# EDGAR Filing Document

**Accession Number:** 0001287213
**File Stem:** 0001437749-25-024661
**Filing Date:** 2025-8
**Character Count:** 33484
**Document Hash:** 90b69427a1b65d74da763736fbfb975b
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001437749-25-024661.hdr.sgml**: 20250805

**ACCESSION NUMBER**: 0001437749-25-024661

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20250804

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20250805

**DATE AS OF CHANGE**: 20250804

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** DOUGLAS DYNAMICS, INC
- **CENTRAL INDEX KEY:** 0001287213
- **STANDARD INDUSTRIAL CLASSIFICATION:** CONSTRUCTION MACHINERY & EQUIP [3531]
- **ORGANIZATION NAME:** 06 Technology
- **EIN:** 134275891
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-34728
- **FILM NUMBER:** 251181974

**BUSINESS ADDRESS:**
- **STREET 1:** 11270 W. PARK PLACE SUITE 300
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53224
- **BUSINESS PHONE:** 414-362-3940

**MAIL ADDRESS:**
- **STREET 1:** 11270 W. PARK PLACE SUITE 300
- **CITY:** MILWAUKEE
- **STATE:** WI
- **ZIP:** 53224

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** DOUGLAS DYNAMICS HOLDINGS INC
- **DATE OF NAME CHANGE:** 20040415

?xml version='1.0' encoding='ASCII'? plow20250730_8k.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

------

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

------

---

| | |
|:---|:---|
| Date of Report<br> (Date of earliest<br> event reported): | August 4, 2025 |

---

DOUGLAS DYNAMICS, INC

------

(Exact name of registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| Delaware  | 001-34728 | 13-4275891  |
| (State or other<br> jurisdiction of<br> incorporation) | (Commission File<br> Number) | (IRS Employer<br> Identification No.) |

---

<u>11270 W Park Place Ste 300, Milwaukee, Wisconsin</u><u>53224</u>

(Address of principal executive offices, including zip code)

<u>(414) 354-2310</u>

(Registrant's telephone number, including area code)

------

(Former name or former address, if changed since last report)

------

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| Common Stock, par value $.01 per share | PLOW | New York Stock Exchange |

---

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

---

| | |
|:---|:---|
| <u>Item 2.02</u>. | <u>Results of Operations and Financial Condition</u>. |

---

On August 4, 2025, Douglas Dynamics, Inc. issued a press release announcing its financial results for the quarter ended June 30, 2025. A copy of the press release is attached hereto as Exhibit 99.1. The information in this Item 2.02 and the exhibit hereto are furnished to, but not filed with, the Securities and Exchange Commission.

---

| | |
|:---|:---|
| <u>Item 9.01</u>. | <u>Financial Statements and Exhibits</u>. |

---

(a) Not applicable.

(b) Not applicable.

(c) Not applicable.

---

| | | |
|:---|:---|:---|
| (d) | <u>Exhibits</u>. The following exhibit is being furnished herewith: | <u>Exhibits</u>. The following exhibit is being furnished herewith: |
|  | (99.1) | [Press release dated August 4, 2025.](ex_845521.htm) |
|  | (104) | The cover page from this Current Report on Form 8-K, formatted in Inline XBRL |

---

------

**<u>SIGNATURES</u>**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **DOUGLAS DYNAMICS, INC.** | **DOUGLAS DYNAMICS, INC.** |
| Date: August 4, 2025 | By: | /s/ Sarah Lauber |
|  |  | Sarah Lauber |
|  |  | Executive Vice President and Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

For further information contact:

Douglas Dynamics, Inc.

Nathan Elwell

Vice President of Investor Relations

847-530-0249

investorrelations@douglasdynamics.com<u> </u>

**DOUGLAS DYNAMICS REPORTS SECOND QUARTER 2025 RESULTS**

*Work Truck Solutions Delivers Another Record Quarter;*

*Raises and Narrows 2025 Guidance Ranges*

**<u>Second Quarter 2025 Highlights\*:</u>**

● **Consolidated Net income improved by 6.6% to $26.0 million, or $1.09 per diluted share** 

● **Solutions segment delivered record second quarter results with 5.4% Net Sales growth, and 39.8% Adjusted EBITDA growth** 

● **Pre-season demand and shipments at Attachments proceeding as expected** 

● **Returned approximately $13 million of cash to shareholders** 

*\*All comparisons are to second quarter 2024 financials*

**August 4, 2025** — **Milwaukee, Wisconsin** — Douglas Dynamics, Inc. (NYSE: PLOW), North America's premier manufacturer and upfitter of work truck attachments and equipment, today announced financial results for the second quarter ended June 30, 2025. Unless otherwise stated, all comparisons are between the second quarters of 2025 and 2024.

