Business
Commercial Vehicle Group Announces Fourth Quarter and Fiscal Year 2019 Results
NEW ALBANY, Ohio, March 16, 2020 /PRNewswire/ -- Commercial Vehicle Group, Inc. (the "Company" or "CVG") (NASDAQ: CVGI) today reported financial results for
About this update from Commercial Vehicle Group, Inc.
[{"type":"text","content":"NEW ALBANY, Ohio, March 16, 2020 /PRNewswire/ -- Commercial Vehicle Group, Inc. (the \"Company\" or \"CVG\") (NASDAQ: CVGI) today reported financial results for the fourth quarter and fiscal year ended December 31, 2019.\n\n \n \n \n \n \n \n\n \nFull Year\nFourth Quarter\n($ in millions except EPS)\n2019\n2018 (restated)\n2019\n2018 (restated)\nRevenues\n$901.2\n$897.7\n$189.5\n$223.6\nOperating Income\n$40.6\n$62.9\n$(4.3)\n$13.4\nNet Income (Loss)\n$15.8\n$41.5\n$(7.5)\n$8.1\nBasic EPS (Loss)\n$0.52\n$1.37\n$(0.24)\n$0.27\nDiluted EPS (Loss)\n$0.51\n$1.36\n$(0.24)\n$0.26\n\"The strong growth in the North American heavy- and medium-duty truck markets experienced in 2018 and early 2019 fell off substantially in the fourth quarter. This dynamic was exacerbated by declines in the global construction market, and as a result, weighed heavily on our 2019 results. In response to weakening end markets, in the fourth quarter, we took proactive steps to align the business to the lower production levels. In total, the Company's restructuring actions are expected to reduce operating costs by $5 to $7 million annually once fully implemented by early 2021. As we have noted in the past, the speed at which business contraction effects our OEM customers creates challenges in flexing our workforce. However, we have a demonstrated ability to scale our business to volume changes and we anticipate more normal conversion rates as we proceed through 2020,\" commented Patrick Miller, President and Chief Executive Officer.\n\"Our strategy to diversify our end market exposure and accelerate growth in alignment with favorable macro-economic trends in electronics and electrification is underscored by our recent acquisition of FSE, which has been performing as we anticipated. Furthermore, this strategy should aid in mitigating the impact of end market cyclicality on our Company. We plan to maintain our investments in our Electrical Systems segment, which is made possible in part by the cost saving actions we are taking across the business,\" Mr. Miller concluded.\nTim Trenary, Chief Financial Officer, stated, \"We began implementing the restructuring initiatives in the fourth quarter of 2019 and are well under way. Pre-tax costs associated with these actions are expected to total $6 to $8 million, driven in large part by employee-related separation costs ...