CVG reports Q1 2025 sales of $170 million, adjusted EBITDA of $5.8 million, and updates 2025 guidance.
Quiver AI Summary
CVG (NASDAQ: CVGI) reported its first-quarter financial results for 2025, with revenues of $169.8 million, down 12.7% from the previous year, primarily due to decreased demand in the Construction, Agriculture, and North American Class 8 truck markets. The company experienced a net loss of $3.1 million, or $(0.09) per diluted share, compared to a net income of $1.4 million in Q1 2024. Adjusted EBITDA fell by 40.2% to $5.8 million. However, CVG showed significant improvements in free cash flow, generating $11.2 million, which contributed to a reduction in net debt by $11.7 million. CVG underwent a strategic reorganization into three segments and is focusing on cash generation and operational efficiency despite facing macroeconomic challenges. The company has also updated its full-year guidance for 2025, anticipating lower sales and adjusted EBITDA than previously projected.
Potential Positives
- First quarter free cash flow increased significantly to $11.2 million, reflecting improved working capital management and enabling further debt reduction.
- Gross margin expanded by 250 basis points compared to Q4 2024, indicating improved operational efficiency and effective cost management.
- The company completed a strategic reorganization, positioning itself with three operating segments to enhance focus and alignment with market demands.
- Management expressed confidence in the company’s transformation efforts from 2024, asserting that these changes will help navigate current macroeconomic challenges effectively.
Potential Negatives
- Revenues declined 12.7% year-over-year, indicating a significant reduction in demand across key markets, specifically in global Construction, Agriculture, and North American Class 8 trucks.
- Net loss from continuing operations of $3.1 million, compared to a net income of $1.4 million in the prior year, highlighting a troubling reversal in financial performance.
- Adjusted EBITDA decreased by 40.2%, reflecting substantial pressure on profitability and operational efficiency.
FAQ
What were CVG's first quarter 2025 sales figures?
CVG reported first quarter sales of $169.8 million for 2025.
How did CVG's EPS perform in the first quarter?
EPS for the first quarter was $(0.09), compared to a profit of $0.05 in the previous year.
What was CVG's adjusted EBITDA for Q1 2025?
CVG achieved an adjusted EBITDA of $5.8 million in the first quarter of 2025.
What factors impacted CVG's revenue in the first quarter?
Revenue was impacted by declining demand in global construction, agriculture markets, and North America Class 8 truck sales.
What is CVG's updated outlook for full year 2025?
CVG's updated outlook for full year 2025 projects net sales between $660 million and $690 million.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$CVGI Insider Trading Activity
$CVGI insiders have traded $CVGI stock on the open market 7 times in the past 6 months. Of those trades, 7 have been purchases and 0 have been sales.
Here’s a breakdown of recent trading of $CVGI stock by insiders over the last 6 months:
- J MICHAEL NAUMAN has made 4 purchases buying 25,100 shares for an estimated $60,552 and 0 sales.
- ROBERT C GRIFFIN has made 2 purchases buying 15,000 shares for an estimated $39,650 and 0 sales.
- WAYNE M RANCOURT purchased 15,000 shares for an estimated $38,700
To track insider transactions, check out Quiver Quantitative's insider trading dashboard.
$CVGI Hedge Fund Activity
We have seen 54 institutional investors add shares of $CVGI stock to their portfolio, and 47 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- FORAGER CAPITAL MANAGEMENT, LLC removed 1,500,672 shares (-43.7%) from their portfolio in Q4 2024, for an estimated $3,721,666
- PEAPOD LANE CAPITAL LLC added 565,090 shares (+inf%) to their portfolio in Q1 2025, for an estimated $649,853
- ROYCE & ASSOCIATES LP removed 327,377 shares (-14.5%) from their portfolio in Q1 2025, for an estimated $376,483
- RENAISSANCE TECHNOLOGIES LLC added 254,364 shares (+14.7%) to their portfolio in Q4 2024, for an estimated $630,822
- BRANDYWINE GLOBAL INVESTMENT MANAGEMENT, LLC removed 250,157 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $620,389
- D. E. SHAW & CO., INC. added 120,996 shares (+36.3%) to their portfolio in Q4 2024, for an estimated $300,070
- MILLENNIUM MANAGEMENT LLC added 119,714 shares (+inf%) to their portfolio in Q4 2024, for an estimated $296,890
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
Full Release
First quarter sales of $170 million, EPS of $(0.09), Adjusted EBITDA of $5.8 million
Significantly improved free cash flow enables further debt paydown
Updates guidance for full year 2025
NEW ALBANY, Ohio, May 06, 2025 (GLOBE NEWSWIRE) -- CVG (NASDAQ: CVGI), a diversified industrial products and services company, today announced financial results for its first quarter ended March 31, 2025.
