ALTG

Interested in Titan Machinery Inc.? Here are five stocks we like better. Revenue and earnings weakened: Fiscal Q2 revenue fell 9.2% to $496.4 million, while the net loss widened to $9.2 million, or $0.40 per share. Adjusted EBITDA declined to $4.6 million from $5.6 million. Margin improvements mitigated lower demand: Gross margin expanded to 18.6% as equipment margins improved through aged-inventory reductions and better inventory mix. Floor-plan interest expense also fell 30% to $8.1 million. Outlook was maintained: Titan reaffirmed fiscal 2027 adjusted EBITDA guidance of $17 million to $29 million and an adjusted diluted loss-per-share range of $1.25 to $1.75, while expecting continued weakness in domestic agriculture and Europe but growth in construction and Australia. Massive Upside Forecasted In Alta Equipment Group Titan Machinery (NASDAQ:TITN) reported a second-quarter fiscal 2027 net loss as revenue declined amid continued weakness in agricultural equipment demand, though the company said inventory-management efforts supported improved equipment margins and lower floor-plan interest expense. For the quarter ended July 31, 2026, Titan recorded total revenue of $496.4 million, down from $546.4 million a year earlier, reflecting a 6.2% same-store sales decline. Net loss was $9.2 million, or $0.40 per share, compared with a net loss of $6 million, or $0.26 per share, in the prior-year quarter. The prior-year result included a $2.2 million tax benefit that did not recur because of a tax valuation allowance established in the fourth quarter of the prior fiscal year. → Boarding Call: EHang Secures First-Mover Altitude Adjusted EBITDA was $4.6 million, compared with $5.6 million a year earlier. Chief Executive Officer Bryan Knutson said quarterly results were largely in line with the company’s expectations. He highlighted continued improvement in agricultural equipment margins, which he attributed to actions including reducing aged inventory, improving inventory mix and strengthening inventory-management processes. → Medtronic’s Stars Are Aligning for a Price Recovery Gross profit was essentially unchanged at $92.4 million despite the revenue decline. Gross margin expanded 150 basis points year over year to 18.6%, according to Chief Financial Officer Bo Larsen. Equipment margins increased 190 basis points to 8.5%, supported by healthier inventory and a higher consolidated mix of parts and service revenue. “These margin improvements are being driven by actions within our control rather than any meaningful improvement in underlying industry demand,” Knutson said. → Dutch Bros Sell-Off Creates a Growth Opportunity Operating expenses rose modestly to $94.1 million, primarily due to variable expenses associated with sales initiatives and efforts to clear aged inventory. Larsen said headcount and discretionary spending remained below prior-year levels. Floor-plan and other interest expense fell 30% to $8.1 million from $11.5 million, reflecting lower interest-bearing inventory levels. Domestic agriculture segment sales totaled $310.2 million, with same-store sales down 8.4%. Equipment revenue declined 13.5%, although it came in modestly ahead of management’s expectations. The segment’s pre-tax loss improved by $9 million to $3.3 million as stronger equipment margins helped offset lower demand. Knutson said grower profitability remains under pressure because corn and soybean prices, despite recent gains, remain below levels that would support a meaningful broad-based equipment-demand recovery. Elevated input costs also continue to weigh on farm economics. Titan said first-half domestic agriculture results benefited from earlier-than-expected factory shipments of pre-sold equipment. The timing accelerated deliveries to customers and strengthened first-half comparisons, but management expects it to create relative year-over-year headwinds in the second half. During the question-and-answer session, Knutson said the recent rise in commodity prices was encouraging but emphasized that cash prices vary based on local basis levels. He said sustained commodity-price improvement, farmer profitability and forward contracting into 2027 could support a more material pickup in buying activity next year. Larsen said domestic agriculture equipment margins were 6.7% in the first half, compared with 3.1% a year earlier. The company expects full-year domestic agriculture equipment margins of about 6.9%, while noting its normal range is generally 8% to 11% or 12%, depending on market conditions. Titan’s construction segment posted same-store sales growth of 9.2% to $78.6 million, driven primarily by higher equipment sales. Pre-tax income improved to $0.4 million from a pre-tax loss of $1.2 million a year earlier. Management cited infrastructure investment and data center projects as sources of demand that helped offset softer purchases from agricultural customers. Europe was the company’s weakest segment. Sales fell to $66.1 million, including a $1.1 million benefit from foreign currency fluctuations. On a constant-currency basis, revenue decreased about 34%. Germany accounted for approximately $11 million, or roughly one-third, of the year-over-year revenue decline as Titan continues to wind down operations there. The balance of Europe’s decline reflected weaker equipment demand against a strong prior-year comparison in Romania, which had benefited from European Union stimulus programs. The Europe segment reported a pre-tax loss of $1.3 million, compared with pre-tax income of $5.1 million a year earlier. Knutson said low commodity prices, higher operating costs, geopolitical uncertainty, poor crop conditions in some regions and weaker farmer sentiment have caused European customers to delay equipment purchases. Australia sales rose 36% to $41.4 million, including a $3.9 million foreign-currency benefit. Constant-currency revenue increased 22.5%, aided by the addition of the New Holland brand at six locations in the prior fall. The segment’s pre-tax loss widened to $3.4 million from $2.1 million. Larsen said Australia’s profitability was affected by softer equipment margins as the company works through aged inventory. However, management expects better rainfall, improved crop-yield prospects and strengthening farmer sentiment to support demand in the second half. Titan reaffirmed its full-year adjusted EBITDA outlook of $17 million to $29 million and its adjusted diluted loss-per-share outlook of $1.25 to $1.75. Domestic agriculture revenue is expected to decline 15% to 20%, toward the 15% end of the range. Construction revenue is now expected to increase 5% to 10%. Europe revenue is expected to fall 30% to 40%, including about $44 million tied to the German wind-down. Australia revenue is expected to rise 15% to 20%, near the high end of the range, with foreign-currency translation expected to contribute about 8% growth for the full year. The company expects consolidated equipment margin of approximately 8.3% for fiscal 2027, up from 7.3% in fiscal 2026. It also expects operating expenses to decline year over year and represent roughly 17.5% to 18% of sales, while floor-plan interest expense is projected to fall about 30% for the full year. At quarter end, Titan had approximately $30 million in cash, total inventory of $931.5 million and an adjusted debt-to-tangible-net-worth ratio of 1.6 times, below its bank covenant of 3.5 times. Larsen said used equipment inventory was down $40 million year to date, while domestic agriculture inventory was down $16 million despite the challenging market. Titan Machinery, Inc is a leading full-service dealer specializing in the sale, rental, and servicing of agricultural and construction equipment. The company represents major brands such as Caterpillar, Case IH and New Holland, offering new and pre-owned tractors, combines, excavators, loaders and other heavy machinery. In addition to equipment sales, Titan provides parts distribution, preventative maintenance and field service support to help customers maximize uptime and productivity. Beyond equipment transactions, Titan Machinery offers a comprehensive suite of support services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Titan Machinery Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for September 2026.

