Methode Electronics Q1 sales beat estimates

Methode Electronics

09/09/2025 21:15

Overview

The custom-engineered electronic and mechatronic products maker's Q1 sales beat analyst expectations, per LSEG data

Adjusted EPS for fiscal Q1 2026 beats estimates, reflecting cost reductions

Company affirms fiscal 2026 guidance to double EBITDA despite sales decline

Outlook

Methode affirms fiscal 2026 net sales of $900 mln to $1 bln

Methode expects fiscal 2026 EBITDA to double despite $100 mln sales decline

Methode's fiscal 2026 guidance relies on current market and tariff conditions

Result Drivers

AUTOMOTIVE DECLINE - Lower sales in the Automotive segment, driven by weaker activity in North America, led to a 21.3% decrease in net sales

INDUSTRIAL GROWTH - Higher demand for power products and lighting for off-road equipment boosted Industrial segment sales by 10.8%

COST REDUCTIONS - Improved income from operations due to $9.6 mln reduction in selling and administrative expenses

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$240.50 mln
$233.40 mln (3 Analysts)
Q1 Adjusted EPS
Beat
-$0.22
-$0.25 (2 Analysts)
Q1 EPS
-$0.29
Q1 Net Income
-$10.30 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 1 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the electronic equipment & parts peer group is "buy"

Wall Street's median 12-month price target for Methode Electronics Inc is $9.50, about 23.7% above its September 8 closing price of $7.25

Press Release: ID:nGNX4xzBDC

(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.)