AP · Ampco-Pittsburgh Corporation

Ampco-Pittsburgh's first quarter 2026 results reflect a mixed performance across its two segments. Consolidated net sales rose 3.9% to $108.3 million, driven by a 17% surge in the Air and Liquid Processing segment to $37.5 million, which benefited from higher shipments across all product lines, particularly nuclear heat exchangers and Navy aftermarket products. This segment achieved record adjusted operating income of $5.7 million, up from $3.7 million a year ago, due to favorable product mix and operational improvements. In contrast, the Forged and Cast Engineered Products segment saw net sales decline 2% to $70.8 million, primarily due to the closure of the U.K. plant, though U.S. operations were flat and European operations (excluding U.K.) grew over 20% driven by the Sweden facility ramp-up. Adjusted operating income for this segment fell to $5.7 million from $8.3 million, impacted by unfavorable regional and product mix and higher-cost inventory from late 2025 shutdowns. Overall, the company reported a net loss of $0.9 million ($0.04 per share) compared to net income of $1.1 million ($0.06 per share) in the prior year, reflecting the Forged & Cast headwinds, absence of prior-year tax benefits, and a write-down of the U.K. facility closure receivable. Adjusted EBITDA was $8.0 million (7.4% margin), down from $8.8 million (8.4% margin) a year ago, but improved sequentially from Q4 2025. Backlog increased $16.6 million sequentially to $345.5 million, supported by record orders in Air & Liquid and improving order trends in Forged & Cast. Management expressed optimism about improving demand and mix over the balance of 2026, with the Air & Liquid segment benefiting from power generation and defense markets, and Forged & Cast expected to see benefits from footprint optimization. The company ended the quarter with $9.2 million cash and $30.8 million total liquidity, and generated $1.7 million in operating cash flow, a significant improvement from a use of $5.3 million in the prior year.