Company Overview - Westport Innovations (WPRT) shares have increased by approximately 3.2% since the last earnings report, outperforming the S&P 500 [1] - The consensus estimate for Westport has shifted by 25.64% over the past month, indicating a flatlining of estimates revisions [2] Performance Metrics - Westport has an average Growth Score of C, a Momentum Score of C, and a Value Score of C, placing it in the middle 20% for investment strategy [3] - The overall VGM Score for Westport is C, which is relevant for investors not focused on a single strategy [3] Outlook - Westport holds a Zacks Rank 2 (Buy), suggesting an expectation of above-average returns in the upcoming months [4] Industry Comparison - Westport is part of the Zacks Automotive - Original Equipment industry, where Adient (ADNT) has gained 18.5% over the past month [5] - Adient reported revenues of $3.61 billion for the last quarter, reflecting a year-over-year decline of 3.7%, with EPS increasing from $0.54 to $0.69 [5] - Adient's expected earnings for the current quarter are $0.46 per share, showing a year-over-year increase of 43.8%, with a Zacks Rank 3 (Hold) [6]

Core Points - Westport Fuel Systems Inc. held its Annual General and Special Meeting of Shareholders virtually, where all resolutions were approved, including the election of directors and the sale of Westport Fuel Systems Italia S.r.l [1][2]. Summary by Category Election of Directors - All nominated directors were approved with varying levels of support: - Michele Buchignani: 81.22% votes for - Anthony Guglielmin: 87.16% votes for - Daniel M. Hancock: 61.47% votes for - Daniel Sceli: 91.10% votes for - Karl-Viktor Schaller: 61.28% votes for - Eileen Wheatman: 81.43% votes for [2]. Appointment of Auditors - KPMG LLP was appointed as the Company's auditors for the fiscal year with 93.83% votes for [2]. Executive Compensation - The advisory vote on executive compensation received 52.87% agreement [2]. Sale of Subsidiary - The sale of Westport Fuel Systems Italia S.r.l was approved with 83.38% votes for [2]. Company Overview - Westport Fuel Systems is a leading supplier of advanced fuel delivery components and systems for clean, low-carbon fuels, serving approximately 70 countries globally [3].

Westport Fuel Systems Inc. (WPRT) reported a loss of 14 cents per share in the first quarter of 2025, narrower than the Zacks Consensus Estimate of a loss of 47 cents. The company had incurred a loss of 79 cents in the year-ago period. WPRT registered consolidated revenues of $71 million, which missed the Zacks Consensus Estimate of $72 million. The top line also fell from $77.6 million generated in the corresponding quarter of 2024. The company incurred an adjusted EBITDA loss of $0.1 million compared with ...

Company Performance - Westport Innovations (WPRT) reported a quarterly loss of $0.14 per share, significantly better than the Zacks Consensus Estimate of a loss of $0.47, and an improvement from a loss of $0.79 per share a year ago, indicating an earnings surprise of 70.21% [1] - The company posted revenues of $70.96 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 1.51%, and down from $77.57 million in the same quarter last year [2] - Over the last four quarters, Westport has surpassed consensus EPS estimates three times and topped consensus revenue estimates two times [2] Stock Outlook - Westport shares have declined approximately 19.1% since the beginning of the year, contrasting with the S&P 500's decline of -0.6% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.39 on revenues of $77.07 million, and for the current fiscal year, it is -$2.42 on revenues of $153.71 million [7] - The estimate revisions trend for Westport is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] Industry Context - The Automotive - Original Equipment industry, to which Westport belongs, is currently ranked in the bottom 36% of over 250 Zacks industries, suggesting that the industry outlook may negatively impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Core Insights - Westport Fuel Systems Inc. reported a significant improvement in its financial performance for Q1 2025, with a net loss of $2.5 million compared to a net loss of $13.6 million in Q1 2024, driven by increased gross profit and reduced operating expenses [3][7][36] - The company is focusing on its HPDI joint venture with Volvo Group and plans to realign its operations towards hard-to-decarbonize applications in heavy-duty trucking, which presents substantial growth opportunities [2][4][6] Financial Performance - Revenues decreased by 9% to $71.0 million in Q1 2025 from $77.6 million in Q1 2024, primarily due to decreased sales volumes in the Heavy-Duty OEM and High-Pressure Controls & Systems segments [7][36] - Gross profit increased by 30% to $15.2 million in Q1 2025, up from $11.7 million in Q1 2024, resulting in a gross margin of 21% compared to 15% in the prior year [9][36] - Adjusted EBITDA improved to nil from negative $6.6 million in the same period last year, indicating a significant operational turnaround [7][33] Operational Updates - The company is pursuing operational excellence through cost-reduction initiatives and process streamlining, which contributed to an $8.1 million decrease in operating expenses [3][4] - Westport's light-duty segment saw a revenue increase to $64.2 million in Q1 2025 from $63.3 million in Q1 2024, driven by sales growth in the light-duty OEM and DOEM businesses [10][11] - The Heavy-Duty OEM segment's revenue dropped to $5.4 million in Q1 2025 from $11.9 million in Q1 2024, reflecting the transition of the HPDI business to the Cespira joint venture [14][36] Strategic Focus - The proposed sale of Westport's light-duty business is aimed at strengthening the balance sheet and funding growth opportunities in the Cespira joint venture and High-Pressure Controls & Systems business [4][6] - The company is committed to scaling alternative fuel solutions, including LNG, CNG, RNG, and hydrogen systems, to meet the growing demand for clean transportation technologies [5][6] Market Trends - Demand for gas-powered trucks utilizing HPDI technology has increased, with Volvo reporting over 25% sales growth in 2024, a trend that continued into Q1 2025 [6][19] - The market is increasingly recognizing the internal combustion engine using alternative fuels as a viable solution for decarbonizing long-haul, heavy-duty transport [5][6]

