Douglas Dynamics(PLOW) - 2024 Q4 - Annual Results

Financial Performance - Full Year 2024 Net Sales reached $568.5 million, a slight increase from$568.2 million in 2023[3] - Full Year Net Income increased significantly to $56.2 million, compared to$23.7 million in 2023, driven by a one-time gain of $42.3 million from a sale leaseback transaction[6] - Adjusted EBITDA for 2024 rose 16.4$79.3 million, with an Adjusted EBITDA Margin of 14.0%, up from 12.0% in 2023[6] - Adjusted Diluted EPS increased approximately 45% to $1.47, compared to$1.01 in 2023[4] - Net income for the twelve-month period ended December 31, 2024, reached $56,151 thousand, significantly higher than$23,723 thousand in 2023, marking an increase of 136.5%[25] - Adjusted EBITDA for the twelve-month period ended December 31, 2024, was $79,349,000, up from$68,122,000 in 2023, reflecting a growth of 16.5%[31] - Adjusted net income for the twelve-month period ended December 31, 2024, was $35,167,000, compared to$24,370,000 in 2023, marking an increase of 44.3%[34] - The weighted average diluted earnings per share for the twelve-month period ended December 31, 2024, was $2.36, compared to$0.98 in 2023, representing a significant increase of 140.8%[34] Segment Performance - The Work Truck Solutions segment achieved record full year Net Sales of $312.5 million, a 13.0$276.5 million in 2023[11] - The Work Truck Attachments segment saw a decline in Net Sales to $256.0 million for 2024, down from$291.7 million in 2023, due to low snowfall impacting demand[5] - The company reported an adjusted EBITDA margin of 16.7% for the Work Truck Attachments segment in Q4 2024, compared to 11.1% in Q4 2023[29] - The Work Truck Solutions segment reported net sales of $89,765 thousand for Q4 2024, up from$78,868 thousand in Q4 2023, an increase of 13.5%[29] Cash Flow and Assets - Operating cash flow for the twelve-month period ended December 31, 2024, was $41,131 thousand, compared to$12,469 thousand in 2023, indicating a significant improvement[27] - Free cash flow for the three-month period ended December 31, 2024, was $70,576,000, slightly down from$73,819,000 in 2023, while the twelve-month free cash flow increased to $33,321,000 from$1,948,000 in 2023[37] - The net cash provided by operating activities for the three-month period ended December 31, 2024, was $74,404,000, compared to$76,617,000 in 2023, showing a decrease of 2.9%[37] - Cash and cash equivalents at the end of the period decreased to $5,119 thousand from$24,156 thousand, a decline of 78.8%[27] - The company’s total assets decreased slightly from $593,418 thousand in 2023 to$589,983 thousand in 2024, a decrease of 0.7%[23] Liabilities and Expenses - Total current liabilities decreased from $118,517 thousand in 2023 to$70,192 thousand in 2024, a reduction of 40.7%[23] - The company incurred restructuring and severance costs of $1,997,000 for the twelve-month period ended December 31, 2024, compared to no such costs in 2023[34] - The company reported an interest expense of$3,144,000 for the three-month period ended December 31, 2024, down from $4,468,000 in 2023, indicating a decrease of 29.7$1,233,000, compared to a negative $3,283,000 in 2023, indicating a positive shift in compensation expenses[34] - The company reported a depreciation expense of$2,231,000 for the three-month period ended December 31, 2024, down from $2,852,000 in 2023, reflecting a decrease of 21.8$348 million, significantly elevated compared to historical averages[6] - The company expects 2025 Net Sales to be between $610 million and$650 million, with Adjusted EBITDA projected to range from $75 million to$95 million[14] Taxation - The effective tax rate for 2024 was 24.0%, an increase from 18.9% in 2023, influenced by a tax benefit related to investment tax credits in the prior year[6] Quarterly Performance - Net sales for the three-month period ended December 31, 2024, increased to $143,549 thousand, up from$134,245 thousand in the same period of 2023, representing a growth of 9.7%[25] - Net income for the three-month period ended December 31, 2024, was $7,907,000, compared to$7,077,000 for the same period in 2023, representing an increase of 11.7%[31] - Gross profit for the twelve-month period ended December 31, 2024, was $146,837 thousand, compared to$134,270 thousand in 2023, reflecting an increase of 9.4%[25]