Commercial Vehicle Group, Inc. · NASDAQ:CVGI
Commercial Vehicle — Q1 2025 Earnings Presentation
20 slides from Commercial Vehicle's earnings presentation, May 7, 2025
Slide 1: Q1-2025 Earnings Presentation
Q1-2025 Earnings Presentation James Ray – President & Chief Executive Officer Andy Cheung – Executive Vice President & Chief Financial Officer May 7, 2025
Slide 2: Forward Looking Statements and Non-GAAP Financial Measures
Forward Looking Statements and Non-GAAP Financial Measures These slides contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. For this purpose, any statements contained herei
Slide 3: Q1 2025 Overview
Q1 2025 Overview Q1 HIGHLIGHTS Q1 FINANCIAL OVERVIEW RE-SEGMENTATION IMPROVED GROSS MARGINS 10.8% ADJ. GROSS MARGIN • Completed shift to new segment structure, • Up from 8.4% in Q4’24 following major transformation • Improved profitability REVENUE ADJUSTED EBITDA undertaken in 2024, to driven by ope
Slide 4: Sequential Gross Margin Improvement
Sequential Gross Margin Improvement Sequential Improvement Key Drivers Q1 Adjusted Gross Margin (%) • Gross margins up 240 basis points sequentially, driven by the benefits of key strategic actions taken during 2024 +240bp • Improvement across the following focus areas: 10.8% • Freight ✓ Reduced exp
Slide 5: Improved Cash Generation
Improved Cash Generation Factors Impacting 2024 Cash Flow 2025 Progress Category 2024 Impact ($M) Strategic Actions Supported Q1’25 Performance Discontinued Cab Structures and Industrial ($15) Generated positive cash flow Operations Automation divestitures Headcount reductions to streamline Restruct
Slide 6: First Quarter 2025 Results
First Quarter 2025 Results CONSOLIDATED RESULTS (Continuing Operations) Commentary GAAP Measures Three Months • Revenue down 12.7% in Q1 due to softening in both global Ended Mar 31 Construction and Agriculture markets and North America Class 8 ($ in millions except for share information) 2025 2024
Slide 7: Global Seating
Global Seating Sales and Adjusted Operating Income Commentary Q1 Revenue ($mm) • Revenue declined 9% in the quarter due to lower sales volume as a result of decreased customer demand -9% • Adjusted OI declined $0.1 million in the quarter primarily attributable to lower 80.8 sales volume and increase
Slide 8: Global Electrical Systems
Global Electrical Systems Sales and Adjusted Operating Income Commentary Q1 Revenue ($mm) • Revenue declined 14% in the quarter primarily as a result of decreased -14% customer demand 58.7 • Adjusted OI declined $1.3 million in the quarter primarily attributable to 50.5 lower sales volumes and unfav
Slide 9: Trim Systems and Components
Trim Systems and Components Sales and Adjusted Operating Income Commentary Q1 Revenue ($mm) • Q1 revenue decreased 17% year-over-year primarily as a result of lower customer demand 55.1 • Q1 adjusted OI decline of $3.1 million primarily attributable to lower sales volume -17% 45.9 and increased frei
Slide 10: Key CVG Markets Update
Key CVG Markets Update NA Class 8 Heavy Truck Build Outlook CVG Revenue by End Market ACT Research is forecasting a weaker 2025 followed by strong growth in 2026 340 332 315 -2% +19% 305 -23% 255 Heavy Truck 40 - 45% Construction/Ag 2022 2023 2024 2025F 2026F 20 – 25% Units in Thousands Source: ACT
Slide 11: Execution in an Uncertain Environment
Execution in an Uncertain Environment • Improved Results driven by Strategic Actions Taken in 2024 • Lower decremental margins due to lower cost structure and efficiency gains • Higher operating leverage when markets recover • Focus on Cash Flow Improvement and Cost Reduction • Capital expenditure r
Slide 12: Fiscal 2025 Outlook
Fiscal 2025 Outlook FY25 CVG Outlook ($M) Metric 2024 Results Prior 2025 Outlook Current 2025 Outlook Net Sales $723.3 $670 - $710 $660 - $690 Adjusted EBITDA $23.2 $25 - $30 $22 - $27 Free Cash Flow $12.2 > $20 • Class 8 truck build rate of 255k (down ~23% y/y); continued weakness in construction a
Slide 13: Appendix
Appendix Q1 2025 Earnings Presentation - 13
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures This earnings presentation 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 corporat
Slide 15: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures (in millions) Q1 2025 Q4 2024 Gross Profit 17.8 13.1 Restructuring 0.5 0.6 Adjusted Gross Profit 18.3 13.6 % of Revenues 10.8% 8.4% Note: totals may not match due to rounding Q1 2025 Earnings Presentation - 15
Slide 16: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures (in millions) Q1 2025 Q1 2024 Operating Income/(Loss) 1.4 4.5 Restructuring 0.7 1.8 Adjusted Operating Income 2.1 6.3 % of Revenues 1.2% 3.2% Net Income/(Loss) (3.1) 1.4 Interest Expense 2.5 2.2 Provision (benefit) for income taxes 2.1 0.7 Deprec
Slide 17: Reconciliation of GAAP to Non-GAAP Financial Measures – Diluted EPS
Reconciliation of GAAP to Non-GAAP Financial Measures – Diluted EPS (in millions except for share information) Q1 2025 Q1 2024 Net income/(Loss) from continuing operations (3.1) 1.4 Operating income (loss) adjustments 0.7 1.8 Adjusted (benefit) provision for income taxes (0.2) (0.4) Adjusted net inc
Slide 18: Segment GAAP to Non-GAAP QTD
Segment GAAP to Non-GAAP QTD For the Three Months Ended March 31, 2025 (in millions) Global Global Trim Systems Seating Electrical Systems and Components Corporate Total Operating Income/(Loss) 2.7 (0.3) 1.5 (2.5) 1.4 Restructuring - 0.5 0.1 0.1 0.7 Adjusted Operating Income/(Loss) 2.7 0.2 1.6 (2.4)
Slide 19: Reconciliation of GAAP to Non-GAAP Cash Flow Information
Reconciliation of GAAP to Non-GAAP Cash Flow Information (in millions) Q1 2025 Q1 2024 CONTINUING OPERATIONS Cash Flow from Operations $ 15.0 $ (4.8) Capital Expenditures1 (3.8) (4.8) Proceeds From Sale of Business - 3.2 Free Cash Flow from Continuing Operations 11.2 (6.5) DISCONTINUED OPERATIONS Ca
Slide 20: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures (in millions) Q2 2024 Q3 2024 Q4 2024 Q1 2025 Net Income/(Loss) (1.3) (0.9) (34.0) (3.1) Interest Expense 2.4 2.4 2.2 2.5 Provision (benefit) for income taxes (0.3) (1.5) 28.6 2.1 Depreciation Expense 3.5 3.6 3.5 3.4 Amortization Expense 0.1 0.1
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