Ampco-Pittsburgh (AP) Sidoti Micro-Cap Virtual Investor Conference summary

Strategic reset and business overview

• Completed a business reset in 2025, eliminating unprofitable assets and closing the U.K. roll facility, resulting in an annualized $7–$8 million EBITDA improvement.

• Focused on multi-year earnings growth, balance sheet improvement, and operational efficiencies.

• Two main segments: Forged and Cast Engineered Products (market leader in rolling mill rolls) and Air and Liquid Processing (heat exchangers, pumps for nuclear, Navy, and industrial markets).

• 2024 revenue exceeded $400 million, with approximately 1,500 employees and leading market share in multiple niches.

• Growth strategy centers on leveraging operational improvements and capitalizing on favorable market trends in North America and Europe.

Forged and Cast Engineered Products segment

• Supplies consumable rolling mill rolls to major steel and aluminum producers, with a strong presence in North America and Europe.

• Benefits from high barriers to entry, modernized U.S. assets, and favorable tariff environments in both the U.S. and Europe.

• Non-roll forged engineered products business has doubled due to increased tariffs on imports, supporting asset utilization.

• End markets are diverse and projected to grow 3–5% annually over the next five years, with high incremental margins.

• Competitor exits and increased tariffs in Europe are expected to boost demand by 10–15% and improve mill utilization rates.

Air and Liquid Processing segment

• Comprises Aerofin (heat exchangers), Buffalo Air Handling (custom air units), and Buffalo Pumps (centrifugal pumps for Navy and power generation).

• All three businesses have grown significantly, maintaining roughly equal size, with 55% revenue growth over the last three years.

• Long-term supplier to the U.S. Navy, benefiting from $9 million in Navy investment for facility modernization and strong aftermarket opportunities.

• Entrenched in the nuclear market, supplying over 90% of North American nuclear plants and targeting growth in small modular reactors.

• AI data center growth is driving increased demand for gas turbines, positively impacting the pump business.