ASV Holdings, Inc. (NASDAQ:ASV) Q4 2018 Earnings Conference Call - Final Transcript

Mar 14, 2019 • 04:30 pm ET

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ASV Holdings, Inc. (NASDAQ:ASV) Q4 2018 Earnings Conference Call - Final Transcript

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Q & A
Operator
Operator

Thank you. (Operator Instructions) We will now take our first question from Matt Koranda of ROTH Capital Partners. Please go ahead sir. Your line is open.

Analyst
Unidentified Participant

Hey, Andrew, hey, Missi, this is Mike on for Matt, thanks for taking my questions. And apologies, if I missed this, but are you able to provide any more detail on what's driving the potential impairment to goodwill and intangible assets?

Executive
Andrew M. Rooke

Well, the process, as you may well be aware, is that we conduct an annual impairment test. We did that in October and concluded that everything was fine. The rules -- the accounting rules require you to sort of be aware of any triggers that may give you an insight that there may be an impairment. And one of those, for example, is stock price performance. As we know, our share price has been not as strong since the IPO, for example. And so those potential triggers that are there, we were -- we consider that it was prudent to do another analysis to complete it, roll it forward, and that's what we're in the process of. And it takes a little bit of time to do that, but as we said in the release that we expect to get that done and completed to get our filings done on time before the end of the month.

Analyst
Unidentified Participant

Okay, great. And then, it seemed like a positive quarter for machine sales. Can you give a little more information on how the season is trending so far in January and February, sort of what order growth is like? Are dealers stocking up to the levels you anticipated? And how you anticipate this to progress further rest of the quarter?

Executive
Andrew M. Rooke

Well, I can't really make any comments about the first quarter, I'm afraid. I did say in the release that -- and in my prepared remarks that the prospects as far as the information that we see are still very positive for 2019. Rental growth, construction growth is anticipated to be strong. Housing, I think, picked up a little bit, actually, in January, although it languished a little bit in November and December. So underlying markets still seem a little bit -- a little strength there for some growth in 2019. There have -- as you're probably very well aware, anybody who's been traveling around knows that the weather conditions have been very severe in many parts of the US and Canada, which certainly have seen an impact, we think. Our feedback that we're getting is that there's lots of activity taking place, people are getting ready. The season, as you're probably aware, sort of really starts towards the back end of March and then into that second quarter. So the little bits that we have of, there's activity out there and people looking forward to getting the projects going.

Analyst
Unidentified Participant

All right. And then on the pricing side, can you quantify the price increase that was implemented at the start of this year?

Executive
Andrew M. Rooke

Yes, so, we got