Conference Call Details:

What: Alta Equipment Group Fourth Quarter and Year Ended 2022 Earnings Call and Webcast

Date: Thursday, March 9, 2023

Time: 5:00 p.m. Eastern Time

Live call: (844) 200-6205 International: (929) 526-1599

Live call access code: 348379

Audio Replay: (866) 813-9403

Replay access code: 484388

Webcast: https://events.q4inc.com/attendee/976631672

The audio replay will be archived through March 23, 2023.

About Alta Equipment Group Inc.

Alta owns and operates one of the largest integrated equipment dealership platforms in the U.S. Through its branch network, the Company sells, rents, and provides parts and service support for several categories of specialized equipment, including lift trucks and aerial work platforms, cranes, earthmoving and environmental processing equipment and other material handling and construction equipment. Alta has operated as an equipment dealership for 38 years and has developed a branch network that includes over 70 total locations across Michigan, Illinois, Indiana, New England, New York, Virginia, Florida, Ohio, Nevada, Ontario, and Quebec. Alta offers its customers a one-stop-shop for their equipment needs through its broad, industry-leading product portfolio. More information can be found at www.altaequipment.com.

Contacts

Investors:

Kevin Inda

SCR Partners, LLC

kevin@scr-ir.com

(225) 772-0254

Media:

Glenn Moore

Alta Equipment

glenn.moore@altg-adpearance.com

(248) 305-2134

The post Alta Equipment Group Announces Q4 & Full-Year 2022 Results Date appeared first on Alta Material Handling.

NJ ZIP was launched by the New Jersey Economic Development Authority (NJEDA) as a pilot program for medium and heavy-duty zero-emission vehicles. In the state of New Jersey, all battery electric vehicles (BEVs) are exempt from New Jersey sales tax. The purpose of the program is to support the growth of the New Jersey zero-emission vehicle ecosystem, reduce harmful emissions and accelerate the adoption and use of zero-emission medium and heavy-duty vehicles within the state to help attract jobs and investment.

“It’s an exciting and dynamic time for our industry,” said Mike Bucci, vice president, Alta eMobility. “Our goal has always been to seamlessly guide our customers through the fleet electrification process while helping to eliminate diesel fuel and harmful emissions. Acceptance of the Nikola Tre BEV into the NJ ZIP helps us do just that. It’s a big win for Alta eMobility, our customers and the environment.”

Alta eMobility works directly with fleet owners interested in upgrading their Class 8 diesel tractors to zero-emission eTractors, using the best systems and solutions available in the market to electrify, charge, operate and optimize fleet efficiency and performance.

For customers interested in exploring all the Nikola Tre BEV has to offer, Ride-and-Drives will be available throughout the year with more information and a full schedule available on the Alta eMobility website, soon.

For more information about how Alta eMobility is helping fleets transition to electric or to learn more about incentive programs, visit https://emobility.altg-adpearance.com or contact Larry Irvine, strategic account manager, Alta eMobility, at lawrence.irvine@altg-adpearance.com.

The post Alta eMobility Coordinates NJ ZIP Benefits for Nikola Tre BEV Owners appeared first on Alta Material Handling.

Before you make a decision, you’ll need a quantitative analysis that looks at your processes, power use, and business planning. But a good first step is to understand the strengths and weaknesses of each solution, as well as their underlying technologies and how they work.

Power Motive Basics: Their Chemistry, Advantages, And Challenges

Lithium-ion and hydrogen technologies offer improved performance over lead acid in a number of important categories. However, especially in facilities already set up for their maintenance, advanced lead acid batteries remain competitive in material handling industries. They provide facilities with necessary forklift power without forcing them to pay for more capacity than they can use.

Thin Plate Pure Lead (TPPL) Batteries

The Basics Of A Lead Acid Battery

Inside the case of a lead-acid battery are positively and negatively charged lead plates, joined by lead connectors, immersed in an electrolyte solution of sulfuric acid. As the battery discharges, the sulfur in the electrolyte coats the lead plates, and in the process gives up electrons that become the electricity that powers the machine.

As the sulfate ions coat the lead plates, the electrolyte solution becomes more dilute. At the same time, the lead sulfate coating the plates acts as an insulator, reducing the battery’s performance. Charging reverses this process.

TPPL Battery Advantages

Compared to other lead-acid batteries, TPPL technology uses thinner, more pure lead plates. This increases the surface area exposed to the electrolyte solution, and increases the efficiency of the chemical reaction between the sulfur solution and lead plates.

At the same time, TPPL technology is a type of Absorbed Glass Mat (AGM) battery. Where other lead-acid battery technologies flood lead plates in a liquid electrolyte solution, TPPL and other AGM batteries use electrolyte-saturated fiberglass to store the electrolyte in a suspended state.

As the battery cycles through states of charge and discharge, the electrolyte is transferred from the fiberglass matting to the lead plates as needed. With the electrolyte contained in this way, gassing is minimized to the point that the batteries require zero watering.

These modifications allow TPPL batteries to reach higher current peaks, recharge more quickly, and need less maintenance than other lead acid batteries.

In most warehouse environments, TPPL technology can provide the forklift power facilities need to maintain near-continuous operations. That lead acid batteries offer the lowest cost of acquisition makes them a smart, economical choice, especially in facilities already equipped for lead acid.

