Albany International Q1 2025 Earnings Report

Albany International EPS Results

• Actual EPS: $0.73
• Consensus EPS: $0.58
• Beat/Miss: Beat by +$0.15
• One Year Ago EPS: $0.90

Albany International Revenue Results

• Actual Revenue: $288.77 million
• Expected Revenue: $300.74 million
• Beat/Miss: Missed by -$11.97 million
• YoY Revenue Growth: -7.80%

Albany International Announcement Details

• Quarter: Q1 2025
• Date: 4/30/2025
• Time: After Market Closes
• Conference Call Date: Thursday, May 1, 2025
• Conference Call Time: 9:00AM ET

Albany International (NYSE:AIN), together with its subsidiaries, engages in the machine clothing and engineered composites businesses. The company operates in two segments, Machine Clothing (MC) and Albany Engineered Composites (AEC). The MC segment designs, manufactures, and markets paper machine clothing for use in the manufacturing of papers, paperboards, tissues, towels, pulps, nonwovens, building products, tannery, and textiles, as well as fiber cement and several other industrial applications. This segment offers paper machine clothing forming, pressing, and drying fabrics, as well as engineered processing belts; and engineered fabrics. The AEC segment 3D-woven and injected composite components for aircraft engines composite airframe and engine components for military and commercial aircraft. It operates in the United States, Switzerland, France, Brazil, China, Mexico, Germany, and internationally. The company was incorporated in 1895 and is headquartered in Rochester, New Hampshire.

Albany International Q1 2025 Earnings Call Transcript

Key Takeaways

• Q1 2025 results: Revenues were $289 million with a 19.3% adjusted EBITDA margin and adjusted EPS of $0.73, free cash flow ahead of plan, and $69 million in share repurchases.
• Machine Clothing segment: Delivered $175 million in sales and a 28.4% adjusted EBITDA margin, supported by strong packaging demand and a robust order backlog.
• Heimbach integration: On track with facility rationalizations in EMEA and North America, expecting synergy run-rates to accelerate in H2 and meet original targets.
• Engineered Composites segment: Recorded $114 million in revenue and a 13.5% adjusted EBITDA margin, benefited from lower EAC adjustments, and ended the quarter with a $1.3 billion backlog and new wins with Bell and JASSM.
• Tariff impact: Currently negligible due to regional supply chains and trade treaties, with management monitoring evolving tariff dynamics and second-order effects.

Presentation

[Operator]

Thank you for standing by. My name is Pam, and I will be your conference operator today. At this time, I would like to welcome everyone to the Albany International First Quarter twenty twenty five Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer Thank you.

[Operator]

I would now like to turn the conference over to Jaycee Chetnani, VP, Investor Relations and Treasurer. You may begin.

[JC Chetnani, VP - Investor Relations & Treasurer at Albany International]

Thank you, Pam, and good morning, everyone. Welcome to Albany International's first quarter twenty twenty five earnings conference call. As a reminder, for those listening on the call, please refer to our press release issued last night detailing our quarterly financial results. Contained in the text of the release is a notice regarding our forward looking statements and the use of certain non GAAP financial measures and their reconciliation to GAAP. For the purposes of this conference call, those same statements apply to our verbal remarks this morning.

[JC Chetnani, VP - Investor Relations & Treasurer at Albany International]

Today, will make statements that are forward looking and contain a number of risks and uncertainties, which could cause actual results to differ from those expressed or implied. For a full discussion of these risks and uncertainties, please refer to both our earnings release of 04/30/2025, as well as our SEC filings, including our first quarter Form 10 Q and our 2024 Form 10 ks. Now I will turn the call over to Gennar Cleveland, our President and CEO, who will provide opening remarks. Gennar?

[Gunnar Kleveland, President & CEO at Albany International]

Thank you, J. C. And thank you for joining us as we review our first quarter twenty twenty five results. Overall, I'm pleased to report that our businesses are executing to the plan that we laid out at the start of this transition year. Our new business segment leaders are performing well and they restructure as they restructure and strengthen their respective operations.