"We take great pride in the fact that strong execution, unwavering dedication, and market leading innovation remain defining hallmarks of our company," commented Mark Van Genderen, President and CEO. "Today, we are focused on optimizing our current business while pursuing growth opportunities to expand our offering. Our team delivered excellent results this quarter, and we believe we are in a great position to execute on our plans in the second half of the year and beyond."

**<u>Consolidated Second Quarter 2025 Results</u>**

---

| | | |
|:---|:---|:---|
| **$ in millions**<br> *(except Margins & EPS)* | **Q2 2025** | **Q2 2024** |
| Net Sales | $194.3 | $199.9 |
| Gross Profit Margin | 31.0% | 30.7% |
| Income from Operations | $37.0 | $36.3 |
| Net Income | $26.0 | $24.3 |
| Diluted EPS | $1.09 | $1.02 |
| Adjusted EBITDA | $42.6 | $43.7 |
| Adjusted EBITDA Margin | 21.9% | 21.9% |
| Adjusted Net Income | $27.2 | $26.5 |
| Adjusted Diluted EPS | $1.14 | $1.11 |

---

------

***Douglas Dynamics*** – ***Second Quarter 2025***

● Consolidated results for the second quarter 2025 were comparable to the same period last year across all metrics, favorably impacted by results at Work Truck Solutions, which offset the expected lower volumes at Work Truck Attachments related to the timing of pre-season shipments.

● Net sales were $194.3 million for the quarter, a decrease of 2.8% when compared to the prior year, as a result of expected lower volumes at Attachments, related to the timing of pre-season shipments between the second and third quarters.

● Net income for the quarter was $26.0 million, or $1.09 per diluted share, an increase of 6.6% and 6.9%, respectively.

● Adjusted EBITDA margins of 21.9% were flat to last year reflecting the strength of Work Truck Solutions margin improvements offsetting the impact of lower preseason shipments in Work Truck Attachments.

**<u>Work Truck Attachments Segment Second Quarter 2025 Results</u>**

"We are pleased that our pre-season period at Attachments is proceeding as we generally expected. We believe our operational excellence and ongoing cost control efforts will allow us to rapidly respond to evolving market conditions later this year and maximize our performance," Van Genderen explained.

---

| | | |
|:---|:---|:---|
| **$ in millions** <br> *(except Adjusted EBITDA Margin)* | **Q2 2025** | **Q2 2024** |
| Net Sales | $108.1 | $118.1 |
| Adjusted EBITDA | $31.6 | $35.8 |
| *Adjusted EBITDA Margin* | 29.2% | 30.3% |

---

&nbsp;&nbsp;&nbsp;&nbsp;● Net sales of $108.1 million and Adjusted EBITDA of $31.6 million are down $10.0 million and $4.2 million, respectively, both primarily due to the timing of pre-season shipments between the second and third quarters.

&nbsp;&nbsp;&nbsp;&nbsp;● Based on second quarter results, the ratio of pre-season shipments in 2025 is expected to be close to the more traditional 55% to 45% split between the second and third quarters. This contrasts to the 2024 pre-season which saw an unusual 65% to 35% ratio, as higher than anticipated inventory levels at the company in Q1 2024 led to significantly more Q2 equipment shipments.

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**<u>Work Truck Solutions Segment Second Quarter 2025 Results</u>**

"The Solutions team once again delivered exceptional results achieving another record second quarter with significant profit improvement, despite facing tough comparisons to a record-setting quarter last year," Van Genderen noted. "We remain encouraged by the team's progress and the strength of our backlog, which continues to be driven by robust municipal demand."

---

| | | |
|:---|:---|:---|
| **$ in millions** <br> *(except Adjusted EBITDA Margin)* | **Q2 2025** | **Q2 2024** |
| Net Sales | $86.2 | $81.8 |
| Adjusted EBITDA | $11.0 | $7.9 |
| *Adjusted EBITDA Margin* | 12.8% | 9.7% |

---

&nbsp;&nbsp;&nbsp;&nbsp;● Work Truck Solutions produced record second quarter top- and bottom-line results.

