Atlas Engineered Products Reports Third Quarter 2025 Financial and Operating Results, Including YoY Revenue Increase of 23% in Q3 and 10% YTD

Executive Summary

• Atlas Engineered Products reported Q3 2025 revenue of C$20.33 M, a 23% YoY increase and a 49% quarter‑over‑quarter rise.
• Net income after taxes for the quarter was C$1.87 M (up from C$0.91 M YoY); normalized EBITDA rose to C$3.32 M.
• The company completed the acquisition of Penn‑Truss Manufacturing Inc. for $3.8 M cash plus contingent payments, expanding its footprint into Saskatchewan and contributing to revenue growth.

Key Details

• Revenue: C$20,331,585 (Q3) vs. C$16,550,911 YoY; C$44,995,448 nine‑month total vs. C$40,759,108 YoY.
• Gross Profit: C$4,508,430 (Q3) vs. C$4,084,663 YoY; margin fell to 22% from 25% YoY.
• Net Income After Taxes: C$1,865,090 (Q3) vs. C$914,458 YoY; nine‑month net income C$310,733 vs. C$626,600 YoY.
• Normalized EBITDA: C$3,322,317 (Q3) vs. C$3,051,187 YoY; nine‑month normalized EBITDA C$5,012,919 vs. C$6,285,693 YoY.
• Cash Position: Cash on hand C$3.75 M with an additional $7.5 M available under its line of credit.
• Acquisition Details (June 24 2025): 100% of Penn‑Truss for $3.8 M cash; $760k payable nine months post‑closing and $760k payable in cash or AEP shares based on FY 2025 performance.
• Operational Metrics: Board footage manufacturing up 11% YoY for the nine‑month period; quoting activity increased 36% YoY ($55.5 M).
• Capital Expenditure: Deposits placed on automation equipment for a new facility in Clinton, ON; equipment expected Q2 2026 with installation Q3 2026.
• Property Appraisals: Updated values for Clinton, Satellite, and South Central properties rose from $2.19 M to $5.01 M.
• Outlook 2025‑26: Management expects continued order growth in 2026 construction season driven by government incentives and housing shortage; automation investments aimed at cost reduction and capacity expansion.

Notable Quotes

“The third quarter marked a period of strong performance, with revenue increasing by 23% over the same period last year… The successful acquisition of Penn‑Truss has expanded our national footprint into Saskatchewan and positions us well for further growth.” – Hadi Abassi, President & CEO.