[Gunnar Kleveland, President & CEO at Albany International]

While we see uncertainty in the markets, we were not affected by tariffs or other disruptions in the first quarter. Due to our mostly regional setup for both suppliers and customers, the overall direct impact of tariffs as they currently stand is not expected to materially impact our financial or operational performance. Machine clothing continues to deliver consistent strong results and the integration of Heimbach is proceeding to plan. We expect to see the benefits of the Heimbach integration efforts accelerate into the second half of this year as our actions take effect. AEC is executing well on its current portfolio programs and the segment continues to win new business.

[Gunnar Kleveland, President & CEO at Albany International]

The team is making progress on process improvements on our CH-fifty three ks and Gulfstream programs, and we had lower EAC adjustments in the quarter, which we will discuss in more detail later. For the quarter, we reported revenues of $289,000,000 and overall adjusted EBITDA margin of 19.3% and an adjusted diluted EPS of $0.73 Free cash flow was ahead of plan and we expect 2025 to be another strong free cash flow year. We returned capital to our shareholders with both a regular quarterly dividend and our reinitiated share repurchase program. In the first quarter, we repurchased $69,000,000 worth of shares. We currently have $193,000,000 of capacity remaining under our latest share repurchase authorization of $250,000,000.

[Gunnar Kleveland, President & CEO at Albany International]

Turning to our individual businesses. For the quarter, machine clothing reported revenues of $175,000,000 and an adjusted EBITDA margin of 28.4%. In terms of grades, secular trends in packaging remained strong. Tissue, pulp and engineered fabrics remained stable. North America had a slight decline in deliveries in the first quarter, but strong order flow shows strength in the market.

[Gunnar Kleveland, President & CEO at Albany International]

Europe is showing signs of recovery, with good deliveries and strong orders making us cautiously optimistic for the region. Finally, Asia is mixed with some weakness in China. Our global empty order backlog is strong with order to sales ratio above one, giving us confidence in our outlook for the year. At Heimbach, we continue to make good progress on our integration plans, which is focused on footprint rationalization and operational efficiency. As a reminder, since the acquisition, we have closed two Albany facilities, sold one Hamburg business, and closed two Hamburg facilities.

[Gunnar Kleveland, President & CEO at Albany International]

We have also restructured operations at the remaining Hamburg facilities in Durham, Manchester, Burgos, and Zosier. These consolidation activities are strengthening our operational and production efficiencies and enhancing the regionalization of our business. The synergy benefits of these actions accrue over time. We expect the run rate on our synergies to be particularly strong as we exit 2025. And we remain confident of hitting our original synergy targets with a 3.5 to four times effective purchase multiple.

[Gunnar Kleveland, President & CEO at Albany International]

Turning to tariffs, we're monitoring and assessing the fluctuation in the tariff landscape as they occur. Our current view is based on tariffs as they currently stand. The situation is dynamic and our teams are vigilantly addressing both challenges and opportunities, and we continue to adapt as the situation develops. As it relates specifically to our MC business, it should be noted that most of our sales and sourcing is regional and therefore generally insulated from tariffs. For example, in North America, the transaction among our facilities in Mexico, U.

[Gunnar Kleveland, President & CEO at Albany International]

S. And Canada are covered by the USMCA. With the acquisition of Heimbach, our EMEA sales and supply chain is strengthened regionally by local trade treaties. Finally, in Asia, we're also supplying our customers from within the region. However, we have some potential exposure to sole source supplied materials and certain highly engineered products manufactured by us only in The US or The UK.

[Gunnar Kleveland, President & CEO at Albany International]

To mitigate any impact, we are assessing and using trade mechanisms, looking at cost controls, as well as considering other actions. Turning to our Engineered Composites segment. Revenues for the quarter were $114,000,000 with an adjusted EBITDA margin of 13.5%. We keep making progress in our AEC operations, and we recorded a total EAC adjustments of $7,000,000 for the quarter. Half of this is driven by CH-fifty three ks and Gulfstream, with a balance across a mix of programs.

[Gunnar Kleveland, President & CEO at Albany International]

The frontline leader coaching, operator training, and progress in planning and supply chain are driving the expected improvements, as well as setting the sites up for the future growth. On LEAP, as you may recall, last quarter we took a conservative approach as we projected lower volumes both at LEAP, as well as our other Boeing programs. The drop in revenue in the first quarter is in line with our forecast. We stand ready to meet Safran's production schedule as the demand at Boeing and Airbus recovers and have ample capacity to meet any upside to the demand. With respect to our other programs, we're seeing growth in advanced air mobility with expected ramp to build through the course of 2025.

