Overview
US vehicle systems supplier's Q4 revenue fell 5% yr/yr but beat analyst expectations
Adjusted EPS for Q4 missed analyst expectations
Company cites improved gross margin and lower SG&A for reduced operating loss
Outlook
CVG sees 2026 net sales between $660 mln and $700 mln
Company expects 2026 adjusted EBITDA of $24 mln to $30 mln
CVG expects positive free cash flow in 2026
Result Drivers
SOFT NORTH AMERICAN DEMAND - Co said Q4 revenue decline was due to weaker North American demand, especially in Global Seating and Trim Systems & Components segments
GROSS MARGIN IMPROVEMENT - Improved gross margin performance and lower SG&A expenses drove reduced operating loss
GLOBAL ELECTRICAL SYSTEMS GROWTH - Global Electrical Systems segment revenue rose 12.7% due to ramping new business wins, including Zoox autonomous vehicle platform
Company press release: ID:nGNX7ryCcM
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Beat | $154.8 mln | $147.05 mln (3 Analysts) |
Q4 Adjusted EPS | Miss | -$0.18 | -$0.15 (3 Analysts) |
Q4 Adjusted EBITDA | Miss | $2.3 mln | $2.59 mln (2 Analysts) |
Q4 Adjusted Gross Margin | 10.3% | ||
Q4 Operating Income | -$1.8 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 139.5% above its March 9 closing price of $1.67
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@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.)
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