Askeladden Capital Pushes for Change at AstroNova

AstroNova, Inc. faces scrutiny as Askeladden Capital Management LLC raises concerns over the company's recent performance. The portfolio manager, Samir Patel, who is also AstroNova’s largest shareholder, highlighted poor results in Q4 and FY2025, attributing continuous underperformance to delays and lack of accountability.

The firm reported a steep decline in shares, over 50%, since acquiring MTEX, which led to covenant breaches and debt defaults. Financial metrics showed significant declines: net revenue decreased by 5.6%, gross profit by 13.7%, and adjusted EBITDA by over 46%. Patel criticized CEO Greg Woods and long-serving directors, blaming them for ongoing failures.

To address these issues, Patel has nominated five new board members focused on accountability and shareholder value. The upcoming proxy statement aims to provide further insights and garner support for this shift, as Askeladden seeks to reverse AstroNova’s downward trajectory.