During the quarter, the Company completed a strategic reorganization of its operations into three segments: Global Seating, Global Electrical Systems, and Trim Systems and Components. The results and comparisons presented below reflect continuing operations unless otherwise noted.
First Quarter
2025
Highlights
(Results from Continuing Operations; compared with prior year, where comparisons are noted)
Revenues of $169.8 million, down 12.7%, primarily due to softening in global Construction and Agriculture markets and North America Class 8 truck demand.
Operating income of $1.4 million, adjusted operating income of $2.1 million, down compared to operating income of $4.5 million and adjusted operating income of $6.3 million. The decrease in operating income was driven primarily by lower sales volumes offset by reductions in SG&A expense.
Net loss from continuing operations of $3.1 million, or $(0.09) per diluted share and adjusted net loss of $2.6 million, or $(0.08) per diluted share, compared to net income from continuing operations of $1.4 million, or $0.05 per diluted share and adjusted net income of $2.8 million, or $0.08 per diluted share.
Adjusted EBITDA of $5.8 million, down 40.2%, with an adjusted EBITDA margin of 3.4%, down from 5.0%.
Free cash flow of $11.2 million, up $17.7 million, due to better working capital management. Net debt decreased $11.7 million compared to the year end 2024 level.
Gross margin expansion of 250 basis points versus Q4 2024 due to operational efficiency improvements and conclusion of one-time cost drivers from 2024.
James Ray, President and Chief Executive Officer, said, “Our first quarter results demonstrate sequential improvement in margins and free cash flow. Cash generation and debt paydown remain key priorities for CVG, as we look to build on our strong free cash performance in the first quarter through further margin improvement, working capital reduction, and reduced capital expenditures. We are beginning to see the benefits of efforts made in 2024, including strategic divestments of non-core businesses, to transform CVG. These divestitures, as well as our priority on improving operational efficiency, have allowed us to streamline operations, lower our cost structure, and drive cash generation to pay down debt. Despite industry-wide and global macroeconomic headwinds, we are prioritizing strong execution from the top down within CVG focused on cost mitigation, margin improvement, and operational efficiency.”
Mr. Ray continued, “The actions we took last year position us well for the future. Change management is always difficult, and I would personally like to thank the entire CVG team for their efforts throughout the process. I would like to thank Bob Griffin, our current Chairman, for his contributions to CVG’s strategic goals and priorities over the years. I am also excited to continue working with Bill Johnson, a current board member who is expected to become the Chairman of the Board following Mr. Griffin’s retirement, effective May 15, 2025. While we acknowledge the current macroeconomic uncertainties and geopolitical environment, the transformation undertaken in 2024 makes CVG a lower cost, more nimble company, better positioned to navigate these challenges. We are committed to execution, delivery, and driving operational efficiency, while managing the potential impact of trade policy.”
Andy Cheung, Chief Financial Officer, added, “We are encouraged by the quarter-over-quarter improvement in our financial performance, as we start to see the benefits of our strategic portfolio realignment and operational efficiency efforts. However, given the economic environment and policy concerns, we are adjusting our outlook to reflect current market conditions. Our focused portfolio, now more closely aligned with our customers through our re-segmentation, positions us for improved value capture as end markets recover.”
First Quarter Financial Results from Continuing Operations
(amounts in millions except per share data and percentages)
First Quarter | |||||||||||||||
2025 | 2024 | $ Change | % Change | ||||||||||||
Revenues | $ | 169.8 | $ | 194.6 | $ | (24.8 | ) | (12.7 | )% | ||||||
Gross profit | $ | 17.8 | $ | 23.2 | $ | (5.4 | ) | (23.3 | )% | ||||||
Gross margin | 10.5 | % | 11.9 | % | |||||||||||
Adjusted gross profit 1 | $ | 18.3 | $ | 24.7 | $ | (6.4 | ) | (25.9 | )% | ||||||
Adjusted gross margin 1 | 10.8 | % | 12.7 | % | |||||||||||
Operating income | $ | 1.4 | $ | 4.5 | $ | (3.1 | ) | (68.9 | )% | ||||||
Operating margin | 0.8 | % | 2.3 | % | |||||||||||
Adjusted operating income 1 | $ | 2.1 | $ | 6.3 | $ | (4.2 | ) | (66.7 | )% | ||||||
Adjusted operating margin 1 | 1.2 | % | 3.2 | % | |||||||||||
Net income (loss) from continuing operations | $ | (3.1 | ) | $ | 1.4 | $ | (4.5 | ) | NM 2 | ||||||
Adjusted net income (loss) from continuing operations 1 | $ | (2.6 | ) | $ | 2.8 | $ | (5.4 | ) | NM 2 | ||||||
Earnings (loss) per share, diluted | $ | (0.09 | ) | $ | 0.05 | $ | (0.14 | ) | NM 2 | ||||||
Adjusted earnings (loss) per share, diluted 1 | $ | (0.08 | ) | $ | 0.08 | $ | (0.16 | ) | NM 2 | ||||||
Adjusted EBITDA 1 | $ | 5.8 | $ | 9.7 | $ | (3.9 | ) | (40.2 | )% | ||||||
Adjusted EBITDA margin 1 | 3.4 | % | 5.0 | % | |||||||||||
1 See Appendix A for GAAP to Non-GAAP reconciliation | |||||||||||||||
2 Not meaningful | |||||||||||||||
Consolidated Results from Continuing Operations
First Quarter 2025 Results
First quarter 2025 revenues were $169.8 million, compared to $194.6 million in the prior year period, a decrease of 12.7%. The overall decrease in revenues was due to lower sales as a result of a softening in customer demand across all segments.