&nbsp;&nbsp;&nbsp;&nbsp;● Net Sales increased 5.4% to $86.2 million based on favorable pricing realization and higher municipal volumes somewhat offset by lower commercial volumes.

&nbsp;&nbsp;&nbsp;&nbsp;● Adjusted EBITDA increased 39.8% to $11.0 million, delivering record margins of 12.8%, based on favorable product mix, price realization and higher municipal throughput.

**<u>Dividend & Liquidity</u>**

● Net cash used in operating activities decreased $6.4 million in the first half of 2025 to $12.7 million compared to the same period last year, due to improved earnings somewhat offset by changes in working capital.

● Total inventory was $153.3 million compared to $139.4 million. The Attachments segment significantly reduced its inventory over the past year, which was offset by a planned increase in inventory and chassis in the Solutions segment.

● Capital expenditures increased by $2.4 million in the first half of 2025 compared to 2024 as planned. The company continues to expect 2025 Capital Expenditures to be towards the higher end of the traditional range of 2% to 3% of Net Sales.

● The leverage ratio at the end of the quarter was 2.0X, a significant improvement when compared to 3.3X, and well within our stated goal range of 1.5X to 3.0X.

● Successfully returned $12.9 million of cash to shareholders through the payment of a quarterly cash dividend of $0.295 per diluted share and repurchase of approximately 210,000 shares of company stock.

**<u>2025 Outlook</u>**

"Following another record quarter for Solutions, and pre-season orders at Attachments being in line with our expectations, we are raising and narrowing our guidance ranges," explained Sarah Lauber, Executive Vice President and CFO. "Economic and tariff uncertainty persists, but our U.S. centric business model supports our belief that we are well positioned under the circumstances. Solutions maintains a strong backlog and is tracking well to another full year of improved margins. The elongated equipment replacement cycle will continue to have an impact at Attachments, but recent pre-season and dealer inventory data indicate our expectations for 2025 remain on track."

Updated 2025 Outlook

&nbsp;&nbsp;&nbsp;&nbsp;● Net Sales are now expected to be between $630 million and $660 million, an increase when compared to the previous range of $610 million to $650 million.

&nbsp;&nbsp;&nbsp;&nbsp;● Adjusted EBITDA is now predicted to range from $82 million to $97 million, an increase when compared to the previous range of $75 million to $95 million.

&nbsp;&nbsp;&nbsp;&nbsp;● Adjusted Earnings Per Share are expected to be in the range of $1.65 per share to $2.15 per share, an increase when compared to the previous range of $1.30 per share to $2.10 per share.

&nbsp;&nbsp;&nbsp;&nbsp;● The effective tax rate is still expected to be approximately 24% to 25%.

------

***Douglas Dynamics*** – ***Second Quarter 2025***

The 2025 outlook assumes relatively stable economic and supply chain conditions, and that core markets will experience average snowfall in the fourth quarter of 2025.

With respect to the Company's 2025 guidance, the Company is not able to provide a reconciliation of the non-GAAP financial measures to GAAP because it does not provide specific guidance for the various extraordinary, nonrecurring, or unusual charges and other certain items. These items have not yet occurred, are out of the Company's control and/or cannot be reasonably predicted. As a result, reconciliation of the non-GAAP guidance measures to GAAP is not available without unreasonable effort and the Company is unable to address the probable significance of the unavailable information.

**<u>Earnings Conference Call Information</u>**

The Company will host a conference call on Tuesday, August 5, 2025, at 10:00 a.m. Eastern Time (9:00 a.m. Central Time). To join the conference call, please dial 1-833-634-5024 domestically, or 1-412-902-4205 internationally.

The call will also be available via the Investor Relations section of the Company's website at www.douglasdynamics.com. For those who cannot listen to the live broadcast, replays will be available for one week following the call.