Alta’s second quarter results were shaped by a more supportive industry environment, with management noting sequential improvement across all business segments and easing competitive pressures. CEO Ryan Greenawalt highlighted that "order activity is improving, deliveries are recovering, dealer inventory pressures are receding and our operating initiatives are gaining traction." Product support and capital efficiency initiatives also played a meaningful role as Alta’s operating model responded well to these changing market dynamics. CFO Anthony Colucci described the period as a return to normalized conditions, underpinned by better equipment margins and stable profitability metrics. Is now the time to buy ALTG? Find out in our full research report (it’s free). Revenue: $475.5 million vs analyst estimates of $490.7 million (1.2% year-on-year decline, 3.1% miss) Adjusted EPS: -$0.04 vs analyst estimates of -$0.11 (62.5% beat) Adjusted EBITDA: $48.6 million vs analyst estimates of $44.3 million (10.2% margin, 9.7% beat) EBITDA guidance for the full year is $172.5 million at the midpoint, above analyst estimates of $170.3 million Operating Margin: 2.5%, in line with the same quarter last year Market Capitalization: $254.5 million While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Michael Shlisky (D.A. Davidson) questioned if increased sales of modular Material Handling products would impact service revenues. CEO Ryan Greenawalt responded that greater product commonality could actually boost parts revenue and would not pose a headwind. Steven Ramsey (Thompson Research Group) asked if the current supply-demand environment was now optimal or could continue improving. CFO Anthony Colucci replied that while the market is more balanced, there is still potential for further price realization and margin gains. Liam Burke (B. Riley Securities) inquired about the lower upper end of guidance and how visibility into Construction segment activity supports second half projections. Colucci explained that momentum in quoting and strong DOT budgets support optimism, with guidance changes primarily reflecting delivery timing. Edward Jackson (Northland Securities) pressed on utilization targets for the rental fleet. Colucci shared that Alta’s goal is to reach a utilization rate in the high 30% range, up from the current 35%, to drive better capital returns. Edward Jackson (Northland Securities) also questioned the synergies between PeakLogix and new Hyster-Yale warehouse products. Greenawalt explained that integration enables Alta to sell both equipment and warehouse automation solutions to the same customers, enhancing cross-selling opportunities. In the coming quarters, the StockStory team will be monitoring (1) the pace at which Alta converts its elevated Material Handling backlog into delivered revenue, (2) the impact of infrastructure and manufacturing project activity on Construction Equipment demand and fleet utilization, and (3) the sustainability of margin improvements in Master Distribution as tariff pressures ease. Progress on capital efficiency initiatives and successful execution on operational productivity measures will also be important indicators of future performance. Alta currently trades at $7.80, up from $7.37 just before the earnings. Is there an opportunity in the stock? See for yourself in our full research report (it’s free for active Edge members). ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies. Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 5 p.m. ET Vice President of Accounting and Reporting - Jason Dammeyer Chairman and Chief Executive Officer - Ryan Greenawalt Chief Financial Officer - Anthony Colucci Operator: Good afternoon, and thank you for attending today's Alta Equipment Group's Second Quarter 2026 Earnings Conference Call. My name is Melissa, and I will be your moderator for today's call. I will now turn the call over to Jason Dammeyer, Vice President of Accounting and Reporting. Please proceed. Jason Dammeyer: Thank you, Melissa. Good afternoon, everyone, and thank you for joining us today. A press release detailing Alta's second quarter 2026 financial results was issued this afternoon and is posted on our website, along with the presentation designed to assist you in understanding the company's results. On the call with me today are Ryan Greenawalt, our Chairman and CEO; Anthony Colucci, our Chief Financial Officer. For today's call, management will first provide a review of our second quarter 2026 financial results. We will begin with some prepared remarks before we open the call for your questions. Please proceed to Slide 2. Before we get started, I'd like to remind everyone that this conference call may contain certain forward-looking statements, including statements about future financial results, our business strategy and financial outlook, achievements of the company and other nonhistorical statements as described in our press release. These forward-looking statements are subject to both known and unknown risks, uncertainties and assumptions, including those related to Alta's growth, market opportunities and general economic and business conditions. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our business, financial condition and results of operations. Although we believe these expectations are reasonable, we undertake no obligation to revise any statement to reflect changes that occur after this call. Descriptions of these and other risks that could cause actual results to differ materially from these forward-looking statements are discussed in our reports filed with the SEC, including our press release that was issued today. During this call, we may present both GAAP and non-GAAP financial measures. A reconciliation of GAAP to non-GAAP measures is included in today's press release and can be found on our website at investors.altaequipment.com. I will now turn the call over to Ryan. Ryan Greenawalt: Thank you, Jason, and good afternoon, everyone. I appreciate you joining us to review Alta Equipment Group's second quarter 2026 results. My comments will focus on our markets, booking and delivery trends and progress on our strategic initiatives. Tony will then cover the financials, capital structure, and our updated guidance. The central takeaway is that the momentum we discussed in Q1 became more visible in the second quarter. Revenue improved by approximately $65 million from the first quarter with sequential growth across all 3 segments. Order activity is improving, deliveries are recovering, dealer inventory pressures are receding and our operating initiatives are gaining traction. We believe improving industry indicators and stronger activity in our own markets represent a positive inflection point for Alta. The broader backdrop is becoming more supportive. Industrial spending remains elevated. Federal infrastructure funding continues to flow into state and local project pipelines, and transportation budgets in our largest Construction Equipment markets remain strong. U.S. manufacturing PMI stayed in expansion territory through the quarter and strengthened further in July, a constructive leading signal for lift truck demand. Nonresidential demand from energy infrastructure and onshoring continues to build, and Volvo recently raised its 2026 North American market forecast by 5%. Tariff-related disruption has stabilized, benefiting Master Distribution and overall pricing. Material Handling remains the clearest leading indicator of improving demand. As shown on Slide 7, industry bookings in our areas of responsibility increased 12.3% in the first half versus a year ago and second quarter bookings held near the strong first quarter pace, up 4.9% from prior year quarter. This is not a 1-month spike. The improvement has been sustained across the first half, a trend Hyster-Yale also noted on their earnings call this week. The recovery is broad-based across regions and verticals, including food and beverage, manufacturing, building materials, energy, defense, distribution and logistics. Those bookings are building backlog and backlog is what gives us confidence in the second half. Our Material Handling backlog now stands at approximately $143 million, its highest level since 2023. In this business, bookings convert to backlog and backlog converts to revenue over the following quarters. So today's order book provides meaningful visibility into second half invoicing. And as Slide 8 shows, our current booking pace points to a meaningful recovery in 2026 with volumes moving toward long-term regional norms. Few structural drivers support the trend. First, fleet age. Many operators deferred replacement over the last 2 years, and as 4- and 5-year-old fleets become more costly to maintain, quoting activity increases, driving both equipment sales and the recurring parts and service revenues that follow each unit. Second, product breadth. Our OEM partners are introducing modular value-oriented configurations for lighter-duty applications, allowing us to serve cost-conscious customers with fit-for-purpose equipment while preserving our premium offering where uptime and life cycle support matter most. Our Material Handling share gains are being driven by 3 factors: stronger participation in the fast-growing warehousing segment, new products that allow us to recapture business previously lost to value-oriented brand and PeakLogix's integration capabilities, which enable us to advise customers on and execute larger and more complex projects. Construction Equipment entered the quarter with the delayed seasonal start, but activity accelerated through the quarter, carrying the segment past its first quarter low point. Market deliveries in our areas of responsibility increased 20.1% in the second quarter versus the prior year and were up 7.5% for the first half. Florida was a notable area of strength, particularly in articulated haulers, and quoting activity is benefiting from road and bridge work, municipal projects, energy infrastructure and manufacturing investment. The competitive environment is healthier than a year ago. Dealer inventories have declined, OEM discounting has moderated and used equipment values have improved from their 2025 lows, all supporting better equipment margins. Our rental fleet initiatives continue to progress. The goal is matching fleet investment to local demand, improving utilization and returns and avoiding underproductive assets. Tony will detail the results. Product support remains one of the most important differentiators in Alta's dealership model with 85 locations, approximately 1,100 factory-trained technicians and more than 1,000 field service vehicles creating recurring revenue streams that pure-play rental models do not replicate. Through our customer value mapping initiative, we are aligning capacity with customers who value uptime and life cycle support while improving rate realization and service productivity. Our strategic vision for 2028 focuses on generating more value from the platform we have built. Since our IPO, we have completed 17 acquisitions and grown from 43 to 85 locations. The next phase centers on organic growth, operating consistency and disciplined capital allocation, gaining share in attractive markets, scaling PeakLogix and Ecoverse, improving product