Lead Acid Battery Challenges

• Perhaps the greatest drawbacks to lead acid batteries come down to the underlying chemistry. They suffer from sulfation (the formation of lead sulfate crystals over the active material of the battery) that impedes a battery’s usable capacity, and ultimately decreases its cycle life.

• Lead acid batteries require routine maintenance, and failure to adhere to a rather strict schedule can lower a battery’s lifespan. If the battery isn’t equalized — overcharged to essentially strip the buildup of lead sulfate from the active material — the lead sulfate crystals can harden on the lead plates, permanently reducing performance.

• While lead acid batteries can be opportunity charged, and TPPL is better for it than other lead-acid batteries, there are strict limitations. Discharging a TPPL battery beyond 40% start of charge reduces cycle life, lowers capacity, and impedes the efficiency of the battery.

Lithium-ion Batteries

The basics of lithium ion batteries

While lead acid and lithium-ion batteries store charge and release electrons through a circuit, differences in their electrochemical processes give lithium-ion batteries higher energy densities and improved efficiency, among other benefits.

Lithium-ion Technology Components

• Electrolyte solution. The electrolyte solution in a lithium-ion battery carries the lithium ions between the cathode and anode.

• Anode. During discharge, the anode releases positively charged lithium ions into the electrolyte, and releases negatively charged electrons through the circuit of the device being powered. This is reversed during charging.

• Separator. A separator sits between the anode and cathode. It allows the lithium ions to pass through, but denies the passage of electrons, creating a one-way path for the electrons through the circuit of the device.

• Cathode. As the battery discharges, the cathode stores positive lithium ions from electrolyte solution, and receives electrons from the device’s circuit. This is reversed during charging.

• Sensors and controls. Lithium-ion technologies include temperature sensors, voltage converters and regulator circuits, as well as monitors for the charge state.

Lithium-ion Battery Advantages

A battery’s capacity depends on a number of factors, including manufacturers and models. But in general, lithium-ion batteries can store and discharge more energy in an equal amount of space as lead acid.

Lithium-ion doesn’t suffer from sulfation — the buildup of lead-sulfate crystals over the active material of a lead acid battery — that decreases the usable capacity of a lead acid battery, and causes lead batteries to need extra maintenance.

Lithium-ion batteries can be discharged to about 95% of their total capacity without a noticeable effect on their performance. They can last more than 3,000 throughput cycles — or nearly double the cycle life of a lead-acid battery

Lithium-ion Battery Challenges

• While prices depend on the manufacturer and model, the upfront cost of lithium-ion batteries is generally higher than lead acid. If the increase in performance is more than a facility needs, they’ll find themselves paying for value they can’t realize. This is especially true for facilities already set up for lead acid, which may benefit more from upgrading to better lead-acid technologies.

• While lithium-ion batteries require no regular maintenance from operators, they do still need to be inspected so that they can be serviced as-needed.

• Compared to lead-acid batteries, which are almost 100% recyclable, only 5% of a lithium-ion battery is. Decommissioning these batteries has to be planned for.

Hydrogen Fuel Cells

The Basics Of Hydrogen Fuel Cells

Hydrogen fuel cells work by feeding the fuel (hydrogen) to the anode (negative electrode), where the hydrogen’s proton nucleus is separated from its electron. The electron moves through the device’s circuitry, creating the electricity to operate it. The proton moves through the electrolyte to the cathode (positive electrode), where it combines with oxygen from the air to produce water and heat.

The latest generation of motive power solutions hybridize fuel cell and lithium ion technologies. A relatively small lithium-ion battery in the fuel cell powers the equipment. The fuel cell recharges the battery while the equipment is in operation.

Hydrogen Fuel Cell Advantages

Hydrogen cells can be fully fueled in about five minutes, and provide absolute continuous power throughout their cycle even in extreme temperatures. Of the three technologies, hydrogen fuel provides the highest energy density. And they don’t suffer from the sag (the drop in voltage that happens as current is drawn) that all batteries see.

Hydrogen fuel cells operate better in extreme conditions than battery technologies, making them ideal for high throughput cold storage applications. 

Hydrogen Fuel Cell Challenges

• The acquisition cost and total cost of ownership of hydrogen fuel cells is high enough that not all facilities will realize a financial benefit from the efficiencies the technology brings. They are most practical in high throughput facilities running multiple shifts seven days a week.

• While the fuel cells produce only heat, water, and electricity, how the fuel is sourced is still a challenge. The cheapest producers generate hydrogen from fossil fuels, and how environmentally friendly the fuel is depends on the producer’s process. “Green” hydrogen is produced using renewable sources, but is more expensive.

• While the refueling stations for hydrogen cells make economical use of warehouse space, the infrastructure around the technology is more expensive and harder to find. While this issue is resolving itself as the technology becomes increasingly adopted, it’s still a consideration.

Before you commit, run a quantitative analysis.

Choosing the right motive power solution is critical for your operations. But with all of the options on the market today, how do you choose the right one for you? 

The reality is that lead acid, lithium-ion, and hydrogen technologies can all power your lifts. Which will have the greatest return on your investment depends on your needs and processes, among other factors.