[Gunnar Kleveland, President & CEO at Albany International]

On new program wins, we recently announced a long term agreement with Bell on the five to five program. For JASSM, we added to our current backlog and are working on a new multiyear contract. As these awards translate into purchase orders, they will be added to our existing AEC backlog, which at quarter end was 1,300,000,000.0 As a reminder, this is backlog that does not include lead volumes beyond the current calendar year, and only relates to our other AEC platforms. This backlog provides us with visibility and confidence into our business performance in 2025 and beyond. Finally, as it relates to tariffs for AEC, our sourcing and production in Mexico, Canada, and USA is again currently protected under the USMCA.

[Gunnar Kleveland, President & CEO at Albany International]

The direct impact of our earnings from tariffs at AEC is currently expected to be negligible. We're tracking how second order tariff impacts play out, particularly from suppliers as they may be impacted in their own value chain. Similarly, we are monitoring the impact of demand at our end customers. At this point, we are not aware of any changes from our customers or suppliers. If we begin to see impacts, we have assessed and prepared mitigating actions, and we will address these challenges as needed.

[Gunnar Kleveland, President & CEO at Albany International]

In the current macro and geopolitical environment, we believe the ongoing titanium shortages and extended lead times will continue. This creates even more opportunity for our engineered materials, especially in three d woven composite parts, which can be a superior alternative to titanium in terms of strength, weight, and cost. As our product offering gains more acceptance among our customers, our competitive advantage will be a catalyst for additional long term growth. We have proven our industrialization of this technology with the Leaf fan blade and case, triple 79 x fan case, well as parts for landing gears. Our solution can be delivered at a fraction of the lead time with readily available materials and a production capacity proven to deliver 100% on time, which is in stark contrast to the current and historical titanium supply issues.

[Gunnar Kleveland, President & CEO at Albany International]

Finally, we continue to streamline our operations and are upgrading our SAP system with S4HANA across the entire company with a go live schedule for next week. This will improve our systems and operational efficiencies and deliver enhanced analytics to improve our business agility. With that, I will now hand it over to Rob to provide more details on the quarter. Rob?

[Robert Starr, EVP & CFO at Albany International]

Good morning, everyone. I will review our first quarter results and then provide our outlook for 2025. As a reminder, please note that starting last year, we allocated our GIS cost to our operating segments to better reflect their true underlying performance. Consolidated net sales were in line with our plan at $289,000,000 down 7.8% from $313,000,000 in the first quarter of last year. Machine Clothing net sales of $175,000,000 decreased 5.7% versus the first quarter of the prior year due to targeted product line divestitures and lower sales to a large time bought customer.

[Robert Starr, EVP & CFO at Albany International]

AEC net sales of $114,000,000 were lower by 11% versus the first quarter of twenty twenty four, primarily due to a $7,000,000 negative top line impact from the EAC adjustments during the quarter. This was coupled with lower lead sales as well as expected. We were able to partially offset the sales decline with growth in our advanced air mobility and CA-fifty three ks platforms. Consolidated gross profit was 96,000,000 or 33.4% of sales, down from $109,000,000 in the prior year or 34.7% of sales. Machine Clothing gross profit of $80,000,000 decreased from $85,000,000 in the prior year, while gross margin percentages remain constant at 45.7.

[Robert Starr, EVP & CFO at Albany International]

This performance reflects improved operating efficiencies as we continue with our integration efforts. AEC gross profit of $17,000,000 decreased by from 24,000,000 largely reflecting the impact of the cumulative EAC adjustment for the quarter. Of the $7,000,000 of EAC charges for the quarter, 2,000,000 related to the CH-fifty three ks program, dollars 1,700,000.0 related to Gulf stream with the balance spread across multiple other programs. Net R and D expense at 4% of revenue remained relatively flat in the first quarter versus the prior year. Our consistent investment in R and D underscores our strategy of using material science as a competitive advantage.