support productivity, increasing inventory and fleet returns and using technology to drive efficiency and accountability. As we enter the second half, demand indicators remain constructive, led by Material Handling bookings and backlog, Construction Equipment project activity and healthier channel conditions. We are maintaining a measured outlook, and Tony will discuss our revised guidance. The second quarter does not complete the recovery, but it provides clear evidence that one is underway and that our operating model is responding as expected. I want to thank our approximately 2,600 employees for their commitment to our customers. Their expertise is the foundation of Alta's value proposition. With that, I'll turn the call over to Tony. Anthony Colucci: Thanks, Ryan. Good evening, everyone, and thank you for your interest in Alta Equipment Group and our second quarter 2026 financial results. Before getting into the quarter, I'd like to thank our employees, customers, OEM partners and shareholders for their continued support. We entered 2026 facing a number of challenges, including the pull-forward buying activity that benefited late 2025, difficult winter conditions and softer equipment markets. While Q1 was challenging, our second quarter performance and the trending KPIs suggest all of those headwinds are behind us as the second quarter reflected a return to more normalized operating conditions and showcased the fundamental earnings power of our dealership model. My remarks today will focus on 3 areas. First, I'll report our second quarter financial performance and discuss the significant improvement we saw versus the first quarter, along with the key drivers behind our results. Second, I'll discuss capital efficiency, which remains an important priority as we continue to optimize inventory levels, rental fleet investment and improve returns on capital. Lastly, I'll provide perspective on our outlook for the balance of the year and discuss the indicators that continue to give us confidence in our ability to deliver within our previously communicated guidance. As always, I'll be referencing slides from our earnings presentation throughout today's call. I encourage investors to review our earnings presentation as well as our 10-Q, both of which are available on our Investor Relations website at altg.com. With that, let me begin with our financial performance for the quarter, which corresponds with Slides 12 through 22 of the earnings presentation. For the quarter, Alta generated revenue of $475.5 million and adjusted EBITDA of $48.6 million. Nominal gross profit increased year-over-year and total gross margins expanded approximately 70 basis points to 26.1%, while EBITDA margins increased to 10.2%. While revenue remained modestly below prior year levels, the more important takeaway is the sequential improvement versus Q1, and the results were encouraging. Revenue increased by approximately $65 million compared to the first quarter, while adjusted EBITDA increased by approximately $20.5 million from $28.1 million in Q1 to $48.6 million in Q2. EBITDA margins expanded 340 basis points sequentially. While some of that increase reflects normal seasonality as construction and rental activity improve entering the summer months, it also reflects strengthening equipment market conditions, improved equipment margins and solid execution across our operating businesses. One area I'd specifically highlight is equipment margin performance. Company-wide new and used equipment gross margins increased to 15.3% during the quarter, representing a meaningful improvement both year-over-year and sequentially. We believe this is an important indicator of a more balanced supply and demand dynamics across the competitive landscape. From a segment perspective, first, Material Handling, which we were particularly pleased with, generated $19 million of adjusted EBITDA in the quarter, an increase of approximately 13% from the prior year despite lower revenue. Strong service execution, sustained booking momentum and improved operating efficiency all contributed to the segment's performance. Construction Equipment generated $30.6 million of adjusted EBITDA, a notable $16.7 million sequential improvement. Equipment margins improved, utilization trends strengthened throughout the quarter and the business benefited from the expected seasonal recovery following a slow start to the year. Within Master Distribution, Ecoverse delivered one of its strongest quarters since acquisition. Revenue increased from $20.9 million to $22.8 million year-over-year, while adjusted EBITDA increased from $1.1 million to $2.8 million. Importantly, much of the tariff-related margin pressure that negatively impacted the business over the last year has now subsided. Revised OEM pricing arrangements and a more stable tariff environment both contributed to materially improved profitability. As a result, Ecoverse returned to the economic profile that underpinned our original acquisition thesis. Taken together, these results support what we discussed last quarter, namely that many of the factors impacting first quarter performance were temporary in nature and that the underlying business remains fundamentally healthy. Moving on to the second portion of my prepared remarks, I'd like to spend a few moments discussing capital efficiency. One of the most encouraging developments during the quarter continues to be the progress we've made on improving capital efficiency across the organization. I direct investors to Slide 16 of the earnings presentation, which highlights the tangible results of our inventory optimization and fleet rationalization initiatives. In Material Handling, average assets declined by approximately $52 million or 11%, while the business maintained relatively consistent earnings performance. As a result, trailing 12-month adjusted EBITDA as a percentage of average assets improved 120 basis points from 14.8% to 16%. In the Construction segment, average assets declined by approximately $77 million year-over-year or 8%, while profitability remained resilient despite operating in a market that's still below historic levels. That resulted in a 60 basis point increase in return on assets from 10.8% to 11.4%. We believe this demonstrates that Alta is becoming a more capital-efficient organization, generating comparable earnings while deploying less capital and ultimately improving returns. Briefly on the balance sheet for the quarter. As of June 30, total liquidity remained strong at approximately $225 million and net leverage remained stable at roughly 4.7x. Importantly, our capital structure continues to provide flexibility as we have no meaningful debt maturities until 2029, a largely fixed rate debt profile and ample liquidity to support the business going forward. Moving on to the final portion of my prepared remarks, I'd like to discuss our outlook for the remainder of 2026. We continue to believe that the assumptions underlying our previously communicated guidance remain intact. As shown on Slide 19, we are narrowing our adjusted EBITDA guidance range from $167.5 million to $177.5 million, reducing the upper end of the range by $5 million, while reaffirming our free cash flow before rent-to-sell decisioning range of $100 million to $110 million for the year. Importantly, the adjustment to the upper bound is not being driven by a change in our view of underlying demand, as bookings trends remain supportive and backlog levels have materially increased year-over-year. Rather, the revised range reflects increased visibility into the timing of equipment deliveries and the conversion of the backlog into revenue during the second half of the year. Overall, there are several pillars supporting our confidence in the back half of '26 when compared to '25. First, Material Handling fundamentals continuing to improve. As Ryan mentioned, backlog has increased substantially year-over-year, providing for improved confidence into second half equipment deliveries. Second, Construction Equipment demand is growing across our core markets. Customer activity remains healthy, and infrastructure-related project activity continues to support equipment utilization and demand. Third, equipment margins continue to trend favorably. The margin improvements we've discussed today are consistent with reduced competitive discounting, healthier used equipment market dynamics and more balanced dealer inventories. Fourth, Ecoverse's tariff-related challenges appear to be behind us. The business returned to a more normalized profitability level during the quarter, and we believe those improvements are sustainable moving forward. Lastly, the organization continues to execute on productivity and operational efficiency initiatives across multiple departments. Our product support organizations remain focused on tech utilization, labor efficiency, pricing discipline and customer profitability. While these initiatives may not always maximize revenue growth, they do improve overall dealership profitability and support stronger long-term returns. Taken together, supportive demand indicators, growing backlog, improving equipment margins and continued operating discipline support our confidence in the business in the second half of 2026. In closing, the second quarter represented a step forward. The business benefited from both the expected seasonal ramp and improving conditions across our end markets. Perhaps most importantly, we demonstrated that Alta can generate stable or improving profitability metrics on a significantly smaller asset base, which will translate into better returns on capital over the long run. Thank you for your time and continued interest in Alta Equipment Group. I'll now turn the call back over to the operator, and we'll be happy to take your questions. Operator: [Operator Instructions] Your first question comes from the line of Michael Shlisky with D.A. Davidson. Your line is now open. Michael Shlisky: I wanted to go back to the comment you made earlier about some of the Material Handling modular products. I really appreciate that this is a growing area, but is there an offsetting service revenue headwind when you sell more modular compared to some of the original models? Ryan Greenawalt: Mike, I'll take that. No, we don't perceive it as a headwind. If anything, it's a positive because there'd be more commonality across the product lineup and that would potentially enhance parts turns. Michael Shlisky: Okay. And then turning to construction, I do appreciate that Volvo increased their outlook. Other large OEMs may increase their outlook a bit more than perhaps Volvo did. And I'd just be curious, in Florida and your main markets, where it's been strong all along, I think. Do you feel like your share has been hanging in there in the first half, and anything that could be changing here in the second half as far as construction market share? Anthony Colucci: I'll take that one. You know, I think we've got the one slide in the deck that shows what our markets did from a delivery perspective in Q2 relative to '25. And I think those markets were up something like 7% (sic) [ 20.1% ]. And so we definitely saw that. Now, they were down a little bit in Q1. But long and the short of it is, you know, the number that Ryan