Ampco-Pittsburgh returned to a small profit in the third quarter as sales rose and both operating segments improved profitability. The industrial manufacturer also reported stronger cash generation, lower net debt and a larger backlog, while noting that its results benefited from actions taken in 2025 and that last year’s quarter included costs to exit its U.K. operations.
The company’s results were mixed across segments: Air and Liquid Processing grew, while sales in Forged and Cast Engineered Products fell, mainly because the comparison period included the U.K. cast-roll facility that Ampco has since closed.
Key details
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Sales and earnings: Third-quarter net sales were $111.7 million, up 3% from $108.0 million a year earlier. Ampco reported net income of $0.5 million, or $0.02 per share, compared with a loss of $2.2 million, or $0.11 per share, in the prior-year quarter. That earlier period included $3.1 million in costs, or $0.15 per share, related to exiting U.K. operations.
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Adjusted EBITDA: Adjusted EBITDA rose 2% to $9.4 million from $9.2 million. The adjusted EBITDA margin was 8.4%, slightly below 8.5% a year earlier. The quarter included the usual U.S. maintenance outage and summer shutdowns in Europe.
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Cash and debt: Cash from operations increased $15.5 million year over year, while free cash flow increased $15.1 million. Ampco said it used cash generation to reduce net debt by $19.5 million from June 30, to $111.0 million at September 30. Total debt was $120.3 million.
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Forged and Cast Engineered Products: Segment sales were $68.9 million, down 4% from $71.5 million. The decline primarily reflected the U.K. facility closure; excluding the U.K. sales included in the prior-year comparison, segment sales were up about 10%. Adjusted operating income was $7.7 million, higher than a year earlier despite the lower reported sales. Ampco cited improved manufacturing efficiency and the ramp-up of its Sweden facility.
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Air and Liquid Processing: Sales were $42.8 million, up 17% year over year. Ampco pointed to demand from power generation, U.S. Navy programs and air-handling markets.
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Backlog and orders: Backlog reached $379.5 million at September 30, up $50.6 million from December 31, 2025. Ampco said order activity strengthened in power generation and Navy markets, as well as for roll products, particularly in North America. It linked improving steel-market demand to non-residential construction, onshoring and infrastructure spending.
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Facility maintenance: Ampco extended the seasonal outage at its Burgettstown, Pennsylvania, facility to perform maintenance intended to extend the useful life of an existing forge press. The company said this came as it prepared for an increasing order book in 2027.
What changes for investors
The quarter showed progress in profitability and balance-sheet strength, but the year-over-year return to net income was partly helped by the absence of the prior year’s U.K. exit costs. The operating picture was stronger in both segments, while the reported sales decline in the forged-products business reflects the closure of that facility as well as ongoing improvement in the remaining business. Lower net debt and a larger backlog are the clearest signs of improved financial flexibility and demand in the periods ahead.