Record first quarter net income and earnings per share up over 12% from the prior first quarter on a GAAP basis and up nearly 3% on an adjusted basis.
First quarter sales down 1% from the prior year first quarter.
First quarter cash flows reflected working capital needs driven by high order backlog and a record order backlog of $453 million, up 95% over the prior year quarter and up nearly 28% since year-end 2020.
First quarter 2021 net sales of $311.2 million were 1% lower than the prior year first quarter.
Industrial division first quarter 2021 net sales of $211.9 million represented a 7.9% decrease from the prior year first quarter due to pandemic-related impact on customer demand and disruptions to our supply chain and operations.
Agricultural division first quarter 2021 sales were $99.3 million up 17.5% from the prior year first quarter.
Net income for the first quarter 2021 was $17.5 million or $1.47 per diluted share, up over 12% from the prior year first quarter.
Excluding the Morbark inventory step-up expense from the prior year result, first quarter net income was up 2.9% over the adjusted prior year result.
Operating income for the first quarter 2021 was $25.4 million or 8.2% of net sales, which is up from $23.9 million or 7.6% of net sales in the prior year period but essentially flat to the adjusted prior year result that excludes the $2 million of Morbark inventory step-up expense.
Gross margin for the first quarter of 2021 was $76.4 million or 24.6% of net sales compared to $78.9 million or 25.1% of net sales in the prior year first quarter.
Excluding the Morbark inventory step-up expenses, the prior year first quarter gross margin was $80.9 million or 25.7% of net sales.
First quarter 2021 EBITDA was $36.7 million, down slightly from the prior year first quarter adjusted EBITDA.
Trailing 12-month EBITDA was $145 million was essentially flat to adjusted 2020 EBITDA.
First quarter 2021 EBITDA was 11.8% of net sales, which is also flat to the prior year first quarter adjusted results.
During the first quarter 2021, we saw an $8.6 million net use of cash for operating activities compared to a $5.6 million net provision of cash from operations in the prior year first quarter.
We ended the first quarter with a record $453 million in order backlog, an increase of 95% since the prior year first quarter and nearly 28% higher than year-end 2020.
To recap our first quarter 2021 results, record first quarter net income and earnings per share, up over 12% from the prior first quarter on a GAAP basis and up nearly 3% on an adjusted basis.
First quarter sales down 1% from the prior year quarter.
And a record order backlog of $453 million, up 95% over the prior year first quarter and up nearly 28% since year-end 2020.
Like I said, I think if we didn't have quite as many supply chain issues, our sales would have been a record for the first quarter instead of being down 1%.
And it's good to see that in general, business is returning to more normal levels of activity, among other things, including things such as our acquisition activities, which were definitely curtailed for most of the last 12 months.

Summary:
First quarter 2021 net sales of $311.2 million were 1% lower than the prior year first quarter.
Net income for the first quarter 2021 was $17.5 million or $1.47 per diluted share, up over 12% from the prior year first quarter.