Core Viewpoint - Core Molding Technologies, Inc. has authorized a stock repurchase program of up to $7,500,000 to enhance shareholder value and reflects the company's strong financial position and confidence in long-term growth prospects [1][2] Stock Repurchase Program - The stock repurchase will be conducted in the open market and in compliance with applicable securities laws, with no obligation for the company to acquire a specific amount of stock, and the program may be suspended or terminated at the company's discretion [3] Company Overview - Core Molding Technologies specializes in engineered materials, focusing on molded structural products for various industries including building products, utilities, transportation, and powersports across North America [4] - The company operates as a molder of thermoplastic and thermoset structural products, offering a range of manufacturing processes to meet diverse program volume and investment requirements [4] - Core Molding serves multiple markets such as medium and heavy-duty trucks, marine, automotive, agriculture, and construction, with demand influenced by economic conditions in the U.S., Mexico, and Canada [4]

COLUMBUS, Ohio, March 12, 2026 (GLOBE NEWSWIRE) -- Core Molding Technologies, Inc. (NYSE American: CMT) (“Core Molding,” “Core” or the “Company”), a leading engineered materials company specializing in molded structural products, principally in building products, industrial and utilities, medium and heavy-duty truck and powersports industries across the United States, Canada and Mexico today announced that management will participate in the 38th Annual Roth Conference, which will be held on March 23-24, 202 ...

分组1 - The company reported a strong quarter despite ongoing weak demand in the trucking sector, with revenues increasing due to tooling and growth in other categories [1] - Core trucking exposure remains very weak, indicating challenges in the primary business area [1] 分组2 - The investment approach focuses on long-term operational aspects rather than market-driven dynamics, emphasizing the importance of understanding a company's earnings power and competitive dynamics [2] - The strategy is to hold companies for the long term, with a preference for providing hold recommendations rather than buy, reflecting a cautious market outlook [2] - The articles aim to provide valuable information for future investors while maintaining a skeptical view in a generally bullish market [2]

Financial Performance - For the year ended December 31, 2025, net sales totaled $273,798,000, a decrease from $302,378,000 in 2024, with product sales (excluding tooling) at $232,205,000 compared to $291,092,000 in 2024[141] - Gross margin for 2025 was approximately 17.4%, slightly down from 17.6% in 2024, attributed to unfavorable product mix and production inefficiencies[142] - The company recorded net income of $11,195,000 for 2025, or $1.29 per diluted share, compared to $13,299,000 or $1.51 per diluted share in 2024[145] Market Trends - The North American truck market accounted for 44% of product revenue in 2025, down from 52% in 2023, indicating a significant cyclicality in demand[135] - The company expects revenues for 2026 to increase by approximately 0 to 5 percent compared to 2025, with a consistent mix of product and tooling revenues[139] Operating Expenses - Selling, general and administrative expenses (SG&A) for 2025 totaled $33,364,000, a decrease from $36,565,000 in 2024, primarily due to lower bonuses and labor costs[143] Cash Flow and Investments - Cash provided by operating activities for 2025 was $19,185,000, positively impacted by net income and non-cash deductions[154] - Cash used in investing activities totaled $17,268,000 in 2025, with significant investments in property, plant, and equipment for expansion and automation[155] - The company anticipates spending approximately $25,000,000 to $30,000,000 on capital expenditures in 2026, including $18,000,000 to $20,000,000 for the Mexico expansion project[155] Debt and Liabilities - As of December 31, 2025, the Company had total long-term debt obligations of $19,843,000, with interest payments estimated at $1,487,000[176] - The Company incurred debt origination fees of $402,000 related to the Huntington Credit Agreement, amortized over its life[166] - The Huntington Term Loan requires monthly installments of $104,000 for the first 24 months, increasing to $156,000 for the next 24 months, and $208,000 for the final 12 months[171] - The Company has a revolving loan commitment of $25,000,000, with $13,689,000 advanced as of July 22, 2022, and no outstanding amounts as of December 31, 2025[169] Inventory and Allowances - The Company has recorded an allowance for slow moving and obsolete inventory of $1,137,000 at December 31, 2025, down from $1,392,000 in 2024[181] - The Company had an allowance for credit losses of $58,000 at December 31, 2025, compared to none in 2024[179] Tax Positions - As of December 31, 2025, the Company had a net deferred tax asset of $1,402,000 and deferred tax liabilities of $1,035,000 related to tax positions in the United States[194] - The Company has a valuation allowance of $1,327,000 against the deferred tax asset related to local jurisdiction tax positions due to cumulative losses over the last three years[194] - Management evaluates provisions and deferred tax assets quarterly to determine if adjustments to the valuation allowance are required[194] Risk Exposure - The Company is exposed to fluctuations in interest rates and foreign currency, particularly with the Mexican Peso and Canadian Dollar[197] - Non-hedged loans under the Huntington Credit Agreement bear a variable interest rate, which could be impacted by a hypothetical 10% change in short-term interest rates[198] - A hypothetical 10% decrease in the USD to MXN and CAD exchange rate would increase operating costs, adversely affecting operating margins[200] - A hypothetical 10% increase in commodity prices would lead to higher raw material costs, negatively impacting operating margins[200] - The Company uses derivative financial instruments to hedge exposure to fluctuations in foreign exchange rates and interest rates[197] - The Company does not hold any material market risk sensitive instruments for trading purposes[197] Regulatory Compliance - The Company filed a universal shelf Registration Statement with the SEC for a maximum aggregate offering price of up to $50 million, effective January 8, 2024[173] - The Company has fully implemented ASU No. 2023-09 for income tax disclosures, effective for annual periods beginning after December 15, 2024[196]

