Motorcar Parts of America's Q4 sales rise, helped by growth in brake products

Motorcar Parts of America

Mon 13:12

Overview
US auto parts maker's fiscal Q4 net sales rose 9.9% yr/yr, returning to profit
Gross margin improved to 23.7% from 19.9% a year earlier
Company expects fiscal 2027 sales growth of 7.5% to 10.2% yr/yr

Outlook
Motorcar Parts of America expects fiscal 2027 net sales of $780 mln to $800 mln
Company expects fiscal 2027 operating income of $86 mln to $91 mln
Motorcar Parts of America expects EBITDA of $95 mln to $100 mln for fiscal 2027

Result Drivers
BRAKE-RELATED PRODUCT SALES - Co said strong brake-related product sales contributed to Q4 results
INVENTORY REALIGNMENT - Q4 net sales included $19.9 mln of core revenue from inventory realignment at customer distribution centers
OPERATING EFFICIENCIES - Co said overall operating efficiencies supported improved operating income and margins

Company press release: ID:nBw2ylQzma

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
 
$212.3 mln
 
Q4 EPS
 
$0.42
 
Q4 Gross Margin
 
23.7%
 
Q4 Gross Profit
 
$50.4 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "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 Motorcar Parts of America Inc is $18.00, about 70% above its June 5 closing price of $10.59
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)