**<u>About Douglas Dynamics</u>**

Home to the most trusted brands in the industry, Douglas Dynamics is North America's premier manufacturer and up-fitter of commercial work truck attachments and equipment. For more than 75 years, the Company has been innovating products that not only enable people to perform their jobs more efficiently and effectively, but also enable businesses to increase profitability. Through its proprietary Douglas Dynamics Management System (DDMS), the Company is committed to continuous improvement aimed at consistently producing the highest quality products, at industry-leading levels of service and delivery that ultimately drive shareholder value. The Douglas Dynamics portfolio of products and services is separated into two segments: First, the Work Truck Attachments segment, which includes commercial snow and ice control equipment sold under the FISHER®, SNOWEX® and WESTERN® brands. Second, the Work Truck Solutions segment, which includes the up-fit of market leading attachments and storage solutions under the HENDERSON® brand, and the DEJANA® brand and its related sub-brands.

**<u>Use of Non-GAAP Financial Measures</u>**

This press release contains financial information calculated other than in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). The non-GAAP measures used in this press release are Adjusted EBITDA, Adjusted Net Income and Adjusted Earnings Per Share, and Free Cash Flow. The Company believes that these non-GAAP measures are useful to investors and other external users of its consolidated financial statements in evaluating the Company's operating performance as compared to that of other companies. Reconciliations of these non-GAAP measures to the nearest comparable GAAP measures can be found immediately following the Consolidated Statements of Cash Flows included in this press release.

------

***Douglas Dynamics*** – ***Second Quarter 2025***

Adjusted EBITDA represents net income before interest, taxes, depreciation, and amortization, as further adjusted for certain charges consisting of unrelated legal and consulting fees, stock-based compensation, severance, restructuring charges, CEO transition costs, debt modification expense, loss on extinguishment of debt, write downs of property, plant and equipment, and impairment charges. The Company uses Adjusted EBITDA in evaluating the Company's operating performance because it provides the Company and its investors with additional tools to compare its operating performance on a consistent basis by removing the impact of certain items that management believes do not directly reflect the Company's core operations. The Company's management also uses Adjusted EBITDA for planning purposes, including the preparation of its annual operating budget and financial projections, and to evaluate the Company's ability to make certain payments, including dividends, in compliance with its senior credit facilities, which is determined based on a calculation of "Consolidated Adjusted EBITDA" that is substantially similar to Adjusted EBITDA.

Adjusted Net Income and Adjusted Earnings Per Share (calculated on a diluted basis) represents net income and earnings per share (as defined by GAAP), excluding the impact of stock based compensation, severance, restructuring charges, CEO transition costs, debt modification expense, loss on extinguishment of debt, write downs of property, plant and equipment, impairment charges, certain charges related to unrelated legal fees and consulting fees, and adjustments on derivatives not classified as hedges, net of their income tax impact. Adjustments on derivatives not classified as hedges are non-cash and are related to overall financial market conditions; therefore, management believes such costs are unrelated to our business and are not representative of our results. Management believes that Adjusted Net Income and Adjusted Earnings Per Share are useful in assessing the Company's financial performance by eliminating expenses and income that are not reflective of the underlying business performance.

Free Cash Flow is a non-GAAP financial measure that we define as net cash provided by (used in) operating activities less capital expenditures. Free Cash Flow should be evaluated in addition to, and not considered a substitute for, other financial measures such as Net Income and Net Cash Provided By (Used in) Operating Activities. We believe that free cash flow represents our ability to generate additional cash flow from our business operations.