mentioned and what Volvo's focused on, I believe, is North America. The one that we're focused on, obviously, is the one just for our APRs. They seem to be in alignment with one another, maybe ours being up a little bit in Q2. In terms of share, I would just, you know, we don't call out market share specifically publicly, but, you know, I would think of us as just holding share in the current marketplace and over the first half. Michael Shlisky: Okay. And then maybe just lastly on the rental fleet sizing, again, with some of the upticks we're seeing in large projects, infrastructure, and other areas, are you thinking about potentially upsizing your fleet just a little bit to match that demand? Or do you think what you've got now is pretty appropriate for the envelope of projects that your customers are facing? Anthony Colucci: Mike, this is Tony again. The way that we think about the rental fleet is, laser-focused on hitting our utilization KPIs. And at the moment we're still not there. And so, to the extent we see demand kind of staying where it is, specifically in the construction fleet, this would all of this commentary would be specific to our construction fleet. We intend to continue to pare it back a bit by year-end. The other thing that I would point out to you is that some of the data centers and projects that you are referencing are more akin to vertical construction, which would mean aerial equipment, which the larger rental houses compete in and we do not. It's a much smaller piece of our portfolio in terms of the rental business. And that's all there on Slide 17. And so we're certainly participating from a land clearing perspective. We know of jobs that our customers are on where they need dump trucks and excavators, but those projects are, you know, a little bit shorter relative to call it the vertical construction of the building. The short answer is no, we don't see, you know, investing in rental fleet in the short run here. Operator: Your next question comes from the line of Steven Ramsey with Thompson Research Group. Steven Ramsey: I wanted to start with the color you shared around the marketplace being more balanced from a supply-demand standpoint and leading to reduced discounting. Would you say that the market is in a healthy and optimal spot at this point, or it could keep trending in a healthier way, potentially through the back half of the year? Anthony Colucci: Hey, Steven, this is Tony. Before I answer your question, I just want to point out I misspoke on the question Mike had. Equipment deliveries in our construction markets were up 20% as you mentioned, as suggested on Slide 7. I said 7%, which is the year-to-date number. Anyway, yes, every -- all signs point to more normal supply-demand dynamics, which, you know, what we have believed all along would help support more normal margins in terms of, you know, discounting that we have to do to kind of hold share specifically in the construction segment. I think there's still a little bit more room to run. We have, as we've suggested, really tried to optimize inventories. And by doing so, we've actually had to take some skinnier deals to offload the balance sheet a little bit. So we think we still got some tailwinds in our own numbers, you know, through the back half here from an equipment margin perspective, but I think from a macro environment, we've found that balance. What I'd say pricing-wise, I think pricing still has a little bit of room to run as well. Some of the larger players in the construction space that you're well aware of, you know, I think are showing price realization year-over-year of 5% in the second quarter in terms of, you know, what the OEMs are charging their dealers. As their costs have gone up, tariffs have been impacted, you know, it's been a while, but we're finally seeing, you know, less discounting coming out of some of the bigger houses. So I would expect that to continue and prices to continue to improve just overall, but much more balanced than we've been, you know, over the last 2 years. Steven Ramsey: Okay, that's great to hear. And then one thing I wanted to clarify in the guidance that the part of the caution around deliveries. Can you talk a bit more about where that caution or conservatism is coming from, if it's a certain product set or certain customer group? Anthony Colucci: No, so it would simply be on the, you know, some of this is the, as Ryan mentioned, the Material Handling backlog is getting to like record levels from a nominal dollar basis. We're still not there from a, from a, just a unit perspective. It's really just timing with Hyster-Yale, you know, with their production capabilities and the ability to deliver and whether or not some of the demand sneaks into 2027, Steven, versus 2026. It's not a specific customer base. It's not really a product line per se, but it would be more on the Material Handling side, particularly Hyster-Yale. And it's not that we are saying that there is risk that we know of. We're just being mindful that, you know, the level of volume coming through could leak into 2027. Operator: Your next question comes from the line of Liam Burke with B. Riley Securities. Your line is now open. Liam Burke: Tony, you were talking in your prepared comments about reducing the higher end of the guidance, basically because you have better visibility. I'm looking at the two major businesses. Materials Handling with the order flow gives you a pretty good sense as to what the second half is. You talked about orders slipping into 2027. On the construction side, what are you seeing that gives you more visibility on the second half activity? Anthony Colucci: Yes, I think it's just general momentum, Liam. As investors and some of the analysts are aware, the Material Handling purchase and that cycle is about 6 months from when we get a booking, place an order with Hyster-Yale all the way through our ability to invoice, just as a rule of thumb, and it could be less or it could be more. So we have great confidence that we're going to perform. We will outperform the back half of '25 here in '26 because of that. And again, the timing issue is really what -- we're very bullish on demand. It's a timing issue that impacted the top end of the guide. On the construction side, as you mentioned, it's more momentum. Q2 '26 were 20% above Q2 '25 in our marketplace. And we still see a lot of quoting activity. DOT budgets are now in and are effectively holding pretty flat against what were peak levels seen in 2025. So there's lots of work to be done here in the back half. Our rental fleet and the construction side is out with no sign of, you know, things are still going out on jobs versus coming back. And so all of those things give us confidence in the back half of the year on the construction side, as well as some cost takeout things that we were able to kind of execute toward the end of Q2 that we expect to see in the second half as well. Liam Burke: Well, it's just a follow-on the construction cost reduction. You had a step-up in gross margins. On new and used equipment sales, do you expect that momentum to continue in the second half as volumes improve? Anthony Colucci: In a word, we don't expect it to retreat and we would probably expect a little bit more juice on gross margins in the second half. Operator: Your next question comes from the line of Steve Hansen with Raymond James. Your line is now open. Please go ahead. Steven Hansen: I just wanted to ask one of the earlier questions a different way, just around the guidance. Any reason you didn't decide to take the lower end of the guidance up perhaps just given all the optimistic commentary here in the outlook so far? Anthony Colucci: Steve, I think it's just building a little bit of a level of conservatism maybe into the guide. And really, you know, when we think of the back half, the EBITDA is heavily weighted to the back half, you know, something like $90 million or $100 million implied. And so what we're looking to do, one, is just squeeze the range for the investor community and we felt like understanding that there can be some variability in deliveries and so on, we would take the top end down. And we have great confidence in the low end at the moment. Steven Hansen: Okay, great. That's much appreciated. I just want to go back to your asset optimization, sorry, comments earlier as well. How do you feel about the working capital build necessary to sort of support some of this growing order momentum that you see out there? Do you need to build a lot of working capital in the next sort of back half here? How do you feel about that? Anthony Colucci: No, if you think about it, Steve, most of the back half is going to be supported on equipment deliveries. All of that is typically floor planned at 100% loan to, you know, payable to value, if you would, for floor plan payable to value. So there'll be a little bit of investment in AR, but that's a quick turnaround typically when you're selling equipment. So that's a long way of saying no, we wouldn't expect working capital investment in the back half. In fact, as we start to see projects wrap up, you know, typically our cash flows are, especially in the fourth quarter, collections come in and we end up getting working capital release in the back half. And I'd expect to see the same this year. Steven Hansen: Okay, I appreciate it. And just one last one if I may, is just around the support side with the broader backdrop improving you described, any desire to start to reinvest in some of the product support team or pursue techs in a more aggressive fashion here? How do you feel about your support capabilities here moving into the new cycle? Anthony Colucci: You know what I would say, it's a tale of two segments probably, Steven. What we have been focused on over the last 12 to 18 months is technician retention, training, and then uptime or efficiency with technician heads versus adding technician heads. There are elements of the business where we need more techs and Material Handling, given some of the inflection that we talked about, could be, you know, one of those areas in the Midwest specifically where manufacturing and some of the automotive stuff is starting to ramp back up. We've been in the Midwest for 40 or 50 years now, and we've got all kinds of different ways to recruit and attract talent. So that would be a place where we're more bullish on it. And then, you know, on the construction side, it's more about, you know, getting labor utilization up. There are elements of the business, areas of the business, where we would be looking to take on more heads. New England in the Northeast comes to mind. So it's spotty. Right now, we always want to look for highly, you know, technical individuals. We're always kind of recruiting, but we don't have any major plans at the moment to, you know, we don't need 100 mechanics or anything like that at the moment. Operator: Your next question comes from the line of Ted Jackson with Northland Securities. Your line is now open. Edward Jackson: Looking forward to the second half, guys. My first question on Material Handling. You know, I mean, if you listen to the Hyster-Yale call yesterday, you know, in one regard, they actually kind of trimmed their second half '26 delivery outlook, not because