Furniture manufacturer Virco's Q2 sales miss estimates

Virco Mfg

05/09/2025 13:41

Overview

Virco Q2 revenue misses analyst expectations, per LSEG data

Operating income for Q2 falls to $15.4 mln from $21.9 mln last year

Co maintains high gross margin of 45.2% despite market downturn

Outlook

Virco does not provide specific financial guidance in press release

Result Drivers

MARKET DOWNTURN - General downturn in school furniture market led to a 15.1% decline in Q2 shipments

ABSENCE OF LARGE ORDER - Lack of last year's large disaster recovery order contributed to an 18.9% decline in six-month shipments

COST MANAGEMENT - Maintained high gross margin of 45.2% despite market challenges

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Miss
$92.09 mln
$113.80 mln (1 Analyst)
Q2 Net Income
$10.19 mln
Q2 Pretax Profit
Miss
$14.17 mln
$18.20 mln (1 Analyst)
Q2 Gross Profit
$40.87 mln
Q2 Operating Income
$15.37 mln


Analyst Coverage

The one available analyst rating on the shares is "strong buy"

The average consensus recommendation for the business support supplies peer group is "buy."

Wall Street's median 12-month price target for Virco Mfg Corp is $12.00, about 27.8% above its September 4 closing price of $8.67

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nGNX9Kw4Y0

(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.)