Overview

* Ag Growth International Q2 2025 revenue of C$349 mln beats analysts' expectations

* Adjusted EBITDA of C$54 mln towards high-end of guidance

* Order book up 4% YOY, driven by international Commercial growth

Outlook

* AGI maintains full-year adjusted EBITDA guidance at C$225 mln

* Company sees strong visibility in Commercial segment for H2 2025

* Farm segment faces limited visibility due to challenging market conditions

* AGI estimates minor direct cost impact from tariffs in 2025

Result Drivers

* COMMERCIAL SEGMENT GROWTH - Strong growth in international markets, particularly Brazil and EMEA, driven by long-term projects

* FARM SEGMENT DECLINE - Revenue and adjusted EBITDA impacted by soft farmer demand and high dealer inventory levels

* ORDER BOOK INCREASE - Order book up 4% YOY, supported by significant growth in international Commercial businesses

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Beat C$349 C$324.90

mln mln (7

Analysts

)

Q2 C$54 mln

Adjusted

EBITDA

Q2 15.6%

Adjusted

EBITDA

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

* Wall Street's median 12-month price target for Ag Growth International Inc ( AGGZF ) is C$50.50, about 17.2% above its July 30 closing price of C$41.83

* The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)