Core Insights - Core Molding Technologies (CMT) aims to achieve over $300 million in revenue by 2027, driven by new business wins and expansion in Mexico [2] - The company has implemented more robust operating systems, expanded margins, strengthened its balance sheet, and established a performance-driven culture [2] Management Perspective - David Duvall, President, CEO & Director, confirmed his retirement while highlighting the company's strategic improvements and leadership development [2]

Financial Data and Key Metrics Changes - For fiscal 2025, revenues declined by 9.5%, primarily due to continued weakness in the truck sector, which accounted for 44% of Core's product sales [16] - Fourth quarter revenue was $74.7 million, representing a 27.8% sequential increase and 19.5% year-over-year growth [13] - Adjusted EBITDA margin for the fourth quarter was 10.2%, an increase of 100 basis points from the previous year [13] - Cash flow from operations totaled over $19 million in 2025, following $35 million generated in fiscal 2024 [14] Business Line Data and Key Metrics Changes - The Invest For Growth initiative generated $63 million in business wins, supporting the strategic diversification strategy [8] - The sheet molding compound (SMC) business generated $12 million in annual revenue during the fourth quarter and $21 million for the full year [9] - Tooling revenue in the fourth quarter exceeded $19 million, driven by recent business wins [17] Market Data and Key Metrics Changes - Early signs of recovery in the powersports industry were noted, with major OEMs launching multiple products that include Core's content [8] - The truck and powersports market is expected to see recovery in volume starting in the second half of 2026 [12] Company Strategy and Development Direction - The company is focused on leveraging its robust foundation to drive growth, with a strong emphasis on disciplined execution and a performance-driven culture [6] - Core aims to achieve $500 million in annual revenue as part of its long-term objectives, targeting large, diverse end markets [25] - The company is strategically diversifying beyond truck and powersports end markets to strengthen its portfolio resilience [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term direction of the company, supported by recent wins and a strong leadership team [7] - The company anticipates total product revenue could exceed $300 million in 2027, driven by new program launches [13] - Management remains conservative regarding the truck recovery, aligning with forecasts indicating a recovery starting in the second half of 2026 [21] Other Important Information - The company completed its footprint optimization initiative and consolidated its resin transfer molding operations to improve margin [14] - Total liquidity as of December 31st was $88.1 million, with a debt to EBITDA ratio of less than one times [20] - The company plans to incur approximately $2.5 million in one-time SG&A costs related to the Mexico relocation and succession planning [22] Q&A Session Summary Question: Can you help us think about the split or the tooling revenue potential in 2026? - The split will be similar to 2025, mainly due to the Volvo program expected to close tooling revenue in Q4 of 2026 [31] Question: Is there ability to go beyond the 17%-19% margin as volumes recover? - Management indicated that margins could improve by 150-200 basis points, potentially reaching low 20s% [34] Question: What are you seeing in the SMC sales channel? - The company is confident in the SMC sales channel, with a successful $21 million annual run rate and additional projects in the pipeline [40] Question: Any updates on the expansion in Mexico? - The expansion has been smooth, with the new plant already shipping products [43] Question: What led to the reduction in SG&A in Q4? - The reduction was due to layoffs and lower severance costs compared to the previous year [80] Question: Can you provide more details on the powersports market rebound? - The powersports market is recovering from a lull, with increased production and new product launches contributing to growth [84]

