Miller Industries 2025 Q2 Earnings Sharp Net Income Drop 58.8%

Generated by AI AgentAinvest Earnings Report Digest
Thursday, Aug 7, 2025 6:30 pm ET1min read
MLR--
Aime RobotAime Summary

- Miller Industries reported a 58.8% net income drop to $8.46M in Q2 2025, missing expectations amid demand declines and cost pressures.

- Revenue fell 42.4% to $214.03M, with CEO William Miller citing 20% retail sales declines and 30% distributor order drops due to rising ownership costs.

- The stock fell 12.56% month-to-date despite short-term buy strategies underperforming benchmarks, while guidance was cut to $750-800M revenue for 2025.

- Management plans inventory reductions and operational efficiency improvements, though warned of potential extraordinary expenses in H2 2025.

Miller Industries (MLR) reported its fiscal 2025 Q2 earnings on August 7, 2025, with results that significantly missed expectations. The company’s net income fell 58.8% year-over-year to $8.46 million, and it revised its 2025 revenue guidance downward. Management cited operational challenges, including demand headwinds, inventory issues, and elevated costs, as key factors behind the underperformance.

Revenue
The total revenue of Miller IndustriesMLR-- decreased by 42.4% to $214.03 million in 2025 Q2, down from $371.45 million in 2024 Q2.

Earnings/Net Income
Miller Industries's earnings per share (EPS) declined 58.7% to $0.74 in 2025 Q2 from $1.79 in 2024 Q2. The company's net income also dropped significantly to $8.46 million in 2025 Q2, a 58.8% decline from the $20.51 million reported in 2024 Q2. This sharp reduction indicates a deteriorating earnings performance for the quarter.

Price Action
The stock price of Miller Industries surged 13.97% during the latest trading day, but it has since declined 2.48% during the most recent full trading week and dropped 12.56% month-to-date.

Post Earnings Price Action Review
A strategy of buying MLRMLR-- during earnings beats and holding for 30 days delivered a -22.54% return, far underperforming the 45.79% return of the benchmark. The approach was marked by a Sharpe ratio of -0.36 and a volatility of 26.25%, reflecting its poor risk-adjusted performance and high volatility.

CEO Commentary
William G. Miller, II, the CEO, outlined significant challenges in the market, including a 20% decline in retail sales and a 30% drop in distributor order intake. He attributed these issues to lower consumer confidence and rising costs of ownership, such as interest rates, insurance, and tariff-related price hikes. Miller emphasized plans to adjust production, reduce inventory, and enhance operational efficiency while expressing optimism about a potential recovery in the commercial market and benefits from military contracts.

Guidance
The company revised its 2025 revenue guidance to a range of $750 to $800 million and suspended EPS guidance, citing uncertainty around operational initiatives that could lead to extraordinary expenses or potential losses in the second half of the year.

Additional News
On August 8, 2025, a transcript of Miller Industries' Q2 2025 earnings call was published, though detailed financial metrics were not included. The transcript is accessible only when JavaScript and cookies are enabled in the browser. No material announcements regarding M&A activity, C-level changes, or dividend/buyback news were reported in the three weeks following the earnings release.

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