Here are a couple of analogies for Allient:

• Allient is like a specialized Parker Hannifin, providing precision motion control components and systems to various industries.
• Allient is like the Rockwell Automation or Siemens of precision motion, supplying the critical motors and control systems that enable machines to move precisely.

• DC Motors (Brushed and Brushless): Electric motors that convert electrical energy into mechanical energy, distinguished by their commutation method (mechanical brushes or electronic).
• Stepper Motors: Motors that move in precise, discrete steps, used for accurate positional control without complex feedback systems.
• Servo Motors: High-performance motors used in closed-loop systems for precise control of position, velocity, and acceleration.
• Linear Motors: Motors that directly generate linear motion, eliminating the need for rotary-to-linear conversion mechanisms.
• Gearmotors: Integrated units that combine an electric motor with a gearbox to achieve specific output speeds and increased torque.
• Drives and Motion Controllers: Electronic devices and systems that regulate and coordinate the operation, speed, and position of motors.
• Integrated Motion Control Solutions: Custom-engineered assemblies and systems combining motors, drives, and other components for specific applications.

Allient (ALNT) primarily sells its precision and specialty motion control components and systems to other companies (Business-to-Business, B2B).

According to Allient's public disclosures, no single customer accounted for 10% or more of the company's net sales for the year ended December 31, 2023. Therefore, specific "major customer companies" with identifiable names are not publicly disclosed.

However, Allient serves a diverse customer base across several key market segments, which represent the types of companies that are its primary customers. These segments include:

• Aerospace & Defense: Customers are manufacturers of aircraft, spacecraft, missile systems, and defense equipment requiring precision motion control.
• Medical: Companies developing and manufacturing medical devices, diagnostic equipment, surgical robotics, and patient mobility solutions.
• Vehicle (Specialty): Manufacturers of specialty electric vehicles, autonomous mobile robots (AMRs), automated guided vehicles (AGVs), and other non-consumer automotive applications.
• Industrial & Commercial: This broad category includes original equipment manufacturers (OEMs) in industrial automation, robotics, material handling, semiconductor equipment, machine tools, access control systems, and general commercial equipment.

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Richard S. Warzala, Chairman of the Board, President and CEO

Richard S. Warzala has served as Allient's CEO since May 2002, demonstrating a long tenure and significant leadership in the company's strategic direction. He has been instrumental in the company's growth, overseeing numerous acquisitions over the past eight years, which contributed to building the financial structure necessary for expansion.

James A. Michaud, Senior Vice President and Chief Financial Officer

James A. Michaud was appointed CFO of Allient, effective June 3, 2024. He brings over 25 years of financial leadership experience with multinational public and private companies, including private equity-backed firms. Prior to joining Allient, Mr. Michaud served as Senior Vice President and CFO of Elior North America, a subsidiary of Elior Group SA, since 2020. His previous roles include VP Global Business Services and Chief Accounting Officer for Delaware North, and senior finance positions at Armored Autogroup, Inc., Warnaco Group, Inc., and Honeywell International, Inc. He began his career in public accounting, including a senior manager role with Ernst & Young, LLP.

Steve Warzala, President of Allient Defense, Chief Growth Officer, Corporate Vice President

Steve Warzala holds the titles of President of Allient Defense, Chief Growth Officer, and Corporate Vice President at Allient.

Alex Collichio, General Counsel and Chief Administrative Officer

Alex Collichio serves as the General Counsel and Chief Administrative Officer for Allient.

Rob Mastromattei, Chief Commercial Officer and Group President

Rob Mastromattei is the Chief Commercial Officer and Group President at Allient. He co-founded Applimotion and Sierramotion Inc., a company specializing in custom mechatronic and motion component solutions. Sierramotion Inc. was acquired by Allient in 2023, enhancing the company's engineering capabilities.

The key risks to Allient's business (NASDAQ: ALNT) include persistent weakness in its key vehicle and industrial markets, significant supply chain vulnerabilities particularly concerning rare earth materials, and elevated leverage stemming from its acquisition strategy.

Allient faces ongoing challenges due to softness in its vehicle and industrial markets. Revenue in the vehicle market has experienced substantial declines, notably in powersports, and industrial automation sales have also slowed due to reduced demand and inventory resets. This heavy reliance on cyclical markets, combined with a weakening backlog, exposes Allient to revenue volatility and impacts its organic growth and overall sales.

The company is also exposed to notable supply chain risks, particularly regarding the availability and cost of specialized materials like rare earths. The potential for limitations on the supply of rare earth materials, especially from sources like China, presents a significant risk to Allient's operations. While Allient has been proactive in designing products to reduce reliance on heavy rare earths, this remains an area of concern.

Furthermore, Allient's financial stability is impacted by rising leverage, largely a result of its aggressive mergers and acquisitions strategy over the past decade. Although this strategy has contributed to sales growth, the increasing debt, coupled with persistent sales declines and a weakening backlog, raises concerns about the company's financial health. Interest payments are also noted as not being adequately covered by earnings, further highlighting financial risk.

Allient (ALNT) is strategically positioned for future revenue growth over the next 2-3 years through several key drivers:

1. Growth in High-Value End Markets: Allient is concentrating on markets with sustainable growth drivers, including electrification, automation, and digital infrastructure. This strategic alignment is particularly strong in data center applications, which have shown robust demand.
2. Expansion in Aerospace & Defense: The company has seen increased revenue from the aerospace and defense sector and has launched the Allient Defense Solutions (ADS) Business Unit to further expand its presence and deliver specialized solutions for land, air, and sea defense applications.
3. Strategic Shift to Higher-Margin, Specialty Applications and New Product Development: Allient is actively pivoting away from high-volume, commoditized applications, particularly in the vehicle market, towards specialty applications where it can leverage its expertise and develop custom-designed components and system solutions providing high torque, power density, and precise motion control. This includes investing in technology for higher-value solutions.
4. Operational Transformation and Efficiency Initiatives: Through programs like "Simplify to Accelerate NOW" and investments in facilities such as the Dothan fabrication center, Allient is enhancing operational efficiency and optimizing its production alignment. While these initiatives primarily drive margin expansion and cost savings, they also enable the company to allocate resources more effectively to strategic growth areas and bolster its competitiveness.

1. Share Repurchases
• As of December 31, 2023, Allient did not have an authorized stock repurchase plan in place.
• The number of shares outstanding decreased by 2.65% in one year.
2. Share Issuance
• Performance over the past two years was negatively impacted by new share issuances.
3. Outbound Investments
• Allient has made a total of 10 acquisitions, with peak activity in 2021 (3 acquisitions) and 2022 (2 acquisitions).
• Recent acquisitions include Sierramotion in September 2023, Spectrum Controls for $45 million in December 2021, and ALIO Industries for $20 million in November 2021.
• The SNC acquisition contributed to an increase in total debt to approximately $237 million.
4. Capital Expenditures
• Capital expenditures totaled $5.1 million for the first nine months of 2025, primarily supporting new customer projects.
• The company expects 2025 capital expenditures to range between $6.5 million and $8.5 million.
• Capital expenditures for the first nine months of 2024 were $6.9 million, and the full-year 2024 forecast was revised to $11 million to $15 million, focusing on high-potential projects.