ALTG Latest Report

Financial Performance

Based on the provided data, Alta Equipment's total operating revenue was $498 million as of December 31, 2024, a decrease of approximately 4.59% from $522 million as of December 31, 2023. This change indicates that the company faced certain revenue pressure during the year, possibly affected by market conditions or internal operations.

Key Financial Data

1. Operating revenue decreased to $498 million, a decrease of 4.59% YoY.

2. Sales cost was $382 million, which decreased from 2023 but gross profit was $117 million, which decreased YoY.

3. Marketing and management expenses were $114 million, which decreased but fixed expenses may have affected the profit margin.

4. Interest expense significantly increased to $23.4 million, up from $16.1 million in 2023.

5. Macroeconomic factors such as rising interest rates and inflation may lead to reduced customer spending, affecting operating revenue.

Peer Comparison

1. Industry-wide analysis: If most companies in the industry face revenue declines, it may be the result of cyclical industry fluctuations; conversely, if the industry as a whole experiences revenue growth while Alta Equipment declines, it may be due to internal company issues.

2. Peer evaluation analysis: If the operating revenues of other competitors in the industry remain growing at the same time, it may indicate Alta Equipment's disadvantage in the market competition, requiring analysis of market share and customer loss.

Summary

Alta Equipment's operating revenue decline in 2024 was mainly affected by weakening market demand, cost control pressure, and macroeconomic factors. Although the company still maintains service revenue growth in some areas, its overall performance is lower than that of industry competitors, indicating its lack of market competitiveness.

Opportunities

1. Increasing technical workers to enhance service revenue, which may stabilize future revenue sources.

2. Optimizing equipment rental business to enhance market adaptability, which may bring new revenue growth points.

3. Enhancing software diagnosis and service solutions to improve customer equipment operation efficiency, which may enhance customer loyalty.

Risks

1. Continued market demand decline may lead to further revenue decline.

2. Increased interest expense may affect the company's net profit and reinvestment capacity.

3. Macroeconomic factors such as high interest rates and election uncertainty may continue to suppress equipment sales.