Business
CVG Reports Second Quarter 2024 Results
EPS of $(0.05), Adjusted EPS of $0.06, reflecting additional restructuring activity Adjusted EBITDA of $10.0 million, free cash flow of $6.4 million Strategic
About this update from Commercial Vehicle Group, Inc.
[{"type":"text","content":"EPS of $(0.05), Adjusted EPS of $0.06, reflecting additional restructuring activity Adjusted EBITDA of $10.0 million, free cash flow of $6.4 million Strategic actions taken to strengthen Vehicle Solutions Business Provides updated guidance for full year 2024 NEW ALBANY, Ohio, Aug. 05, 2024 (GLOBE NEWSWIRE) -- CVG (NASDAQ: CVGI), a diversified industrial products and services company, today announced financial results for its second quarter ended June 30, 2024. Second Quarter 2024 Highlights (Compared with prior year, where comparisons are noted) Revenues of $229.9 million, down 12.3%, due primarily to a global softening in customer demand.Operating income of $0.8 million, down 95.2%; adjusted operating income of $5.7 million, down 65.9%. The decrease in operating income was driven primarily by lower sales volumes, partially offset by reduced SG&A.New business wins in the quarter of approximately $32 million when fully ramped, bringing the year-to-date total to $80 million; these wins were concentrated in our Electrical Systems segment, and includes meaningful wins in our Vehicle Solutions segment.Net loss of $1.6 million, or $(0.05) per diluted share and adjusted net income of $2.1 million, or $0.06 per diluted share, compared to net income of $10.1 million, or $0.30 per diluted share and adjusted net income of $10.7 million, or $0.32 per diluted share.Adjusted EBITDA of $10.0 million, down 51.9%, with an adjusted EBITDA margin of 4.3%, down from 7.9%. James Ray, President and Chief Executive Officer, said, “CVG continues to drive its strategic transformation, despite second quarter results that were challenged due to multiple factors. In particular, we witnessed continued softening in the construction and agricultural end markets and reduced volumes in our new business win launches, impacting our key growth segment in Electrical Systems. We also experienced operational inefficiencies in our Vehicle Solutions segment resulting from a new product launch with a major customer across multiple sites as well as activities to prepare our Cab Structures Business for sale. We made incremental investments in both internal and external support teams deployed to the affected facilities and expect to achieve more stability during the balance of the year. These market dynamics and operational activities weighed on second quarter profitabilit...