Ag Growth Reports Q2 Revenue of $348.56M, Maintains Full-Year Outlook.

Ag Growth International reported Q2 revenue of $348.56M, down from $351.78M. Profit per share was $1.21, while adjusted profit per share was $0.26. The company maintained its full-year adjusted EBITDA outlook of at least $225 million.

Ag Growth International Inc. (TSX: AFN) reported its second-quarter (Q2) 2025 financial results, with revenue of $349 million, down from $351.78 million in the same period last year. The company's profit per share was $1.21, while adjusted profit per share was $0.26. Despite the revenue decline, Ag Growth International maintained its full-year adjusted EBITDA outlook of at least $225 million [1].

The company's commercial segment showed strong growth, particularly in international markets such as Brazil and EMEA, driven by long-term projects. However, the farm segment faced challenges due to soft farmer demand and high dealer inventory levels, which negatively impacted revenue and adjusted EBITDA [1]. The order book increased by 4% year-over-year (YOY) to $660 million, supported by significant growth in international commercial businesses [1].

Ag Growth International's adjusted EBITDA margin was 15.6%, which was impacted by a segment mix with a higher weighting of commercial segment revenue relative to the farm segment revenue [1]. The company's free cash flow was $0.3 million on a last twelve months (LTM) basis, and its net debt leverage ratio was 3.9x at June 30, 2025 [1].

The company's outlook for the second half of 2025 remains strong, with a healthy order book and a robust commercial segment. However, the farm segment visibility remains limited due to challenging market conditions. Ag Growth International estimates a relatively minor direct cost impact from tariffs in 2025 and has factored this into its outlook [1].

After the quarter, Ag Growth International continued to secure significant international commercial momentum, with notable order commitments exceeding $100 million [1]. The company's president and CEO, Paul Householder, stated, "Our second quarter results reflect the continued strength of our international commercial business, particularly in Brazil and EMEA. While the North American farm market remains soft, our diversification strategy and execution of long-term projects internationally have enabled us to deliver second quarter results towards the high-end of expectations" [1].

References:
[1] https://www.tradingview.com/news/reuters.com,2025:newsml_PLX2613D4:0-ag-growth-international-beats-q2-revenue-expectations/
[2] https://www.marketscreener.com/news/ag-growth-international-beats-q2-revenue-expectations-ce7c5fd2d98cf624
[3] https://finance.yahoo.com/news/earnings-watch-ag-growth-international-135447556.html
[4] https://seekingalpha.com/news/4476146-ag-growth-reports-q2-results
[5] https://finance.yahoo.com/news/agi-announces-second-quarter-2025-210000333.html