Alta Equipment Group (ALTG) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue was $410.5 million, down 3% year-over-year, mainly due to lower new and used equipment sales, with organic revenues declining 2.1%.

• Adjusted EBITDA was $28.1 million, down $5.5 million from Q1 2025, with margin declining to 6.8%.

• Net loss available to common stockholders was $20.3 million, an improvement from a $21.7 million loss in Q1 2025.

• Gross margins on new and used equipment improved 240 basis points sequentially, but overall gross profit margin decreased to 26.6% from 27.2% year-over-year.

• Operating cash flow reached $20.8 million, up $38.3 million from Q1 2025, reflecting disciplined fleet and working capital management.

Financial highlights

• Revenue declined $12.5 million year-over-year, with product support revenue falling $3.3 million to $134.8 million.

• Rental equipment sales surged 44.5% year-over-year to $30.2 million, while rental revenues declined $3.7 million to $38.6 million.

• Interest expense dropped $2.4 million year-over-year to $19.5 million, reflecting deleveraging actions.

• SG&A expenses rose $1.5 million (1.4%) year-over-year.

• Cash liquidity remained strong at approximately $250 million, with $23.9 million in cash and $400.2 million in available borrowings.

Outlook and guidance

• Updated full-year adjusted EBITDA guidance is $167.5–$182.5 million, reflecting Q1 performance.

• Free cash flow before rent-to-sell is projected at $100–$110 million for 2026, back-half weighted.

• Targeting leverage below 4.5x by year-end.

• Material Handling bookings and backlog are improving, with March 2026 the strongest booking month since June 2023.

• Construction activity is expected to pick up as the season progresses, supported by infrastructure spending.