Tennant Enjoys 1Q Sales of $311M
Contributed by BSM Staff

MINNEAPOLIS – After acquiring a minority stake in Brain Corp, Tennant Company reported a first quarter sales increase of more than 1.7 percent, driven primarily by strong pricing realization.

The maker of floor cleaning equipment posted a profit of $28.4 million, or $1.49 a share, on sales of $311 million, compared to a profit of $24.3 million, or $1.30 a share on sales of $306 million in the same quarter last year.

“Building on the momentum and success from 2023, we are pleased to deliver a strong first quarter performance,” said Dave Huml, Tennant president and CEO.

The company achieved adjusted EBITDA of $54.9 million in the first quarter of 2024, compared to $47.9 million in the prior-year period, an increase of $7.0 million.

In the quarter, the company acquired TCS EMEA GmbH, Tennant’s largest Central and Eastern Europe distributor, to accelerate growth in the EMEA region. The acquisition gives Tennant a knowledgeable and experienced sales force and an established direct channel into countries including Romania, Hungary, Czech Republic, and Slovakia, along with an expanded network in Austria, Switzerland, Poland, and other nations in the region, as well as the Middle East and Africa.

Tennant will host an Investor Day on Monday, May 13, 2024, beginning at 9 a.m. Eastern Time at the New York Stock Exchange.

“Our multi-year investments to drive core growth and launch innovative new products have helped position us well to begin the execution of our new enterprise strategy, including growth through acquisitions,” added Huml. "We are excited to have successfully completed two transactions in the first quarter – the acquisition of a major distributor in EMEA that will unlock new growth opportunities and the investment in the exclusive technology agreement with Brain Corp, which will accelerate AMR adoption.”

The 5.1% increase in the Americas, which includes all of North America and Latin America, was driven primarily by price realization and favorable product and channel mix across the region. This was partially offset by unit volume decreases in North America, specifically in our commercial-application machines, which had a higher backlog benefit in the prior-year period.

The company has assets of $1.152 billion, and liabilities of $536 million.

For more, go to tennantco.com.