Operating income in the first quarter 2025 was $1.4 million compared to $4.5 million in the prior year period. The decrease in operating income was attributable to the impact of lower sales volumes. First quarter 2025 adjusted operating income was $2.1 million, compared to $6.3 million in the prior year period.
Interest associated with debt and other expenses was $2.5 million and $2.2 million for the first quarter 2025 and 2024, respectively.
Net loss from continuing operations was $3.1 million, or $(0.09) per diluted share, for the first quarter 2025 compared to net income of $1.4 million, or $0.05 per diluted share, in the prior year period. First quarter 2025 adjusted net loss from continuing operations was $2.6 million, or $(0.08) per diluted share, compared to adjusted net income of $2.8 million, or $0.08 per diluted share.
On March 31, 2025, the Company had $32.4 million of outstanding borrowings on its U.S. revolving credit facility and no outstanding borrowings on its China credit facility, $20.2 million of cash and $102.5 million of availability from the credit facilities (subject to covenant limitations), resulting in total liquidity of $122.7 million.
First Quarter 2025 Segment Results
Global Seating Segment
Revenues were $73.4 million compared to $80.8 million for the prior year period, a decrease of 9.1%, due to lower sales volume as a result of decreased customer demand.
Operating income was $2.7 million, compared $2.8 million in the prior year period, a decrease of 3.0%, primarily attributable to lower sales volume and increased freight costs. First quarter 2025 adjusted operating income was $2.7 million compared to $2.8 million in the prior year period.
Global Electrical Systems Segment
Revenues were $50.5 million compared to $58.7 million in the prior year period, a decrease of 14.1%, primarily as a result of decreased customer demand.
Operating loss was $0.3 million compared to operating income of $0.4 million in the prior year period. The decrease in operating income was primarily attributable to lower sales volumes and unfavorable foreign exchange impacts. First quarter 2025 adjusted operating income was $0.2 million compared to $1.5 million in the prior year period.
Trim Systems and Components Segment
Revenues were $45.9 million compared to $55.1 million in the prior year period, a decrease of 16.6%, primarily as a result of decreased customer demand.
Operating income was $1.5 million compared to $4.2 million in the prior year period, a decrease of 63.5%. The decrease in operating income was primarily attributable to lower sales volume and increased freight costs. First quarter 2025 adjusted operating income was $1.6 million compared to $4.7 million in the prior year period.
Outlook
CVG updated the Company's outlook for the full year 2025, based on current market conditions:
Metric | Prior 2025 Outlook ($ millions) | 2025 Outlook ($ millions) |
Net Sales | $670 - $710 | $660- $690 |
Adjusted EBITDA | $25 - $30 | $22 - $27 |
Free Cash Flow | > $20 | |
This outlook reflects, among others, current industry forecasts for North America Class 8 truck builds. According to ACT Research, 2025 North American Class 8 truck production levels are expected to be at 255,000 units. The 2024 actual Class 8 truck builds according to the ACT Research was 332,372 units.
Construction and Agriculture end markets are projected to decline approximately 5-15% in 2025. However, we expect the contribution from new business wins outside of Construction and Agriculture end markets in Electrical Systems to soften this decline.
GAAP to Non-GAAP Reconciliation
A reconciliation of GAAP to non-GAAP financial measures referenced in this release is included as Appendix A to this release.
Conference Call
A conference call to discuss this press release is scheduled for Wednesday, May 7, 2025, at 8:30 a.m. ET. Management intends to reference the Q1 2025 Earnings Call Presentation during the conference call. To participate, dial (800) 549-8228 using conference code 57416. International participants dial (289) 819-1520 using conference code 57416.
