Toro Co. Files 2024 Annual Report

TL;DR

Toro's 2024 10-K is in. Full financial picture for the year ending Oct 31.

AI Summary

The Toro Company (TTC) filed its 10-K for the fiscal year ending October 31, 2024. The company reported its financial performance and business operations. Key financial data and operational details are presented in this comprehensive annual report.

Why It Matters

This filing provides investors and stakeholders with a detailed overview of Toro's financial health, strategic initiatives, and risk factors for the past fiscal year, influencing investment decisions.

Risk Assessment

Risk Level: medium — The filing is a standard annual report and does not indicate any immediate or unusual risks.

Key Numbers

• 2024-10-31 — Fiscal Year End (Reporting period for the 10-K)
• 2024-12-18 — Filing Date (Date the 10-K was submitted to the SEC)
• 2023-11-01 — Fiscal Year Start (Beginning of the reporting period)
• 2022-11-01 — Prior Fiscal Year Start (Beginning of the previous reporting period)
• 2021-11-01 — Prior Fiscal Year Start (Beginning of the prior fiscal year)

Key Players & Entities

• TORO CO (company) — Filer
• 8111 LYNDALE AVE SOUTH (location) — Business Address
• BLOOMINGTON (location) — Business City
• MN (location) — Business State
• 55420-1196 (location) — Business Zip Code
• 9528888801 (phone) — Business Phone
• 1031 (date) — Fiscal Year End

FAQ

Key Financial Figures

• $1.00 — ich registered Common Stock, par value $1.00 per share TTC New York Stock Exchange

Filing Documents

• ttc-20241031.htm (10-K) — 2439KB
• ttc-10312024xex19.htm (EX-19) — 75KB
• ttc-10312024xex21.htm (EX-21) — 48KB
• ttc-10312024xex231.htm (EX-23.1) — 3KB
• ttc-10312024xex241.htm (EX-24.1) — 12KB
• ttc-10312024xex311.htm (EX-31.1) — 11KB
• ttc-10312024xex312.htm (EX-31.2) — 11KB
• ttc-10312024xex32.htm (EX-32) — 8KB
• ttc-20241031_g1.jpg (GRAPHIC) — 96KB
• 0000737758-24-000087.txt ( ) — 13530KB
• ttc-20241031.xsd (EX-101.SCH) — 76KB
• ttc-20241031_cal.xml (EX-101.CAL) — 125KB
• ttc-20241031_def.xml (EX-101.DEF) — 432KB
• ttc-20241031_lab.xml (EX-101.LAB) — 987KB
• ttc-20241031_pre.xml (EX-101.PRE) — 745KB
• ttc-20241031_htm.xml (XML) — 2231KB

Business

Business 4 ITEM 1A.

Risk Factors

Risk Factors 15 ITEM 1B. Unresolved Staff Comments 29 ITEM 1C. Cybersecurity 29 ITEM 2.

Properties

Properties 31 ITEM 3.

Legal Proceedings

Legal Proceedings 31 ITEM 4. Mine Safety Disclosures 31 Information About Our Executive Officers 32 PART II ITEM 5. Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities 33 The Toro Company Common Stock Comparative Performance Graph 34 ITEM 6. [Reserved] 34 ITEM 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 35 Company Overview 35 Results of Operations 36 Business Segments 37 Financial Position 39 Non-GAAP Financial Measures 43 Critical Accounting Policies and Estimates 46 ITEM 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 52 ITEM 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 54 Management's Report on Internal Control over Financial Reporting 54 Report of Independent Registered Public Accounting Firm 55 Consolidated Statements of Earnings 57 Consolidated Statements of Comprehensive Income 57 Consolidated Balance Sheets 58 Consolidated Statements of Cash Flows 59 Consolidated Statements of Stockholders' Equity 60

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 61 ITEM 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 96 ITEM 9A.

Controls and Procedures

Controls and Procedures 96 ITEM 9B. Other Information 96 ITEM 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 96 PART III ITEM 10. Directors, Executive Officers and Corporate Governance 97 ITEM 11.

Executive Compensation

Executive Compensation 97 ITEM 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 97 ITEM 13. Certain Relationships and Related Transactions, and Director Independence 97 ITEM 14. Principal Accountant Fees and Services 97 PART IV ITEM 15. Exhibit and Financial Statement Schedules 98 ITEM 16. Form 10-K Summary 101

SIGNATURES

SIGNATURES 102 2 Table of Contents GENERAL Unless the context requires otherwise, references to "TTC," the "company," "we," "us," and "our," refer to The Toro Company and its consolidated subsidiaries. References to fiscal years, such as "fiscal 2024," are to the fiscal year ending on October 31 of the specified year. We use "Toro" and many other marks as trademarks in the United States and/or in other countries. This Annual Report on Form 10-K contains references to our registered or common law trade names, trademarks or service marks and to those belonging to other entities. Solely for convenience, trademarks and trade names referred to in this Annual Report on Form 10-K, including logos, artwork and other visual displays, may appear without the or symbols, but such references are not intended to indicate in any way that we will not assert, to the fullest extent under applicable law, our rights or the rights of the applicable licensor to these trademarks and trade names. We do not intend our use or display of other entities' trade names, trademarks or service marks to imply a relationship with, or endorsement or sponsorship of us by, any other entity unless otherwise stated. CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains, or incorporates by reference, not only historical information, but also forward-looking statements regarding future events and our future results within the meaning of Section 27A of the Securities Act of 1933, as amended ("Securities Act"), Section 21E of the Securities Exchange Act of 1934, as amended ("Exchange Act"), and the Private Securities Litigation Reform Act of 1995, and that are subject to the safe harbor created by those sections. In addition, we or others on our behalf may make forward-looking statements from time to time in oral presentations, including telephone conferences and/or web casts open to the public, in press releases or reports, on our websites or otherwise. Sta

BUSINESS

ITEM 1. BUSINESS Introduction We design, manufacture, market and sell professional turf maintenance equipment and services; turf irrigation systems; landscaping equipment and lighting products; snow and ice management products; agricultural irrigation ("ag-irrigation") systems; rental, specialty and underground construction equipment; and residential yard and snow thrower products. Our purpose is to help our customers enrich the beauty, productivity, and sustainability of the land. Our products are marketed and sold worldwide through a network of distributors, dealers, mass retailers, hardware retailers, equipment rental centers, and home centers, as well as online and direct to end-users under the primary trademarks of Toro, Ditch Witch, eXmark, Spartan, BOSS, Ventrac, American Augers, Trencor, Subsite, HammerHead, Radius, Perrot, Hayter, Unique Lighting Systems, Irritrol, and Lawn-Boy, most of which are registered in the United States ("U.S.") and/or in the primary countries outside the U.S. where we market our products branded under such trademarks. We focus on innovation and quality in our products, customer service, manufacturing, and marketing. We strive to provide innovative, well-built, and dependable products supported by an extensive service network. We commit to funding research, development, and engineering activities in order to improve and enhance existing products and develop new products. Through these efforts, we seek to be responsive to trends that may affect our target markets now and in the future. A significant portion of our net sales has historically been, and we expect will continue to be, attributable to new and enhanced products. We define new products as those introduced in the current and previous two fiscal years. We have continued to complement our brands, enhance our product portfolios, and improve our technologies through innovation and strategic acquisitions over the more than 100 years we have been in business. We plan to contin