of the demand issue. Clearly the bookings are very, very strong, but there was a couple of times there was a change in the 232 tariffs that in response to that they chose to delay some deliveries so they could shift their manufacturing from, say, Europe to the U.S. to avoid those tariffs. And did that, obviously, in conjunction with their customer base. And when that happened, did that have any impact on your look for the second half and maybe gave you a view that some of the -- that -- what am I trying to say, that maybe the second half, some of the stuff that you thought you were going to be able to put revenue on the table in Material Handling, maybe got pushed a little out and some of it's going to come in '27? And again, it's not a bookings issue. It's just kind of, it's a smart move on their part because they're saving 15% to 20% that they would have had to pay if they hadn't made this change. I'm asking, did you see the impact from that? Anthony Colucci: Ted, there wasn't anything that in general, what I would say is the movement, you know, and what we were discussing about the guidance and the back half for Material Handling is generally correlated to just, you know, general execution risk in terms of the cadence of bookings, producing from a Hyster-Yale perspective all the way through kind of end market, our shops, prep and delivery, and then invoicing. So just general execution risk that, you know, we were thinking about. I'm not familiar specifically with what the tariff issue was in the repatriating of the manufacturing. So that was not a specific element. And I don't think that would impact us one way or the other in terms of just the general execution risk that we always have when we start to see backlog jump like this. Edward Jackson: Okay, no, you know, it was just something more of an interest to me. You made some commentary on utilization rates and the rental fleet. And, I mean, obviously, that's an admirable goal to, you know, obviously, you drive them up, use them more, you make more money off them. Is there a target that you would share in terms of where you want it to kind of settle in at? I mean, I think right now, when I looked at it and did my calc, it's somewhere around the mid-30s with the last quarter. You know, when we look at that business a year from now or whatever timeframe you kind of think of, where do you want to get it? Anthony Colucci: So Ted, the way that we think about it is, if I do the math here, TTM rental revenue. Give me a minute. TTM rental revenue is $175 million. At the moment, we're at the end of Q2, we're carrying $500 million of gross fleet. So that's 35%. We would like that to get into the high 30s, or even, you know, touch 40% if we could. If we could get that metric there, so it goes to what Mike was asking, we still are not where we want to be on our metrics. Now we're improving and we've made a lot of progress as I mentioned on the prepared remarks. But if you wanted kind of a benchmark, that's where we would want to be. Edward Jackson: Okay. Third question. We don't talk too much about Ecoverse. I mean, maybe I don't or think about it that much, but you had a good quarter out of it. You know, I mean, you do have like, I'd view like kind of Terex and part of their business is a comp for that. They had also seen some challenges within that world. And in their quarterly call did express some pretty solid optimism with regards to the business. You know, they kind of thought through and I think they were really talking more about '27. They just felt like the business itself was really on the turn and on the mend. Can you provide us a little update on kind of what you're seeing within that market and do you agree with that and what the drivers are? Anthony Colucci: Ted, from what I understand about Terex is they're more into crushing and screening. They may have an environmental line or two, but they wouldn't be competitive to some of the things that Ecoverse is doing, which is more of the environmental processing equipment. And we've always seen tailwinds here in North America for this type of product. We just, there was just given that we're an importer, and just to remind everybody, we are the direct importer from Germany primarily and Europe for a lot of this specialty equipment. And there was just so much turmoil I would say over the last year, and we've had to renegotiate pricing, reset pricing with customers. So, you know, we believe the demand was always there. It was a margin issue and just the cost issue that we had to work through, which as I mentioned, we feel like is behind us, but that's to say we always have felt good about the demand. We continue to feel good about demand for those products. And now we finally have our cost in line with kind of the revenue that we're able to get in the marketplace to earn an appropriate margin. Edward Jackson: Okay, and then my last question is around PeakLogix, you know, so, you know, you've got a product line now coming out of Hyster-Yale that's far more competitive in terms of honestly getting into the warehouse market. You have a warehouse automation solution. Is there a benefit to you for having both of those together? Like does the better and more competitive product offering from Hyster-Yale help you sell PeakLogix? Does PeakLogix help you sell those better design, better targeted products, you know, lift trucks from Hyster-Yale into the market as well as what kind of, you know, synergies are there between those for you in sales perspective? Ryan Greenawalt: This is Ryan. You know, from the sales perspective of the leading part of the business, it's symbiotic. The same customers that are looking at trying to, you know, put more through their warehouse, you know, that are using narrow aisle equipment are the same ones that would be leveraging the expertise of our PeakLogix team. The analogy we use is if we sell the vehicle, now we can design and sell the track that the vehicle runs on. Edward Jackson: And the fact that now you have a better product and can sell more vehicles and be more competitive will help you sell more track. So is that a fair way to think about it? Ryan Greenawalt: Yes, and there are sort of 2 product evolutions going on at Hyster-Yale. One is that they're making more competitive vehicles, competitive product for the warehousing segment, which is fast-growing and is more of a specialized piece of equipment where we haven't been as strong historically. And then the other is that they're providing multiple price points of their legacy product, the more traditional rider forklift, so that we can compete on the high end of the market where we've always been successful, but also in the value part of the market. So I wouldn't characterize our warehouse product as low cost. It's full-featured product. It's a separate issue of trying to drive a lower cost product offering for Class 1 and 4. Operator: There are no further questions at this time. This concludes today's call. Thank you for attending. You may now disconnect. Before you buy stock in Alta Equipment Group, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Alta Equipment Group wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* Now, it’s worth noting Stock Advisor’s total average return is 964% — a market-crushing outperformance compared to 215% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of August 13, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Alta Equipment Group (ALTG) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management identified a positive inflection point in Q2, driven by a $65 million sequential revenue improvement and recovering delivery trends across all three business segments. Material Handling is serving as a leading indicator of recovery, with bookings up 12.3% in the first half of the year and backlog reaching its highest level since 2023 at $143 million. Construction Equipment performance stabilized following a slow seasonal start, supported by a 20.1% increase in market deliveries within Alta's specific areas of responsibility. The competitive landscape has improved as dealer inventories decline and OEM discounting moderates, leading to a company-wide expansion of new and used equipment gross margins to 15.3%. Strategic share gains in Material Handling are being driven by new modular product configurations that allow Alta to compete in value-oriented segments previously dominated by lower-cost brands. The Master Distribution segment, specifically Ecoverse, returned to historical profitability levels as tariff-related margin pressures and OEM pricing arrangements stabilized. Operational focus has shifted from aggressive M&A to organic growth and capital efficiency, evidenced by a significant reduction in average assets while maintaining resilient earnings. Management narrowed the adjusted EBITDA guidance range to $167.5 million–$177.5 million, primarily to reflect visibility into the timing of equipment deliveries rather than a change in demand. The Material Handling backlog provides high visibility into the second half of 2026, though management cautioned that some high-volume deliveries could potentially leak into early 2027. Construction demand is expected to remain steady through the year-end, supported by stable state DOT budgets and ongoing infrastructure, energy, and manufacturing projects. Rental fleet rationalization will continue through the end of the year, with a strategic goal of increasing rental revenue as a percentage of gross fleet to the high 30s or 40% range. The company expects to generate significant free cash flow in the second half of the year as working capital is released through seasonal collections and equipment invoicing. Tariff-related disruption in the Ecoverse business has largely subsided, removing a significant headwind that had pressured margins for the past year. The company is maintaining a measured hiring approach, focusing on technician utilization and efficiency rather than aggressive headcount expansion, despite improving market conditions. Management noted that while vertical construction (data centers) is strong, Alta's rental fleet is more exposed to land clearing and infrastructure, limiting participation in the aerial equipment segment. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management clarified that modular products are not a service headwind; instead, they enhance parts turns due to increased commonality across the product lineup. Alta does not intend to upsize the rental fleet in the short term, as current utilization KPIs are not yet at target levels. The company is focused on paring back underproductive assets to improve returns on capital rather than chasing vertical construction demand. Management expects equipment margins to remain stable or improve further in the second half of 2026 as supply-demand dynamics reach a healthy balance. Reduced discounting from major competitors and healthier used equipment values are providing a tailwind for dealership profitability. The relationship is described as symbiotic, where PeakLogix provides the 'track' (warehouse design) for the 'vehicles' (forklifts) Alta sells. Improved product competitiveness from Hyster-Yale in the warehousing segment directly supports the sales efforts of the PeakLogix integration team.

