ASV Holdings, Inc. reported unaudited earnings results for the first quarter ended March 31, 2018. For the quarter, the company reported net sales of $29,870,000 compared to $28,010,000 a year ago. Operating income was $64,000 compared to $1,110,000 a year ago. Loss before taxes was $388,000 compared to income before taxes of $232,000 a year ago. Net loss was $307,000 or $0.03 per basic and diluted share compared to net income of $232,000 or $0.03 per basic and diluted share a year ago. Net cash used in operating activities was $201,000 compared to net cash provided by operating activities of $1,132,000 a year ago. Purchase of property and equipment was $330,000 compared to $38,000 a year ago. EBITDA was $1.2 million compared to $2.3 million a year ago. Adjusted EBITDA was $2.0 million compared to $2.4 million a year ago. Adjusted net income was $0.2 million or $0.02 per basic and diluted share compared to adjusted net loss of $0.1 million or $0.02 per basic and diluted share a year ago.

The company expects bottom line improvement throughout the year through higher net sales, product mix improvement, and the cost benefits from higher plant utilization, and from engineering and manufacturing efficiencies. Although the possible effect on demand of recently implemented surcharge pricing to offset higher steel and aluminum costs is a potential headwind, its products continue to see a healthy level of demand, and dealer network continues to grow. The company is working hard to achieve gradual margin expansion and higher levels of EBITDA margin and profitability as it scales and grow the business. For 2018 the company expects CapEx in the region of $1.5 million to $2 million. The company expects its tax rate for 2018 to be approximately 22%.