1. Scotts Miracle-Gro for commercial farms, providing the pesticides, herbicides, and other crop protection products farmers need.

2. A specialized agricultural chemicals company, similar to a smaller Corteva or FMC.

• Insecticides: Chemical solutions designed to control insect pests that damage agricultural crops and other plants.
• Herbicides: Chemical products used to manage and control unwanted weeds in various agricultural and non-agricultural settings.
• Fungicides: Chemical agents employed to prevent and control fungal diseases affecting crops, turf, and ornamental plants.
• Soil Fumigants: Specialized chemicals applied to the soil to eliminate a broad range of pests, diseases, and weeds prior to planting.
• Nematicides: Chemical treatments specifically targeting and controlling plant-parasitic nematodes in agricultural soils.
• Turf & Ornamental Products: Solutions tailored for the management and health of non-crop areas such as golf courses, lawns, and nurseries.
• Public & Animal Health Products: Products aimed at protecting human and animal health by controlling pests and disease vectors in public and livestock environments.
• Precision Application Systems (e.g., SIMPAS): Advanced technological platforms enabling precise, variable-rate application of crop protection products directly into the soil.
• Biological Products: Environmentally friendly solutions derived from natural sources, used for pest control, disease management, and plant growth enhancement.

American Vanguard (AVD) primarily sells its agricultural and consumer products to other companies, making its business model predominantly Business-to-Business (B2B).

According to American Vanguard's 2023 Annual Report (10-K filing), the company sells its agricultural products principally to large distributors and cooperatives. These entities then resell the products to independent dealers, smaller regional distributors, and/or directly to growers. For its consumer products, AVD generally sells directly to major retailers or distributors of consumer products.

American Vanguard's financial filings indicate the presence of significant customers, but the company does not disclose the specific names of these major customers due to commercial confidentiality. However, it does provide the following information regarding their sales concentration:

• One major distributor (for both domestic and export sales) accounted for approximately 41% of American Vanguard's consolidated net sales for the year ended December 31, 2023.
• Another major distributor accounted for approximately 15% of American Vanguard's consolidated net sales for the year ended December 31, 2023.

While the specific names of these high-volume customers are not publicly disclosed by American Vanguard, they are generally large, established agricultural distributors or major retail chains for consumer products in the industry.

Douglas A. "Dak" Kaye III, Chief Executive Officer

Mr. Kaye joined American Vanguard in 2024 and became CEO in January 2025. Prior to this, he served in various senior leadership roles at Albaugh LLC, a global crop protection company, including President, North America, Group Chief Commercial Officer, and President of the European region for seven years. Before Albaugh, he was the CFO and a Director at a non-crop subsidiary of the crop protection company Adama, and Co-CEO at an international automotive logistics organization. He also previously worked at Arthur Andersen, LLP.

David T. Johnson, Vice President, Chief Financial Officer, Principal Accounting Officer and Treasurer

Mr. Johnson has served as CFO of American Vanguard since March 2008. Before joining American Vanguard, he was the Finance Director for Amcor Flexibles UK Ltd., a manufacturer of decorative packaging, from 2003 to 2008. He also served as Vice President of Finance for Sterer Engineering, a subsidiary of Eaton Aerospace, from 2001 to 2003. Mr. Johnson possesses over 20 years of financial management experience across multinational corporations and also serves as Treasurer at TyraTech, Inc.

Eric G. Wintemute, Chairman of the Board

Mr. Wintemute served as President and Chief Executive Officer of American Vanguard from July 1994 until June 2011, and then as Chairman and CEO from June 2011 until his retirement as CEO in late 2024, marking 30 years in the CEO role and 47 years with the company. He co-founded GemChem Inc. in 1991, which was acquired by American Vanguard Corp. in November 1993. He was also a member of the board of directors of TyraTech Inc. from 2013 to 2018.

Timothy J. Donnelly, Chief Administrative Officer, Chief Information Officer, General Counsel and Secretary

Mr. Donnelly has served as Chief Information Officer, General Counsel, and Secretary of American Vanguard since June 2010. He also took on responsibility for Human Resources and Risk Management in 2009. Prior to joining American Vanguard in October 2005, he was Vice President, General Counsel, and Secretary for DDi Corp. from September 2000 to October 2005. His earlier career included roles as Assistant General Counsel at Rockwell International Corporation and an Associate with Latham & Watkins.

Shirin Khosravi, Senior Vice President, Human Resources

Ms. Khosravi joined American Vanguard in October 2023 as Senior Vice President of Human Resources.

The clear emerging threat is the rapid growth and increasing adoption of biological crop protection products. These products, including biopesticides and biostimulants, offer alternative solutions for pest and disease management and plant health, often with better environmental profiles and less stringent regulatory hurdles compared to traditional synthetic chemical pesticides. As scientific advancements improve their efficacy and farmers face increasing pressure for sustainable practices and reduced chemical residues, the biologicals market is expanding rapidly, potentially displacing demand for conventional synthetic chemical products that constitute a significant portion of American Vanguard's portfolio.

American Vanguard Corporation (AVD) is a diversified specialty and agricultural products company. Its main product and service categories include crop protection chemicals (herbicides, insecticides, fungicides), soil fumigants, agricultural biologicals, and precision agriculture technologies. American Vanguard also operates in turf and ornamental management and commercial and consumer pest control, though specific market sizes for these niche areas were not explicitly identified in the provided information.

