Financial Performance - Net sales for the three months ended March 31, 2021, were $86,800,000, a decrease of 4% compared to $91,063,000 for the same period in 2020[10] - Income from operations for the first quarter of 2021 was $907,000, down from $4,351,000 in the first quarter of 2020, representing a decline of approximately 79%[10] - Net income attributable to Ampco-Pittsburgh for the three months ended March 31, 2021, was $167,000, a significant decrease of 96% from $4,142,000 in the same period of 2020[10] - For the three months ended March 31, 2021, net income was $314,000, compared to $4,602,000 for the same period in 2020, representing a decrease of approximately 93.2%[16] - Basic net income per share attributable to Ampco-Pittsburgh common shareholders was $0.01 for the first quarter of 2021, down from $0.33 in the first quarter of 2020[10] - Total income before income taxes for reportable segments decreased to $4,158 in Q1 2021 from $7,140 in Q1 2020, a decline of about 41.5%[84] Assets and Liabilities - Total current assets increased to $186,067,000 as of March 31, 2021, compared to $171,832,000 as of December 31, 2020, reflecting an increase of approximately 8%[7] - Total liabilities rose to $382,811,000 as of March 31, 2021, compared to $378,209,000 as of December 31, 2020, indicating a slight increase of about 1.4%[7] - The company’s total assets increased to $471,294,000 as of March 31, 2021, compared to $463,208,000 as of December 31, 2020, reflecting a growth of about 1.3%[7] - Current liabilities rose from $105,332 at December 31, 2020, to $119,138 at March 31, 2021, an increase of about 13.1%[7] - Total outstanding borrowings decreased to $36,493 million as of March 31, 2021, from $37,243 million as of December 31, 2020, a decrease of 2%[41] Cash Flow - Net cash flows provided by operating activities for the three months ended March 31, 2021, were $1,858,000, a decrease from $12,605,000 in the same period of 2020[19] - Cash and cash equivalents increased to $18,251,000 as of March 31, 2021, from $16,842,000 as of December 31, 2020, marking an increase of approximately 8.4%[7] - The company reported a total cash and cash equivalents balance of $18,251,000 at the end of the period, up from $13,942,000 at the end of March 31, 2020[19] Operating Costs - Operating costs and expenses decreased to $85,893,000 for the three months ended March 31, 2021, down from $86,712,000 in the same period of 2020, a reduction of approximately 0.9%[10] - The company incurred interest expense of $895,000 in Q1 2021, down from $1.2 million in Q1 2020, indicating a reduction of 26.5%[10] Segment Performance - The FCEP segment produces forged hardened steel rolls and cast rolls, primarily serving the steel, aluminum, and other metal industries, with operations in the U.S., England, Sweden, and Slovenia[22] - The Air and Liquid Processing segment includes divisions that manufacture custom-engineered heat exchange products and centrifugal pumps for various industries, with operations in Virginia and New York[23] - Forged and Cast Engineered Products segment net sales fell to $63,351 in Q1 2021 from $68,764 in Q1 2020, a decrease of about 7.1%[84] - Air and Liquid Processing segment net sales increased to $23,449 in Q1 2021 from $22,299 in Q1 2020, reflecting a growth of approximately 5.2%[84] Asbestos Liability - Total claims pending related to asbestos litigation at the end of the period were 5,964, down from 6,181 at the end of March 31, 2020[74] - The average gross settlement and defense costs per claim resolved for asbestos claims was $13.63 thousand in the three months ended March 31, 2021, down from $31.99 thousand in the same period of 2020[74] - The Corporation's reserve for Asbestos Liability claims was $227,922 as of December 31, 2018, and decreased to $176,856 by March 31, 2021, indicating a reduction of approximately 22.4%[79] - The insurance receivable related to Asbestos Liability claims was $152,508 at December 31, 2018, and decreased to $115,862 by March 31, 2021, reflecting a decline of about 24.0%[79] COVID-19 Impact - The company is actively monitoring the impact of COVID-19 on its operations and financial condition, with potential long-term disruptions anticipated[25] - The Corporation has taken advantage of provisions from the CARES Act and the American Rescue Plan Act, but the future impact on consolidated financial statements remains uncertain[26] Other Financial Metrics - The Corporation recognized a net of tax amount of $362 million from the amortization of unrecognized employee benefit costs for the three months ended March 31, 2021[57] - The total accumulated other comprehensive loss as of March 31, 2021, was $(69,187) million, compared to $(72,937) million as of March 31, 2020[56] - The Corporation's foreign net sales for the three months ended March 31, 2021, were $42.318 million, a decrease from $51.013 million in the same period of 2020[67]