Before you commit to a forklift power solution, you’ll want to be sure a quantitative analysis is run that weighs the pros and cons of all the available solutions.

To help you find the right power package for your needs, Alta Motive Power has proprietary modeling software. Combined with a detailed analysis of your processes and power needs, we will find the best solution the industry has to offer.

Want to learn more about which motive power solution is right for your facility? Contact us to learn more.

The post How To Choose the Right Forklift Power Solution appeared first on Alta Material Handling.

Costs and efficiencies vary by manufacturer. But in general, lithium-ion batteries offer a lower total cost of ownership than lead acid batteries for relatively high throughput facilities that need multi-shift operations, for cold storage environments, and in facilities that struggle to meet the strict charging schedule of lead acid.

The financial benefits of upgrading

From among the three most popular forklift power solutions, lead acid batteries offer the lowest cost of acquisition. However, in the right application, lithium-ion batteries have the lowest total cost of ownership.

This is because lithium-ion technologies offer important improvements in efficiency and operational expenses.

Increase efficiency

Compared to flooded lead acid technologies, lithium-ion batteries charge more quickly, last longer, and provide more consistent power. They can be opportunity charged without risk of damaging the battery, require zero maintenance, and can be fully charged in less than an hour. This improved efficiency means operators spend more time on-task.

In cold environments, these efficiencies are even more pronounced. While lithium-ion is relatively unaffected by cold, lead acid technologies increasingly lose capacity, and require more maintenance, as the temperature drops below 68?. 

Reduce costs

Lithium-ion batteries can reduce a facility’s operational costs in a number of important ways. Compared to flooded lead acid batteries, they charge more quickly and efficiently, and don’t need routine maintenance. This not only means that operators are spending more of their time working, but also that the facility is spending less money on utility bills. For larger fleets, this difference is noticeable.

Because the batteries neither need to be swapped nor emit flammable gas while charging, facilities can be designed so that the charging stations are where they can be most efficiently used. If the process allows for a few minutes of opportunity charging, a charging station can be installed to allow for that. Putting charging stations near break rooms allows operators to quickly transition between work and breaks, reducing their wasted motion.

And, when a lead acid battery has lost capacity and is nearing the end of its use after 1,500 charge cycles, lithium-ion batteries are still good for another 1,500 cycles or even more.

Improve safety

Flooded lead acid batteries pose a number of risks to both operators and the environment. Maintaining these batteries means working with equipment that sometimes weighs thousands of pounds, is filled with corrosive chemicals, and that can emit toxic and even explosive gasses.

Because lithium-ion batteries require no daily upkeep, operators are no longer exposed to the hazards associated with battery maintenance, which include crush injuries, respiratory irritation, eye damage, and more.

And in the medical supply, pharmaceutical, and food and beverage industries, where hygiene and safety are highly regulated, lithium-ion technologies help reduce the incidents of toxic spills and fumes in the environment. 

Monitor in real time

In order to run safely, lithium-ion batteries need a way to keep their different cells equally charged. Smaller batteries, like those in laptops, use a battery balancer.

Industrial equipment, however, uses a battery management system (BMS).

A BMS works to keep the battery balanced and also monitors internal and external temperatures, the state of charge, and other key metrics. Importantly, the BMS is part of the Industrial Internet of Things (IIoT) and can communicate with the outside world.

This allows the operators and managers on-site, and even organizations with many widely distributed facilities, to monitor an entire fleet of batteries in real time.

Motive power considerations

Many factors will go into determining what motive power solution is right for any given project. At Alta Motive Power, we work with you to understand your goals, needs, and use, and we have proprietary modeling software that helps find the right power solution for you.

If your current processes are inefficient and you suspect your motive power is partly to blame but aren’t sure where to even start, ask yourself some fundamental questions.

What are your processes and layout?

Do you currently have a dedicated, functional battery changing room for lead acid, and are you planning a remodel in the near future? If upgrading your motive power is part of a larger remodel, then upgrading to a technology like lithium-ion, that doesn’t require a dedicated battery changing room, can be part of a larger solution that maximizes your floor space and efficiency.

If remodeling isn’t in the plans, then upgrading to a newer lead acid technology like TPPL might be the most cost effective solution. TPPL offers increased efficiencies and requires less maintenance than older lead acid technologies, but still needs periodic equalization charges.

How many shifts do you run?

Running multi-shift operations on lead acid batteries often means working around, and compensating for, the batteries’ inefficiencies. Compared to newer technologies, lead acid takes longer to charge, has a lower depth of discharge, needs regular maintenance, and suffers from battery droop under heavy loads.

In high throughput environments, upgrading to lithium-ion batteries is easily justifiable. They help operators stay on-task, move product more efficiently, can be fully charged in under an hour, and don’t need daily maintenance.

Are your current battery maintenance procedures adequate?

In some facilities, operators take battery maintenance seriously. They understand what to do, are self-motivated, and have the diligence to ensure lead batteries are watered and equalized as needed.

In other facilities, the demands of the business or the inexperience of the operators makes battery maintenance more challenging. Over time, poorly maintained lead acid batteries lose capacity to the point that their service life is lowered.

