Commercial Vehicle Group (CVGI) came out with a quarterly loss of $0.01 per share versus the Zacks Consensus Estimate of $0.04. This compares to earnings of $0.22 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -125%. A quarter ago, it was expected that this supplier of products for heavy duty trucks would post earnings of $0.17 per share when it actually produced earnings of $0.06, delivering a surprise of -64.71%.Over the la ...

Financial Performance - Net income for the three months ended September 30, 2024, was $9,514 thousand, compared to $7,290 thousand for the same period in 2023, representing a 30.5% increase[8]. - Comprehensive income for the three months ended September 30, 2024, was $8,731 thousand, significantly up from $2,070 thousand in the prior year[8]. - Total revenue for the nine months ended September 30, 2024, was $560.063 million, a significant increase from $312.785 million for the same period in 2023, representing an increase of approximately 79.5%[31]. - Net income for the nine months ended September 30, 2024, was $10,852, compared to $26,130 for the same period in 2023, representing a decrease of approximately 58.5%[13]. - Revenues for the three months ended September 30, 2024, decreased by 15.3% to $171.8 million compared to $202.9 million in the same period of 2023[122]. - Gross profit for the nine months ended September 30, 2024, was $60.044 million, compared to $96.714 million for the same period in 2023, a decrease of about 37.9%[93]. Assets and Liabilities - Total current assets increased to $346,263 thousand as of September 30, 2024, from $327,742 thousand at the end of 2023, reflecting a 5.0% growth[10]. - The company reported a total of $495,341 thousand in assets as of September 30, 2024, up from $483,214 thousand at the end of 2023, marking a 2.4% increase[10]. - Total liabilities as of September 30, 2024, were $316,076 thousand, compared to $310,282 thousand as of December 31, 2023[181]. - Long-term debt decreased slightly to $125,790 thousand as of September 30, 2024, from $126,201 thousand at the end of 2023[10]. Cash Flow - Cash flows from operating activities showed a net outflow of $6,835 thousand for the nine months ended September 30, 2024, down from a net inflow of $29,990 thousand in the same period of 2023[13]. - Cash at the end of the period was $30,885 thousand, down from $46,293 thousand at the end of September 2023, reflecting a decrease of 33.3%[13]. - Net cash used in operating activities was $6.8 million for the nine months ended September 30, 2024, compared to net cash provided of $30.0 million in 2023[173]. - Net cash provided by investing activities was $12,868 thousand for the nine months ended September 30, 2024, compared to $(15,196) thousand for the same period in 2023[179]. Revenue Segments - For the three months ended September 30, 2024, total revenue was $171.772 million, with Vehicle Solutions contributing $97.296 million, Electrical Systems $43.380 million, and Aftermarket & Accessories $31.096 million[30]. - The Vehicle Solutions segment generated revenues of $312.785 million for the nine months ended September 30, 2024, compared to $362.820 million in the same period of 2023, reflecting a decrease of about 13.8%[93]. - The Electrical Systems segment reported revenues of $149.327 million for the nine months ended September 30, 2024, down from $172.236 million in 2023, indicating a decline of approximately 13.3%[93]. - The company’s total revenue from seats for the nine months ended September 30, 2024, was $237.678 million, compared to $189.085 million for the same period in 2023, reflecting an increase of approximately 25.6%[31]. Discontinued Operations - The company is undergoing a strategic shift by divesting its cab structures business and the Industrial Automation segment, which will be classified as discontinued operations[22]. - The company reported a net income from discontinued operations of $10.397 million for the period ended June 30, 2024[22]. - The company recorded a write-down loss of $8.2 million on the disposal group as of September 30, 2024[107]. - The Industrial Automation segment incurred a loss of $8.4 million for the three months ended September 30, 2024, compared to a profit of $479 thousand in the same period of 2023[106]. Expenses - Selling, general and administrative (SG&A) expenses decreased by 14.3% to $17.5 million, primarily due to a gain on the sale of a building[124]. - The company incurred $4.2 million in restructuring costs during the three months ended September 30, 2024, with $2.8 million related to headcount reductions[77]. - For the nine months ended September 30, 2024, total restructuring costs amounted to $9.8 million, with $7.7 million attributed to headcount reductions[78]. - Interest expense decreased to $2.4 million for the three months ended September 30, 2024, down from $2.5 million in the same period of 2023[126]. Stockholders' Equity - As of September 30, 2024, total stockholders' equity was $179.265 million, an increase from $172.932 million on December 31, 2023[16]. - The company’s retained deficit decreased to $(46.184) million as of December 31, 2023, from $(95.595) million on December 31, 2022[16]. - The accumulated other comprehensive loss increased to $(37.724) million as of September 30, 2024, from $(30.284) million at the end of 2023[72]. Future Outlook - The company anticipates future growth in the wire harness, warehouse automation, and electric vehicle markets, as well as plans for capital expenditures[180]. - The company plans to adopt new accounting standards related to reportable segment disclosures and income tax disclosures in the upcoming fiscal years[26][28].