Part I [Business](index=3&type=section&id=Item%201.%20Business) Ampco-Pittsburgh Corporation manufactures specialty metal products and customized equipment through its Forged and Cast Engineered Products and Air and Liquid Processing segments - The Corporation operates in two business segments: Forged and Cast Engineered Products (FCEP) and Air and Liquid Processing[5](index=5&type=chunk) - The FCEP segment produces forged hardened steel rolls, cast rolls, and open-die forged products for steel, aluminum, oil and gas, and other industries, with global operations[7](index=7&type=chunk) - The Air and Liquid Processing segment manufactures custom heat exchange coils (Aerofin), air handling systems (Buffalo Air Handling), and centrifugal pumps (Buffalo Pumps) for various industrial, commercial, and defense markets[8](index=8&type=chunk)[10](index=10&type=chunk) - In response to the COVID-19 pandemic, the company periodically idled certain FCEP operations and furloughed employees, while the Air and Liquid Processing segment was less affected[6](index=6&type=chunk) Order Backlog and Employees | Metric | Value | Date | | :--- | :--- | :--- | | **Order Backlog** | $246 million | Dec 31, 2020 | | **Order Backlog** | $321 million | Dec 31, 2019 | | **Worldwide Employees** | 1,533 | Dec 31, 2020 | [Risk Factors](index=6&type=page&id=Item%201a.%20Risk%20Factors) The company faces material risks including cyclical demand, foreign currency fluctuations, commodity price volatility, operational challenges, and COVID-19 impacts - **Business and Industry Risks:** The company is exposed to cyclical demand from the steel and aluminum industries, excess global steel capacity, foreign exchange rate fluctuations, and commodity price increases[24](index=24&type=chunk)[25](index=25&type=chunk)[26](index=26&type=chunk) - **Operational Risks:** Key operational risks include potential work stoppages from union negotiations, reliance on unique equipment like electric arc furnaces, and significant liability from historical asbestos exposure claims[30](index=30&type=chunk)[31](index=31&type=chunk)[32](index=32&type=chunk) - **COVID-19 Risks:** The pandemic has caused disruptions, including temporary idling of FCEP facilities, customer-requested delivery delays, and increased economic uncertainty, which could impact operations, financial condition, and liquidity[39](index=39&type=chunk)[40](index=40&type=chunk)[41](index=41&type=chunk) - **Securities Risks:** Risks related to securities include potential delisting from the NYSE or NYSE American if listing requirements are not met, and specific risks for Series A warrant holders, such as the stock price not exceeding the exercise price[43](index=43&type=chunk)[46](index=46&type=chunk) - **General Risks:** The company faces risks from potential cyber-attacks on its IT infrastructure and the challenge of maintaining an effective system of internal controls, which is crucial for reliable financial reporting[49](index=49&type=chunk)[50](index=50&type=chunk) [Unresolved Staff Comments](index=12&type=section&id=Item%201b.%20Unresolved%20Staff%20Comments) The Corporation reports that it has no unresolved staff comments from the SEC - The Corporation has no unresolved staff comments[53](index=53&type=chunk) [Properties](index=12&type=section&id=Item%202.%20Properties) The company lists its principal manufacturing facilities and offices for both segments, located in the US, England, Sweden, Slovenia, and China - The company's principal properties are detailed, including manufacturing facilities and offices for both segments across the US, Europe, and China, with several key US facilities subject to a 2018 sale and leaseback agreement[54](index=54&type=chunk)[55](index=55&type=chunk)[57](index=57&type=chunk) 2020 Capacity Utilization | Segment | 2020 Capacity Utilization (Normal) | 2020 Capacity Utilization (Adjusted for COVID) | | :--- | :--- | :--- | | **FCEP** | 70% to 80% | 60% to 70% | | **Air and Liquid Processing** | 60% to 70% | N/A | [Legal Proceedings](index=14&type=section&id=Item%203.