Stonegate Capital Partners has initiated coverage on Aebi Schmidt Holding AG (NASDAQ: AEBI), a provider of smart infrastructure solutions for winter maintenance, cleaning, and industrial applications. The coverage comes after AEBI's first-quarter 2026 results, which showed muted sales but strong underlying demand signals.
Reported sales for the first quarter were $456 million, roughly flat on a combined basis, while like-for-like sales increased 7% excluding Blue Arc. The quarter followed AEBI's normal seasonal cadence, with order intake up 9% to $508 million and backlog reaching $1.26 billion, up 23% year-over-year. Management expects backlog conversion to become more visible in the second quarter and through the second half of 2026, particularly in North America walk-in vans.
Adjusted EBITDA increased 6% to $33.1 million, with margin up 40 basis points to 7.3%, driven by Europe margin improvement while North America absorbed ramp costs ahead of expected conversion. The company's North America segment remains the primary post-Shyft value driver, supported by walk-in van conversion, throughput gains, and aftermarket mix expansion.
Key takeaways from the coverage include that the first-quarter softness reflects revenue timing, not demand erosion, with comparable sales up 7%, orders up 9%, and backlog at $1.26 billion. Execution is centered on converting backlog into EBITDA, working capital release, and leverage reduction toward management's ≤2.0x year-end target.
For more details, view the full announcement here. Stonegate Capital Partners is a leading capital markets advisory firm providing investor relations, equity research, and institutional investor outreach services for public companies. Its affiliate, Stonegate Capital Markets (member FINRA), provides investment banking, equity research, and capital raising services.