Maintenance procedures are especially relevant to facilities affected by high turnover rates, where employees often lack the training or dedication to maintain equipment.

Because lithium-ion batteries offer maintenance-free motive power, they remove one of the greatest challenges of lead acid technologies.

What is the industry and environment?

If you lift and move heavy loads, need an emission-free power source, or operate in temperature extremes, lithium-ion batteries are likely a more practical option than lead acid.

The paper, steel, or automotive industries, for example, frequently move loads heavy enough to cause lead acid batteries to suffer droop – a momentary loss of voltage that slows the vehicle. Because of their different internal chemistries, this effect is less pronounced in lithium-ion batteries.

For industries with very strict health standards, such as pharmaceutical, medical, and food and beverage, lithium-ion batteries produce zero emissions and reduce the chance of chemical spills.

Finally, if your equipment frequently operates in either hot or cold conditions, lithium-ion batteries offer important benefits. lead acid batteries lose capacity at low temperatures and suffer from reduced service life if operated at high temperatures. In part because of their different chemistry, and in part because of the on-board battery management system, lithium-ion batteries fare better at temperature extremes.

Are lithium-ion batteries worth the cost?

Very possibly. Lithium-ion batteries have been around for decades, but justifying their costs in slower environments, or when the technology was new, was more challenging.

Today’s market, driven largely by the internet, machine learning, and ecommerce, is more fast-paced and competitive than ever. Many material handling companies need the advantages that lithium-ion provides.

To learn more about matching the right power source to your needs, contact us today!

The post The Value of Replacing Lead Acid Batteries With Lithium-Ion appeared first on Alta Material Handling.

More than ever, companies need to reorganize their contingency plans and place qualified professionals in valuable, decision-making positions. AMRs pick up repetitive, in-house transportation tasks while you save capital in cost-per-step.

How do Autonomous Mobile Robots work?

AMRs solve intralogistics problems with dynamic and innovative solutions.

AMRs navigate environments without manual interference by using technical sensors, machine learning, and artificial intelligence. They employ high-definition cameras and sensors, allowing them to maneuver smoothly and on the most efficient route. 

In short, AMRs are warehouse robotics that detect human presence and revolving workplace conditions to pick, pack, transport, increase productivity, and decrease damage costs. 

Autonomous Mobile Robots (AMRs) are distinct from Automated Guided Vehicles (AGVs) as they do not need a pre-programmed route and are adaptable to constant change. AMRs are the most flexible material handling robots in production as of 2022. They are able to:

• Avoid collisions with moving and stationary objects

• Collaborate with team members to pick and sort materials

• Create their own routes — actively deciding on both the safest and shortest route

• Keep team members safe by replacing them in the field (sanitation, chemical exposure heavy lifting, extreme conditions, and contagious materials)

Differences: AMRs vs AGVs

AMRs are not to be confused with their robotic counterparts, AGVs. Although AMRs host a more expensive upfront cost, they tend to have a lower total cost of ownership. 

AMR features and benefits

Alta Robotics AMRs are easily integrated, versatile material handlers. They completely revolutionize the way your facility performs in terms of workflow and efficiency by:

1. Increasing supply chain speed.

   Transportation is a low-skill task, easily replaced with AMRs. On a single battery charge, AMRs run an 8-hour shift. A fleet of AMRs provides 24-hour continuous operations in a 2-3 shift rotation. 

2. Reducing operating costs by up to 70%, heightening employee bandwidth.

   By automating redundant tasks and outsourcing them to AMRs, your quality team can move resources to other departments. 

   Currently, the average warehouse turnover rate is 36%, with replacement costs of 25-150% of the position’s salary. With implementation of our AMR solutions, customers can reduce labor by 20% and drop hourly costs from $20 to $16, and reallocate their team members to higher-skill tasks. 

3. Alleviating bottlenecks.

   Distribute more products at a quicker rate with Alta Robotics AMRs. You can meet quotas, surpass deadlines, and keep up with demands. 

4. Reducing workplace injuries and product damage costs.

   In 2019, The Bureau of Labor Statistics reported 5,333 fatal occupational injuries took place in the US; 2,122 of them were transportation based. 

   An AMR’s ability to navigate around the people and obstacles in its path practically eliminates collisions, resulting in fewer on-the-job injuries and decreased damages — no forklift crashes included. 

5. Tailoring robotics for your facility so your business runs the way you intend. 

   We have 500+ technicians on staff to troubleshoot and update our AMRs when needed. Stay online 99.9% of the time.

   Before we set up any AMRs in your facility, we analyze precisely what you need: warehouse design, production supply and demand, pain points of current workflows, and more. Since it’s customized directly for you, it performs according to your needs. 

Who are AMRs for?

AMRs are made for executives wanting to save employee resources for higher-skilled tasks, boost their facility’s efficiencies, and adapt to fast-changing technologies. 

Consider how much time you spend moving supplies across your facility. Our AMRs absorb 70% of manual operation time and expenses.

AMRs don’t take days off. They are able to perform their duties nearly 24/7 with minimal recharge time. 

Put your team where you need them most with automation of manual moving operation tasks. 

Key considerations for adopting AMRs in your facility

Alta Robotics understands all situations are different, so we’ve created AMR models for individual needs. Before integrating your first AMR, contact us directly to pinpoint your needs and operation scale. 