%20Legal%20Proceedings) This section refers to Note 20 (Litigation) and Note 22 (Environmental Matters) in the Consolidated Financial Statements for details on legal proceedings - For information on litigation and environmental legal proceedings, the report directs readers to Note 20 and Note 22 of the Consolidated Financial Statements, respectively[59](index=59&type=chunk) [Mine Safety Disclosures](index=14&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the Corporation - Mine Safety Disclosures are not applicable[59](index=59&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=15&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Ampco-Pittsburgh's common stock trades on the NYSE under 'AP', and Series A warrants trade on the NYSE American under 'AP WS' - Common Stock (Symbol: AP) is traded on the New York Stock Exchange, and Series A Warrants (Symbol: AP WS) are traded on the NYSE American Exchange[62](index=62&type=chunk) - The Corporation suspended quarterly cash dividends in mid-2017 and has not paid them since[62](index=62&type=chunk) - An equity rights offering was completed in September 2020, issuing common stock and Series A warrants[62](index=62&type=chunk) [Selected Financial Data](index=15&type=section&id=Item%206.%20Selected%20Financial%20Data) This item is not applicable - Selected Financial Data is not applicable[63](index=63&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operation](index=15&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operation) In 2020, net sales decreased to $328.5 million, but income from continuing operations improved to $6.4 million, driven by restructuring benefits, lower raw material costs, and a tax benefit Financial Metrics Overview | Financial Metric | 2020 | 2019 | | :--- | :--- | :--- | | **Net Sales** | $328.5M | $397.9M | | **Income (Loss) from Cont. Ops.** | $6.4M | ($10.9M) | | **Backlog** | $246.1M | $321.3M | - The company reduced its total debt to **$37.2 million** at year-end 2020, a decrease of **$33.6 million** from 2019, primarily using proceeds from an equity rights offering[65](index=65&type=chunk) - The CARES Act provided a discrete income tax benefit of **$3.5 million** in 2020 due to the carryback of net operating losses[68](index=68&type=chunk) - Restructuring efforts in 2019, including the sale of the Avonmore Plant and ASW Steel, helped offset adverse pandemic effects by eliminating excess costs and loss-making operations[69](index=69&type=chunk) [Consolidated Results of Operations Overview](index=17&type=section&id=Consolidated%20Results%20of%20Operations%20Overview) Consolidated net sales fell to $328.5 million in 2020, but gross margin improved to 21.6% due to restructuring benefits and lower raw material costs Consolidated Financial Performance (in thousands) | Metric | 2020 | 2019 | | :--- | :--- | :--- | | **Net Sales** | $328,544 | $397,904 | | **Gross Margin (excl. D&A)** | 21.6% | 18.0% | | **Selling & Admin Expenses** | $45,542 (13.9% of sales) | $53,643 (13.5% of sales) | | **Net Income (Loss) Attributable to Ampco** | $7,970 | $(20,986) | | **Diluted EPS** | $0.54 | $(1.67) | Reconciliation to Non-GAAP (in thousands) | Reconciliation to Non-GAAP | 2020 | 2019 | | :--- | :--- | :--- | | **Income (Loss) from Cont. Ops. (GAAP)** | $6,446 | $(10,908) | | **Adjustments (Impairment, Restructuring, etc.)** | $(486) | $16,567 | | **Adjusted Income from Cont. Ops. (Non-GAAP)** | $5,960 | $5,659 | - The improvement in gross margin was primarily due to the FCEP segment benefiting from the elimination of costs from the sold Avonmore plant, lower raw material costs, and improved pricing, which more than offset unabsorbed costs from pandemic-related facility idling[75](index=75&type=chunk) [Forged and Cast Engineered Products Segment Analysis](index=20&type=section&id=Forged%20and%20Cast%20Engineered%20Products) The FCEP segment's net sales decreased by $67.7 million in 2020, but operating income dramatically improved to $8.6 million due to the absence of prior-year charges and favorable pricing FCEP Segment Performance (in thousands) | FCEP Segment | 2020 | 2019 | | :--- | :--- | :--- | | **Net Sales** | $237,889 | $305,630 | | **Operating Income (Loss)** | $8,621 | $(6,130) | | **Backlog** | $191,919 | $270,737 | - The **$14.8 million** improvement in operating results was largely due to the non-recurrence of 2019 charges, including a **$10.1 million** impairment charge, **$4.6 million** in excess costs from the sold Avonmore Plant, and a **$1.4 million** bad debt expense[86](index=86&type=chunk) - Positive impacts in 2020 included approximately **$3.3 million** from better pricing/mix and **$4.5 million** from lower raw material costs, partially offset by a net negative impact of **$8.9 million** from unabsorbed costs due to pandemic-related facility idling[87](index=87&type=chunk)[89](index=89&type=chunk) [Air and Liquid Processing Segment Analysis](index=21&type=section&id=Air%20and%20Liquid%20Processing) The Air and Liquid Processing segment's net sales slightly decreased to $90.7 million, while operating income remained stable at $10.1 million, benefiting from favorable product mix and process improvements Air and Liquid Processing Segment Performance (in thousands) | Air and Liquid Processing Segment | 2020 | 2019 | | :--- | :--- | :--- | | **Net Sales** | $90,655 | $92,274 | | **Operating Income** | $10,133 | $10,002 | | **Backlog** | $54,212 | $50,594 | - The segment successfully mitigated the negative impacts of the COVID-19 pandemic on its sales and operating income[90](index=90&type=chunk) - Backlog increased by **$3.6 million**, mainly due to higher order intake for centrifugal pumps and a refinement in measuring long-term Navy pump orders[90](index=90&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) The company's liquidity significantly improved in 2020, with net cash from continuing operations reaching $33.6 million, driven by better operating results and lower working capital investment Cash Flow (Continuing Operations, in thousands) | Cash Flow (Continuing Operations) | 2020 | 2019 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $33,635 | $(3,294) | | **Net Cash Used in Investing Activities** | $(7,929) | $(2,662) | | **Net Cash Used in Financing Activities** | $(17,220) | $(6,617) | - Financing activities included net proceeds of **$18.1 million** from an equity rights offering, primarily used to repay revolving credit facility borrowings[92](index=92&type=chunk) - As of December 31, 2020, cash and cash equivalents stood at **$16.8 million**, with approximately **$48.3 million** in remaining availability under its revolving credit facility maturing in May 2022[92](index=92&type=chunk) [Application of Critical Accounting Policies](index=22&type=section&id=APPLICATION%20OF%20CRITICAL%20ACCOUNTING%20POLICIES) The company's critical accounting policies involve significant management judgment and estimates, particularly for asbestos liabilities, pension benefits, and deferred tax asset recoverability - **Property, Plant and Equipment:** The company performed a quantitative impairment analysis as of March 31, 2020, due to COVID-19 being a triggering event, and determined that the assets were not impaired[96](index=96&type=chunk)[97](index=97&type=chunk) - **Pension and Other Postretirement Benefits:** Accounting relies on key assumptions for discount rates (**2.50%-2.63%** for domestic plans) and long-term rate of return on plan assets (**6.60%-7.25%** for domestic plans), where a 1% change in the rate of return could impact annual pension expense by approximately **$2.35 million**[98](index=98&type=chunk) - **Asbestos Liability:** The company uses a nationally recognized expert to estimate its asbestos liability for claims projected through 2052, involving key assumptions about future claim numbers, settlement costs, and insurance carrier solvency, with a **$283,000** charge recorded in 2020 for potential insolvency of one carrier[99](index=99&type=chunk) - **Income Taxes:** A valuation allowance of **$42.5 million** is recorded against deferred tax assets, reducing the net deferred tax asset to **$1.1 million**, the amount management believes is 'more likely than not' to be realized[101](index=101&type=chunk) [Financial Statements and Supplementary Data](index=25&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the Corporation's audited consolidated financial statements for the fiscal year ended December 31, 2020, including balance sheets, statements of operations, and cash flows, along with accompanying notes [Consolidated Balance Sheets](index=25&type=section&id=Consolidated%20Balance%20Sheets) As of December 31, 2020, total assets were $463.2 million, total liabilities decreased to $378.2 million, and total shareholders' equity increased to $85.0 million Consolidated Balance Sheet (in thousands) | Balance Sheet (in thousands) | Dec 31, 2020 | Dec 31, 2019 | | :--- | :--- | :--- | | **Total Current Assets** | $171,832 | $193,412 | | **Total Assets** | $463,208 | $506,560 | | **Total Current Liabilities** | $105,332 | $124,232 | | **Long-Term Debt** | $24,807 | $50,494 | | **Asbestos Liability (Current & Noncurrent)** | $180,196 | $207,633 | | **Total Liabilities** | $378,209 | $450,944 | | **Total Shareholders' Equity** | $84,999 | $55,616 | [Consolidated Statements of Operations](index=26&type=section&id=Consolidated%20Statements%20of%20Operations) For 2020, net sales were $328.5 million, with income from continuing operations of $6.4 million, a significant improvement from a $10.9 million loss in 2019 Consolidated Statement of Operations (in thousands) | Statement of Operations (in thousands) | 2020 | 2019 | | :--- | :--- | :--- | | **Net Sales** | $328,544 | $397,904 | | **Income (Loss) from Continuing Operations** | $6,446 | $(10,908) | | **Net Income (Loss) from Continuing Operations** | $9,170 | $(10,475) | | **Loss from Discontinued Operations, net of tax** | $0 | $(9,085) | | **Net Income (Loss) Attributable to Ampco-Pittsburgh** | $7,970 | $(20,986) | | **Diluted EPS** | $0.54 | $(1.67) | [Consolidated Statements of Cash