**<u>Forward Looking Statements</u>**

This press release contains certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These statements include information relating to future events, future financial performance, strategies, expectations, competitive environment, regulation, product demand, the payment of dividends, and availability of financial resources. These statements are often identified by use of words such as "anticipate," "believe," "intend," "estimate," "expect," "continue," "should," "could," "may," "plan," "project," "predict," "will" and similar expressions and include references to assumptions and relate to our future prospects, developments, and business strategies. Such statements involve known and unknown risks, uncertainties and other factors that could cause our actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, weather conditions, particularly lack of or reduced levels of snowfall and the timing of such snowfall, our ability to manage general economic, business and geopolitical conditions, including the impacts of natural disasters, labor strikes, global political instability, adverse developments affecting the banking and financial services industries, pandemics and outbreaks of contagious diseases and other adverse public health developments, increases in the price of steel or other materials, including as a result of tariffs, necessary for the production of our products that cannot be passed on to our distributors, our inability to maintain good relationships with our distributors, our inability to maintain good relationships with the original equipment manufacturers with whom we currently do significant business, lack of available or favorable financing options for our end-users, distributors or customers, increases in the price of fuel or freight, a significant decline in economic conditions, the inability of our suppliers and original equipment manufacturer partners to meet our volume or quality requirements, inaccuracies in our estimates of future demand for our products, our inability to protect or continue to build our intellectual property portfolio, the effects of laws and regulations and their interpretations on our business and financial condition, including policy or regulatory changes related to climate change, our inability to develop new products or improve upon existing products in response to end-user needs, losses due to lawsuits arising out of personal injuries associated with our products, factors that could impact the future declaration and payment of dividends, or our ability to execute repurchases under our stock repurchase program, our inability to effectively manage the use of artificial intelligence, our inability to compete effectively against competition, our inability to successfully implement our new enterprise resource planning system at Dejana, as well as those discussed in the section entitled "Risk Factors" in our annual report on Form 10-K for the year ended December 31, 2024 and any subsequent Form 10-Q filings. You should not place undue reliance on these forward-looking statements. In addition, the forward-looking statements in this release speak only as of the date hereof and we undertake no obligation, except as required by law, to update or release any revisions to any forward-looking statement, even if new information becomes available in the future.

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**Douglas Dynamics, Inc.**

**Consolidated Balance Sheets**

**(In thousands)**

---

| | | |
|:---|:---|:---|
|  | **June 30,** | **December 31,** |
|  | **2025** | **2024** |
|  | **(unaudited)** | **(unaudited)** |
| **Assets** |  |  |
| Current assets: |  |  |
| Cash and cash equivalents | $7980 | $5119 |
| Accounts receivable, net | 141167 | 87407 |
| Inventories | 153286 | 137034 |
| Inventories - truck chassis floor plan | 20216 | 2612 |
| Prepaid and other current assets | 4100 | 6053 |
| Total current assets | 326749 | 238225 |
| Property, plant, and equipment, net | 41703 | 41311 |
| Goodwill | 113134 | 113134 |
| Other intangible assets, net | 110450 | 113550 |
| Operating lease - right of use asset | 66420 | 70801 |
| Non-qualified benefit plan assets | 11362 | 10482 |
| Other long-term assets | 1653 | 2480 |
| Total assets | $671471 | $589983 |
| **Liabilities and stockholders' equity** |  |  |
| Current liabilities: |  |  |
| Accounts payable | $39613 | $32319 |
| Accrued expenses and other current liabilities | 31026 | 26182 |
| Floor plan obligations | 20216 | 2612 |
| Operating lease liability - current | 7268 | 7394 |
| Income taxes payable | 7130 | 1685 |
| Short term borrowings | 42000 |  |
| Current portion of long-term debt | 7416 |  |
| Total current liabilities | 154669 | 70192 |
| Retiree benefits and deferred compensation | 13515 | 13616 |
| Deferred income taxes | 24717 | 24574 |
| Long-term debt, less current portion | 138698 | 146679 |
| Operating lease liability - noncurrent | 60937 | 64785 |
| Other long-term liabilities | 5671 | 5922 |
| Total stockholders' equity | 273264 | 264215 |
| Total liabilities and stockholders' equity | $671471 | $589983 |

---

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**Douglas Dynamics, Inc.**

**Consolidated Statements of Income**

**(In thousands, except share and per share data)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Month Period Ended** | **Three Month Period Ended** | **Six Month Period Ended** | **Six Month Period Ended** |
|  | **June 30, 2025** | **June 30, 2024** | **June 30, 2025** | **June 30, 2024** |
|  | *(unaudited)* | *(unaudited)* | *(unaudited)* | *(unaudited)* |
| Net sales | $194327 | $199902 | $309394 | $295557 |
| Cost of sales | 134031 | 138599 | 220959 | 215334 |
| Gross profit | 60296 | 61303 | 88435 | 80223 |
| Selling, general, and administrative expense | 21751 | 23370 | 45138 | 44858 |
| Impairment charges |  |  |  | 1224 |
| Intangibles amortization | 1550 | 1630 | 3100 | 4260 |
| Income from operations | 36995 | 36303 | 40197 | 29881 |
| Interest expense, net | (2973) | (4123) | (5357) | (7647) |
| Debt modification expense |  |  | (176) |  |
| Loss on extinguishment of debt |  |  | (156) |  |
| Other expense, net | 123 | (53) | 127 | (50) |
| Income before taxes | 34145 | 32127 | 34635 | 22184 |
| Income tax expense | 8191 | 7789 | 8533 | 6198 |
| Net income | $25954 | $24338 | $26102 | $15986 |
| Weighted average number of common shares outstanding: |  |  |  |  |
| Basic | 23131151 | 23094047 | 23126379 | 23051708 |
| Diluted | 23674029 | 23094047 | 23668491 | 23051708 |
| Earnings per share: |  |  |  |  |
| Basic earnings per common share attributable to common shareholders | $1.10 | $1.03 | $1.10 | $0.68 |
| Earnings per common share assuming dilution attributable to common shareholders | $1.09 | $1.02 | $1.09 | $0.66 |
| Cash dividends declared and paid per share | $0.30 | $0.30 | $0.59 | $0.59 |