Core Viewpoint - Westport Fuel Systems Inc. has entered into lock-up agreements with shareholders representing approximately 2.0 million shares, or 11.4% of the outstanding shares, to support the sale of Westport Fuel Systems Italia S.r.l. [1][2] Transaction Overview - On March 31, 2025, Westport announced a binding agreement to sell its interest in Westport Fuel Systems Italia S.r.l., which includes the Light-Duty segment, to Heliaca Investments Coöperatief U.A. [3] - The base purchase price for the transaction is $73.1 million (€67.7 million), with potential earnouts of up to $6.5 million (€6.0 million) based on certain conditions [4] - The transaction is subject to shareholder approval and customary closing conditions, expected to close in late Q2 of 2025 [5] Financial Implications - Proceeds from the transaction are anticipated to enhance Westport's financial stability and support growth initiatives focused on decarbonizing mobility and industrial applications [6] - Post-closing, Westport plans to align its cost structure to reflect a smaller, more efficient organization while seeking further efficiency gains [6] Company Background - Westport Fuel Systems is a leading supplier of advanced fuel delivery components and systems for clean, low-carbon fuels, serving approximately 70 countries [7]

Financial Results Announcement - Westport Fuel Systems Inc. will release Q1 2025 financial results on May 13, 2025, after market close [1] - A conference call and webcast to discuss the financial results will be held on May 14, 2025, at 10:00 a.m. ET [1][2] Annual General and Special Meeting - Westport will host its 2025 Annual General and Special Meeting virtually on May 15, 2025, at 10:00 a.m. PT [4] - Shareholders are encouraged to vote in advance using the provided voting instruction form [5] - Registered shareholders can attend the meeting online to participate, vote, or submit questions [6] Company Overview - Westport Fuel Systems is a leading supplier of advanced fuel delivery components and systems for clean, low-carbon fuels [7] - The company operates globally, serving customers in approximately 70 countries with a focus on addressing climate change and urban air quality challenges [7]

Core Viewpoint - Westport Fuel Systems Inc. is positioned to benefit from its eco-friendly product portfolio, particularly its HPDI fuel system, but faces challenges related to liquidity and foreign exchange risks [1][5][6]. Group 1: Product and Market Position - Westport's HPDI fuel system allows diesel engines to operate with clean-burning fuels, aligning with global climate change mandates and enhancing its market position in green transportation solutions [2]. - The formation of Cespira, a joint venture with Volvo, aims to accelerate the commercialization of HPDI technology, which is expected to drive significant revenue growth [2][4]. - In 2022, Westport secured two programs from a European OEM to develop LPG systems, projected to generate nearly EUR255 million in revenues through 2028, with Euro 6 deliveries starting in Q1 2024 [3]. Group 2: Financial Challenges - Westport is experiencing ongoing operating losses and lacks sufficient liquidity to meet its capital expenditures and debt obligations over the next 12 months, raising concerns about its financial viability [5]. - The company incurs many expenses in Canadian dollars and euros, exposing it to foreign exchange risks that could negatively impact its margins and financial metrics [6]. Group 3: Strategic Moves - The sale of Westport's light-duty business is intended to strengthen its balance sheet and allow for a more focused strategy on HPDI technology and high-pressure controls, which are seen as areas with strong growth potential [4].

WPRT registered consolidated revenues of $75.1 million, surpassing the Zacks Consensus Estimate of $72 million. The top line, however, fell from $87.2 million generated in the corresponding quarter of 2023. The company incurred an adjusted EBITDA loss of $1.8 million compared with a loss of $10 million recorded in the year-ago period. Segmental Takeaways From the third quarter of 2024, Westport has started reporting its results under four reportable segments: Cespira, Light-Duty, High-Pressure Controls and ...

Westport Fuel Systems Inc (WPRT) Q4 2024 Earnings Conference Call March 31, 2025 01:30 PM ET Company Participants Ashley - Vice President of Investor RelationsConference Call Operator - OperatorConference Call Operator - OperatorConference Call Operator - OperatorDan Selis - Chief Executive Officer and DirectorBill Larkin - Chief Financial Officer Conference Call Participants Chris Dendrinos - Analyst, RBC Capital MarketsEric Stein - Analyst, Craig Hallam Capital GroupRob Brown - Analyst, Lake Street Capita ...