Flows](index=29&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For 2020, net cash provided by operating activities from continuing operations was $33.6 million, a significant improvement from a cash use in 2019, leading to an increase in cash and cash equivalents Cash Flows (Continuing Operations, in thousands) | Cash Flows (Continuing Ops, in thousands) | 2020 | 2019 | | :--- | :--- | :--- | | **Net cash provided by (used in) operating activities** | $33,635 | $(3,294) | | **Net cash used in investing activities** | $(7,929) | $(2,662) | | **Net cash used in financing activities** | $(17,220) | $(6,617) | | **Net increase (decrease) in cash** | $9,882 | $(13,877) | | **Cash and cash equivalents at end of year** | $16,842 | $6,960 | [Notes to Consolidated Financial Statements](index=30&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) The notes provide detailed information on the financial statements, covering topics such as discontinued operations, debt structure, pension plans, asbestos liability, and income tax details - **Note 2 (Discontinued Operations):** The 2019 sale of ASW Steel Inc. was accounted for as a discontinued operation, while the sale of the Avonmore Plant in 2019 resulted in a **$10.1 million** impairment charge in Q1 2019[153](index=153&type=chunk)[155](index=155&type=chunk) - **Note 9 (Debt):** Total debt decreased to **$37.2 million** in 2020 from **$70.9 million** in 2019, with a **$92.5 million** revolving credit facility maturing in May 2022, having **$6.0 million** drawn and **$48.3 million** available at year-end[172](index=172&type=chunk)[173](index=173&type=chunk) - **Note 11 (Pensions):** The company has multiple defined benefit pension plans, with U.S. plans having a funded status deficit of **$62.9 million** and foreign plans a deficit of **$3.0 million** as of December 31, 2020[192](index=192&type=chunk) - **Note 20 (Litigation):** The company has a significant asbestos liability, estimated at **$180.2 million** at year-end 2020 for claims projected through 2052, with a corresponding insurance receivable of **$117.9 million** also recorded[251](index=251&type=chunk) - **Note 21 (Income Taxes):** A valuation allowance of **$42.5 million** is maintained against deferred tax assets, and the company has federal net operating loss carryforwards of **$41.6 million**[260](index=260&type=chunk) [Changes In and Disagreements With Accountants On Accounting and Financial Disclosure](index=67&type=section&id=Item%209.%20Changes%20In%20and%20Disagreements%20With%20Accountants%20On%20Accounting%20and%20Financial%20Disclosure) The Corporation reports no changes in or disagreements with its accountants on any matter of accounting principles or practices, or financial statement disclosure during the period - There were no disagreements with accountants on accounting and financial disclosure[288](index=288&type=chunk) [Controls and Procedures](index=67&type=section&id=Item%209a.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures and internal control over financial reporting were effective as of December 31, 2020 - Management concluded that the Corporation's disclosure controls and procedures were effective as of December 31, 2020[289](index=289&type=chunk) - Based on the COSO framework, management concluded that the Corporation's internal control over financial reporting was effective as of December 31, 2020[290](index=290&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=68&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information regarding directors, executive officers, and corporate governance is incorporated by reference from the company's definitive Proxy Statement for the 2021 Annual Meeting of Shareholders - Information required by this item is incorporated by reference from the Proxy Statement for the 2021 Annual Meeting of Shareholders[293](index=293&type=chunk)[294](index=294&type=chunk) [Executive Compensation](index=68&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive compensation, including the Compensation Discussion and Analysis (CDA), summary compensation tables, and other related disclosures, is incorporated by reference from the company's 2021 Proxy Statement - Information required by this item is incorporated by reference from the 2021 Proxy Statement[295](index=295&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholders Matters](index=68&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholders%20Matters) Information regarding security ownership by certain beneficial owners and management, as well as details on securities authorized for issuance under equity compensation plans, is incorporated by reference from the company's 2021 Proxy Statement - Information required by this item is incorporated by reference from the 2021 Proxy