[Robert Starr, EVP & CFO at Albany International]

Consolidated SG and A expenses were $54,000,000 for the quarter, down slightly versus the $55,000,000 in the prior year. The effective tax rate for the quarter was 26.6 versus 29.2%, excuse me, in the prior year. The lower rate is mainly due to favorable discrete tax adjustments, primarily related to a decrease in our valuation allowance on foreign tax credits. GAAP net income attributable to the company for the quarter was $17,000,000 compared to $27,000,000 last year. GAAP diluted EPS was $0.56 per share in the quarter versus $0.87 in the same period last year.

[Robert Starr, EVP & CFO at Albany International]

After adjustments primarily relating to FX revaluation and restructuring costs as detailed in our non GAAP reconciliation, the adjusted diluted EPS was $0.73 versus $0.90 in the same period last year. Consolidated adjusted EBITDA was $56,000,000 for the first quarter versus $65,000,000 in the prior year period. Machine Clothing adjusted EBITDA was $50,000,000 versus $52,000,000 in the prior year. Adjusted EBITDA margin was up slightly to 28.4% versus 28.2% prior year, reflecting improved operational efficiencies. AEC adjusted EBITDA was $15,000,000 as compared to $21,000,000 in the prior year period, largely reflecting the effect of the EAC adjustments.

[Robert Starr, EVP & CFO at Albany International]

Adjusted EBITDA margin at AEC was 13.5% of sales versus 16.6% in the prior year. Once again, reflecting the current period EAC cumulative catch up adjustments, as well as the effect of EAC charges, which were recorded in the second half of last year. During the quarter, cash flow was negative $13,000,000 versus negative $17,000,000 in the prior year. We remain on track to deliver another strong cash flow performance this year. Our balance sheet remains strong with a cash balance of over $119,000,000 and $384,000,000 of borrowing capacity under our committed credit facility.

[Robert Starr, EVP & CFO at Albany International]

Based on our analysis of tariff impacts and given our first quarter's performance, which was in line with our plan, we are reaffirming our full year guide. In terms of earnings cadence, we still expect the second half to be stronger than the first half due to the ramp at AEC combined with the acceleration of Heimbach synergies. Now I'd like to open the call for questions. Operator?

[Operator]

Thank you. We'll now begin the question and answer session. You have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and join the queue. If you would like to withdraw your question, simply press star 1 again. If you are called upon to ask your question and are listening via loudspeaker on your device, please pick up your handset and ensure that your phone is not on mute when asking your question.

[Operator]

And your first question comes from the line of Peter Arment with Baird. Go ahead.

[Peter Arment, Senior Research Analyst at Robert W. Baird & Co]

Yes. Good morning, Gunnar, Rob, JC. Hey, Gunnar. You talked about kind of the ability to kind of step up for to meet Safran's schedule if rates increase. Could you just kind of remind us, I know that there was probably some inventory that they were burning through, but where things stand regarding LEAP and kind of how things are progressing there?

[Gunnar Kleveland, President & CEO at Albany International]

Good morning, Peter. And right now, you know, is some, use of inventory. We expect to be, and as I've mentioned before, we have a requirement to sit on certain inventory for Safran. So as we get through this first half of the year, we expect to be at that level, and we are monitoring how they're pulling, we're continuing to meet with them regularly. So I would say there is upside to the back half of the year, the way it is looking right now, but as of now, we're staying with the plan.

[Peter Arment, Senior Research Analyst at Robert W. Baird & Co]

Got it. And then just, you mentioned the other programs, the $1,300,000,000 backlog that talks to the rest of the programs and mix. Just wondering you're seeing about new opportunities in terms of I know there's probably a lot you can't talk about in terms of the classified world, whether it's hypersonics or other things, but there is a lot of funding dollars coming through the supplemental and other areas. Are you seeing new opportunities to grow that backlog?

[Gunnar Kleveland, President & CEO at Albany International]

I definitely am seeing opportunities, and we have the benefit actually now picking and choosing a little bit what we want to go after. Our focus is on our technology, whether it's three d woven, braiding, or other capacities that we have, and where we are competitive, have a competitive advantage, but there's definitely opportunity out there. I would say the opportunity is in space, and in some of the missile programs, as well as ramp up now across both Boeing and Airbus engines is a priority.