This call is being webcast and can be accessed through the “Investors” section of CVG’s website at ir.cvgrp.com, where it will be archived for one year.
A telephonic replay of the conference call will be available for a period of two weeks following the call. To access the replay, dial (888) 660-6264 using access code 57416#.
Company Contact
Andy Cheung
Chief Financial Officer
CVG
IR@cvgrp.com
Investor Relations Contact
Ross Collins or Stephen Poe
Alpha IR Group
CVGI@alpha-ir.com
About CVG
CVG is a global provider of systems, assemblies and components to the global commercial vehicle market and the electric vehicle market. We deliver real solutions to complex design, engineering and manufacturing problems while creating positive change for our customers, industries and communities we serve. Information about the Company and its products is available on the internet at www.cvgrp.com.
Forward-Looking Statements
This press release contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as “believe”, “anticipate”, “plan”, “expect”, “intend”, “will”, “should”, “could”, “would”, “project”, “continue”, “likely”, and similar expressions. In particular, this press release may contain forward-looking statements about the Company’s expectations for future periods with respect to its plans to improve financial results, the future of the Company’s end markets, changes in the Class 8 and Class 5-7 North America truck build rates, performance of the global construction and agricultural equipment business, the Company’s prospects in the wire harness, and electric vehicle markets, the Company’s initiatives to address customer needs, organic growth, the Company’s strategic plans and plans to focus on certain segments, competition faced by the Company, volatility in and disruption to the global economic environment and the Company’s financial position or other financial information. These statements are based on certain assumptions that the Company has made in light of its experience as well as its perspective on historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Actual results may differ materially from the anticipated results because of certain risks and uncertainties, including those included in the Company’s filings with the SEC. There can be no assurance that statements made in this press release relating to future events will be achieved. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on behalf of the Company are expressly qualified in their entirety by such cautionary statements.
Other Information
Throughout this document, certain numbers in the tables or elsewhere may not sum due to rounding. Rounding may have also impacted the presentation of certain year-on-year percentage changes.
COMMERCIAL VEHICLE GROUP, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (1) Three Months Ended March 31, 2025 and 2024 (Unaudited) (Amounts in thousands, except per share amounts) | |||||||
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
Revenues | $ | 169,795 | $ | 194,626 | |||
Cost of revenues | 152,002 | 171,462 | |||||
Gross profit | 17,793 | 23,164 | |||||
Selling, general and administrative expenses | 16,385 | 18,655 | |||||
Operating income | 1,408 | 4,509 | |||||
Other (income) expense | (72 | ) | 212 | ||||
Interest expense | 2,503 | 2,186 | |||||
Income (loss) before provision for income taxes | (1,023 | ) | 2,111 | ||||
Provision for income taxes | 2,116 | 665 | |||||
Net income (loss) from continuing operations | $ | (3,139 | ) | $ | 1,446 | ||
Net income (loss) from discontinued operations | (1,173 | ) | 1,493 | ||||
Net income (loss) | (4,312 | ) | 2,939 | ||||
Basic earnings (loss) per share | |||||||
Income (loss) from continuing operations | $ | (0.09 | ) | $ | 0.05 | ||
Income (loss) from discontinued operations | $ | (0.03 | ) | $ | 0.04 | ||
Diluted earnings (loss) per share | |||||||
Income (loss) from continuing operations | $ | (0.09 | ) | $ | 0.05 | ||
Income (loss) from discontinued operations | $ | (0.03 | ) | $ | 0.04 | ||
Weighted average shares outstanding: | |||||||
Basic | 33,693 | 33,325 | |||||
Diluted | 33,693 | 33,403 | |||||
(1) The operating results related to the cab structures business and Industrial Automation business have been reflected as discontinued operations in the Condensed Consolidated Statements of Operations for all periods presented.
