slightly missing the Zacks Consensus Estimate of $0.96 per share, but showing an increase from $0.71 per share a year ago, indicating a year-over-year growth in earnings despite the miss [1][2] Financial Performance - The company posted revenues of $1.08 billion for the quarter ended October 2024, which was below the Zacks Consensus Estimate by 0.94%, but up from $983.2 million in the same quarter last year, reflecting a year-over-year revenue growth [2] - Over the last four quarters, Toro has surpassed consensus EPS estimates only once, indicating mixed performance in earnings expectations [2][7] Stock Performance - Toro shares have declined approximately 11.1% since the beginning of the year, contrasting with the S&P 500's gain of 26.9%, highlighting underperformance relative to the broader market [4] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.82 on revenues of $1.08 billion, while for the current fiscal year, the estimate is $4.59 on revenues of $4.77 billion, suggesting cautious expectations moving forward [8] - The Zacks Rank for Toro is currently 3 (Hold), indicating that the stock is expected to perform in line with the market in the near future [7] Industry Context - The Tools - Handheld industry, to which Toro belongs, is currently ranked in the top 2% of over 250 Zacks industries, suggesting a favorable industry outlook that could positively influence Toro's performance [9]

Core Viewpoint - Toro Corp. has announced a $100 million senior term loan facility to Castor Maritime Inc., secured by 10 vessels valued at approximately $235 million, with a tenor of 5 years and an interest rate of SOFR plus 1.80% per annum [1] - Additionally, Toro is increasing its investment in Castor's Series D Preferred Shares by 50,000 shares for a total of $50 million, bringing its total holdings to 100,000 shares [2] Group 1: Financial Transactions - The $100 million term loan facility is secured by 10 vessels owned by Castor, which are valued at around $235 million based on third-party valuations [1] - The term loan has a duration of 5 years and an interest rate of SOFR plus 1.80% per annum [1] - Toro is investing an additional $50 million in Castor's 5.00% Series D cumulative perpetual convertible preferred shares, increasing its total holdings to 100,000 shares [2] Group 2: Company Background - Toro Corp. is an international energy transportation services company with a fleet that includes tankers and LPG carriers, currently owning five vessels with a total capacity of 0.1 million deadweight tons [5] - Castor Maritime Inc. is a Nasdaq-listed maritime entity controlled by Petros Panagiotidis, who is also the CEO of Toro [3]

Financial Performance - Total revenues for the nine months ended September 30, 2024, were $17.2 million, up from $15.0 million for the same period in 2023, indicating an increase of 14.5%[7] - Operating loss for the nine months ended September 30, 2024, was $3.8 million, compared to an operating income of $444,119 for the same period in 2023[7] - Net income attributable to common shareholders decreased from $109.9 million in the nine months ended September 30, 2023, to $20.9 million in 2024, a decline of 81%[7] - Net income for the nine months ended September 30, 2023, was $112,410,345, while for the same period in 2024, it decreased to $24,229,477[12] - For the nine months ended September 30, 2024, the Company reported net income of $24,229,477, a decrease of 78.5% compared to $112,410,345 for the same period in 2023[84] Assets and Liabilities - Total assets increased from $308.1 million as of December 31, 2023, to $325.4 million as of September 30, 2024, representing a growth of 5.4%[5] - Cash and cash equivalents rose from $151.8 million as of December 31, 2023, to $192.1 million as of September 30, 2024, an increase of 26.6%[5] - Total current liabilities decreased from $7.9 million as of December 31, 2023, to $5.3 million as of September 30, 2024, a reduction of 32.5%[5] - Total shareholders' equity as of September 30, 2023, was $140,582,168, which increased to $198,258,065 by the end of 2024[10] - Total assets from continuing operations increased from $285,301,738 as of December 31, 2023, to $324,492,665 as of September 30, 2024, reflecting a growth of approximately 13.7%[98] Cash Flow - Cash provided by operating activities from continuing operations increased from $5,308,976 in 2023 to $13,509,080 in 2024[12] - Cash, cash equivalents, and restricted cash at the end of the period increased from $103,479,350 in 2023 to $192,139,107 in 2024[12] Shareholder Actions - The company issued 8,500,000 common shares in a private placement, raising $18,647,236[12] - The company repurchased common shares costing $3,728,008 in 2024[12] - The Company repurchased a total of 867,156 common shares at an average price of $5.50 per share under its share repurchase program[62] - The Company paid a dividend amounting to $1,050,000 on the Series A Preferred Shares for the period from October 15, 2023, to July 14, 2024[65] - The company paid a dividend of $350,000 on Series A Preferred Shares for the period from July 15, 2024, to October 14, 2024[98] Operational Changes - The Company has classified the disposal of its Aframax/LR2 vessels as discontinued operations, significantly affecting its financial results[31] - The Company established its LPG carrier operations in Q2 2023, operating in two reportable segments: Handysize tanker and LPG carrier as of Q2 2024[94] Expenses - The total expenses for the nine months ended September 30, 2023, were $58,479,445, while they decreased to $19,124,183 in 2024[33] - Depreciation and amortization expenses increased from $2,195,236 in 2023 to $3,591,785 in 2024[12] - The company incurred voyage expenses of $1,299,007 for the nine months ended September 30, 2024, compared to $1,083,502 in 2023, representing an increase of approximately 19.9%[95] Investments - The company reported interest income of $6.6 million for the nine months ended September 30, 2024, compared to $1.1 million for the same period in 2023, a significant increase of 484%[7] - The company’s investment in equity securities increased from $0 to $2.5 million from December 31, 2023, to September 30, 2024[5] - The Company agreed to purchase 50,000 Series D Cumulative Perpetual Convertible Preferred Shares of Castor for an aggregate cash consideration of $50.0 million, with a distribution rate of 5.00% per annum[43] - As of September 30, 2024, the aggregate value of the investment in Castor amounted to $50,569,444, including $569,444 of accrued dividends[47] Segment Performance - Total vessel revenues for the nine months ended September 30, 2023, were $51,537,266, compared to $631,082 for the same period in 2024, indicating a significant decline[33] - The Handysize tanker segment reported total revenues of $10,394,268 for the nine months ended September 30, 2024, compared to $605,850 in 2023, indicating a significant increase[95] - Time charter revenues significantly increased to $10,394,268 for the nine months ended September 30, 2024, compared to $605,850 for the same period in 2023, marking a growth of 1611.5%[85] Accounting and Reporting - The Company’s financial statements are prepared in accordance with U.S. GAAP and do not include all information required for complete financial statements[23] - The results of operations for interim periods are not necessarily indicative of the results expected for the entire year[24] - The Company has adopted new accounting policies for measuring equity securities at fair value, with changes recognized through net income[26] - The Company’s unaudited interim condensed consolidated financial statements include all necessary adjustments for fair presentation[24]

