L.B. Foster pany(FSTR) - 2024 Q4 - Annual Results

Financial Performance - L.B. Foster Company reported a 14.2% increase in rail segment sales, reaching $79.2 million in Q4 2024, with gross margins improving by 300 basis points to 22.2%[2][10] - Infrastructure segment sales decreased by 25.2% to $49.0 million in Q4 2024, with gross margins declining by 90 basis points to 22.6%[2][11] - The company achieved adjusted EBITDA of $7.2 million in Q4 2024, an increase of 18.7% compared to the prior year[2][4] - Free cash flow for the full year 2024 was $22.6 million, with total debt declining by $21.6 million to $46.9 million[2][4] - Net sales for the year ended December 31, 2024, were $530.8 million, a decrease of $13.0 million, or 2.4%, from the prior year[18] - Gross profit for the year ended December 31, 2024, was $118.1 million, an increase of $6.0 million, or 5.4%, with gross profit margins expanding by 160 basis points to 22.2%[18] - Operating income for the year ended December 31, 2024, was $20.5 million, an increase of $11.4 million over the prior year[18] - Net income attributable to the Company for the year ended December 31, 2024, was $42.9 million, or $3.89 per diluted share, favorable by $41.5 million over the prior year[18] - Adjusted EBITDA for the year ended December 31, 2024, was $33.6 million, a $1.8 million increase, or 5.7%, over the prior year[18] - Total net sales for Q4 2024 were $128.183 million, a decrease of 5.0% compared to $134.877 million in Q4 2023[36] - Gross profit for the fourth quarter of 2024 was $11.1 million, a decrease of $4.3 million, or 28.1%, from the prior year quarter[14] - Operating income for the year ended December 31, 2024, was $20.513 million, significantly higher than $9.107 million in 2023[28] - Adjusted EBITDA for Q4 2024 was $7.238 million, up from $6.099 million in Q4 2023, reflecting a growth of 18.7%[36] Orders and Backlog - The backlog as of Q4 2024 was $185.9 million, a decrease of 13.0% from the prior year, primarily due to lower demand in rail products[2][9] - New orders totaled $107.2 million in Q4 2024, reflecting a 1.6% increase year-over-year, driven by the Infrastructure Solutions segment[2][9] - New orders for the year ended December 31, 2024, totaled $506.5 million, a decrease of $22.5 million, or 4.3%, from the prior year[18] - Backlog as of December 31, 2024, was $185.9 million, a decrease of $27.9 million from the prior year[18] - New orders for Rail, Technologies, and Services increased to $308.394 million in 2024, a rise of 2.9% from $299.584 million in 2023[37] Expenses and Debt - Selling and administrative expenses decreased by 10.4% to $24.4 million in Q4 2024, contributing to improved profitability[2][6] - Selling and administrative expenses for the year ended December 31, 2024, were $96.4 million, a decrease of $1.2 million, or 1.3%, from the prior year[18] - The gross leverage ratio improved to 1.2x as of December 31, 2024, down from 1.7x a year earlier[2][7] - The company reported a net debt of $44.486 million as of December 31, 2024, down from $65.409 million in 2023[36] - Total stockholders' equity increased to $179.014 million in 2024, compared to $142.835 million in 2023[30] Future Outlook - L.B. Foster Company authorized a new 3-year $40 million stock repurchase program, replacing the previous $15 million program[2][5] - The company expects 2025 net sales to range from $540 million to $580 million, with adjusted EBITDA projected between $42 million and $48 million[2][3] Organic Sales - Organic sales declined by 3.8% in Q4 2024, with a reported decrease of $5.109 million compared to the previous year[36]