[Peter Arment, Senior Research Analyst at Robert W. Baird & Co]

That's helpful. And just lastly, just maybe on lower EACs this quarter, maybe just CH-fifty three ks is such a huge program for you guys, maybe just give a little bit more color on how that program is going. Thanks.

[Gunnar Kleveland, President & CEO at Albany International]

Yeah, our plan is working, Peter. The team is progressing, we have the right people in place, we still have to hire more people, which always introduce some risk, but I would say we are better at onboarding, we're better at training, and we have better frontline leadership people, and so I'm optimistic about continued improvement on the CH-fifty three ks. We also closed out several programs in the first quarter, which was part of the ESE adjustment. So as new programs are coming on, we're well situated, well prepared. So very positive.

[Peter Arment, Senior Research Analyst at Robert W. Baird & Co]

Appreciate the color. I'll jump back in queue. Thanks guys.

[Gunnar Kleveland, President & CEO at Albany International]

Thanks.

[Operator]

Your next question comes from Michael Ciarmoli with Truist Securities. Please go ahead.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Hey, good morning, guys. Thanks for taking the questions. Hey, Michael. Maybe, Ganar or Rob, just to stay with Peter's last or the last line of questioning there on new programs. Can you give us more color on this seven year contract with Bell?

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

And I mean, I guess just thinking of it specifically from a risk or margin profile, we've kind of all been conditioned, think, to think that structures are challenging business, you know, how do we get comfortable with what you're potentially going to be working on and delivering there?

[Gunnar Kleveland, President & CEO at Albany International]

Yeah. So I'm very excited that we do have a contract with Bell now. We've been working with them. It's a situation where one of their suppliers failed, which is we've seen before, and we took on some rather complex parts from on the five to five tail boom specific. So I would say it's an opportunity for us to show our capability.

[Gunnar Kleveland, President & CEO at Albany International]

Those parts are in our Boerne facility right now, and we're delivering, and supporting Bell as they're ramping up on the 05/25. I believe in the five twenty five program, I think it's a good program going forward, but it's really a catalyst to get us in with Bell and show our capabilities, and see what else we can do for them. As far as, you know, returns, since we do have a choice of the work that is coming towards us, we are being picky about the work that we're taking, and we're getting the returns that we have projected in the high teens for AEC.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Okay, okay. Just, yeah, I guess the last time we saw you, you just said you took over from a challenged supplier, I guess that was the Gulf Stream and proved to be a little bit risky. Okay, I guess just sticking with AEC and kind of trying to dig a little deeper. What were LEAP revenues or what was the growth year over year? I mean, so you've got GE and Safran talking about 15% to 20% increase this year, but it sounds like there will be continued destock as they manage that inventory.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

I mean, you changed your view at all from being down slightly for the year? Or how should we think about LEAP?

[Gunnar Kleveland, President & CEO at Albany International]

Let me address the supplier first with Bell. They chose to get out of the business, so that's why Bell was in trouble. These are much simpler composite parts than what we have with Gulfstream. So we've already made delivery of all the parts, so I'm not not worried there. But they're complex parts because we we are good at complex parts.

[Gunnar Kleveland, President & CEO at Albany International]

As far as LEAP is concerned right now, we're we're keeping the plan for the year, but as I mentioned to Peter earlier, I think there's upside for the year. It's very positive to see where Boeing is at their ramp up on July, and with Airbus. So as the year progresses, we will incrementally grow our output with the demand.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Okay, do you have the LEAP revenue number for the quarter?

[Robert Starr, EVP & CFO at Albany International]

Yeah, we haven't disclosed that specifically. But Michael, if look in the Q, there's a reference to the percentage of revenue. I'm not

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Okay.

[Robert Starr, EVP & CFO at Albany International]

But I mean, I would expect Q1 to be pretty much the low point for the year just based on the full year projection.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Okay, got it.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

And then just last one for me and I'll get out of the way. Just shifting to MC. I guess Heimbeck coming on a couple of years and I think the original plan was to take EBITDA from kind of that 15,000,000 to $16,000,000 and maybe triple it, the margins down in MC this year. Is that still the trajectory for the overall integration you're working on? Should we be thinking about kind of those Heimbach EBITDA margins getting to that $45,000,000 plus rate?