Ask yourself:

1. What does your warehouse floor plan look like? Will you require an AMR with a higher payload capability for a gradient-incline/decline? If so, is your facility designed for a large-size AMR?

   Alta Robotics offers AMRs with a max payload range of 1350 kgs up to 4500 kgs. The larger the payload capability, the larger the robot. If your facility is not designed to incorporate bigger mechanics, you can employ a smaller AMR such as Alta Robotics’ AR-AMR CBS 3K.

2. What’s your desired AMR uptime and speed?

   Alta Robotics AMRs have an uptime of 99+% (8+ hours of runtime with opportunistic charging times). We deliver industry-leading speeds of 3 M/S or 6.7 MPH.

3. How does the AMR work with your team?

   First, does the AMR manage traffic well? A good AMR is blockage-avoidant and highly adaptable.  

4. Next, how efficiently does it manage tasks? 

   All of Alta Robotics’ AMRs feature superior fleet management software. It’s extremely customizable to each customer’s needs, analyzing data for adjustments in seasonal and operational changes. 

5. What motive power should you use?

   The majority of AMRs run on lead-acid batteries, transitioning to TTPL batteries, lithium-ion batteries, or hydrogen fuel cell power. 

   Hydrogen fuel is the pinnacle of motive power. It runs like a fully-charged battery, has a refill time of less than five minutes, and is emission-free. 

   Lithium-ion outperforms both TTPL and lead-acid batteries by 20-60%, saving 65% more energy. The recharge time is less than one hour, and the emission-free batteries last up to 3000+ charge cycles. Save an average of $1,350 annually, per forklift

   TTPL batteries have the lowest acquisition cost. Able to last up to 2,200+ charge cycles with a charge time of 8-10 hours, TTPL is the economic choice in motive power. Unlike lithium-ion and hydrogen motive power, you’ll need a dedicated storage space for replacement batteries and charging. 

   Here’s how Alta Motive Power’s AMR batteries stack up:

Final Thoughts

AMRs can revolutionize your business. They automate your tedious, repetitive operations so you can allocate your human resources to higher-skill tasks. It’s a no-touch go, ergonomic solution to future planning, resource saving, and labor spending.

There’s a customizable solution for your business goals and facility design. Contact us to learn more about the perfect fit. 

The post AMRs: The Future of Warehouse Logistics appeared first on Alta Material Handling.

In a traditional Capital Expenditure (CapEx) model, the greatest pain points are the upfront costs, system integration, and maintenance of the units.

In most use-cases, RaaS lessens or eliminates these barriers to entry.

With a top speed of 6.7mph, Alta Robotics offers the fastest AMRs on the market. Combined with our RaaS subscription service, you can shift capital expenditures to operations, scale your processes, and maximize throughput with minimal upfront expense.

Advantages of RaaS

As a cloud-based robotic solution, RaaS is a culmination of several of the key technologies that are driving the global economy: Cloud computing, smart automation, and big data analytics.

Cloud computing and smart automation allow Autonomous Mobile Robots (AMRs) to be controlled, programmed, and updated remotely. At the same time, information across distributed networks can be consolidated and later put to use by people throughout the distribution chain. This means that every facility can benefit from the information uploaded by every robot in the entire organization.

With big data analytics, all of the information even in vastly distributed networks can be put to use, for example, by better predicting process requirements or customer habits.

RaaS offers customers many benefits, with only a few drawbacks.

Benefits of RaaS

• Low cost of entry. With RaaS, you aren’t buying a product – you’re paying for a service. This dramatically lowers upfront costs by eliminating the need to purchase these state-of-the-art AMRs. Instead, you’re paying only for your use of the AMR. And when it’s time to upgrade your fleet, you aren’t left having to figure out what to do with outdated robots.

• Flexible purchasing cycle. Companies have strict procedures and timelines for major CapEx projects. Budgets and expenses both have to be planned and approved, creating a protracted purchasing cycle of as much as 18 months. Because RaaS is charged as an operational expense that is competitive with manual labor, it’s more easily justified and the purchase cycle shortened.

• Minimal institutional knowledge. With RaaS solutions, your team isn’t responsible for updates, maintenance, or repairs. So you don’t need to pay crews of engineers and technicians to keep your fleet of AMRs running. Our team remotely monitors and updates your system, and also handles maintenance and repair.

• Tight Integration. Autonomous robots are controlled by the Warehouse Management System (WMS) and are part of your smart network. This allows them to respond to workflows and real-time data even in zones they aren’t in. As part of the Industrial Internet of Things (IIoT), they help increase the integration and streamline the workflow of your facility’s systems and processes.

• Predictable costs at scale. Because you pay for the services you consume, and service and repair is included in the subscription package, the costs are predictable. At the same time, this business model allows you to scale your use up. And because these machines use the same systems and run on the same software, the relative costs decrease as the size of the fleet increases. 

• Easily adjust with changing needs. Because you pay for the service – not the product – RaaS allows you to more easily adjust to demand. During peak seasons, you have the capacity to scale your use up. And conversely, when business slows, you have the flexibility to scale down to save costs.

