Tue, Mar 4, 10:18 PM (56 days ago)
**Custom Truck One Source, Inc. (CTOS) 2024 10-K Summary** For the fiscal year ending December 31, 2024, Custom Truck One Source, Inc. reported total revenues of $1,802.3 million, a decrease of 3.4% from $1,865.1 million in 2023. The decline was driven by lower rental revenue ($442.9 million, down 7.5%) and reduced equipment sales ($1,223.0 million, down 2.4%). Net income was a loss of $28.7 million, compared to a profit of $50.7 million in 2023, primarily due to increased interest expenses and reduced gross profit. Operating income fell to $126.4 million from $170.9 million. The company operates in three segments: Equipment Rental Solutions (ERS), Truck and Equipment Sales (TES), and Aftermarket Parts and Services (APS). ERS saw a significant decline in revenue due to decreased fleet utilization in the utility market, while TES experienced growth in equipment sales. Strategically, CTOS aims to capitalize on favorable market trends, expand its rental fleet, and enhance sales across existing and new markets. However, risks include supply chain disruptions, labor cost increases, and potential regulatory changes. As of December 31, 2024, total debt stood at $1,547.7 million, with a net leverage ratio of 4.55, indicating significant indebtedness. The company's financial condition remains stable, supported by its diversified customer base and operational capabilities.