Revenue Performance - Third quarter 2024 revenues were $171.8 million, a decrease of 15.3% compared to $202.9 million in the prior year period, primarily due to lower customer demand [3][12]. - The Vehicle Solutions segment reported revenues of $97.3 million, a decrease of 15.6% from the prior year, attributed to lower sales volume and program wind-downs [17]. - The Electrical Systems segment experienced a revenue decline of 19.5%, with revenues of $43.4 million compared to $53.9 million in the prior year [19]. - Revenues for the three months ended September 30, 2024, were $171.772 million, a decrease of 15.4% compared to $202.897 million for the same period in 2023 [1]. Profitability and Loss - Operating loss for the third quarter 2024 was $1.1 million, down from operating income of $8.9 million in the prior year, driven by lower sales volumes and operational inefficiencies [4][13]. - Gross profit for the three months ended September 30, 2024, was $16.421 million, down 44.0% from $29.309 million in the prior year [1]. - Adjusted EBITDA for the third quarter 2024 was $4.3 million, down 64.8% from $12.2 million in the prior year, with an adjusted EBITDA margin of 2.5% compared to 6.0% [6][11]. - Net income for the three months ended September 30, 2024, was $9.514 million, an increase from $7.290 million in the same period last year [1]. - Basic earnings (loss) per share from continuing operations for the three months ended September 30, 2024, was $(0.03), compared to $0.14 for the same period in 2023 [1]. - The company reported a diluted EPS of $(0.03) for the three months ended September 30, 2024, compared to $0.14 in the same period last year [41]. Financial Outlook - The company revised its full year 2024 outlook for net sales to $710 million - $740 million, down from the previous range of $730 million - $780 million [24]. - Adjusted EBITDA guidance for 2024 was also revised to $20 million - $25 million, down from $28 million - $36 million [24]. Cash Flow and Liquidity - The company had $14.0 million of outstanding borrowings on its U.S. revolving credit facility and total liquidity of $177.2 million as of September 30, 2024 [16]. - The company’s cash balance as of September 30, 2024, was $30.885 million, a decrease from $37.848 million as of December 31, 2023 [2]. - Cash flows from operating activities for the total company were $(17,067) million for the three months ended September 30, 2024, compared to $18,468 million in the prior year [48]. Asset and Liability Overview - Total current assets as of September 30, 2024, were $346.263 million, up from $327.742 million as of December 31, 2023 [2]. - Total liabilities as of September 30, 2024, were $316.076 million, compared to $310.282 million as of December 31, 2023 [2]. Market Conditions - Market forecasts indicate a projected 15% to 20% decline in global agriculture market demand and a 10% to 15% decline in construction market demand for 2024 [25].