Drawbacks of RaaS

• Limited customization. If you have the time and money for a truly bespoke solution, going a traditional capital expenditure route can create the exact solution you need. With RaaS, you’re limited to what your vendor can provide. But note that this downside doesn’t apply if your CapEx solution isn’t truly bespoke, but is off-the-shelf.

• No capital investment or depreciation. Because you don’t own the robots, the tax benefits that come with capital investments and depreciation aren’t accessible with a RaaS solution. With a traditional CapEx project – and smart financial planning – a large depreciation expense can lower taxable income.

Three requirements for RaaS to be feasible

As you consider RaaS, be aware that there are some criteria your systems need to meet. If your facility falls short of these needs, talk with a professional integrator to see how your processes can be improved.

Networking infrastructure

Many of the features of RaaS – including remote monitoring, updates, and support; use tracking; big data analytics; and security – depend on stable Wi-Fi and secure internet connections.

If your facility lacks a stable internet connection or consistent Wi-Fi, there are workarounds. Some vendors use “store and forward” software that saves alerts and messages and emails them when a connection is restored. Other services provide cellular data connections. While these are viable, they aren’t ideal.

Before you subscribe to a RaaS solution, you may need to improve or supplement your facility’s networking infrastructure.

Accountability

Because you aren’t purchasing a product, the integration will have to be funded as an OpEx. Because the upfront costs are minimal, this is typically easier than funding a CapEx project, and requires less time in the budgeting process and fewer approvals.

However, you’ll have to have some discretionary OpEx budget to put toward a RaaS solution.

Measurable, consistent demand

It’s normal for facilities to see spikes in demand and to have bottlenecks. But you’ll want to have some Key Performance Indicators (KPIs) to measure, in order to both justify an integration and to know when you’re ready to scale up.

Demand that’s too inconsistent may indicate that a more cost-effective solution for you will be to improve other processes before you look to RaaS. While RaaS is a pay-for-use system, your vendor also has to justify their costs – and too many robots sitting idle might not be justifiable for them.

One of the hallmarks of a fully networked, integrated system of AMRs is their ability to solve bottlenecks, flatten demand spikes, and streamline processes. Experienced automation integrators can help you examine your systems and see the value RaaS holds for you.

Needing to scale your processes with minimal upfront cost? Contact us to learn more about Robotics as a Service.

The post Robotics as a Service: Its Advantages and Requirements appeared first on Alta Material Handling.

“The YIT acquisition is consistent with our growth strategy, which includes expanding into new markets which offer substantial opportunities to increase the scale of our business,” said, Ryan Greenawalt, Chief Executive Officer of Alta. “This acquisition extends our operations into an international market for the first time and bridges our existing U.S. territories. It will benefit our Material Handling business as Quebec and Ontario represent approximately 80% of the market opportunity in Canada, and the greater Toronto area is one of the top five industrial distribution markets in North America. Culturally, they have a rich 50-year history of providing outstanding service to customers in the Canadian market which fits with our focus. We’re pleased to welcome YIT to the Alta family.”

YIT generated approximately $46.6 million in revenue and adjusted EBITDA of $9.4 million in the trailing twelve months through May 2022. The implied enterprise value of the acquisition is estimated to be approximately $33.5 million, subject to post-closing purchase price adjustments.

In connection with the YIT acquisition, the Company will be amending its ABL and Floorplan First Lien Credit Agreements. The amendment will, (i) exercise $80 million of the $150 million accordion function currently included in the Company’s asset-based revolving line of credit increasing borrowing capacity from $350 million to $430 million, which will include a $35 million Canadian-denominated sublimit facility; and (ii) increase the borrowing capacity of its revolving floor plan facility by $10 million from $50 million to $60 million.

The Company expects to close both the acquisition of YIT and the amendments to its credit agreements in the third quarter.

About Alta Equipment Group Inc.

Alta owns and operates one of the largest integrated equipment dealership platforms in the U.S. Through its branch network, the Company sells, rents, and provides parts and service support for several categories of specialized equipment, including lift trucks and aerial work platforms, cranes, earthmoving equipment and other material handling and construction equipment. Alta has operated as an equipment dealership for 38 years and has developed a branch network that includes over 60 total locations across Michigan, Illinois, Indiana, New England, New York, Virginia, Florida, and Ohio. Alta offers its customers a one-stop-shop for most of their equipment needs by providing sales, parts, service, and rental functions under one roof. More information can be found at www.altg-adpearance.com.

Forward Looking Statements

This presentation includes certain statements that may constitute “forward-looking statements” for purposes of the federal securities laws. Forward-looking statements include, but are not limited to, statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would” and similar expressions may identify forward- looking statements, but the absence of these words does not mean that a statement is not forward-looking.

