American Vanguard Corporation has released its first quarter 2025 financial results, reporting a decline in revenue compared to the previous year. The company recorded revenues of $115.8 million in Q1 2025, down from $135.1 million in Q1 2024, marking a 14% decrease. This decline was attributed to weakness in the Mexican agave market, customer destocking, and the cancellation of a herbicide product. Adjusted EBITDA for the quarter was $3.0 million, significantly lower than the $15.5 million reported in Q1 2024, with the adjusted EBITDA margin declining from 11.3% to 2.6%. The decrease in EBITDA was influenced by reduced revenue and the implementation of incentive programs designed to compete with similar offerings from competitors. Despite the challenges, American Vanguard has reduced its operating expenses by $5 million, a decrease of 14% compared to the same period last year, driven by declines in RCD and SGCA expenses. Looking ahead, the company has adjusted its full-year guidance, setting an adjusted EBITDA target of $40 - $44 million and a revenue target of $535 million - $545 million. The company also anticipates capital expenditures of $8 - $9 million for the year, expecting 2025 to be a strong year for free cash flow. Additionally, inventory levels have been drawn down, and while restocking may not be imminent, the company expects buying patterns to align with in-field applications, potentially leading to a stronger second half of the year.