NEW ALBANY, Ohio, Oct. 31, 2024 (GLOBE NEWSWIRE) -- Commercial Vehicle Group (the “Company” or “CVG”) (NASDAQ: CVGI), a diversified industrial products and services company, is pleased to announce the appointment of two leaders to its executive leadership team. Peter Lugo joins the Company as President of our Electrical Systems segment, effective November 1, 2024. Mr. Lugo succeeds Richard Tajer, who will remain an employee of the Company until December 31, 2024. In addition, Carlos Jimenez has joined as Ex ...

Commercial Vehicle Group, Inc. (NASDAQ:CVGI) Q2 2024 Earnings Conference Call August 6, 2024 8:30 AM ET Company Participants Andy Cheung - Chief Financial Officer James Ray - President and Chief Executive Officer Conference Call Participants John Franzreb - Sidoti & Company Operator Good morning, ladies and gentlemen, and welcome to the CVG Q2 2024 Earnings Conference Call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. [Operator ...

EVG Earnings Presentation James Ray – President & Chief Executive Officer Andy Cheung – Executive Vice President & Chief Financial Officer Q2 2024 August 6, 2024 Forward Looking Statements and Non-GAAP Financial Measures These slides contain forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe", "anticipate", "plan", "expect", "intend", "will", "should", "could", "would", "project", "targets" "forecast" "continue", "likely", and simila ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 | --- | --- | --- | |---------------------------------------------------------------------------------------------------------------------------------------|-------------------------- ...

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) CVG faced significant Q2 challenges, leading to declining revenue, profitability, strategic restructuring, and a revised full-year outlook [Second Quarter 2024 Highlights](index=1&type=section&id=Second%20Quarter%202024%20Highlights) CVG faced weak global demand and operational inefficiencies in Q2 2024, resulting in significant revenue and profitability declines and a **$1.6 million** net loss Key Financial Metrics for Q2 2024 (Year-over-Year) | Metric | Q2 2024 | Q2 2023 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Revenue | $229.9 million | $262.2 million | $(32.3) million | (12.3)% | | Operating Income | $0.8 million | $15.9 million | $(15.1) million | (95.0)% | | Adjusted Operating Income | $5.7 million | $16.7 million | $(11.0) million | (65.9)% | | Net Income (Loss) | $(1.6) million | $10.1 million | $(11.7) million | (115.8)% | | Diluted EPS | $(0.05) | $0.30 | $(0.35) | (116.7)% | | Adjusted Diluted EPS | $0.06 | $0.32 | $(0.26) | (81.3)% | | Adjusted EBITDA | $10.0 million | $20.8 million | $(10.8) million | (51.9)% | | Adjusted EBITDA Margin | 4.3% | 7.9% | | | | New Business Awards (Current Quarter) | Approx. $32 million | | | | - Revenue decline primarily attributed to weak global customer demand[2](index=2&type=chunk) - Operating income decreased mainly due to lower sales volume, partially offset by reduced selling, general and administrative expenses (SG&A)[2](index=2&type=chunk) - New business awards were concentrated in the Electrical Systems segment, including significant orders for the Vehicle Solutions segment[3](index=3&type=chunk) [Management Commentary & Strategic Actions](index=1&type=section&id=Management%20Commentary%20%26%20Strategic%20Actions) Management addressed Q2 challenges by implementing restructuring, workforce reductions, and divesting non-core businesses to reduce cyclicality and repay debt - CEO James Ray noted performance was impacted by continued softness in construction and agriculture end markets, fewer new business launches, and operational inefficiencies within the Vehicle Solutions segment[4](index=4&type=chunk) - The company has taken aggressive steps to adjust its cost structure, improve operational execution, and announced the sale of its Cab Structures business, expected to close in H2 2024, to streamline its portfolio and reduce