Industrial products firm CVG's Q3 revenue misses estimates on weak North America demand

Commercial Vehicle

10/11/2025 22:28

Overview

CVG Q3 revenue of $152.5 mln, missed analyst expectations

The provider of components to commercial vehicle and EV markets posted adjusted EPS of $(0.14); missed analyst expectations

Adjusted EBITDA of $4.6 mln beat analyst expectations

Outlook

CVG lowers 2025 net sales outlook to $640-$650 mln from $650-$670 mln

Company revises 2025 adjusted EBITDA guidance to $17-$19 mln from $21-$25 mln

CVG expects over $30 mln in free cash flow for full fiscal year

Result Drivers

DEMAND SOFTENING - Revenue decline attributed to reduced demand in North American markets, impacting Global Seating and Trim Systems & Components segments

GLOBAL ELECTRICAL GROWTH - Global Electrical Systems segment returned to year-over-year revenue growth due to new business wins outside Construction and Agriculture markets

MARGIN IMPROVEMENTS - Improved gross margin performance and lower SG&A expenses contributed to increased adjusted operating income

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$152.50 mln
$158.80 mln (2 Analysts)
Q3 Adjusted EPS
Miss
-$0.14
-$0.12 (2 Analysts)
Q3 Net Income
-$7.08 mln
Q3 Adjusted EBITDA
Beat
$4.60 mln
$4.54 mln (2 Analysts)
Q3 Adjusted Gross Margin
12.10%
Q3 Operating Income
-$1.10 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 66.5% above its November 7 closing price of $1.34

The stock recently traded at 30 times the next 12-month earnings vs. a P/E of 36 three months ago

Press Release: ID:nGNX2kP9Cb

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(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.)