Statement[296](index=296&type=chunk)[297](index=297&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=68&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information regarding related party transactions and director independence is incorporated by reference from the company's 2021 Proxy Statement - Information required by this item is incorporated by reference from the 2021 Proxy Statement[298](index=298&type=chunk) [Principal Accountant Fees and Services](index=68&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the Report of the Audit Committee in the company's 2021 Proxy Statement - Information required by this item is incorporated by reference from the 2021 Proxy Statement[299](index=299&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=69&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists the documents filed as part of the Form 10-K report, including consolidated financial statements, the auditor's report, and a detailed index of exhibits - The report includes the full set of consolidated financial statements and the independent auditor's report[301](index=301&type=chunk) - Financial statement schedules are not applicable as the Corporation qualifies as a Smaller Reporting Company[302](index=302&type=chunk) - A comprehensive list of exhibits is filed with the report, including key contracts, corporate governance documents, and Sarbanes-Oxley certifications[304](index=304&type=chunk)[306](index=306&type=chunk)[307](index=307&type=chunk) [Form 10-K Summary](index=72&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - A Form 10-K summary is not applicable[309](index=309&type=chunk)

Financial Data and Key Metrics Changes - The company achieved an operating income of $6.4 million in 2020, a significant improvement of $17.4 million compared to a loss of $10.9 million in 2019 [9] - Net income for 2020 was $8 million, representing a $29 million improvement from a loss of $21 million in 2019, resulting in earnings per share of $0.56 compared to a loss of $1.67 in the previous year [9][23] - Free cash flow from continuing operations was $33.6 million in 2020, and total debt was reduced by approximately $44 million or 47% during the year [10][28] Business Line Data and Key Metrics Changes - The Forged and Cast Engineered Products segment reported net sales of $64.2 million for Q4 2020, a decline of nearly 14% compared to the prior year, primarily due to lower shipment volumes [20][24] - The Air and Liquid Processing segment had net sales of $22.9 million in Q4 2020, which was marginally higher than the prior year period despite the pandemic [20][25] - The segment backlog at the end of 2020 was approximately $246 million, a decline of 23% from $321 million at the end of 2019, mainly due to customer order postponements [26] Market Data and Key Metrics Changes - The company experienced a decrease in orders received for the fourth quarter, particularly in the heat exchanger and air handling businesses, which faced competitive pricing pressures [12] - The backlog for the Air and Liquid Processing segment improved, driven by centrifugal pumps, while the Forged and Cast Engineered Products segment backlog declined due to pandemic-related uncertainties [13][26] Company Strategy and Development Direction - The company is focused on improving shareholder returns while ensuring employee health and safety, with a commitment to reducing workplace injuries [7][8] - Plans for 2021 include cautiously optimistic expectations for increased order activity levels as pandemic impacts subside, alongside ongoing equipment upgrade initiatives to reduce costs and grow revenue [10][45] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by the pandemic but expressed pride in the team's ability to adapt and maintain operations [7][8] - The company anticipates that customer sentiment for 2021 is strong, with expectations for revenue to be around the midpoint of 2019 and 2020 levels [17] Other Important Information - The company reported a significant reduction in selling and administrative expenses, achieving a 10% year-over-year reduction in Q4 2020 [21] - The cash balance at December 31, 2020, was $16.8 million, with total debt decreasing to $37.2 million [27][28] Q&A Session Summary Question: What was the gross cash balance at December 31? - The cash balance at December 31, 2020, was $16.8 million [31] Question: How much temporary cost reduction should be expected in 2021? - The company has been able to flex down costs primarily related to hourly workers, with expectations for reduced travel expenses moving forward [32][34] Question: What is the progress on the Forged and Cast Engineered Products segment? - The company has seen a return in oil and gas orders, with shipments and backlog already equal to the total shipments for the previous year, indicating strong growth potential [36][37] Question: What was the impact of Navy business on Buffalo Pumps? - The Navy business remained strong and was relatively flat between 2019 and 2020 [41] Question: Can you provide details on the equipment upgrade initiatives? - The company is actively placing orders for equipment upgrades and is focused on expediting these improvements to enhance the Forged and Cast Engineered Products segment [45]