cyclicality[4](index=4&type=chunk)[5](index=5&type=chunk) - CFO Andy Cheung stated the company incurred **$6.8 million** in restructuring charges, reduced its workforce by over **10%**, and is evaluating strategic alternatives for the Industrial Automation segment, with proceeds from sales expected to primarily repay debt[5](index=5&type=chunk) [Financial Performance](index=2&type=section&id=Financial%20Performance) CVG's Q2 2024 financial performance was marked by significant revenue and operating income declines across all segments, leading to a net loss, despite maintaining adequate liquidity [Consolidated Results](index=2&type=section&id=Consolidated%20Results) CVG's Q2 2024 consolidated revenue decreased **12.3%** to **$229.9 million**, leading to a **$1.6 million** net loss and a **95.0%** drop in operating income, while maintaining strong liquidity Consolidated Financial Data for Q2 2024 (Year-over-Year) | Metric | Q2 2024 | Q2 2023 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Revenue | $229.9 million | $262.2 million | $(32.3) million | (12.3)% | | Operating Income | $0.8 million | $15.9 million | $(15.1) million | (95.0)% | | Adjusted Operating Income | $5.7 million | $16.7 million | $(11.0) million | (65.9)% | | Net Income (Loss) | $(1.6) million | $10.1 million | $(11.7) million | (115.8)% | | Diluted EPS | $(0.05) | $0.30 | $(0.35) | (116.7)% | - Revenue decline was primarily due to weak customer demand across all segments and the termination of certain projects in the Vehicle Solutions segment[7](index=7&type=chunk) - Operating income decrease was attributed to lower sales volume, operational inefficiencies, and increased restructuring charges[7](index=7&type=chunk) - As of June 30, 2024, the company held **$39.3 million** in cash and **$152.9 million** in credit availability, totaling **$192.2 million** in liquidity[9](index=9&type=chunk) [Segment Results](index=3&type=section&id=Segment%20Results) All business segments experienced Q2 2024 revenue declines and profitability pressure, with Vehicle Solutions down **7.7%**, Electrical Systems down **21.2%**, and Industrial Automation's loss narrowing Q2 2024 Segment Revenue and Operating Income (Year-over-Year) | Segment | Q2 2024 Revenue | Q2 2023 Revenue | Revenue Change | Q2 2024 Operating Income (Loss) | Q2 2023 Operating Income (Loss) | Operating Income Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Vehicle Solutions | $140.9 million | $152.7 million | (7.7)% | $5.1 million | $14.1 million | (64.1)% | | Electrical Systems | $50.2 million | $63.6 million | (21.2)% | $0.5 million | $7.7 million | (93.4)% | | Aftermarket & Accessories | $33.9 million | $36.8 million | (8.1)% | $4.5 million | $5.5 million | (19.4)% | | Industrial Automation | $5.0 million | $9.0 million | (44.6)% | $(1.0) million | $(2.1) million | 52.4% (Loss Narrowed) | - Vehicle Solutions segment revenue decreased primarily due to reduced customer demand and the termination of certain businesses; operating income also declined due to operational remediation investments and increased freight costs[10](index=10&type=chunk) - Electrical Systems segment revenue decreased mainly due to weak global construction and agriculture end markets and the elimination of some lower-margin businesses; operating income also declined due to restructuring costs, labor inflation, and unfavorable foreign exchange rates[11](index=11&type=chunk) - The Industrial Automation segment's operating loss narrowed primarily due to recently implemented restructuring initiatives[13](index=13&type=chunk) [Outlook & Guidance](index=4&type=section&id=Outlook%20%26%20Guidance) CVG revised its full-year 2024 guidance downwards for net sales and adjusted EBITDA, reflecting market developments and strategic divestitures, with adjusted figures excluding certain business contributions [Full Year 2024 Outlook](index=4&type=section&id=Full%20Year%202024%20Outlook) CVG updated its full-year 2024 guidance, lowering net sales and adjusted EBITDA expectations to reflect market developments and strategic divestiture