Brief: Savaria Q2 Adjusted EPS CAD 0.29

Savaria

06/08/2025 22:05

Overview

Savaria Q2 revenue up 2.4% yr/yr, missed analyst expectations, per LSEG data

Adjusted EPS for Q2 beats consensus, reflecting improved operational performance

Adjusted EBITDA for Q2 exceeds estimates, indicating strong financial health

Outlook

Savaria forecasts 2025 revenue of about C$925 mln, adjusted EBITDA margin at 20%

Company expects revenue growth from volume, price increases, and new products

Company confident in sustaining profitability despite geopolitical uncertainties

Result Drivers

FOREIGN EXCHANGE IMPACT - Revenue increased by 2.4% mainly due to a positive foreign exchange impact of 2.6%, partially offset by an organic contraction of 0.7%

ACQUISITION CONTRIBUTION - Revenue benefited from the acquisition of Western Elevator, contributing to overall growth

SEGMENT PERFORMANCE - Accessibility segment grew by 1.9%, driven by North American growth, while Patient Care segment saw a 4.4% increase in revenue

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
C$226.75 mln
C$228.80 mln (5 Analysts)
Q2 Adjusted EPS
Beat
C$0.29
C$0.21 (3 Analysts)
Q2 Adjusted Net Income
C$20.83 mln
Q2 Net Income
C$16.32 mln
Q2 Adjusted EBITDA
Beat
C$46.74 mln
C$44.10 mln (6 Analysts)
Q2 Gross Profit
C$88.49 mln
Q2 Operating Income
C$26.71 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the heavy electrical equipment peer group is "buy"

Wall Street's median 12-month price target for Savaria Corp is C$24.00, about 15.8% above its August 5 closing price of C$20.22

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: ID:nGNX3Z6ZBv

(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.)