Alamo Group Reports Record 3Q

Alamo Group Inc., Seguin, TX, reported results for the third quarter ended September 30, 2013. Highlights for the Quarter: Record net income of $11.3 million; Record net sales of $174.7 million; North American Industrial Division up 16%; North American Agricultural Division up 13% and the European Division up 4%.

Net sales for the third quarter of 2013 were $174.7 million compared to net sales of $156.1 million for the third quarter of 2012, an increase of 12%. Net income for the quarter was $11.3 million versus net income of $8.6 million for the same period of 2012, an increase of 32%.

For the first nine months of 2013, net sales increased 7% to $511.2 million compared to net sales of $479.0 million during the same period in 2012. Net income for the first nine months of 2013 was $30.1 million, versus $24.7 million for the comparable period in 2012, an increase of 22%.

Net sales and net income for both the quarter and nine months of 2013 were records for Alamo Group.

Ron Robinson, Alamo Group’s President and Chief Executive Officer, commented, “We are pleased by our continued strong results and, once again, we were able to turn a solid sales increase into an even better earnings increase. Additionally, we were pleased to see some sales growth in our European Division which we hope is an indicator this sector is beginning to recover.”

“Our strongest results came from our Industrial Division, which again exceeded our expectations. We continue to believe this performance is being driven by pent up demand for infrastructure maintenance equipment, though demand from other markets showed improvement as well.”

“The Company’s agricultural products also exhibited strong sales increases in the quarter. This was achieved despite weaker demand for equipment in the North American market. While we believe softer market conditions will continue for the rest of this year and into 2014, we feel our products have the potential to outperform the overall market with the help of improved backlogs and new product introductions.”

Alamo Group, Association member since 1952; alamo-group.com.