actions, excluding contributions from divested businesses Full Year 2024 Guidance (Revised) | Metric | Prior 2024 Outlook | Revised 2024 Outlook | Adjusted (1) Revised 2024 Outlook | | :--- | :--- | :--- | :--- | | Net Sales | $915 - $1,015 million | $900 - $960 million | $730 - $780 million | | Adjusted EBITDA | $60 - $73 million | $42 - $52 million | $28 - $36 million | (1) The adjusted outlook excludes the contribution of CVG's Cab Structures or Industrial Automation businesses in 2024 - The company has signed an asset purchase agreement to sell its Cab Structures business, expected to close in H2 2024, and is exploring strategic alternatives for its Industrial Automation business[14](index=14&type=chunk) [Market Conditions](index=4&type=section&id=Market%20Conditions) The company's outlook reflects reduced North American Class 8 truck production forecasts and deteriorating global agriculture and construction markets, with significant demand declines expected in 2024 - According to ACT Research, North American Class 8 truck production for 2024 is projected at **308,000 units**, down from **340,247 units** in 2023[15](index=15&type=chunk) - Global agriculture market demand is expected to decline **15% to 20%**, and construction market demand is projected to decrease **10% to 15%**[15](index=15&type=chunk) [Supplemental Financial Information](index=6&type=section&id=Supplemental%20Financial%20Information) This section provides detailed GAAP financial statements and non-GAAP reconciliations, offering a comprehensive view of the company's consolidated and segment-level financial performance [GAAP Financial Statements](index=6&type=section&id=GAAP%20Financial%20Statements) This section presents the company's consolidated statements of operations and balance sheets prepared under U.S. GAAP, detailing financial performance and period-end financial position [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) The consolidated statements of operations show Q2 2024 revenue of **$229.9 million**, gross profit of **$21.0 million**, operating income of **$0.8 million**, and a **$1.6 million** net loss Consolidated Statements of Operations Summary | Metric | Q2 2024 | Q2 2023 | Six Months 2024 | Six Months 2023 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $229,906 | $262,194 | $461,974 | $524,903 | | Cost of Sales | $208,927 | $223,793 | $414,330 | $451,293 | | Gross Profit | $20,979 | $38,401 | $47,644 | $73,610 | | Selling, General and Administrative Expenses | $20,219 | $22,457 | $40,312 | $43,022 | | Operating Income | $760 | $15,944 | $7,332 | $30,588 | | Net Income (Loss) | $(1,601) | $10,140 | $1,338 | $18,840 | | Diluted EPS | $(0.05) | $0.30 | $0.04 | $0.57 | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) The consolidated balance sheets show total assets of **$503.2 million** as of June 30, 2024, an increase from **$483.2 million** on December 31, 2023, with liabilities rising Consolidated Balance Sheets Summary | Metric | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash | $39,341 | $37,848 | | Total Current Assets | $346,220 | $327,742 | | Total Assets | $503,196 | $483,214 | | Total Current Liabilities | $167,867 | $145,189 | | Long-Term Debt | $124,458 | $126,201 | | Total Liabilities | $333,589 | $310,282 | | Total Stockholders' Equity | $169,607 | $172,932 | [Business Segment Financial Information (GAAP)](index=8&type=section&id=Business%20Segment%20Financial%20Information%20(GAAP)) This section provides detailed GAAP-based revenue, gross profit, SG&A, and operating income (loss) data for each business segment for Q2 2024 and the six months ended June 30 Q2 2024 Business Segment GAAP Operating Income (Loss) | Segment | Q2 2024 Revenue | Q2 2023 Revenue | Q2 2024 Operating Income (Loss) | Q2 2023 Operating Income (Loss) | | :--- | :--- | :--- | :--- | :--- | | Vehicle Solutions | $140,904 | $152,730 | $5,077 | $14,135 | | Electrical Systems | $50,152 | $63,625 | $507 | $7,659 | | Aftermarket & Accessories | $33,860 | $36,829 | $4,454 | $5,526 | | Industrial Automation | $4,990 | $9,010 | $(1,015) | $(2,061) | | Corporate/Other | $— | $— | $(8,263) | $(9,315) | | **Total** | **$229,906** | **$262,194** | **$760** | **$15,944** | Six Months Ended June 30, 2024, Business Segment GAAP Operating Income (Loss) | Segment | Six Months 2024 Revenue | Six Months 2023 Revenue | Six Months 2024 Operating Income (Loss) | Six Months 2023 Operating Income (Loss) | | :--- | :--- | :--- | :--- | :--- | | Vehicle Solutions | $278,814 | $313,315 | $15,428 | $27,527 | | Electrical Systems | $105,947 | $118,373 | $2,519 | $13,729 | | Aftermarket & Accessories | $67,921 | $74,458 | $8,986 | $11,102 | | Industrial Automation | $9,292 | $18,757 | $(3,010) | $(2,923) | | Corporate/Other | $— | $— | $(16,591) | $(18,847) | | **Total** | **$461,974** | **$524,903** | **$7,332** | **$30,588** | [Reconciliation of GAAP to Non-GAAP Financial Measures](index=9&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Financial%20Measures) This section reconciles GAAP to non-GAAP financial measures, including adjusted gross profit, operating income, net income, diluted EPS, and EBITDA, for a clearer view of operating performance [Consolidated Non-GAAP Reconciliations](index=9&type=section&id=Consolidated%20Non-GAAP%20Reconciliations) Consolidated non-GAAP reconciliations show Q2 2024 adjusted gross profit of **$25.6 million**, adjusted operating income of **$5.7 million**, and adjusted EBITDA of **$10.0 million**, excluding restructuring charges Q2 2024 Consolidated Non-GAAP Financial Measures | Metric | Q2 2024 | Q2 2023 | Six Months 2024 | Six Months 2023 | | :--- | :--- | :--- | :--- | :--- | | GAAP Gross Profit | $20,979 | $38,401 | $47,644 | $73,610 | | Restructuring Charges | $4,670 | $683 | $6,372 | $1,373 | | **Adjusted Gross Profit** | **$25,649** | **$39,084** | **$54,016** | **$74,983** | | GAAP Operating Income | $760 | $15,944 | $7,332 | $30,588 | | Restructuring Charges | $4,928 | $718 | $6,824 | $1,431 | | **Adjusted Operating Income** | **$5,688** | **$16,662** | **$14,156** | **$32,019** | | GAAP Net Income (Loss) | $(1,601) | $10,140 | $1,338 | $18,840 | | Operating Income Adjustments | $4,928 | $718 | $6,824 | $1,431 | | Adjusted Income Tax | $(1,232) | $(180) | $(1,706) | $(358) | | **Adjusted Net Income** | **$2,095** | **$10,678** | **$6,456** | **$19,913** | | GAAP Diluted EPS | $(0.05) | $0.30 | $0.04 | $0.57 | | Adjustments | $0.11 | $0.02 | $0.15 | $0.03 | | **Adjusted Diluted EPS** | **$0.06** | **$0.32** | **$0.19** | **$0.60** | | EBITDA | $5,055 | $20,048 | $15,887 | $39,156 | | Restructuring Charges | $4,928 | $718 | $6,824 | $1,431 | | **Adjusted EBITDA** | **$9,983** | **$20,766** | **$22,711** | **$40,587** | [Segment Non-GAAP Operating Income Reconciliations](index=10&type=section&id=Segment%20Non-GAAP%20Operating%20Income%20Reconciliations) Segment non-GAAP operating income reconciliations show Q2 2024 adjusted operating income for Vehicle Solutions, Electrical Systems, and Aftermarket & Accessories, with Industrial Automation's adjusted operating loss Q2 2024 Adjusted Operating Income (Loss) by Business Segment | Segment | GAAP Operating Income (Loss) | Restructuring Charges | Adjusted Operating Income (Loss) | Revenue Percentage | | :--- | :--- | :--- | :--- | :--- | | Vehicle Solutions | $5,077 | $3,236 | $8,313 | 5.9% | | Electrical Systems | $507 | $1,379 | $1,886 | 3.8% | | Aftermarket & Accessories | $4,454 | $197 | $4,651 | 13.7% | | Industrial Automation | $(1,015) | $116 | $(899) | (18.0)% | | Corporate/Other | $(8,263) | $— | $(8,263) | | | **Total** | **$760** | **$4,928** | **$5,688** | **2.5%** | Six Months Ended June 30, 2024, Adjusted Operating Income (Loss) by Business Segment | Segment | GAAP Operating Income (Loss) | Restructuring Charges | Adjusted Operating Income (Loss) | Revenue Percentage | | :--- | :--- | :--- | :--- | :--- | | Vehicle Solutions | $15,428 | $3,769 | $19,197 | 6.9% | | Electrical Systems | $2,519 | $2,469 | $4,988 | 4.7% | | Aftermarket & Accessories | $8,986 | $231 | $9,217 | 13.6% | | Industrial Automation | $(3,010) | $191 | $(2,819) | (30.3)% | | Corporate/Other | $(16,591) | $164 | $(16,427) | | | **Total** | **$7,332** | **$6,824** | **$14,156** | **3.1%** | [Free Cash Flow](index=10&type=section&id=Free%20Cash%20Flow) Free cash flow for Q2 2024 was **$6.4 million**, an increase from the prior year, but for the six months ended June 30, 2024, it was a negative **$1.0 million** Free Cash Flow | Metric | Q2 2024 | Q2 2023 | Six Months 2024 | Six Months 2023 | | :--- | :--- | :--- | :--- | :--- | | Cash Flow from Operating Activities | $12,588 | $11,464 | $10,232 | $11,522 | | Purchases of Property, Plant and Equipment | $(6,207) | $(5,858) | $(11,266) | $(9,179) | | **Free Cash Flow** | **$6,381** | **$5,606** | **$(1,034)** | **$2,343** | [Use of Non-GAAP Measures](index=11&type=section&id=Use%20of%20Non-GAAP%20Measures) The company uses non-GAAP financial measures for internal performance, planning, and incentive compensation, supplementing GAAP without being considered superior - Non-GAAP measures exclude items management believes reflect multi-year enterprise activities or occur in multiple or prior periods with no predictable trend[34](index=34&type=chunk) - Management provides these non-GAAP measures as supplemental information to help investors assess the impact of items and events on the company's financial and operating results and for comparison with competitors and comparable reporting periods[35](index=35&type=chunk) - Non-GAAP financial measures should not be considered a substitute for or superior to GAAP financial measures[35](index=35&type=chunk) [Company Information & Disclosures](index=4&type=section&id=Company%20Information%20%26%20Disclosures) This section provides essential company background, outlines forward-looking statements, and details conference call and contact information for stakeholders [About CVG](index=5&type=section&id=About%20CVG) CVG is a diversified industrial products and services company, providing solutions for complex design, engineering, and manufacturing challenges - CVG is dedicated to providing practical solutions for complex design, engineering, and manufacturing challenges to customers, industries, and communities[18](index=18&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) This press release contains forward-looking statements regarding future events and financial results, subject to risks and uncertainties, with no obligation to update - Forward-looking statements involve the company's expectations for future periods, including the sale of the Cab Structures business, financial performance improvement plans, future end market developments, changes in truck production, and global construction and agricultural equipment business performance[19](index=19&type=chunk) - Actual results may differ materially from expectations due to risks and uncertainties, and the company does not guarantee that future events mentioned in the statements will occur[19](index=19&type=chunk) [Conference Call & Contact Information](index=4&type=section&id=Conference%20Call%20%26%20Contact%20Information) The company will host a conference call on August 6, 2024, to discuss this press release, with investor relations contact information provided - The conference call is scheduled for August 6, 2024, at 8:30 AM ET, where management will refer to the Q2 2024 earnings conference call presentation[17](index=17&type=chunk) - The conference call will be webcast live via the 'Investors' section of CVG's website and archived for one year[17](index=17&type=chunk)

NEW ALBANY, Ohio, July 26, 2024 (GLOBE NEWSWIRE) -- CVG (NASDAQ:CVGI) will hold its quarterly conference call on Tuesday, August 6, 2024, at 8:30 a.m. ET, to discuss second quarter 2024 financial results. CVG will issue a press release and presentation prior to the conference call. Toll-free participants dial (800) 549-8228 using conference code 11335. International participants dial (289) 819-1520 using conference code 11335. This call is being webcast and can be accessed through the "Investors" section of ...

