Alamo (US:ALG)2023-05-03 16:00Financial Performance - For the first three months of 2023, the Company's net sales increased by 14% to $411.8 million compared to $362.0 million in the same period of 2022[48]. - Net income for the first quarter of 2023 rose by 81% to $33.3 million, or $2.79 per share, compared to $18.5 million, or $1.55 per share, in the first quarter of 2022[58]. - Gross profit for the first quarter of 2023 was $112.5 million, representing 27.3% of net sales, up from 23.9% in the same period of 2022[54]. - Consolidated income from operations increased by 68% to $49.0 million compared to $29.1 million in the first quarter of 2022[50]. Sales Performance - The Vegetation Management Division saw a 16% increase in sales to $256.4 million, driven by strong customer demand and pricing actions[49]. - The Industrial Equipment Division's sales increased by 10% to $155.3 million, with strong performance in street sweeper and debris collector products[50]. Backlog and Working Capital - The Company's backlog increased by 8% to $994.8 million at the end of the first quarter of 2023, up from $917.8 million at the end of the first quarter of 2022[50]. - Working capital as of March 31, 2023, was $641.2 million, an increase of $104.5 million from $536.7 million at December 31, 2022[60]. Capital Expenditures and Interest Expense - Capital expenditures for the first three months of 2023 were $9.0 million, compared to $4.4 million in the same period of 2022[61]. - Interest expense for the first quarter of 2023 was $5.9 million, up from $2.6 million in the same period of 2022, primarily due to higher interest rates[55]. Foreign Currency and Interest Rate Impact - The total foreign currency translation adjustment for the current quarter increased stockholders' equity by $4.5 million[79]. - A uniform 10% strengthening or 10% decrease in the value of the dollar relative to foreign currencies would result in a change in gross profit of $3.1 million for the three-month period ended March 31, 2023[80]. - A two percentage point change in average interest rates would have changed the Company's interest expense by approximately $1.9 million for the first quarter of 2023[81].