Quarterly report [Sections 13 or 15(d)]

Note 15 - Segments

v3.26.1
Note 15 - Segments
 6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Segment Reporting [Text Block]

15.

Segments

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The Company operates through two operating segments for which separate financial information is available, and for which operating results are evaluated regularly by the Company's chief operating decision maker in determining resource allocation and assessing performance. 

 

The Company’s chief operating decision maker is its Chief Executive Officer. The chief operating decision maker assesses performance for the Work Truck Attachments and Work Truck Solutions segments and decides how to allocate resources based on Adjusted EBITDA. The chief operating decision maker uses Adjusted EBITDA to evaluate profit generated by the segments in deciding where to reinvest profits, whether it be within the segments or for other purposes such as paying dividends, repurchasing stock, or other general corporate uses. The chief operating decision maker also uses segment Adjusted EBITDA as a metric in benchmarking performance against competitors, as well as in evaluating the compensation of certain employees. 

 

The Company’s two reportable business segments are as follows: 

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Work Truck Attachments.  The Work Truck Attachments segment includes the Company's operations that manufacture and sell snow and ice control attachments and other products sold under the FISHER®, WESTERN® and SNOWEX® brands, and truck-mounted service cranes and dump hoists under the VENCO® and VENTURO® brands.

 

Work Truck Solutions.  The Work Truck Solutions segment includes manufactured municipal snow and ice control products under the HENDERSON® brand and the up-fit of market leading attachments and storage solutions under the HENDERSON® brand, and the DEJANA® brand and its related sub-brands.

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Segment performance is evaluated based on segment net sales and Adjusted EBITDA. Separate financial information is available for the two operating segments. In addition, segment results include an allocation of all corporate costs to Work Truck Attachments and Work Truck Solutions. No single customer’s revenues amounted to 10% or more of the Company’s total revenue. Sales are primarily within the United States and substantially all assets are located within the United States.

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Sales between Work Truck Attachments and Work Truck Solutions reflect the Company’s intercompany pricing policy. The following table shows summarized financial information concerning the Company’s reportable segments:

 

   

Three Months Ended

    

Three Months Ended

    

Six Months Ended

    

Six Months Ended

  
   

June 30,

    

June 30,

    

June 30,

    

June 30,

  
   

2026

    

2025

    

2026

    

2025

  

Net sales

                                

Work Truck Attachments

   $ 129,330     $ 108,114     $ 190,241     $ 144,571  

Work Truck Solutions

     85,318       86,213       162,204       164,823  
    $ 214,648     $ 194,327     $ 352,445     $ 309,394  

Selling, general and administrative expense

                                

Work Truck Attachments

   $ 18,017     $ 11,412     $ 32,479     $ 23,842  

Work Truck Solutions

     11,814       10,339       23,693       21,296  
    $ 29,831     $ 21,751     $ 56,172     $ 45,138  

Other segment items (1)

                                

Work Truck Attachments

   $ 75,512     $ 65,132     $ 114,298     $ 88,832  

Work Truck Solutions

     64,727       64,827       120,586       123,376  
    $ 140,239     $ 129,959     $ 234,884     $ 212,208  

Adjusted EBITDA

                                

Work Truck Attachments

   $ 35,801     $ 31,570     $ 43,464     $ 31,897  

Work Truck Solutions

     8,777       11,047       17,925       20,151  
    $ 44,578     $ 42,617     $ 61,389     $ 52,048  

Depreciation and amortization expense

                                

Work Truck Attachments

   $ 1,866     $ 1,919     $ 3,763     $ 3,869  

Work Truck Solutions

     1,956       1,907       3,915       3,780  
    $ 3,822     $ 3,826     $ 7,678     $ 7,649  

Assets

                                

Work Truck Attachments

   $ 448,511     $ 409,235                  

Work Truck Solutions

     277,158       262,236                  
    $ 725,669     $ 671,471                  

Capital Expenditures

                                

Work Truck Attachments

   $ 2,273     $ 2,121     $ 4,508     $ 3,216  

Work Truck Solutions

     1,939       1,064       3,169       1,722  
    $ 4,212     $ 3,185     $ 7,677     $ 4,938  

 

Adjusted EBITDA

                                

Work Truck Attachments

   $ 35,801     $ 31,570     $ 43,464     $ 31,897  

Work Truck Solutions

     8,777       11,047       17,925       20,151  

Total Adjusted EBITDA

   $ 44,578     $ 42,617     $ 61,389     $ 52,048  

Less items to reconcile Adjusted EBITDA to income before taxes:

                                

Interest expense - net

     2,324       2,973       4,386       5,357  

Depreciation expense

     2,304       2,276       4,643       4,549  

Amortization expense

     1,518       1,550       3,035       3,100  

Stock based compensation

     4,450       1,554       6,987       3,704  

Debt modification expense

     -       -       -       176  

Loss on extinguishment of debt

     -       -       -       156  

Other charges (2)

     265       119       726       371  

Income before taxes

   $ 33,717     $ 34,145     $ 41,612     $ 34,635  

  

  (1) Includes cost of sales, other (income) expense, and the addback of depreciation expense, stock based compensation, unrelated legal, severance, restructuring and consulting fees for the periods presented.
 

(2)

 Reflects unrelated legal, severance, restructuring and consulting fees for the periods presented. Reflects $58 in inventory step up related to Venco Venturo included in cost of sales in the six months ended June 30, 2026. 

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