Company Overview - The Toro Company (NYSE:TTC) specializes in lawn care products and solutions, operating in two segments: professional and residential [2] - The company has a market capitalization of approximately $8.5 billion and has delivered nearly 8,500% return since its public offering [2] Financial Performance - Revenue per share has grown at an 8.6% CAGR over the past ten fiscal years, with notable increases in 2019, 2021, and 2022, all exceeding 15% [3] - In fiscal 2023, revenue per share saw only a minor increase, prompting attention on fiscal 2024 for potential recovery [3] - Gross profit margin fluctuated but returned close to 35% in 2023 after a decline [3] - Return on invested capital (ROIC) has decreased from pre-pandemic levels near 30% to 18.7% in 2023 [3] Dividend Information - Toro has paid dividends for over 30 years, with a current quarterly dividend of $0.36, yielding about 1.75% [4] - The company has a strong commitment to dividend growth, with 3-, 5-, and 10-year growth rates all exceeding 10% [4] Earnings Update - For Q3, Toro reported revenue of $1.16 billion, a nearly 7% increase year-over-year, but missed analyst expectations by over $100 million [6] - Adjusted EPS for the quarter was $1.18, up more than 24% from the previous year, but also fell short of estimates [6] - The Professional segment experienced a slight sales decline of 1.7%, while the Residential segment saw revenue increase by over 50% [6] Valuation - Toro's stock is currently trading at about $83, below its fair value estimate of $108, indicating a potential buying opportunity [8] - The expected rate of return for Toro is just above 16%, driven by anticipated earnings growth and dividend yield [8] - The valuation model suggests that Toro is trading slightly below fair value, with a recent drop in stock price providing a better margin of safety for investors [7][8]

Core Points - Toro Corp. held its 2024 Annual General Meeting of Shareholders on September 6, 2024, in Limassol, Cyprus [1] - The meeting resulted in the re-election of Mr. Petros Zavakopoulos as Class A Director until the 2027 Annual General Meeting [1] - Deloitte Certified Public Accountants S.A. was appointed as the independent auditors for the fiscal year 2024 [1] Company Overview - Toro Corp. is an international energy transportation services company specializing in the transportation of crude oil, petroleum products, and petrochemical gases [2] - The company operates a fleet of five vessels with a total capacity of 0.1 million deadweight tons (dwt), including one Handysize tanker and four 5,000 cubic meter (cbm) LPG carriers [2]