Addressable Market Sizes for American Vanguard's Main Products and Services:

• Crop Protection Chemicals: The global crop protection chemicals market was valued at approximately USD 96.05 billion in 2024 and is projected to reach about USD 141.69 billion by 2033.
  • Region: Global
  • The North American crop protection chemicals market was evaluated at USD 22.32 billion in 2024 and is projected to reach around USD 40.08 billion by 2034.
• Herbicides: The global herbicides market was valued at USD 41.51 billion in 2024 and is expected to reach USD 58.48 billion by 2029.
  • Region: Global
• Insecticides: The global insecticides market size was USD 23.63 billion in 2024 and is projected to grow to USD 37.03 billion in 2029.
  • Region: Global
• Fungicides: The global fungicides market size reached USD 20.5 billion in 2024 and is expected to reach USD 29.3 billion by 2033.
  • Region: Global
• Soil Fumigants: The global soil fumigant market size was USD 2.51 billion (USD 2514.5 million) in 2024 and is expected to expand to USD 3.42 billion (USD 3421.88 million) by 2031.
  • Region: Global
  • North America held over 40% of the global revenue for soil fumigants, with a market size of USD 1.01 billion (USD 1005.80 million) in 2024.
• Agricultural Biologicals (including Biopesticides, Biostimulants, Biofertilizers, and Specialty Nutritionals): The global agricultural biologicals market was valued at USD 15.10 billion in 2024 and is projected to grow to USD 43.58 billion by 2032.
  • Region: Global
  • North America held a dominant share, valued at USD 4.81 billion in 2024.
• Precision Agriculture Technologies: The global precision agriculture market size is projected to reach USD 21.47 billion by 2033.
  • Region: Global

1. Growth in Green Solutions and Biological Products: American Vanguard is strategically positioned in the expanding biopesticides market, which is projected to grow from USD $6.72 billion in 2025 to USD $11.41 billion by 2030, at an 11.19% compound annual growth rate. The company boasts over 120 biological solutions globally, including biopesticides, biostimulants, and biofertilizers, with this portfolio showing an 18% year-over-year growth in Q3 2024 and anticipated double-digit growth in 2025.
2. Advancement in Precision Agriculture Technologies: The company is making significant investments in precision agriculture, notably with its SIMPAS prescriptive application system and Ultimus measure/record/verify technologies. This focus on applying crop protection and bio-nutritional inputs precisely where and when needed is a key strategic growth area.
3. International Market Expansion and Enhanced Market Access: American Vanguard has a strategic emphasis on expanding its international presence, already operating in 19 to 21 countries with over 1,000 product registrations across 56 nations. The company anticipates a strengthening of sales in Central and South American markets in the latter half of 2025, further bolstered by acquisitions providing market rights in regions like Argentina and Chile.
4. New Product Development and Strategic Acquisitions: American Vanguard's growth strategy includes both developing new products and acquiring established brands. The company maintains a robust pipeline of new herbicides, insecticides, nematicides, and fungicides, with introductions planned through the mid-2020s. Recent examples of this strategy include the 2021 introductions of Impact Core® and Sinate® Herbicides, and the acquisition of the Envoke® herbicide brand.
5. Recovery in Core Agricultural Markets: AVD expects a recovery in its core agricultural business, which has recently faced cyclical downturns and customer inventory reductions. Analysts project a rebound in these cyclical margins and a return to more normalized sales levels, with increased corn plantings specifically highlighted as a positive indicator for the company’s soil insecticide offerings.

Capital Allocation Decisions of American Vanguard (AVD) (Last 3-5 Years)

Share Repurchases

• American Vanguard authorized a program in May 2023 to repurchase up to $15 million of its common stock over the subsequent twelve months, beginning in June 2023.
• In August 2022, the company initiated an accelerated share repurchase (ASR) plan totaling $20 million, which was in addition to a 10b5-1 repurchase plan launched in March 2022.
• The company did not repurchase any common stock during the twelve months ended December 31, 2024, and is currently restricted from stock repurchases as of November 7, 2023, due to an Amended Loan and Security Agreement.

Share Issuance

• For the nine months ended September 30, 2024, American Vanguard received $901,000 from the issuance of ESPP shares and the exercise of stock options.
• For the nine months ended September 30, 2023, the company generated $980,000 through the issuance of ESPP shares and stock option exercises.

Outbound Investments

• On October 5, 2023, American Vanguard acquired all outstanding shares of Punto Verde, an agricultural product distributor based in Guayaquil, Ecuador.
• The company completed the purchase of certain assets related to the herbicide trifloxysulfuron ("Envoke") from Syngenta Crop Protection on July 1, 2021.
• In October 2020, American Vanguard's Australian subsidiary acquired AgNova, an Australian company specializing in specialty crop protection and production solutions, and AMVAC purchased all shares of Agrinos and associated intellectual property rights.

Capital Expenditures

• American Vanguard anticipates capital expenditures to be in the range of $8 million to $9 million for the full year 2025.
• Capital expenditures amounted to $7.28 million for fiscal year 2024 and $11.88 million for fiscal year 2023.
• The company's strategic growth initiatives, including precision application technologies like SIMPAS and Ultimus, and Green Solutions portfolio products, drive capital allocation.