Forward-looking statements may include, for example, statements about: our future financial performance; our plans for expansion and acquisitions; and changes in our strategy, future operations, financial position, estimated revenues, and losses, projected costs, prospects, plans and objectives of management. These forward-looking statements are based on information available as of the date of this presentation, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward- looking statements should not be relied upon as representing the parties’ views as of any subsequent date, and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. You should not place undue reliance on these forward-looking statements. As a result of a number of known and unknown risks and uncertainties, actual results or performance may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include, but are not limited to: (1) the outcome of any legal proceedings that may be instituted against us relating to the business combination and related transactions; (2) the ability to maintain our listing of shares of common stock on the New York Stock Exchange; (3) the risk that integrating our acquisitions disrupts our current plans and operations; (4) the ability to recognize the anticipated benefits of our business combination and acquisitions, which may be affected by, among other things, competition, our ability to grow and manage growth profitably, our ability to maintain relationships with customers and suppliers and retain our management and key employees; (5) changes in applicable laws or regulations; (6) the possibility that we may be adversely affected by other economic, business, and/or competitive factors; (7) disruptions in the political, regulatory, economic and social conditions domestically or internationally; (8) major public health issues, such as an outbreak of a pandemic or epidemic (such as the novel coronavirus COVID-19), which could cause disruptions in our operations, supply chain, or workforce; and (9) and other risks and uncertainties identified in this presentation or indicated from time to time in the section entitled “Risk Factors” in our annual report on Form 10-K and other filings with the U.S. Securities and Exchange Commission (the “SEC”). The company cautions that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date made. We do not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.

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on businesswire.com: https://www.businesswire.com/news/home/20220706005120/en/

Investors: Kevin Inda SCR Partners, LLC IR@altg-adpearance.com (225) 772-0254

Media: Glenn Moore Alta Equipment glenn.moore@altg-adpearance.com (248) 305-2134

Source: Alta Equipment Group Inc.

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revolution. Crain’s Notable Leaders in EV are heading up the charge at automakers and suppliers large and small, developing innovative battery

technology and charging solutions, implementing electrification plans for businesses and cities and training up the next generation of EV leaders.

Michael Bucci is responsible for building the e-Mobility business unit for Alta, a $1.2 billion equipment dealer with 60 locations across 15 states. In part, the company services fuel cells, lithium-ion batteries and DC fast chargers. Bucci’s work includes choosing OEM partners, developing its energy division and staffing

“We are at the (precipice) of a global electrification movement. Michael, who is assembling a best-in-class team, embodies Alta’s One Team philosophy and is a firm believer in ‘a rising tide lifts all boats,’” said Alta CEO Ryan Greenawalt. “His deep knowledge of vehicle electrification platforms and renewable energy solutions have helped secured key vendor relationships (with companies) like Nikola Motor and Hydrofleet.”

Bucci’s most significant win has been becoming Nikola’s exclusive Northeast region dealer and receiving one of the first Nikola Tre BEVs in the country. The Tre BEV is a battery-electric daycab semi-truck.

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Alta saw a need to help our customers streamline the buyer’s journey and answer this question: “We want to electrify our fleet, but we’re not sure where to start. Can you help?”

To electrify their fleet, customers need to become experts in five different workflows: Specifying infrastructure; installation and permitting; service solution for vehicles/infrastructure; leveraging incentives (federal, state, utilities); and peak demand balancing. This is a daunting task, made even more difficult by current workloads and talent shortages plaguing the industry.

Meet Alta’s “Total Solution” model, a proven formula we have followed in both our material handling and construction equipment markets. The eMobility space, while comparatively newer, is no different. Through this process, our team bundles these workflows, provides total-cost-of-ownership modeling and guides our customers through the entire process, from the initial call to turning the keys over.  

What is beneficial for the industry is also good for us. We have been on our own transition to electric with the purchase of two electric vans and a Nikola Tre BEV to replace gas and diesel trucks, and we’re installing DC chargers and Level 2 chargers at our headquarters in Livonia, Michigan. We are excited to share our ES&G commitment and help customers achieve their sustainability goals.

While Alta will start with the Class 8 tractor market, we are not stopping there. Our company envisions building this business unit out to support more classes of electrified on-road vehicles, leveraging an entire host of refueling technologies. These technologies include energy storage with DC/DC fast charging, DC fast charging with a hydrogen fuel cell generator, vehicle-to-grid charging, and hydrogen generation and distribution.

Driven by our guiding principles of invest in the best, mutual respect, one team, passion for excellence and customers for life, we believe that we are built for success. Alta’s customer-centric value proposition is what truly sets us apart in this industry.

Source: Crain’s Detroit

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This will drive the need for an additional 330 million square feet of warehousing and distribution space in the US.

Rising material and construction costs, and dwindling supplies of prime industrial land, create logistical hurdles for developing new sites that meet the needs of stakeholders and consumers.

As noted by Prologis, engineering these sites to incorporate the latest technologies allows companies to maximize their cubic space, efficiencies, and profitability.

Increased Presence in Digital Spaces 

While the ongoing pandemic didn’t cause the shift toward ecommerce, it did speed up the trend toward online shopping that was already in progress. Lockdowns and shutdowns drove consumers to online markets for both work and leisure, increasing their comfort in digital spaces. That their favorite online store was only a click away brought to ecommerce many people who would never have used it and caused many more to rely on ecommerce more than they had before.

In the coming years for the US, this shift toward ecommerce will create a need for an additional 330 million square feet of well-located warehousing space. Globally, 1.5 billion square feet of warehousing space will be needed. Of that, to meet the increased demand for perishable goods, 100 million square feet will be for cold storage.

The Needs of an Ecommerce Warehouse

Ecommerce retailers need 1.2 million square feet of warehousing space per billion dollars in sales – triple the amount required by traditional retailers.

