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
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $152.50 mln | $158.80 mln (2 Analysts) |
Q3 Adjusted EPS | Miss | -$0.14 | -$0.12 (2 Analysts) |
Q3 Net Income | -$7.08 mln | ||
Q3 Adjusted EBITDA | Beat | $4.60 mln | $4.54 mln (2 Analysts) |
Q3 Adjusted Gross Margin | 12.10% | ||
Q3 Operating Income | -$1.10 mln |
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.)