Parkland News

“In challenging market conditions, our performance in fiscal 2007 highlights the strength and resiliency of our company,” said Michael J. Hoffman, chairman and chief executive officer. “We completed another record year of increased net sales and net earnings with solid growth in the worldwide professional segment. We believe these results indicate that Toro has outperformed in a soft market.” The company reported worldwide growth in its professional segment net sales which helped offset softness in the residential segment worldwide. International net sales increased 9.6 percent over 2006 and accounted for 29 percent of total net sales, an increase from 27 percent in 2006.

BUSINESS OUTLOOK
Today, Toro announced the acquisition of Turf Guard Wireless Monitoring System technology to further strengthen its leadership position in the golf irrigation market. The acquisition is an important addition to the company’s precision irrigation strategy for the future. Turf Guard is designed to measure soil moisture, salinity and temperature through buried wireless sensors that
transmit data to a web-based interface for analysis. It will provide a significant and competitive benefit to assist customers in the overall management of water application. Although Toro’s long-term strategy will benefit from the addition of this technology, revenue contributions in the short-term are not expected to be material.

Commenting on the outlook for 2008, Hoffman said, “While the challenging market conditions of 2007 are likely to continue, we believe we are well-positioned to deliver a year of solid returns.