CVG Q2 revenue down 11.2%
Overview
CVG Q2 2025 revenue down 11.2% yr/yr, beats analyst expectations, per LSEG data
Adjusted EPS for Q2 misses analyst expectations, reflecting net loss from operations
Co raises full yr free cash flow outlook to at least $30 mln
Outlook
CVG revises 2025 net sales outlook to $650-670 mln
Company lowers 2025 adjusted EBITDA guidance to $21-25 mln
CVG raises 2025 free cash flow outlook to over $30 mln
Construction and Agriculture markets projected to decline 5-15% in 2025
Result Drivers
SOFTENING DEMAND - Revenue down 11.2% due to softening in global demand, per CEO James Ray
OPERATIONAL EFFICIENCY - Gross margin improved by 80 basis points due to operational efficiency improvements
NEW BUSINESS WINS - Global Electrical Systems segment performance improved due to new business wins outside Construction and Agriculture markets
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $172 mln | $156.30 mln (2 Analysts) |
Q2 Adjusted EPS | Miss | -$0.09 | -$0.07 (2 Analysts) |
Q2 Net Income | -$4.76 mln | ||
Q2 Adjusted EBITDA | Beat | $5.20 mln | $4.88 mln (2 Analysts) |
Q2 Adjusted Gross Margin | 12.0% | ||
Q2 Operating Income | $800,000 |
Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy."
Wall Street's median 12-month price target for Commercial Vehicle Group Inc is $4.00, about 58% above its August 1 closing price of $1.68
The stock recently traded at 51 times the next 12-month earnings vs. a P/E of 8 three months ago
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