Firm draws big profits going with the grain: Equipment manufacturer reaps what it sowed
August 11, 2017
Grain-handling equipment manufacturer Ag Growth International (AGI) has reported record sales and profit for the second quarter and expects more of the same in the second half of the year.
The Winnipeg-based company announced on Thursday that sales for the three-month period ended June 30 jumped by 55 per cent to $222.2 million from $143.5 million in the same period last year.
Earnings before interest, taxes, depreciation and amortization (EBITDA) was up by 54 per cent to $40.1 million from $26 million and profit soared by 179 per cent to $14.8 million — or 88 cents per share — from $5.3 million, or 35 cents per share.
"Strong performance in our farm and commercial business units resulted in record second-quarter results," said company president and CEO Tim Close. "We are seeing positive year-over-year increases in many parts of AGI as we focus on our customers and realize the benefit of both organic investment and recent acquisitions."