Douglas Dynamics Inc., a Milwaukee-based designer and manufacturer of snow and ice control equipment for light trucks, reported a first quarter net loss of $4.3 million, or 19 cents per share, compared with a net loss of $0.8 million, or 4 cents per share, in the same period a year ago.
The first quarter has historically been the weakest for sales for the company, due to end-users generally not replacing equipment until the beginning of a snow season and distributors generally waiting until the company’s pre-season sales incentives kick in to restock their inventory.
The company reported quarterly net sales of $8.6 million and voluntarily paid down $10 million in debt in January.
James Janik, president and chief executive officer of Douglas Dynamics, said, “Our results for the quarter were in line with our expectations and reflect the record low levels of snowfall we saw this winter. We have a very tough comparison with our record first quarter last year. Having experienced record snowfall in the first quarter of 2011, we saw one of the lowest snowfall and warmest winters in U.S. history continue through the first quarter of 2012. However, based on the ongoing strength of light truck sales and a positive start to our pre-season order period over the last few weeks, we remain comfortable with the 2012 guidance we provided in March.”
