Overview

• CVG Q3 revenue of $152.5 mln, missed analyst expectations

• The provider of components to commercial vehicle and EV markets posted adjusted EPS of $(0.14); missed analyst expectations

• Adjusted EBITDA of $4.6 mln beat analyst expectations

Outlook

• CVG lowers 2025 net sales outlook to $640-$650 mln from $650-$670 mln

• Company revises 2025 adjusted EBITDA guidance to $17-$19 mln from $21-$25 mln

• CVG expects over $30 mln in free cash flow for full fiscal year

Result Drivers

• DEMAND SOFTENING - Revenue decline attributed to reduced demand in North American markets, impacting Global Seating and Trim Systems & Components segments

• GLOBAL ELECTRICAL GROWTH - Global Electrical Systems segment returned to year-over-year revenue growth due to new business wins outside Construction and Agriculture markets

• MARGIN IMPROVEMENTS - Improved gross margin performance and lower SG&A expenses contributed to increased adjusted operating income

Key Details

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 66.5% above its November 7 closing price of $1.34

• The stock recently traded at 30 times the next 12-month earnings vs. a P/E of 36 three months ago

Press Release: ID:nGNX2kP9Cb

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)