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Alta Equipment Group Announces Fourth Quarter and Full Year 2024 Financial Results and Provides Adjusted EBITDA Guidance for 2025
ALTGAlta Equipment (ALTG) Newsfilter·2025-03-05 21:15

Core Insights - Alta Equipment Group Inc. reported its financial results for the fourth quarter and full year ended December 31, 2024, highlighting challenges in the construction equipment market due to elevated interest rates and political uncertainty [3][4] - The company's total revenues for 2024 were essentially flat at 1.9billion,demonstratingresiliencedespitemarketcyclicality[4][6]−TheMaterialHandlingsegmentshowedgrowth,withrevenuesincreasingto1.9 billion, demonstrating resilience despite market cyclicality [4][6] - The Material Handling segment showed growth, with revenues increasing to 687.4 million, while the Construction segment faced declines [4][5] Financial Highlights for Q4 2024 - Total revenues decreased by 4.5% year over year to 498.1million[5]−Newandusedequipmentsalesfellby3.7498.1 million [5] - New and used equipment sales fell by 3.7% to 287.1 million [5] - Net loss available to common stockholders was (11.4)millioncomparedto(11.4) million compared to (2.7) million in Q4 2023 [5] - Adjusted EBITDA decreased by 18.1% to 40.7million[5][9]FinancialHighlightsforFullYear2024−Totalrevenueswere40.7 million [5][9] Financial Highlights for Full Year 2024 - Total revenues were 1,876.6 million, a slight decrease of 0.2millionyearoveryear[5][22]−ConstructionandMaterialHandlingrevenueswere0.2 million year over year [5][22] - Construction and Material Handling revenues were 1,131.4 million and 687.4million,respectively[5]−Netlossavailabletocommonstockholderswas687.4 million, respectively [5] - Net loss available to common stockholders was (65.1) million compared to 5.9millionin2023[5][22]−AdjustedEBITDAdecreasedby12.15.9 million in 2023 [5][22] - Adjusted EBITDA decreased by 12.1% to 168.3 million [5][22] Segment Performance - The Material Handling segment experienced growth, with North American lift truck deliveries increasing as the industry worked through post-COVID backlogs [4] - The Construction segment faced a decline in equipment volumes, with a year-over-year drop of approximately 10 to 20 percent in some regional markets [4] - Product support revenues increased by 5.5% year over year, with parts and service sales growing to 294.4millionand294.4 million and 253.8 million, respectively [5][6] Outlook for 2025 - The company expects Adjusted EBITDA for 2025 to be between 175.0millionand175.0 million and 190.0 million [7] - There is optimism regarding the normalization of new equipment supply, which is anticipated to enhance competitiveness in the construction segment [6] - The company plans to leverage cost and inventory optimization initiatives undertaken in 2024 to create operating leverage moving forward [6]