Hyster-Yale(US:HY)2025-05-06 20:54Financial Performance - Revenues for Q1 2025 were $910.4 million, a decrease of 13.8% compared to $1,056.5 million in Q1 2024[8] - Gross profit for Q1 2025 was $177.7 million, down 24.6% from $235.7 million in Q1 2024[8] - Net income attributable to stockholders for Q1 2025 was $8.6 million, a significant decline of 83.3% from $51.5 million in Q1 2024[8] - Basic earnings per share decreased to $0.49 in Q1 2025 from $2.97 in Q1 2024[8] - Operating profit for Q1 2025 was $21.3 million, down 74.6% from $83.8 million in Q1 2024[8] - Comprehensive income for Q1 2025 was $42.2 million, compared to $28.1 million in Q1 2024[9] - The net income for the three months ended March 31, 2025, was $8.5 million, compared to $51.7 million for the same period in 2024, indicating a significant decrease of approximately 83.6%[12] - The company reported a comprehensive loss of $28.4 million for the current period, compared to a comprehensive loss of $31.8 million in the previous period, showing an improvement of approximately 10.7%[12] Assets and Liabilities - Total assets increased to $2,055.3 million as of March 31, 2025, compared to $2,029.2 million at the end of 2024[7] - Total liabilities decreased slightly to $1,525.9 million from $1,535.1 million at the end of 2024[7] - As of March 31, 2025, total stockholders' equity was $514.3 million, an increase from $510.0 million at December 31, 2024, reflecting a growth of approximately 0.6%[12] - Cash and cash equivalents decreased to $77.2 million from $96.6 million at the end of 2024[11] Cash Flow and Dividends - The company reported a net cash used for operating activities of $36.4 million in Q1 2025, compared to a net cash provided of $22.4 million in Q1 2024[11] - Cash dividends declared during the first quarter of 2025 amounted to $6.2 million, up from $5.7 million in the first quarter of 2024, representing an increase of about 8.8%[12] - The company paid dividends of $0.3500 per share in Q1 2025, an increase from $0.3250 per share in Q1 2024[8] Segment Performance - Dealer sales for the three months ended March 31, 2025, were $415.6 million, down from $618.9 million in the same period of 2024, representing a decline of 32.8%[28] - The Americas segment reported revenues of $698.9 million for the three months ended March 31, 2025, compared to $769.7 million in 2024, a decrease of 9.2%[34] - The EMEA segment's revenues decreased to $118.2 million in Q1 2025 from $199.4 million in Q1 2024, a decline of 40.7%[34] - Nuvera reported no revenues for the three months ended March 31, 2025, compared to $0.5 million in the same period of 2024[34] Cost and Expenses - Stock-based compensation for the first quarter of 2025 was $3.5 million, compared to $9.2 million in the same quarter of 2024, reflecting a decrease of approximately 62%[12] - The lift truck business's cost of sales for the three months ended March 31, 2025, was $703.6 million, compared to $791.2 million in 2024, a reduction of 11.1%[34] - The reported income tax rate for Q1 2025 was 48.2%, significantly higher than 32.6% in Q1 2024, primarily due to additional valuation allowances[38] Strategic Initiatives - Nuvera Fuel Cells, LLC, a subsidiary focused on hydrogen fuel cell technology, underwent a strategic business realignment in April 2025, indicating a shift in operational focus[15] - The Company recognized restructuring charges of $0.2 million in Q1 2025, with additional charges expected to range from $8 million to $16 million in 2025 and 2026[68][69] - The Company expects to achieve direct annualized cost reductions of $15 to $20 million and indirect cost reductions of $10 to $15 million starting in the second half of 2025 through a strategic business realignment[71] Inventory and Manufacturing - Total manufactured inventories reached $873.6 million as of March 31, 2025, up from $857.1 million as of December 31, 2024[57] - The company’s total inventory, after accounting for the LIFO reserve, was $772.7 million as of March 31, 2025, compared to $754.3 million at the end of 2024[57] Foreign Currency and Derivatives - The company held forward foreign currency exchange contracts with total notional amounts of $0.8 billion as of March 31, 2025, unchanged from December 31, 2024[47] - The fair value of interest rate swap agreements was a net asset of $7.6 million at March 31, 2025, down from $9.9 million at December 31, 2024[50] - The company reported a pre-tax gain of $10.5 million from derivative instruments for the three months ended March 31, 2025, compared to a loss of $15.2 million for the same period in 2024[52] Pension and Warranty Obligations - The U.S. pension plan's net periodic pension expense was $0.4 million for the three months ended March 31, 2025, unchanged from the same period in 2024[56] - The company initiated a de-risking strategy for the U.K. pension plan, resulting in a shift towards fixed income and highly-liquid securities[54] - The company maintains a standard warranty on lift trucks generally for twelve months or 1,000 to 2,000 operating hours[58]