ALTG

Alta is an industrial-equipment dealer caught at the bottom of a cycle, and the FY2025 numbers show the strain running deeper than a soft top line. Revenue slipped 2.2% to $1.84B and net income deteriorated to -$80.3M (from -$62.1M), pushing accumulated deficit to -$236M and — critically — stockholders' equity to -$8.8M. Book equity is negative: total liabilities of $1.35B now exceed total assets of $1.34B, which is why the liabilities/equity ratio is a meaningless -152.85x. With only $18.6M of cash against ~$496M of debt ($485M long-term + $11M current) and $134M of annual D&A, this is a business whose entire equity value sits behind a large, interest-heavy debt stack.

The operating engine isn't broken — operating income actually rose 24.7% to $23.2M and gross margin held at 25.9% — but at a 1.3% operating margin the gap between $23.2M of operating income and an $80.3M net loss is consumed by interest and other below-the-line costs, exactly what you'd expect from a thin-margin distributor carrying this much leverage. Operating cash flow fell 42% to $33.0M, and management is harvesting rather than reinvesting: capex was cut 40% to $9.2M and they pulled $84.3M of gross cost out of the rental fleet and $51.5M out of new-equipment inventory. That discipline improves near-term cash and asset efficiency but also signals a company defending its balance sheet, not growing.