---

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**Douglas Dynamics, Inc.**

**Consolidated Statements of Cash Flows**

**(In thousands)**

---

| | | |
|:---|:---|:---|
|  | **Six Month Period Ended** | **Six Month Period Ended** |
|  | **June 30, 2025** | **June 30, 2024** |
|  | *(unaudited)* | *(unaudited)* |
| **Operating activities** |  |  |
| Net income | $26102 | $15986 |
| Adjustments to reconcile net income to net cash used in operating activities: |  |  |
| Depreciation and amortization | 7649 | 9752 |
| Loss on disposal of fixed asset |  | 304 |
| Amortization of deferred financing costs and debt discount | 275 | 349 |
| Debt modification expense | 176 |  |
| Loss on extinguishment of debt | 156 |  |
| Stock-based compensation | 3704 | 2833 |
| Adjustments on derivatives not designated as hedges |  | (287) |
| Provision for losses on accounts receivable | 315 | 352 |
| Deferred income taxes | 143 | (244) |
| Impairment charges |  | 1224 |
| Non-cash lease expense | 4142 | 2714 |
| Changes in operating assets and liabilities, net of acquisitions: |  |  |
| Accounts receivable | (54076) | (56790) |
| Inventories | (16252) | 971 |
| Prepaid assets, refundable income taxes paid and other assets | (958) | 885 |
| Accounts payable | 7480 | (3311) |
| Accrued expenses and other current liabilities | 10201 | 3968 |
| Benefit obligations, long-term liabilities and other | (1778) | 2180 |
| Net cash used in operating activities | (12721) | (19114) |
| **Investing activities** |  |  |
| Capital expenditures | (5126) | (2751) |
| Net cash used in investing activities | (5126) | (2751) |
| **Financing activities** |  |  |
| Repurchase of common stock | (6000) |  |
| Shares withheld on restricted stock vesting paid for employees' taxes | (161) |  |
| Payments of financing costs | (293) | (279) |
| Borrowings on long-term debt | 148770 |  |
| Payments on life insurance policy loans | (119) | (204) |
| Dividends paid | (13926) | (13612) |
| Net revolver borrowings | 42000 | 16000 |
| Repayment of long-term debt | (149563) |  |
| Net cash provided by financing activities | 20708 | 1905 |
| Change in cash and cash equivalents | 2861 | (19960) |
| Cash and cash equivalents at beginning of period | 5119 | 24156 |
| Cash and cash equivalents at end of period | $7980 | $4196 |
| **Non-cash operating and financing activities** |  |  |
| Truck chassis inventory acquired through floorplan obligations | $19249 | $5488 |

---

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**Douglas Dynamics, Inc.**

**Segment Disclosures (unaudited)**

**(In thousands)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended June 30, 2025** | **Three Months Ended June 30, 2024** | **Six Months Ended June 30, 2025** | **Six Months Ended June 30, 2024** |
| **Work Truck Attachments** |  |  |  |  |
| Net Sales | $108114 | $118137 | $144571 | $141977 |
| Adjusted EBITDA | $31570 | $35792 | $31897 | $31324 |
| Adjusted EBITDA Margin | 29.2% | 30.3% | 22.1% | 22.1% |
| **Work Truck Solutions** |  |  |  |  |
| Net Sales | $86213 | $81765 | $164823 | $153580 |
| Adjusted EBITDA | $11047 | $7903 | $20151 | $13905 |
| Adjusted EBITDA Margin | 12.8% | 9.7% | 12.2% | 9.1% |