分组1 - Core Molding Technologies (CMT) reported quarterly earnings of $0.36 per share, exceeding the Zacks Consensus Estimate of $0.23 per share, and showing a significant increase from $0.1 per share a year ago, resulting in an earnings surprise of +56.52% [1] - The company achieved revenues of $74.68 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 12.40%, compared to $62.5 million in the same quarter last year [2] - Over the last four quarters, CMT has surpassed consensus EPS estimates two times and revenue estimates two times [2] 分组2 - The stock has underperformed the market, losing about 10% since the beginning of the year, while the S&P 500 has declined by only 0.7% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.30 on revenues of $64.18 million, and for the current fiscal year, it is $1.68 on revenues of $283.26 million [7] 分组3 - The Rubber - Plastics industry, to which CMT belongs, is currently ranked in the top 7% of over 250 Zacks industries, indicating a favorable outlook for the sector [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The estimate revisions trend for CMT was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6]

Sales Performance - Fourth quarter total sales increased by 19.5% to $74.7 million, driven by elevated tooling revenue[3] - Full year business wins amounted to $63 million, with over 65% of these wins coming from markets outside the Truck and Powersports sectors[2] - The company anticipates total sales for 2026 to be flat to up approximately 5% compared to 2025, driven by SMC compound wins[2] Financial Results - Fiscal 2025 revenues declined by 9.5% to $273.8 million, primarily due to weakness in the Truck sector, which represents 44% of product sales[7] - Gross margin for fiscal 2025 was 17.4%, reflecting stability despite lower volumes[7] - Operating income for the fourth quarter was $3.6 million, or 4.8% of net sales, compared to $0.9 million, or 1.4% of net sales, in the prior year[3] - Net income for fiscal 2025 was $3.1 million, or $0.36 per diluted share, compared to a net loss of $39,000 in the prior year[7] - Net income for 2025 was $11,195 million, a decrease of 15.8% compared to $13,299 million in 2024[19] - Adjusted EBITDA for 2025 was $30,711 million, down from $33,802 million in 2024, reflecting a decline of 9.2%[21] - Free cash flow surplus decreased to $1,917 million in 2025 from $23,626 million in 2024, a drop of 91.9%[27] - Return on capital employed (ROCE) fell to 8.0% in 2025 from 9.9% in 2024[25] Assets and Liabilities - Total assets increased to $228,132 million in 2025 from $209,550 million in 2024, representing a growth of 8.5%[17] - Total liabilities rose to $69,961 million in 2025, up from $62,189 million in 2024, an increase of 12.8%[17] - Cash and cash equivalents at the end of 2025 were $38,058 million, down from $41,803 million at the end of 2024, a decrease of 9.0%[19] - The current portion of long-term debt increased to $2,075 million in 2025 from $1,814 million in 2024, an increase of 14.4%[17] - Total stockholders' equity grew to $158,171 million in 2025, compared to $147,361 million in 2024, an increase of 7.0%[17] Cash Flow - Cash flow provided by operations decreased to $19,185 million in 2025 from $35,151 million in 2024, a decline of 45.4%[27] Earnings Per Share - Net income for the three months ended December 31, 2025, was $3.083 million, compared to a net loss of $39 thousand for the same period in 2024[29] - Adjusted net income for the twelve months ended December 31, 2025, was $13.239 million, down from $14.321 million in 2024, representing a decrease of approximately 7.6%[29] - Basic net income per share for the three months ended December 31, 2025, was $0.36, compared to $0.00 for the same period in 2024[29] - Adjusted net income per share (diluted) for the twelve months ended December 31, 2025, was $1.52, down from $1.63 in 2024, indicating a decline of about 6.7%[29] - The company experienced a decrease in diluted net income per share from $1.51 in 2024 to $1.29 in 2025 for the twelve months ended December 31[29] Other Costs - Severance costs (net of tax) for the twelve months ended December 31, 2025, totaled $1.149 million, compared to $1.022 million in 2024, reflecting an increase of approximately 12.4%[29] - Footprint optimization costs (net of tax) for the twelve months ended December 31, 2025, were $332 thousand, which was not present in the previous year[29] - Other onetime non-cash expenses for the twelve months ended December 31, 2025, amounted to $563 thousand, with no equivalent in 2024[29] Share Information - Weighted average common shares outstanding (basic) for the three months ended December 31, 2025, were 8,529,000, a slight decrease from 8,644,000 in 2024[29] - The company reported a basic adjusted net income per share of $0.47 for the three months ended December 31, 2025, compared to $0.10 in the same period of 2024[29]

