After I presented Federal Signal to you yesterday. Another specialty vehicle manufacturer presented its figures today. $REVG (-3.92%)
REV Group reaches new all-time high after earnings show margin improvement.
REV Group ( NYSE: REVG ) surged Wednesday after announcing that consolidated net revenue for the fourth quarter of 2024 was $597.9 million, compared to $693.3 million in the three-month period a year ago, which included $54.2 million in net revenue attributable to the divested Collins Bus Corporation business. The remaining decrease in net sales for the quarter was primarily due to lower net sales in the Recreational Vehicles segment, partially offset by higher net sales in the Specialty Vehicles segment.
The vehicle manufacturer's adjusted EBITDA for the quarter was $49.6 million, compared to $54.0 million in the prior year. However, the adjusted EBITDA margin increased significantly in the quarter.
CEO Mark Skonieczny pointed to a significant margin improvement in the Specialty Vehicles segment as well as "excellent" cost discipline that more than offset end-market demand challenges in the company's cyclical businesses. "In addition, we divested non-core assets, simplified our reporting structure and returned significant cash to shareholders in financial year 2024," he added.
REV Group ( REVG ) announced that it is entering the new financial year with robust earnings momentum and a commitment to operational excellence and sustainable growth. For the full year, REV Group ( REVG ) expects net sales in the range of $2.3 billion to $2.4 billion ($2.35 billion midpoint) versus $2.38 billion consensus, net income in the range of $98.0 million to $125.0 million and Adjusted EBITDA in the range of $190.0 million to $220.0 million ($205 million midpoint) versus $201.2 million consensus.
REV Group ( REVG ) gained 16.5 % in late morning trading. The share price reached a new all-time high of USD 35.96.