Interested in Alta Equipment Group Inc.? Here are five stocks we like better. Second-quarter results improved sharply: Revenue reached $475.5 million and adjusted EBITDA rose to $48.6 million, with the margin expanding to 10.2% as equipment demand, deliveries and margins recovered. Demand indicators strengthened: Material-handling backlog reached approximately $143 million, the highest since 2023, while construction deliveries increased 20.1% year over year in the second quarter. Ecoverse also significantly improved profitability. Full-year guidance was narrowed, not reduced for demand concerns: Alta lowered the upper end of its 2026 adjusted EBITDA outlook by $5 million to $167.5 million–$177.5 million because some material-handling deliveries may shift into 2027, while maintaining its $100 million–$110 million free-cash-flow forecast. Massive Upside Forecasted In Alta Equipment Group Alta Equipment Group (NYSE:ALTG) reported a stronger second quarter as improving equipment demand, recovering deliveries and better margins lifted results sharply from the first quarter, while management narrowed the upper end of its full-year adjusted EBITDA outlook because of timing considerations for material-handling deliveries. Second-quarter revenue totaled $475.5 million and adjusted EBITDA was $48.6 million. Revenue rose by approximately $65 million sequentially, while adjusted EBITDA increased by about $20.5 million from $28.1 million in the first quarter. Adjusted EBITDA margin expanded 340 basis points sequentially to 10.2%. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth Total gross margin increased about 70 basis points year over year to 26.1%, and companywide gross margin on new and used equipment improved to 15.3%. Chief Financial Officer Tony Colucci said the results reflected seasonal improvement in construction and rental activity, stronger equipment-market conditions, improved equipment margins and operational execution. Chairman and CEO Ryan Greenawalt said material handling provided the clearest indication of improving demand. Industry bookings in Alta's areas of responsibility rose 12.3% in the first half from a year earlier, including a 4.9% increase in the second quarter. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Alta's material-handling backlog reached approximately $143 million, its highest level since 2023. Greenawalt said the order book provides visibility into second-half invoicing because bookings typically convert to backlog and then revenue over subsequent quarters. Material handling generated $19 million of adjusted EBITDA, up approximately 13% from the prior-year quarter despite lower revenue. Colucci attributed the performance to service execution, booking momentum and improved operating efficiency. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling Management cited aging customer fleets and expanded product offerings as factors supporting demand. Greenawalt said some customers had deferred replacements over the prior two years, while modular, value-oriented equipment configurations from OEM partners are allowing Alta to address more cost-conscious applications alongside its premium products. During the question-and-answer session, Colucci said the modular offerings were not expected to create a service-revenue headwind. Greater commonality across the product lineup could potentially improve parts turns, he said. Construction equipment activity accelerated after a delayed seasonal start, according to management. Market deliveries in Alta's areas of responsibility rose 20.1% in the second quarter from the prior-year period and were up 7.5% for the first half. Florida was a particular area of strength, including in articulated haulers, Greenawalt said. Construction equipment generated adjusted EBITDA of $30.6 million, representing a $16.7 million sequential increase. Colucci said equipment margins improved and utilization strengthened through the quarter as the business benefited from its expected seasonal recovery. Management pointed to road and bridge work, municipal projects, energy infrastructure and manufacturing investment as sources of construction equipment activity. Greenawalt also said dealer inventories have declined, OEM discounting has moderated and used-equipment values have improved from 2025 lows. Colucci said Alta expects equipment gross margins to remain firm and potentially improve further in the second half. He said the broader market had returned to more normal supply-demand conditions, although Alta has continued to optimize inventory and has at times accepted lower-margin deals to reduce balance-sheet inventory. The company does not intend to expand its construction rental fleet in the near term. Colucci said Alta remains focused on improving utilization and expects to reduce the fleet further by year-end if demand remains at current levels. He said the company would like rental revenue as a percentage of gross fleet to move into the high 30% range or reach 40%, compared with roughly 35% at the end of the second quarter based on trailing 12-month rental revenue of $175 million and gross fleet of $500 million. Within Alta's master distribution business, Ecoverse posted one of its strongest quarters since its acquisition. Revenue increased to $22.8 million from $20.9 million a year earlier, while adjusted EBITDA rose to $2.8 million from $1.1 million. Colucci said revised OEM pricing arrangements and a more stable tariff environment helped reverse much of the margin pressure that had affected Ecoverse over the past year. He said management believes demand for the specialty environmental processing equipment has remained intact and that the business now has costs better aligned with pricing in the marketplace. Alta also highlighted efforts to improve capital efficiency. Average assets in material handling declined approximately $52 million, or 11%, while trailing 12-month adjusted EBITDA as a percentage of average assets increased 120 basis points to 16%. In construction equipment, average assets declined approximately $77 million, or 8%, and return on assets rose 60 basis points to 11.4%. As of June 30, Alta had approximately $225 million in total liquidity and net leverage of roughly 4.7 times. Colucci said the company has no meaningful debt maturities until 2029 and maintains a largely fixed-rate debt profile. Alta narrowed its 2026 adjusted EBITDA guidance range to $167.5 million to $177.5 million, reducing the upper end by $5 million. The company reaffirmed its free cash flow before rent-to-sell decisioning forecast of $100 million to $110 million. Colucci said the reduced upper bound was not based on weaker demand expectations. Rather, it reflects greater visibility into the timing of equipment deliveries and the possibility that some material-handling backlog could convert into revenue in 2027 instead of 2026. Management said it remains confident in the lower end of the EBITDA range and expects second-half performance to be supported by material-handling backlog, construction activity, improving equipment margins, Ecoverse's normalized profitability and productivity initiatives across the business. Greenawalt said Alta's longer-term strategy is centered on organic growth, operating consistency and disciplined capital allocation following 17 acquisitions since its initial public offering. The company has grown from 43 locations to 85 locations and employs approximately 2,600 people. Alta Equipment Group, Inc (NYSE: ALTG) is a North American distributor of material handling and logistics equipment. The company offers a broad lineup of forklifts, lift trucks, aerial work platforms, tow motors, pallet jacks and related attachments, serving manufacturing, warehousing, distribution and industrial facilities. Through its network of branch locations, Alta Equipment provides customers with new and used sales, short- and long-term rentals, and integrated fleet management solutions designed to support operational efficiency. In addition to equipment sales, Alta Equipment supports customers with comprehensive after-sales services. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Alta Equipment Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Second Quarter Financial Highlights: Total revenues increased $65.0 million sequentially versus the first quarter of 2026, with all three segments reporting increases. Total revenues decreased $5.7 million year over year to $475.5 million. On an organic basis*, revenues decreased $1.1 million year over year, or 0.2% Construction Equipment segment revenue increased $53.7 million sequentially versus the first quarter of 2026 Rental revenues increased $6.3 million sequentially, or 16.3%, versus the first quarter of 2026 New and used equipment sales gross profit margin increased 130 basis points year over year, with Master Distribution equipment sales gross profit margin increasing 760 basis points year over year Service gross profit percentage increased 160 basis points year over year to 61.4% Interest expense decreased $2.8 million year over year to $19.5 million in the quarter Rental fleet, gross book value decreased $50.3 million year over year to $519.2 million Net cash provided by operating activities of $26.1 million, year-to-date Net loss available to common stockholders of $(8.2) million Basic and diluted net loss per share of $(0.25) Adjusted basic and diluted pre-tax net loss per share* of $(0.04), an improvement of $0.19 per share versus prior year Adjusted EBITDA* increased $0.1 million year over year to $48.6 million, increasing $20.5 million sequentially versus the first quarter of 2026 LIVONIA, Mich., Aug. 06, 2026 (GLOBE NEWSWIRE) -- Alta Equipment Group Inc. (NYSE: ALTG) (“Alta”, "we", "our" or the “Company”), a leading provider of premium material handling, construction and environmental processing equipment and related services, today announced financial results for the second quarter ended June 30, 2026. CEO Comment: Ryan Greenawalt, Chief Executive Officer of Alta, said, “Our second quarter performance reflected the long-term value of Alta’s equipment dealership model. Following an extended period of challenging markets across the construction and material handling industries, we see signs of market recovery emerging as bookings, equipment volumes, pricing and margin trends continue to improve. Combined with our operational initiatives, these trends helped us deliver similar Adjusted EBITDA compared to the prior year despite lower revenues and a smaller rental fleet. For the quarter, we delivered Adjusted EBITDA of $48.6 million, which reflects a significant improvement from the seasonally-impacted first quarter.” Mr. Greenawalt