COMMERCIAL VEHICLE GROUP, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Amounts in thousands, except per share amounts) | |||||||
ASSETS | March 31, 2025 | December 31, 2024 | |||||
Current assets: | |||||||
Cash | $ | 20,213 | $ | 26,630 | |||
Accounts receivable, net | 119,485 | 118,683 | |||||
Inventories | 123,086 | 128,224 | |||||
Other current assets | 30,667 | 29,763 | |||||
Total current assets | 293,451 | 303,300 | |||||
Property, plant and equipment, net | 68,684 | 68,861 | |||||
Intangible assets, net | 3,781 | 3,918 | |||||
Deferred income taxes | 11,381 | 11,084 | |||||
Other assets, net | 42,526 | 37,410 | |||||
Total assets | $ | 419,823 | $ | 424,573 | |||
LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 85,556 | $ | 77,002 | |||
Accrued liabilities and other | 39,136 | 40,358 | |||||
Current portion of long-term debt and short-term debt | 13,906 | 8,438 | |||||
Total current liabilities | 138,598 | 125,798 | |||||
Long-term debt | 103,494 | 127,062 | |||||
Pension and other post-retirement benefits | 8,472 | 8,143 | |||||
Other long-term liabilities | 32,603 | 27,978 | |||||
Total liabilities | $ | 283,167 | $ | 288,981 | |||
Stockholders’ equity: | |||||||
Preferred stock | $ | — | $ | — | |||
Common stock | 337 | 337 | |||||
Treasury stock | (16,468 | ) | (16,468 | ) | |||
Additional paid-in capital | 269,887 | 269,117 | |||||
Retained deficit | (78,363 | ) | (74,051 | ) | |||
Accumulated other comprehensive loss | (38,737 | ) | (43,343 | ) | |||
Total stockholders’ equity | 136,656 | 135,592 | |||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 419,823 | $ | 424,573 | |||
COMMERCIAL VEHICLE GROUP, INC. AND SUBSIDIARIES BUSINESS SEGMENT FINANCIAL INFORMATION (Unaudited) (Amounts in thousands) | ||||||||||||||||||||||||||||||||
Three Months Ended March 31, | ||||||||||||||||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | ||||||||||||||||||||||||||||
2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||
Revenues | $ | 73,408 | $ | 80,797 | $ | 50,453 | $ | 58,726 | $ | 45,934 | $ | 55,103 | $ | — | $ | — | $ | 169,795 | $ | 194,626 | ||||||||||||
Gross profit (loss) | 9,091 | 10,846 | 3,990 | 4,825 | 4,712 | 7,600 | — | (107 | ) | 17,793 | 23,164 | |||||||||||||||||||||
Selling, general & administrative expenses | 6,378 | 8,051 | 4,306 | 4,382 | 3,177 | 3,400 | 2,524 | 2,822 | 16,385 | 18,655 | ||||||||||||||||||||||
Operating income (loss) | $ | 2,713 | $ | 2,795 | $ | (316 | ) | $ | 443 | $ | 1,535 | $ | 4,200 | $ | (2,524 | ) | $ | (2,929 | ) | $ | 1,408 | $ | 4,509 | |||||||||
COMMERCIAL VEHICLE GROUP, INC. AND SUBSIDIARIES Appendix A: Reconciliation of GAAP to Non-GAAP Financial Measures (Unaudited) (Amounts in thousands, except per share amounts and percentages) | |||||||
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
Gross profit | $ | 17,793 | $ | 23,164 | |||
Restructuring | 530 | 1,583 | |||||
Adjusted gross profit | $ | 18,323 | $ | 24,747 | |||
% of revenues | 10.8 | % | 12.7 | % | |||
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
Operating income | $ | 1,408 | $ | 4,509 | |||
Restructuring | 702 | 1,777 | |||||
Adjusted operating income | $ | 2,110 | $ | 6,286 | |||
% of revenues | 1.2 | % | 3.2 | % | |||
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
Net income (loss) from continuing operations | $ | (3,139 | ) | $ | 1,446 | ||
Operating income adjustments | 702 | 1,777 | |||||
Adjusted provision for income taxes 1 | (176 | ) | (444 | ) | |||
Adjusted net income (loss) from continuing operations | $ | (2,613 | ) | $ | 2,779 | ||
Diluted EPS | $ | (0.09 | ) | $ | 0.05 | ||
Adjustments to diluted EPS | $ | 0.01 | $ | 0.03 | |||
Adjusted diluted EPS | $ | (0.08 | ) | $ | 0.08 | ||
1. Reported Tax Provision adjusted for tax effect of special charges at 25% | |||||||
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
Net income (loss) from continuing operations | $ | (3,139 | ) | $ | 1,446 | ||
Interest expense | 2,503 | 2,186 | |||||
Provision for income taxes | 2,116 | 665 | |||||
Depreciation expense | 3,438 | 3,431 | |||||
Amortization expense | 141 | 183 | |||||
EBITDA | $ | 5,059 | $ | 7,911 | |||
% of revenues | 3.0 | % | 4.1 | % | |||
EBITDA adjustments | |||||||
Restructuring | $ | 702 | $ | 1,777 | |||
Adjusted EBITDA | $ | 5,761 | $ | 9,688 | |||
% of revenues | 3.4 | % | 5.0 | % | |||
Three Months Ended March 31, 2025 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 2,713 | $ | (316 | ) | $ | 1,535 | $ | (2,524 | ) | $ | 1,408 | |||||||
Restructuring | — | 530 | 45 | 127 | 702 | ||||||||||||||
Adjusted operating income (loss) | $ | 2,713 | $ | 214 | $ | 1,580 | $ | (2,397 | ) | $ | 2,110 | ||||||||
% of revenues | 3.7 | % | 0.4 | % | 3.4 | % | 1.2 | % | |||||||||||
Three Months Ended March 31, 2024 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 2,796 | $ | 444 | $ | 4,200 | $ | (2,931 | ) | $ | 4,509 | ||||||||
Restructuring | 45 | 1,091 | 470 | 171 | $ | 1,777 | |||||||||||||
Adjusted operating income (loss) | $ | 2,841 | $ | 1,535 | $ | 4,670 | $ | (2,760 | ) | $ | 6,286 | ||||||||
% of revenues | 3.5 | % | 2.6 | % | 8.5 | % | 3.2 | % | |||||||||||
The following tables present reconciliations of the captions within CVG's Condensed Consolidated Statements of Cash Flows to Free cash flow, attributable to continuing operations, discontinued operations, and total CVG for the three and three months ended March 31, 2025 and 2024.