[Gunnar Kleveland, President & CEO at Albany International]

I think what you should expect on Eimbach, or what you see right now is an effect of all of the actions that we're taking, and I did repeat that just to remind us and everybody that we're taking significant actions to densify our operations and make our efficiencies better, and as we're doing that, there is some challenges with all the moving parts, and so you're not seeing it right now, but you'll see it accelerate through the year, And so, yes, we're confident that we will continue to see that growth.

[Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities]

Okay, perfect, thanks guys.

[Operator]

Your next question comes from Jordan Lyonans with Bank of America. Please go ahead.

[Jordan Lyonnais, Equity Research Associate at Bank of America]

Hey, good morning.

[Gunnar Kleveland, President & CEO at Albany International]

Good morning.

[Robert Starr, EVP & CFO at Albany International]

Good morning, Jordan.

[Jordan Lyonnais, Equity Research Associate at Bank of America]

Could you talk about how you're looking at the ramp for 07/2008 and then 777X going into the rest of the year?

[Gunnar Kleveland, President & CEO at Albany International]

So July, we believe to be just growing very, very slowly through the year, and then accelerating next year. So we have a relatively, I would say cautious outlook for July for this next year. July, it's all about the certification, and we're building parts to support that certification.

[Jordan Lyonnais, Equity Research Associate at Bank of America]

Cool. And then on the tariff impacts, for the direct one, I know you guys said you were mitigated. Were you guys looking at the second derivative impacts?

[Gunnar Kleveland, President & CEO at Albany International]

Yeah, we're listening to the, you know, international paper, we're looking at listening to whether it's GE or Safran or Boeing. We're gonna have to monitor that, and also see what happens with the tariff landscape as it seems to change every week. So right now, it is looking relatively flat for us.

[Jordan Lyonnais, Equity Research Associate at Bank of America]

Got it. Thank you so much.

[Gunnar Kleveland, President & CEO at Albany International]

Sure.

[Robert Starr, EVP & CFO at Albany International]

Thanks, Jordan.

[Operator]

Your next question comes from Steve Tusa with JPMorgan. Please go ahead.

[Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co]

Hi, this is Jigusa Kotoko on for Steve. Thanks for taking my question. So I'm guessing I'm ask on the MC side. I think the organic growth was maybe worse than expected and you kept the full year guidance, so it embeds like an acceleration through the year on tougher comps than an uncertain macro. But what just gives you confidence on this?

[Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co]

And just any color on what you're seeing in the macro?

[Gunnar Kleveland, President & CEO at Albany International]

Yeah. The so, Shagusa, I have to also remind you that it is down because of divestitures, both of of the of a company that we the Arcari that we sold in Italy, as well as, some lines that we that we stopped because of poor poor economics, just simple as that. We're we're a little below organically, in the first quarter, but our backlog and our orders are very strong, so with the current outlook, you know, second and third quarter is looking healthy.

[Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co]

Okay, great. And then, did you see any signs of pull forward orders during the quarter, or is it hard to tell?

[Gunnar Kleveland, President & CEO at Albany International]

No, we have seen no pulled orders.

[Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co]

Okay, great. Thank you.

[Gunnar Kleveland, President & CEO at Albany International]

Pulled forward or pulled? Either. Oh, pulled forward. Haven't seen any of that. Now, you know, I mentioned that we do make some MC product here in The US that goes to the whole world, so we're monitoring that.

[Gunnar Kleveland, President & CEO at Albany International]

The volume is relatively low outside US and Europe.

[Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co]

Okay, great, thanks.

[Operator]

There are no more questions. I will now turn the conference back over to Connor Cleveland for closing remarks.

[Gunnar Kleveland, President & CEO at Albany International]

Okay. Thank you everyone for joining us on the call today. We appreciate your continued interest in Albany International. Thank you and have a good day.

[Operator]

Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.

Participants

Executives

• JC Chetnani, VP - Investor Relations & Treasurer
• Gunnar Kleveland, President & CEO
• Robert Starr, EVP & CFO

Analysts

• Peter Arment, Senior Research Analyst at Robert W. Baird & Co
• Michael Ciarmoli, Managing Director - Aerospace & Defense Equity Research at Truist Securities
• Jordan Lyonnais, Equity Research Associate at Bank of America
• Chigusa Katoku, Vice President, Equity Research at JP Morgan Chase & Co