---

**Douglas Dynamics, Inc.**

**Net Income to Adjusted EBITDA reconciliation (unaudited)**

**(In thousands)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three month period ended June 30,** | **Three month period ended June 30,** | **Six month period ended June 30,** | **Six month period ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| **Net income** | $25954 | $24338 | $26102 | $15986 |
| Interest expense - net | 2973 | 4123 | 5357 | 7647 |
| Income tax expense | 8191 | 7789 | 8533 | 6198 |
| Depreciation expense | 2276 | 2777 | 4549 | 5492 |
| Intangibles amortization | 1550 | 1630 | 3100 | 4260 |
| **EBITDA** | 40944 | 40657 | 47641 | 39583 |
| Stock-based compensation | 1554 | 2478 | 3704 | 2833 |
| Debt modification expense |  |  | 176 |  |
| Loss on extinguishment of debt |  |  | 156 |  |
| Impairment charges (1) |  |  |  | 1224 |
| Other charges (2) | 119 | 560 | 371 | 1589 |
| **Adjusted EBITDA** | $42617 | $43695 | $52048 | $45229 |

---

(1) Reflects impairment charges taken on certain internally developed software in the six months ended June 30, 2024.

(2) Reflects unrelated legal, severance, restructuring, and consulting fees, and write downs of property, plant and equipment for the periods presented.

------

***Douglas Dynamics*** – ***Second Quarter 2025***

**Douglas Dynamics, Inc.**

**Reconciliation of Net Income to Adjusted Net Income (unaudited)**

**(In thousands, except share and per share data)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three month period ended June 30,** | **Three month period ended June 30,** | **Six month period ended June 30,** | **Six month period ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| **Net income** | $25954 | $24338 | $26102 | $15986 |
| Adjustments: |  |  |  |  |
| Stock based compensation | 1554 | 2478 | 3704 | 2833 |
| Debt modification expense |  |  | 176 |  |
| Loss on extinguishment of debt |  |  | 156 |  |
| Impairment charges (1) |  |  |  | 1224 |
| Adjustments on derivative not classified as hedge (2) |  | (115) |  | (287) |
| Other charges (3) | 119 | 560 | 371 | 1589 |
| Tax effect on adjustments | (418) | (731) | (1102) | (1340) |
| **Adjusted net income** | $27209 | $26530 | $29407 | $20005 |
| Weighted average basic common shares outstanding | 23131151 | 23094047 | 23126379 | 23051708 |
| Weighted average common shares outstanding assuming dilution | 23674029 | 23094047 | 23668491 | 23051708 |
| Adjusted earnings per common share - dilutive | $1.14 | $1.11 | $1.23 | $0.83 |
| **GAAP diluted earnings per share** | $1.09 | $1.02 | $1.09 | $0.66 |
| Adjustments net of income taxes: |  |  |  |  |
| Stock based compensation | 0.05 | 0.08 | 0.11 | 0.09 |
| Debt modification expense |  |  | 0.01 |  |
| Loss on extinguishment of debt |  |  | 0.01 |  |
| Impairment charges (1) |  |  |  | 0.04 |
| Adjustments on derivative not classified as hedge (2) |  |  |  | (0.01) |
| Other charges (3) |  | 0.01 | 0.01 | 0.05 |
| **Adjusted diluted earnings per share** | $1.14 | $1.11 | $1.23 | $0.83 |

---

(1) Reflects impairment charges taken on certain internally developed software in the six months ended June 30, 2024.

(2) Reflects non-cash mark-to-market and amortization adjustments on an interest rate swap not classified as a hedge for the periods presented.

(3) Reflects unrelated legal, severance, restructuring, and consulting fees, and write downs of property, plant and equipment for the periods presented.

**Douglas Dynamics, Inc.**

**Free Cash Flow reconciliation (unaudited)**

**(In thousands)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three month period ended June 30,** | **Three month period ended June 30,** | **Six month period ended June 30,** | **Six month period ended June 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| Net cash provided by (used in) operating activities | $(11384) | $2507 | $(12721) | $(19114) |
| Net cash used in investing activities | (2965) | (1423) | (5126) | (2751) |
| Free cash flow | $(14349) | $1084 | $(17847) | $(21865) |

---