Wabash Announces Third Quarter 2025 Results

Core Insights - Wabash reported a net sales of $381.6 million for Q3 2025, a decrease of 17.8% compared to Q3 2024 [2][7] - The company recognized a GAAP operating income of $58 million, primarily due to an $81 million gain from a legal settlement, while the non-GAAP adjusted operating loss was $23.6 million [2][7] - Total backlog as of September 30, 2025, was approximately $829 million, indicating a cautious approach from customers regarding capital spending [3][7] - The full-year revenue outlook has been reduced to $1.5 billion, with non-GAAP adjusted EPS guidance lowered to a range of $(1.95) to $(2.05) [3][7] Financial Performance - The gross profit for Q3 2025 was $16 million, representing 4.1% of sales, compared to a gross profit of $56 million or 10.8% of sales in Q3 2024 [2][9] - The company shipped 6,940 trailers and 3,065 truck bodies in Q3 2025, down from 7,585 trailers and 3,630 truck bodies in Q3 2024 [6][30] - Transportation Solutions segment net sales were $334.5 million, a decrease of 19.5% year-over-year, while Parts & Services saw a 16.5% increase in net sales to $61 million [9][31] Market Conditions - The Truck Body business faced challenging market conditions, with demand easing across various sectors including freight activity and construction [4][7] - The company remains cautiously optimistic about a gradual recovery in 2026, driven by pent-up replacement needs and improving freight conditions [4][7] Segment Highlights - The Transportation Solutions segment reported an operating loss of $13.1 million, while Parts & Services generated an operating income of $6.6 million [9][31] - The gross profit margin for the Transportation Solutions segment was 1.5% in Q3 2025, compared to 10.9% in Q3 2024 [8][31] Cash Flow and Balance Sheet - As of September 30, 2025, total assets were approximately $1.35 billion, with total liabilities of about $929.8 million [22][23] - Cash and cash equivalents decreased to $91.7 million from $115.5 million at the end of the previous year [23][27]