This is partly because ecommerce retailers carry more SKUs than brick-and-mortar stores and also because of the kind of work that happens in an ecommerce warehouse. 

Like warehouses for traditional retailers, ecommerce distribution means receiving, slotting, picking, and packing goods.

Unlike traditional warehouses, the majority of goods picked, packed, and shipped from a warehouse aren’t pallet loads but are individual items or a few mixed-and-matched pieces. On top of that, ecommerce warehouses also have to handle returns.

This means not only that ecommerce warehouses need more space, but also that the systems and processes in that space have to be well designed. Controlling the flow of thousands of goods, tracking them throughout the warehouse, and ensuring they are shipped to the right people at the right times takes a thoughtfully engineered system that incorporates sophisticated technology.

The Surprising Inefficiency of Just-In-Time Logistics

Before the pandemic exposed weaknesses in the Just-In-Time (JIT) logistics model, the goal of warehouse management was to warehouse as few goods as possible. Warehousing costs were a waste that needed to be minimized in favor of speedy, efficient order processing.

One takeaway the industry gleaned from the pandemic is that warehousing is more than a necessary cost of doing business – it’s insurance against demand shocks and limited supplies. 

To minimize the future risk of sudden spikes in demand seen early in the pandemic, retailers will increase their inventory levels by 5-10%, and will demand their vendors do the same. This inventory will be kept on-shore, close to the expected end users, to mitigate against the challenges caused by the closings of ports and borders.

The Inflection Point Between Costs and Location

As the fulfillment industry adjusted to its increased need for space in the first half of 2021, construction costs rose by 25%, and rent by nearly 10%. This has driven the costs and challenges associated with prime industrial real estate to an inflection point.

In the past, building in urban areas helped reduce the cost of transportation and delivery – but in today’s market, those savings are offset by the rising cost of land, pushback by municipalities against industrial development, and regulatory challenges, among other issues. 

The labor pools that were once ensured by building close to densely populated areas have also grown less certain as the US Department of Labor continues to report high unemployment numbers. The increased needs prospective employees cite include higher wages, increased safety, and more flexible hours.

Today, businesses are offsetting these increased costs and uncertainties by looking farther from urban areas as viable construction sites, and by relying more heavily on automation and robotics to supplement the workforce and create a safer working environment.

At the same time, supply chain managers are looking at how existing infrastructure can be repurposed to meet the needs of the changing market. Companies like Walmart, Target, and Home Depot are converting retail space into micro-fulfillment centers. Amazon is purchasing closed shopping malls for the same reason. And multiple startups are looking at small corner stores as possible micro- and nano-fulfillment centers.

To make these conversions, companies use cutting-edge engineering and robotics technologies to maximize their cubic space and streamline the flow of goods through that space.

Modular, scalable solutions have enabled these companies to convert different sized areas of a storefront – from part of an entrance to entire buildings – into ecommerce hubs.

Meeting the Changing Needs

To meet the changing needs in the fulfillment industry, warehouses are looking for innovative automated solutions to both streamline processes and better enable their workforce.

Industry 4.0 relies on digitization, big data, networking, and machine learning to create “smart” facilities and integrate robotics in the most beneficial ways possible.

In warehouses and distribution centers, the linchpin of a successful automation integration is the Warehouse Management System (WMS). A robust WMS tracks inventory, maximizes cubic space, and networks with all the physical automation in the building. It can better streamline every aspect of a warehouse, including scheduling, receiving, put away, picking, and shipping.

A robust WMS allows for the integration of the kind of robotic solutions that are modular enough to be engineered into micro-fulfillment centers, scalable enough to work even in the largest warehouses, and versatile enough to handle a variety of tasks and environments.

The increasing versatility and effectiveness of warehouse robotics is driving the industry to triple-digit increases, driving the industry to a projected $6.86 billion by 2025.

Autonomous Mobile Robots (AMRs) have proven to be one of the most reliable and versatile automated solutions in recent years. In any facility – whether new construction or a site that’s already up and running – AMRs can be engineered to serve as the primary means of moving goods, increasing safety protocols, and streamlining product flow through the facility.

AMRs haven’t replaced conveyors, but they do have some key benefits – they’re more easily integrated into existing facilities, and don’t block aisles that could otherwise be used for traffic. Forklift AMRs in particular have proven to be one of the most effective means of boosting productivity in facilities that use multi-level storage.

While AMRs are becoming the go-to means of moving goods throughout a facility, just as impressive are the complementary equipment and solutions that maximize a facility’s storage density and retrieval speeds and accuracy: Automated Storage and Retrieval Systems (AS/RSs), Vertical Lift Modules (VLMs), Carousel Picking Systems (CPSs), robotic shuttles, and more.

These are designed for well-defined zones, ranging in size. They can handle everything from individual pieces to pallet loads and large and bulky items and make possible the goods-to-person picking that enables same-day shipping and delivery.

Automation has proven to be the way for fulfillment companies to stay competitive and profitable in a global market. The challenge for businesses is developing partnerships with experienced systems integrators who can help identify the right automation to meet their specific needs and effectively implement that automation.

At Alta Robotics, we’re Moving What Matters Most.

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