Three Months Ended | |||||||
March 31, 2025 | March 31, 2024 | ||||||
CONTINUING OPERATIONS | |||||||
Cash flows from operating activities | $ | 15,015 | $ | (4,832 | ) | ||
Purchases of property, plant and equipment | (3,806 | ) | (4,837 | ) | |||
Proceeds from sale of business | — | 3,200 | |||||
Free cash flow from continuing operations | $ | 11,209 | $ | (6,469 | ) | ||
DISCONTINUED OPERATIONS | |||||||
Cash flows from operating activities | $ | 157 | $ | 2,476 | |||
Purchases of property, plant and equipment | — | (222 | ) | ||||
Free cash flow from discontinued operations | $ | 157 | $ | 2,254 | |||
TOTAL COMPANY | |||||||
Cash flows from operating activities | $ | 15,172 | $ | (2,356 | ) | ||
Purchases of property, plant and equipment | (3,806 | ) | (5,059 | ) | |||
Proceeds from sale of business | — | 3,200 | |||||
Free cash flow | $ | 11,366 | $ | (4,215 | ) | ||
COMMERCIAL VEHICLE GROUP, INC. AND SUBSIDIARIES
Appendix B: Supplemental Quarterly Reconciliation of GAAP to Non-GAAP Financial Measures
2024 and 2023 by Quarter
(Unaudited)
(Amounts in thousands)
Three Months Ended March 31, 2024 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 80,797 | $ | 58,726 | $ | 55,103 | $ | 194,626 | |||||||
Cost of revenues | 69,951 | 53,901 | 47,503 | 171,355 | |||||||||||
Gross profit | 10,846 | 4,825 | 7,600 | 23,271 | |||||||||||
Selling, general & administrative expenses | 8,051 | 4,382 | 3,400 | 15,833 | |||||||||||
Operating income | $ | 2,795 | $ | 443 | $ | 4,200 | $ | 7,438 | |||||||
Corporate and other unallocated costs | 2,929 | ||||||||||||||
Other (income) expense | 212 | ||||||||||||||
Interest expense | 2,186 | ||||||||||||||
Income before provision for income taxes | $ | 2,111 | |||||||||||||
Three Months Ended March 31, 2024 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 2,795 | $ | 443 | $ | 4,200 | $ | (2,929 | ) | $ | 4,509 | ||||||||
Restructuring | 45 | 1,091 | 470 | 171 | 1,777 | ||||||||||||||
Adjusted operating income (loss) | $ | 2,840 | $ | 1,534 | $ | 4,670 | $ | (2,758 | ) | $ | 6,286 | ||||||||
Three Months Ended June 30, 2024 | ||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | |||||||||||||
Revenues | $ | 82,404 | $ | 53,639 | $ | 57,622 | $ | 193,665 | ||||||||
Cost of revenues | 71,770 | 49,655 | 51,672 | 173,097 | ||||||||||||
Gross profit | 10,634 | 3,984 | 5,950 | 20,568 | ||||||||||||
Selling, general & administrative expenses | 8,534 | 4,523 | 3,623 | 16,680 | ||||||||||||
Operating income (loss) | $ | 2,100 | $ | (539 | ) | $ | 2,327 | $ | 3,888 | |||||||
Corporate and other unallocated costs | 2,824 | |||||||||||||||
Other (income) expense | 206 | |||||||||||||||
Interest expense | 2,417 | |||||||||||||||
Loss before provision for income taxes | $ | (1,559 | ) | |||||||||||||
Three Months Ended June 30, 2024 | ||||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | ||||||||||||||||
Operating income (loss) | $ | 2,100 | $ | (539 | ) | $ | 2,327 | $ | (2,824 | ) | $ | 1,064 | ||||||||
Restructuring | 762 | 1,379 | 1,634 | — | 3,775 | |||||||||||||||
Adjusted operating income (loss) | $ | 2,862 | $ | 840 | $ | 3,961 | $ | (2,824 | ) | $ | 4,839 | |||||||||
Three Months Ended September 30, 2024 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 76,643 | $ | 46,714 | $ | 48,415 | $ | 171,772 | |||||||
Cost of revenues | 68,834 | 43,721 | 42,706 | 155,261 | |||||||||||
Gross profit | 7,809 | 2,993 | 5,709 | 16,511 | |||||||||||
Selling, general & administrative expenses | 5,805 | 4,468 | 3,806 | 14,079 | |||||||||||
Operating income (loss) | $ | 2,004 | $ | (1,475 | ) | $ | 1,903 | $ | 2,432 | ||||||
