Douglas Dynamics, Inc. (NYSE:PLOW) Q1 2019 Earnings Conference Call Transcript

May 07, 2019 • 10:00 am ET

Previous

Douglas Dynamics, Inc. (NYSE:PLOW) Q1 2019 Earnings Conference Call Transcript

Share
Close

Loading Event

Loading Transcript

Presentation
Operator
Operator

Good morning, ladies and gentlemen, and welcome to the Douglas Dynamics First Quarter 2019 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will follow at this time. (Operator instructions) As a reminder, this conference is being recorded.

I would now like to turn the call over to our host, Ms. Lauber, Chief Financial Officer.

Executive
Sarah Lauber

Thank you. Welcome, everyone. Thank you for joining us on today's call. A few quick items before we begin. First, please note that some of the information that you will hear during this call will consist of forward-looking statements. Within the meaning of Section 21E of the Securities Exchange Act of 1934 as amended. Such statements express our expectations, anticipations, beliefs, estimates, intentions, plans and forecasts. Because these forward-looking statements involve risks and uncertainties, our actual results could differ materially from those in the forward-looking statements. For more information regarding such risks and uncertainties, please see the sections titled Risk Factors, Forward-Looking Statements and Management Discussion and Analysis of Financial Condition and Results of Operations included in our Form 10-K for the year ended December 31, 2018

filed with the Securities and Exchange Commission and the impending updates to these sections in our quarterly report on Form 10-Q.

Second, this call will involve a discussion of adjusted EBITDA, adjusted net income, adjusted earnings per share and free cash flow. All non-GAAP financial measures, which under SEC Regulation G, we're required to reconcile with the most directly comparable GAAP measure. Reconciliation of these measures to the closest GAAP financial measure is included in the earnings press release, which is available at douglasdynamics.com.

Joining me on the call today is Bob McCormick, our President and Chief Executive Officer. In a moment, Bob will provide an overview of our performance then I'll review our financial results and guidance before turning it back to Bob for final comments. After that, we'll open the call for your questions.

But before we begin, I'd like to discuss our recent segment change. We reorganized our business segments to reflect our new operating structure. Essentially, the municipal snow and ice control operations are moving from the Attachments to the Solutions segment. And corporate expenses are now being fully allocated to both Work Truck Attachments and Work Truck Solutions.

As announced earlier in March, John Sievert was appointed as President, Work Truck Solutions, and now has primary responsibility for both Dejana and Henderson. The Work Truck Attachments segment now consists of our commercial snow and ice control operations under the FISHER, SnowEx and WESTERN brands, which continue to be run by Keith Hagelin. We have provided information on the segment change including unaudited quarterly restated segment results for 2018 in an 8-K filed yesterday.

With that, I'll hand the call over to Bob.

Executive
Robert McCormick

Thanks, Sarah. Good morning, everyone. Thanks to the continued hard work of everyone at Douglas Dynamics, we produced record first quarter net sales of $93 million and gross profit