Albany International Reports $1.23 Billion Revenue for Fiscal Year 2024, Driven by Machine Clothing Segment

Albany International Corp. reported a total net revenue of $1.23 billion for the fiscal year ending December 31, 2024, marking a 7.2% increase from $1.15 billion in 2023. The growth was primarily driven by the Machine Clothing (MC) segment, which generated $749.9 million in revenue, up 11.8% from the previous year, largely due to the acquisition of Heimbach GmbH and improved performance in tissue and engineered fabrics. The Albany Engineered Composites (AEC) segment saw a modest revenue increase of 0.7%, totaling $480.7 million, attributed to growth in certain commercial and space programs, despite lower revenues from key aerospace programs.

The company's gross profit for 2024 was $401.8 million, down from $423.7 million in 2023, with a gross profit margin of 32.6%. The decline in gross profit was largely due to increased cost assumptions affecting the profitability of long-term contracts in the AEC segment, which resulted in a $43.2 million reduction in gross profit. The MC segment's gross profit margin also decreased from 49.4% to 46.1%, primarily due to lower margins at Heimbach. Selling, general, and administrative expenses decreased slightly to $210.9 million, reflecting a focus on cost control.

Strategically, Albany International completed the acquisition of Heimbach in August 2023, enhancing its scale and technology in the MC segment. The integration process is ongoing, with efforts to harmonize operations and leverage best practices. The company also launched a New Business Ventures team aimed at exploring innovative products and business opportunities adjacent to its current portfolio, although significant revenue growth from these initiatives is not expected until 2027.

Operationally, Albany International employed approximately 5,400 people globally as of December 31, 2024. The company continues to face challenges related to supply chain disruptions and inflationary pressures, which have increased costs across both segments. The MC segment's backlog remains stable, while the AEC segment's backlog was reported at $1.4 billion, indicating a strong pipeline of future work. The company anticipates a modest recovery in the MC segment's performance in Europe by late 2025, although uncertainties remain regarding the recovery in China.

Looking ahead, Albany International expects to improve earnings through cost controls and productivity efficiencies, despite ongoing pricing pressures in all markets. The company remains committed to its strategic initiatives and is focused on maintaining its cash-generating potential while navigating the complexities of the current economic environment.