continued, “We were particularly encouraged by the performance and momentum within our Material Handling business, where bookings have increased 12.3% year to date in our markets, supporting our belief that customer investment and fleet replenishment activity is recovering. Construction Equipment continued to benefit from improving market activity and stronger new and used equipment margins while the segment continues to focus on driving better returns on capital year over year. Within Master Distribution, performance improved meaningfully during the quarter, as tariff-related disruptions eased and end-market conditions stabilized, contributing to stronger revenues, gross profit and Adjusted EBITDA performance for the segment.” In conclusion, Mr. Greenawalt said, “Operational execution remains a top priority of ours. During the quarter, we generated positive operating cash flow, further optimized our rental fleet, and reduced interest expense by approximately $2.8 million compared to the prior year. As we enter the second half of 2026, we remain encouraged by improving booking trends, growing backlog levels, and the favorable long-term fundamentals supporting our end-markets, including infrastructure investment, domestic manufacturing expansion, and energy-related development projects. We believe Alta is well positioned to convert improving demand into profitable growth while continuing to prioritize cash generation, leverage reduction, and long-term shareholder value creation.” Full Year 2026 Financial Guidance and Other Financial Notes: The Company tightened its guidance range and now expects to report Adjusted EBITDA* between $167.5 million and $177.5 million for the 2026 fiscal year. (1) Adjusted EBITDA is a non-GAAP measure. Refer below to “Use of Non-GAAP Financial Measures” for a definition of Adjusted EBITDA and "Reconciliation of Non-GAAP Financial Measures" for a reconciliation of our Adjusted EBITDA to net loss, the most comparable U.S. GAAP measure. Conference Call Information: Alta management will host a conference call and webcast today at 5:00 p.m. Eastern Time to discuss and answer questions about the Company’s financial results for the quarter ended June 30, 2026. Additionally, supplementary presentation slides will be accessible on the “Investor Relations” section of the Company’s website at https://investors.altaequipment.com. Conference Call Details: The webcast replay will be archived through August 6, 2027. About Alta Equipment Group Inc. Alta owns and operates one of the largest integrated equipment dealership platforms in North America. Through its branch network, the Company sells, rents, and provides parts and service support for several categories of specialized equipment, including lift trucks and other material handling equipment, heavy and compact earthmoving equipment, crushing and screening equipment, environmental processing equipment, cranes and aerial work platforms, concrete and asphalt paving equipment, other construction equipment, and allied products. Alta has operated as an equipment dealership for 42 years and has over 80 total locations across Michigan, Illinois, Indiana, Ohio, Pennsylvania, Massachusetts, Maine, Connecticut, New Hampshire, Vermont, Rhode Island, New York, Virginia, Nevada and Florida, and the Canadian provinces of Ontario, New Brunswick, and Quebec. Alta offers its customers a one-stop shop for their equipment needs through its broad, industry-leading product portfolio. More information can be found at www.altg.com. Forward Looking Statements This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Alta’s actual results may differ from their expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside Alta’s control and are difficult to predict. Some factors that may cause such differences include, but are not limited to: supply chain disruptions and inflationary pressures resulting from supply chain disruptions; labor market dynamics that impact the price and availability of labor; economic, industry, business and political conditions including their effects on governmental policy and government actions that disrupt our supply chain or sales channels, including taxes and tariffs which impact us, our key suppliers or customers; adverse banking and governmental regulations, resulting in a potential reduction to the fair value of our assets; the performance and financial viability of key suppliers, contractors, customers, and financing sources; our key OEM's relative approaches to competitive pricing dynamics in the marketplace and how their approaches impact the competitiveness of the equipment we sell and our market share; the impact of artificial intelligence, cyber or other security threats, or other disruptions to our businesses; fluctuations in interest rate levels and the relative tenor of those levels; an increase in the cost of diesel and unleaded gasoline where we are unable to hedge or pass through the increase to customers; the demand and market price for our equipment and product support; negative impacts related to customer payments; collective bargaining agreements and our relationship with our union-represented employees; a material increase in the volume of high-cost healthcare claims below our stop-loss insurance limit; our success in identifying acquisition targets and integrating acquisitions; our success in expanding into and doing business in additional markets; our ability to raise capital at favorable terms; the competitive environment for our products and services; our ability to continue to innovate and develop new business lines; our ability to attract and retain key personnel, including, but not limited to, skilled technicians; our ability to maintain our listing on the New York Stock Exchange; our ability to realize the anticipated benefits of acquisitions or divestitures, rental fleet and other organic investments, or internal reorganizations; federal, state, and local government budget uncertainty, especially as it relates to infrastructure projects and taxation; currency risks and other risks associated with international operations; changes in global economic and financial markets; and other risks and uncertainties identified in this presentation or indicated in the section entitled “Risk Factors” in Alta’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and other filings with the U.S. Securities and Exchange Commission. Alta cautions that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date made. Alta does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions, or circumstances on which any such statement is based. *Use of Non-GAAP Financial Measures To supplement our consolidated financial statements, which are prepared and presented in accordance with accounting principles generally accepted in the United States (“GAAP”), we disclose non-GAAP financial measures, including Adjusted EBITDA, Organic revenues, Adjusted total net debt and floor plan payables, Adjusted pre-tax net income (loss), and Adjusted basic and diluted pre-tax net income (loss) per share, in this press release because we believe they are useful performance measures that assist in an effective evaluation of our operating performance when compared to our peers, without regard to financing methods or capital structure. We believe such measures are useful for investors and others in understanding and evaluating our operating results in the same manner as our management. However, such measures are not financial measures calculated in accordance with GAAP and should not be considered as a substitute for, or in isolation from, net income (loss), revenues, operating profit, debt, or any other operating performance measures calculated in accordance with GAAP. We define Adjusted EBITDA as net income (loss) before interest expense (not including floor plan interest paid on new equipment), income taxes, depreciation and amortization, adjusted for certain one-time, non-recurring or non-cash items, and items not necessarily indicative of our underlying operating performance. We exclude these items from net income (loss) in arriving at Adjusted EBITDA because these amounts are either non-cash, non-recurring, or can vary substantially within the industry depending upon accounting methods and book values of assets, capital structures, and the method by which the assets were acquired. We define organic revenue growth as revenue growth excluding the impact of acquisitions or divestitures that do not appear fully in both periods in the current and prior years. We believe organic revenue growth is a meaningful metric to investors as it provides a more consistent comparison of our revenues across reported periods as well as to industry peers. Management uses Adjusted total net debt and floor plan payables to reflect the Company's estimated financial obligations less cash and floor plan payables on new equipment ("FPNP"). The FPNP is used to finance the Company's new inventory, with its principal balance changing daily as equipment is purchased and sold and the sale proceeds are used to repay the notes. Consequently, in managing the business, management views the FPNP as interest bearing accounts payable, representing the cost of acquiring the equipment that is then repaid when the equipment is sold, as the Company's floor plan credit agreements require repayment when such pieces of equipment are sold. The Company believes excluding the FPNP from the Company's total debt for this purpose provides management with supplemental information regarding the Company's capital structure and leverage profile and assists investors in performing analysis that is consistent with financial models developed by Company management and research analysts. Adjusted total net debt and floor plan payables should be considered in addition to, and not as a substitute for, the Company's debt obligations, as reported in the Company's Consolidated Balance Sheets in accordance with GAAP. Adjusted pre-tax net income (loss) is defined as net income (loss) adjusted to reflect certain one-time, non-cash or non-recurring items, and other items not necessarily indicative of our underlying operating performance. Adjusted basic and diluted pre-tax net income (loss) per share is defined as adjusted pre-tax net income (loss) divided by the weighted average number of basic and diluted shares, respectively, outstanding during the period. Certain items excluded from Adjusted EBITDA, organic revenues, Adjusted total net debt and floor plan payables, Adjusted pre-tax net income (loss), and Adjusted basic and diluted pre-tax net income (loss) per share are significant components in understanding and assessing a company’s financial performance. For example, items such as a company’s cost of capital and tax structure, certain one-time, non-cash or non-recurring items as well as the historic costs of depreciable assets, are not reflected in Adjusted EBITDA or Adjusted pre-tax net income (loss). Our presentation of Adjusted EBITDA, Organic revenues, Adjusted total net debt and floor plan payables, Adjusted pre-tax net income (loss), and Adjusted pre-tax basic and diluted net income (loss) per share should not be construed as an indication that results will be unaffected by the items excluded from these metrics. Our computation of Adjusted EBITDA, Organic revenues, Adjusted total net debt and floor plan payables, Adjusted pre-tax net income (loss), and Adjusted basic and diluted pre-tax net income (loss) per share may not be identical to other similarly titled measures of other companies. For a reconciliation of non-GAAP measures to their most comparable measures under GAAP, please see the table entitled “Reconciliation of Non-GAAP Financial Measures” at the end of this press release. Contact Consolidated Organic Revenues Material Handling Organic Revenues Construction Equipment Organic Revenues

