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AirBoss Reports 2nd Quarter 2025 Results
GlobeNewswire News Roomยท2025-08-07 21:00

Core Insights - AirBoss of America Corp. reported positive financial results for Q2 2025, with net sales increasing by 3.4% to $98,637 compared to Q2 2024, and a profit turnaround from a loss of $9,568 to a profit of $2,265 [3][7][25] - The company is experiencing growth in its AirBoss Manufactured Products (AMP) segment, particularly in defense products, while facing challenges in the AirBoss Rubber Solutions (ARS) segment due to market softness and economic uncertainties [3][15][17] Financial Performance - Net sales for the first half of 2025 reached $203,746, up 2.5% from $198,857 in the same period of 2024 [7] - Adjusted EBITDA for Q2 2025 increased by 68.7% to $10,242 compared to Q2 2024, and year-to-date adjusted EBITDA rose by 75.9% [9][25] - The company declared a quarterly dividend of C$0.035 per common share, consistent with the previous quarter [11] Segment Analysis - In the AMP segment, net sales increased by 35.2% to $54,995 in Q2 2025, driven by improved sales in defense products, while the ARS segment saw a 13.7% decrease in net sales to $50,930 due to volume declines across most sectors [12][14] - Gross profit for AMP improved significantly, reaching $9,554 in Q2 2025 compared to a loss of $1,806 in Q2 2024, while ARS gross profit decreased by 35.6% to $6,613 [13][14] Operational Challenges - The company continues to navigate economic and geopolitical challenges, including tariffs, inflationary pressures, and market softness, which have impacted both segments differently [3][15][16] - AMP's operations are focused on mitigating delays in defense contracts and managing costs in response to reduced production schedules in the automotive sector [17][18] Strategic Focus - AirBoss is committed to expanding its core Rubber Solutions segment and enhancing its product offerings while maintaining a focus on operational execution and cost management [3][19] - The company is also investing in research and development to support new business opportunities and improve collaboration with customers [16]