Corporate and other unallocated costs | 3,492 | ||||||||||||||
Other (income) expense | (1,033 | ) | |||||||||||||
Interest expense | 2,371 | ||||||||||||||
Loss before provision for income taxes | $ | (2,398 | ) | ||||||||||||
Three Months Ended September 30, 2024 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 2,004 | $ | (1,475 | ) | $ | 1,903 | $ | (3,492 | ) | $ | (1,060 | ) | ||||||
Restructuring | 778 | 1,275 | 2,164 | — | 4,217 | ||||||||||||||
Gain on sale of fixed assets | — | — | (3,544 | ) | (3,544 | ) | |||||||||||||
Adjusted operating income (loss) | $ | 2,782 | $ | (200 | ) | $ | 523 | $ | (3,492 | ) | $ | (387 | ) | ||||||
Three Months Ended December 31, 2024 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 74,838 | $ | 44,049 | $ | 44,405 | $ | 163,292 | |||||||
Cost of revenues | 66,428 | 42,669 | 41,120 | 150,217 | |||||||||||
Gross profit | 8,410 | 1,380 | 3,285 | 13,075 | |||||||||||
Selling, general & administrative expenses | 7,735 | 4,369 | 3,413 | 15,517 | |||||||||||
Operating income (loss) | $ | 675 | $ | (2,989 | ) | $ | (128 | ) | $ | (2,442 | ) | ||||
Corporate and other unallocated costs | 2,829 | ||||||||||||||
Other (income) expense | (1,585 | ) | |||||||||||||
Interest expense | 2,200 | ||||||||||||||
Loss on extinguishment of debt | 509 | ||||||||||||||
Loss before provision for income taxes | $ | (6,395 | ) | ||||||||||||
Three Months Ended December 31, 2024 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 675 | $ | (2,989 | ) | $ | (128 | ) | $ | (2,829 | ) | $ | (5,271 | ) | |||||
Restructuring | (39 | ) | — | 1,054 | — | 1,015 | |||||||||||||
Adjusted operating income (loss) | $ | 636 | $ | (2,989 | ) | $ | 926 | $ | (2,829 | ) | $ | (4,256 | ) | ||||||
Three Months Ended March 31, 2023 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 95,877 | $ | 58,534 | $ | 63,640 | $ | 218,051 | |||||||
Cost of revenues | 83,678 | 49,166 | 53,218 | 186,062 | |||||||||||
Gross profit | 12,199 | 9,368 | 10,422 | 31,989 | |||||||||||
Selling, general & administrative expenses | 8,038 | 4,225 | 4,124 | 16,387 | |||||||||||
Operating income | $ | 4,161 | $ | 5,143 | $ | 6,298 | $ | 15,602 | |||||||
Corporate and other unallocated costs | 3,203 | ||||||||||||||
Other (income) expense | (203 | ) | |||||||||||||
Interest expense | 2,749 | ||||||||||||||
Income before provision for income taxes | $ | 9,853 | |||||||||||||
Three Months Ended March 31, 2023 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 4,161 | $ | 5,143 | $ | 6,298 | $ | (3,203 | ) | $ | 12,399 | ||||||||
Restructuring | 82 | 8 | — | — | 90 | ||||||||||||||
Adjusted operating income (loss) | $ | 4,243 | $ | 5,151 | $ | 6,298 | $ | (3,203 | ) | $ | 12,489 | ||||||||
Three Months Ended June 30, 2023 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 89,807 | $ | 67,581 | $ | 63,412 | $ | 220,800 | |||||||
Cost of revenues | 76,961 | 55,814 | 52,407 | 185,182 | |||||||||||
Gross profit | 12,846 | 11,767 | 11,005 | 35,618 | |||||||||||
Selling, general & administrative expenses | 8,532 | 4,685 | 4,816 | 18,033 | |||||||||||
Operating income | $ | 4,314 | $ | 7,082 | $ | 6,189 | $ | 17,585 | |||||||
Corporate and other unallocated costs | 3,099 | ||||||||||||||
Other (income) expense | 308 | ||||||||||||||
Interest expense | 2,672 | ||||||||||||||
Income before provision for income taxes | $ | 11,506 | |||||||||||||
Three Months Ended June 30, 2023 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 4,314 | $ | 7,082 | $ | 6,189 | $ | (3,099 | ) | $ | 14,486 | ||||||||
Restructuring | 49 | — | 294 | — | 343 | ||||||||||||||