Financial Data and Key Metrics Changes - The company reported net sales of $232 million in Q1 2024, down from $263 million in the prior year period, reflecting a decrease in revenues due to softening customer demand globally [127][118] - Adjusted EBITDA was $12.7 million for the first quarter compared to $19.8 million in the prior year, with adjusted EBITDA margins decreasing to 5.5% from 7.5% [119][122] - Net income for the quarter was $2.9 million or $0.09 per diluted share, down from $8.7 million or $0.26 per diluted share in the prior year [19] Business Line Data and Key Metrics Changes - The vehicle solutions segment's revenues decreased by 14% to $137.9 million due to lower customer demand and the wind-down of unfavorable programs [7][8] - The industrial automation segment's revenues fell by 56% to $4.3 million, attributed to challenging market conditions and reduced demand from legacy customers [9] - The electrical system segment achieved revenues of $55.8 million, an increase of 1.9%, primarily due to increased pricing, although sales volume saw a slight decline [20][22] Market Data and Key Metrics Changes - Industry forecasts project a decline in North American Class A truck bills of approximately 10% for the year, a slight improvement from a previous estimate of a 16% decline [11] - The construction and agriculture end markets are expected to be flat to down 10% in 2024, impacting overall demand [11] Company Strategy and Development Direction - The company is focused on strengthening its core business in vehicle solutions, reducing costs, and driving operational improvements [8] - A transformation is underway to shift from a contract manufacturing model to a more engineered product, serialized production business with longer-term contracts [18] - The company is actively exploring new end markets and developing new highly engineered products, such as the Stack product showcased at the MODEX Trade Show [23] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the impact of inflation and foreign exchange headwinds, particularly from labor increases in Mexico and the strengthening of the peso [75][96] - The company remains optimistic about generating positive free cash flow and is prepared to pursue debt pay down or inorganic growth opportunities [12] - Management reaffirmed guidance for 2024 revenues in the range of $915 million to $1.015 billion, citing confidence in the diversification strategy and resource allocation [133][134] Other Important Information - The company executed approximately $2 million in restructuring costs in Q1, primarily related to headcount reductions and facility closures [16] - The second Morocco facility is on track for completion by Q4 2024, enhancing the company's footprint in Europe [129] Q&A Session Summary Question: Impact of program wind downs on revenue - Management indicated that the majority of the wind down has been completed, with a single-digit million level of impact for the quarter [14] Question: Restructuring actions and anticipated savings - Management stated that restructuring actions are ongoing, with approximately $2 million in costs executed in Q1, and they expect to complete most activities by Q3 [16][31] Question: Outlook for electrical systems segment - Management noted that the electrical systems segment is facing challenges due to reduced demand in construction and agriculture, but they remain confident in long-term growth opportunities [39][61] Question: Guidance for EBITDA and potential risks - Management highlighted that the guidance range for adjusted EBITDA remains solid, but risks include potential downturns in the electrical segment and supply chain disruptions [40][42] Question: New business wins and annual targets - Management confirmed that they are on track to achieve $100 million in new business wins for the year, with a strong funnel of opportunities across various segments [46][81]