Federal Signal (FSS)2025-04-30 17:47Financial Performance - Net sales for Q1 2025 increased by $38.9 million, or 9%, to $463.8 million compared to Q1 2024, driven by higher sales volumes and pricing actions [120]. - Operating income for Q1 2025 rose by $11.4 million, or 21%, to $65.7 million, with an operating margin of 14.2%, up from 12.8% in the prior-year quarter [121]. - Net income for Q1 2025 decreased by $5.3 million to $46.3 million, primarily due to a $16.4 million increase in income tax expense [123]. - Gross profit for Q1 2025 increased by $14.8 million, or 13%, with a gross profit margin of 28.2%, up from 27.3% in the prior-year quarter [129]. - Cost of sales for Q1 2025 increased by $24.1 million, or 8%, largely due to higher sales volumes and costs from recent acquisitions [128]. - SEG&A expenses for Q1 2025 increased by $3.0 million, or 5%, but as a percentage of net sales, they decreased to 13.0% from 13.5% in the prior-year quarter [130]. - Income before income taxes for Q1 2025 increased by $11.1 million, or 22%, to $62.0 million compared to the prior-year quarter [122]. Sales and Orders - Total orders for Q1 2025 were $568 million, an increase of $65 million, or 13%, compared to the prior-year quarter [124]. - The Environmental Solutions Group reported a net sales increase of $33.4 million, or 9%, with significant contributions from sewer cleaners ($15.1 million) and dump truck bodies ($10.4 million) [120]. - Environmental Solutions Group net sales for Q1 2025 increased by $33.4 million, or 9%, to $387.4 million compared to Q1 2024 [138]. - Total orders for Environmental Solutions Group increased by $52.4 million, or 12%, to $480.1 million in Q1 2025 compared to the prior-year quarter [137]. - Safety and Security Systems Group net sales for Q1 2025 increased by $5.5 million, or 8%, to $76.4 million compared to Q1 2024 [143]. - Safety and Security Systems Group total orders increased by $12.8 million, or 17%, to $87.8 million in Q1 2025 compared to the prior-year quarter [142]. Backlog and Cash Flow - The consolidated backlog at March 31, 2025, was $1.10 billion, an increase of $3 million compared to the prior-year quarter [125]. - Backlog for Environmental Solutions Group was $1.03 billion as of March 31, 2025, down from $1.04 billion in the prior-year quarter [141]. - Net cash provided by operating activities was $36.7 million in Q1 2025, up from $31.3 million in the prior-year period [152]. Capital Expenditures - The company anticipates capital expenditures for 2025 to be in the range of $40 million to $50 million [155].