Interested in Custom Truck One Source, Inc.? Here are five stocks we like better. Record Q2 performance: Revenue rose 10% year over year to $563 million, adjusted EBITDA increased 25% to $117 million, and the company posted $10 million in GAAP net income versus a loss of $28 million a year earlier. Strong demand across segments: Rental utilization improved to 81.6%, while SER revenue grew 20% and STEM achieved record third-party revenue of $345 million. Management cited sustained transmission and distribution demand, with quoting activity and third-quarter backlog also increasing. Full-year outlook raised: Custom Truck now expects 2026 revenue of $2.1 billion to $2.2 billion and adjusted EBITDA of $437.5 million to $455 million, while targeting more than $50 million in levered free cash flow and net leverage meaningfully below four times by year-end. Massive Upside Forecasted In Alta Equipment Group Custom Truck One Source (NYSE:CTOS) reported record second-quarter revenue and raised its full-year outlook, citing sustained demand in transmission and distribution markets, improved rental utilization and record equipment sales. For the three months ended June 30, the company generated revenue of $563 million, up 10% from a year earlier, while adjusted EBITDA increased 25% to $117 million. On a GAAP basis, net income was $10 million, or $0.05 per diluted share, compared with a net loss of $28 million in the prior-year quarter. → SpaceX’s First Earnings Report Could Decide Whether Shorts or Bulls Have Control CFO Chris Eperjesy said approximately $19 million of the year-over-year improvement in net income reflected a favorable tax-rate comparison, with the remaining improvement driven by higher operating income. First-half net income totaled $6 million. Custom Truck’s Specialty Equipment Rentals, or SER, segment recorded third-party revenue of $219 million, excluding inter-segment sales, a 20% increase from the prior-year period. The company attributed the gain to double-digit growth in rental revenue and rental equipment sales activity, including increased rental purchase option, or RPO, activity. → Why Rare Earth Processing Could Be the Real 2027 Opportunity SER adjusted EBITDA rose 26% year over year to $117 million, and the segment’s adjusted EBITDA margin expanded by more than 700 basis points to 53%. The company’s rental fleet utilization averaged 81.6% during the quarter, up 400 basis points from the second quarter of 2025. Average original equipment cost, or OEC, on rent rose 13% to $1.37 billion. Rent yield was 39.4%, increasing both sequentially and from a year earlier and remaining within the company’s targeted upper-30% to low-40% range. → 3 Drone Stocks That Should Soar After the Summer Slump CEO Ryan McMonagle said the company believes it is in the early stages of a potentially long-lasting transmission demand cycle. He said customer discussions, bidding activity and project planning point to continued demand through the rest of 2026 and beyond. “There’s a lot of planning going on for new lines that are beginning, that are being prepared, that are being designed, and the equipment is beginning to be staged,” McMonagle said during the question-and-answer session. He said some projects are not expected to begin until 2027 and 2028. At quarter-end, rental fleet OEC stood at nearly $1.68 billion, the highest level in the company’s history. The fleet’s average age was just over three years. Net rental capital expenditures were $36 million in the quarter. In the Specialty Truck Equipment and Manufacturing, or STEM, segment, third-party revenue reached a quarterly record of $345 million, up 5% from the year-earlier period. Segment adjusted EBITDA was $37 million and adjusted EBITDA margin was 8.5%. Management said STEM gross margins were slightly lower during the quarter because of increased sales to national accounts, which tend to carry modestly lower margins. Eperjesy said the company continues to target gross margins in a 15% to 18% range for new sales and expects to move toward the upper end as demand remains strong. New-sales backlog ended the quarter at $322 million, down $89 million sequentially as a result of record second-quarter deliveries. The backlog represented about three-and-a-half months of new sales, slightly below the company’s target range of four to six months. However, June quoting activity increased 26% year over year, and management said backlog had climbed above $340 million so far in the third quarter. McMonagle said converted orders increased by low single digits, while orders or quotes increased by double digits. The company continues to see strong demand from utility customers, particularly for transmission equipment. Custom Truck raised its 2026 consolidated revenue outlook to a range of $2.1 billion to $2.2 billion, representing projected growth of 8% to 13%. It increased adjusted EBITDA guidance to $437.5 million to $455 million, which would represent growth of 14% to 19% from 2025. SER revenue is projected at $850 million to $875 million. STEM revenue is projected at $1.63 billion to $1.7 billion. STEM third-party new-sales revenue is expected to grow 3% to 10%. Net rental fleet investment is now expected to be $170 million to $200 million, supporting mid-single-digit net OEC growth. Non-rental capital expenditures are expected to total $40 million to $50 million. The revised rental fleet investment forecast is higher than the company’s prior estimate but remains below the more than $250 million of net fleet capital expenditures recorded in 2025. Management said the younger fleet should allow it to reduce maintenance capital spending while continuing to grow. The company expects more than $50 million of levered free cash flow in 2026 and expects to reduce its net leverage ratio to meaningfully below four times by year-end. At June 30, net debt was $1.66 billion and net leverage was 3.85 times, an improvement of 0.17 turns sequentially and more than 0.8 turns from a year earlier. Custom Truck had $229 million available under its asset-based lending facility at quarter-end, along with more than $240 million of potential additional availability based on its borrowing base. Management said it expects inventory and floor-plan balances to decline in the second half, helping support free cash flow. For the third quarter, the company expects revenue and adjusted EBITDA to rise year over year but to come in modestly below second-quarter levels. Eperjesy said some second-quarter new- and used-equipment deliveries, including RPO buyouts, had originally been expected in the second half. He said the timing shift did not change the company’s increased full-year outlook, and that the fourth quarter remains Custom Truck’s seasonally strongest period. Custom Truck One Source, Inc (NYSE: CTOS) is a North American provider of specialty rental equipment, parts and services. The company's fleet encompasses a wide range of assets, including cranes, aerial work platforms, trench safety and shoring equipment, fluid management solutions, generators and other industrial machinery. Customers rely on Custom Truck One Source to support projects in construction, energy, telecommunications, industrial manufacturing, municipalities and large-scale events. Headquartered in Plano, Texas, Custom Truck One Source has expanded through a combination of organic growth and strategic acquisitions to establish a network of more than 140 branch locations across the United States and Canada. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Custom Truck One Source Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Gates Industrial (GTES) came out with quarterly earnings of $0.44 per share, beating the Zacks Consensus Estimate of $0.4 per share. This compares to earnings of $0.39 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +10.00%. A quarter ago, it was expected that this manufacturer of power transmission and fluid power systems would post earnings of $0.32 per share when it actually produced earnings of $0.35, delivering a surprise of +9.38%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Gates Industrial, which belongs to the Zacks Manufacturing - General Industrial industry, posted revenues of $941.6 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.08%. This compares to year-ago revenues of $883.7 million. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Gates Industrial shares have added about 20.1% since the beginning of the year versus the S&P 500's gain of 8.7%. While Gates Industrial has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Gates Industrial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.43 on $895.75 million in revenues for the coming quarter and $1.60 on $3.57 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Manufacturing - General Industrial is currently in the top 24% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Alta Equipment (ALTG), is yet to report results for the quarter ended June 2026. This company is expected to post quarterly loss of $0.26 per share in its upcoming report, which represents a year-over-year change of -23.8%. The consensus EPS estimate for the quarter has been revised 6.3% higher over the last 30 days to the current level. Alta Equipment's revenues are expected to be $485.4 million, up 0.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Gates Industrial Corporation PLC (GTES) : Free Stock Analysis Report Alta Equipment Group Inc. (ALTG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research