Core Insights - Core Molding Technologies reported a 19.5% increase in total sales for Q4 2025, reaching $74.7 million, driven by elevated tooling revenue [5][12] - The company secured $63 million in new business wins during fiscal 2025, with over 65% of these wins coming from markets outside of its primary sectors, Truck and Powersports [2][5] - The company anticipates a flat to 5% increase in total sales for 2026, primarily due to new SMC compound production and a projected recovery in the Truck sector [2][5] Financial Performance - For the fiscal year 2025, net sales decreased by 9.5% to $273.8 million, with product sales down 20.2% to $232.2 million [5][12] - Gross margin for the year was 17.4%, slightly down from 17.6% in the previous year, while operating income improved to $14.2 million [5][12] - The company generated strong operating cash flows of over $19 million for the year, with total liquidity at $88.1 million at year-end [8][12] Operational Highlights - The company launched a proprietary sheet molding compound (SMC) into the Building Products sector, generating nearly $10 million in revenue [2][5] - Capital expenditures for 2025 were $17.3 million, with plans to increase spending to $25 million to $30 million in 2026, including $18 million to $20 million for the Mexico expansion project [7][8] - The company is focused on expanding its Matamoros facility and bringing the Monterrey plant online, which is expected to contribute $150 million in incremental revenue over the next several years [2][5] Market Dynamics - The Truck sector, which constitutes 44% of Core's product sales, experienced significant weakness, impacting overall revenue [2][5] - The company expects the Truck cycle to begin recovering in the second half of 2026, with continued momentum into 2027 [2][5] - Core Molding serves various markets, including medium and heavy-duty trucks, marine, automotive, agriculture, and construction, with demand influenced by economic conditions in North America [10][12]

Company Overview - Core Molding Technologies, Inc. is a leading engineered materials company specializing in molded structural products primarily for the building products, utilities, transportation, and powersports industries across North America [4] - The company operates in one segment as a molder of thermoplastic and thermoset structural products, offering a variety of manufacturing processes including compression molding, resin transfer molding, and structural foam injection molding [4] - Core Molding serves diverse markets such as medium and heavy-duty trucks, marine, automotive, agriculture, and construction, with demand influenced by economic conditions in the U.S., Mexico, and Canada [4] Upcoming Financial Results - Core Molding will release its fourth quarter and full year fiscal 2025 results on March 10, 2026, before the market opens [1] - A conference call will be held on the same day at 10:00 AM Eastern, which will be broadcast live over the internet [1] Conference Call Details - Participants can join the call by dialing 1-888-506-0062 or 1-973-528-0011 (international) at least 10 minutes prior to the call using access code 818122 [2] - A replay of the call will be available until March 24 by dialing 1-877-481-4010 with replay code 53447 [2] - The webcast can be accessed via the Events and Presentations page on Core Molding's Investor Relations website, with a replay available shortly after the call [3]