Alamo Announces 3Q Results & Purchase

Alamo Group Inc., Seguin, TX, has reported that net sales for the third quarter were $155.1 million, compared to net sales of $136.7 million for the same quarter of 2010, an increase of 13%. Net income for the quarter was $10.1 million, versus $8.2 million for the third quarter of 2010, an increase of 23%. The net sales and net income results represent record levels for Alamo Group as the Company experienced growth in all three segments of its business.

The company’s North American Agricultural Division net sales were $55.3 million in the third quarter of 2011, an increase of 7% compared to net sales of $51.6 million in the previous year.

Ron Robinson, Alamo Group’s President and Chief Executive Officer, commented, “Our agricultural equipment continues to benefit from the overall strength in the global farming sector and we believe these conditions are likely to continue for the next several years as demand for food products seems to be outpacing supply. This demand has helped Alamo’s agricultural business in both North America and Europe.”

Alamo Group recently announced that it will close a plant in Sioux Falls, S.D., and consolidate the operations into its facility in Gibson City, IL. The company did not disclose a reason for the move but said the transition will be complete in early 2012.

The company has also announced that it has acquired substantially all of the assets and business of Tenco Group Inc. and its subsidiaries. Tenco, a Canadian based manufacturer and distributor of snow and ice removal equipment, was acquired for approximately CDN $6 million in cash, plus the assumption of certain specified liabilities and subject to post closing adjustments.

Alamo Group Agricultural Division has been a member of this Association since 1952. For more information about the company, please go to alamo-group.com.