Ampco-Pittsburgh Corporation (NYSE:AP) Q3 2020 Earnings Conference Call November 17, 2020 10:30 AM ET Company Participants Melanie Sprowson - Director, Investor Relations Brett McBrayer - Chief Executive Officer Terry Kenny - President, Air & Liquid Systems Corporation Sam Lyon - President, Union Electric Steel Corporation Mike McAuley - Chief Financial Officer Conference Call Participants Justin Bergner - G.research, LLC David Wright - Henry Investment Trust, L.P. Brian Powers - Crawford United Corporation ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-898 AMPCO-PITTSBURGH CORPORATION Pennsylvania 25-1117717 (State of Incorporation) (I.R.S. Employer Identification No.) 726 Bell Avenue, S ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-898 AMPCO-PITTSBURGH CORPORATION Pennsylvania 25-1117717 (State of Incorporation) (I.R.S. Employer Identification No.) 726 Bell Avenue, Suite ...

Financial Data and Key Metrics Changes - The company reported earnings per share (EPS) of $0.05 for Q2 2020, marking a return to profitability with a positive trailing 12-month EPS for the first time in many years [9][22] - Net sales from continuing operations for Q2 2020 were $74.8 million, down from $102.5 million in Q2 2019, representing a decline of approximately 27% [17][22] - The company recorded a net income attributable to Ampco-Pittsburgh of $0.7 million for Q2 2020, compared to a net loss of $3.9 million in Q2 2019 [22] Business Line Data and Key Metrics Changes - The Forged and Cast Engineered Products segment saw net sales of $50.5 million in Q2 2020, a decline of approximately 36% compared to the prior year due to lower shipment volumes [17][22] - The Air and Liquid Processing segment reported net sales of $24.3 million for Q2 2020, slightly higher than the prior year period, with a 9% increase compared to Q1 2020 [10][18] Market Data and Key Metrics Changes - The backlog at June 30, 2020, was approximately $258 million, down from $321 million at December 31, 2019, primarily due to lower backlog for forged and cast rolls [24] - The Air and Liquid Processing segment backlog improved slightly to $52.4 million from $50.5 million at the start of the year [10] Company Strategy and Development Direction - The company is focusing on maintaining safe work environments and protecting liquidity through extended plant shutdowns and cost containment efforts [28] - Planned maintenance outages are being scheduled to improve long-term performance [9] Management's Comments on Operating Environment and Future Outlook - Management noted that the global economy faced significant challenges, but the company managed to deliver positive results despite these headwinds [7] - There is an expectation for improved sales in Q3 and Q4 as automotive demand is recovering and steel mill utilization rates are increasing [33][45] Other Important Information - The company improved its liquidity position and paid down debt during the quarter, with total debt decreasing by 26% from December 31, 2019 [27] - Capital expenditures for Q2 2020 were $1.4 million, primarily in the Forged and Cast Engineered Products segment [26] Q&A Session Summary Question: Can you discuss the deferrals in the Forged and Cast segment? - Management noted a decline of about 27% in sales from Q1 to Q2, with a pronounced drop in April due to shutdowns in Europe, but sales improved in May and June [32] Question: What were the biggest impacts on the Forged and Cast segment? - The sales volume impact and net unabsorbed cost impact were roughly equal, with cost reduction initiatives helping to stabilize operating income [35] Question: What is the outlook for net debt? - The company targets to keep about $10 million to $12 million in cash globally and expects net debt to fluctuate based on recovery trends [41][43] Question: What is the expected trend for SG&A expenses? - SG&A expenses are expected to remain flat in the upcoming quarters [44] Question: Will the successes of this quarter affect the upcoming rights offering? - The company is planning a rights offering to raise gross proceeds of $20 million, with details available in their SEC filings [48]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 1-898 AMPCO-PITTSBURGH CORPORATION Pennsylvania 25-1117717 (State of Incorporation) (I.R.S. Employer Identification No.) 726 Bell Avenue, Suite ...