Adjusted operating income (loss) | $ | 4,363 | $ | 7,082 | $ | 6,483 | $ | (3,099 | ) | $ | 14,829 | ||||||||
Three Months Ended September 30, 2023 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 85,220 | $ | 57,136 | $ | 60,541 | $ | 202,897 | |||||||
Cost of revenues | 74,861 | 48,222 | 50,396 | 173,479 | |||||||||||
Gross profit | 10,359 | 8,914 | 10,145 | 29,418 | |||||||||||
Selling, general & administrative expenses | 8,716 | 3,983 | 4,432 | 17,131 | |||||||||||
Operating income | $ | 1,643 | $ | 4,931 | $ | 5,713 | $ | 12,287 | |||||||
Corporate and other unallocated costs | 3,367 | ||||||||||||||
Other (income) expense | 383 | ||||||||||||||
Interest expense | 2,489 | ||||||||||||||
Income before provision for income taxes | $ | 6,048 | |||||||||||||
Three Months Ended September 30, 2023 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | 1,643 | $ | 4,931 | $ | 5,713 | $ | (3,367 | ) | $ | 8,920 | ||||||||
Restructuring | — | — | — | — | — | ||||||||||||||
Adjusted operating income (loss) | $ | 1,643 | $ | 4,931 | $ | 5,713 | $ | (3,367 | ) | $ | 8,920 | ||||||||
Three Months Ended December 31, 2023 | |||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Total | ||||||||||||
Revenues | $ | 77,786 | $ | 59,139 | $ | 56,796 | $ | 193,721 | |||||||
Cost of revenues | 69,873 | 49,543 | 49,890 | 169,306 | |||||||||||
Gross profit | 7,913 | 9,596 | 6,906 | 24,415 | |||||||||||
Selling, general & administrative expenses | 8,906 | 4,195 | 4,027 | 17,128 | |||||||||||
Operating income (loss) | $ | (993 | ) | $ | 5,401 | $ | 2,879 | $ | 7,287 | ||||||
Corporate and other unallocated costs | 3,219 | ||||||||||||||
Other (income) expense | 707 | ||||||||||||||
Interest expense | 2,338 | ||||||||||||||
Income before provision for income taxes | $ | 1,023 | |||||||||||||
Three Months Ended December 31, 2023 | |||||||||||||||||||
Global Seating | Global Electrical Systems | Trim Systems and Components | Corporate/Other | Total | |||||||||||||||
Operating income (loss) | $ | (993 | ) | $ | 5,401 | $ | 2,879 | $ | (3,219 | ) | $ | 4,068 | |||||||
Restructuring | — | — | 385 | 982 | 1,367 | ||||||||||||||
Adjusted operating income (loss) | $ | (993 | ) | $ | 5,401 | $ | 3,264 | $ | (2,237 | ) | $ | 5,435 | |||||||
Use of Non-GAAP Measures
This earnings release contains financial measures that are not calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). In general, the non-GAAP measures exclude items that (i) management believes reflect the Company’s multi-year corporate activities; or (ii) relate to activities or actions that may have occurred over multiple or in prior periods without predictable trends. Management uses these non-GAAP financial measures internally to evaluate the Company’s performance, engage in financial and operational planning and to determine incentive compensation.
Management provides these non-GAAP financial measures to investors as supplemental metrics to assist readers in assessing the effects of items and events on the Company’s financial and operating results and in comparing the Company’s performance to that of its competitors and to comparable reporting periods. The non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies.
The non-GAAP financial measures disclosed by the Company should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP. The financial results calculated in accordance with GAAP and reconciliations to those financial statements set forth above should be carefully evaluated.
This article was originally published on Quiver News, read the full story.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
