Myers 2025 Q2 Earnings Misses Targets as Net Income Declines 5.6%

Myers (MYE) reported its fiscal 2025 Q2 earnings on Jul 31st, 2025. Myers' Q2 results fell short of market expectations, with revenue and earnings reflecting a year-over-year decline. The company adjusted its full-year guidance, raising its revenue expectations by $700 million, demonstrating confidence in long-term growth prospects despite the current quarterly setback.

Revenue
The total revenue for Myers in Q2 2025 contracted by 4.8% year-over-year, reaching $209.58 million compared to $220.24 million in the same quarter of the previous year. The Material Handling segment generated $158.63 million, while the Distribution segment contributed $50.99 million. The Corporate segment reported no revenue, and inter-company transactions resulted in a deduction of $33,000, leading to consolidated revenue of $209.58 million.

Earnings/Net Income
Myers' earnings per share (EPS) decreased by 7.1% to $0.26 in Q2 2025 from $0.28 in Q2 2024. The net income also declined, registering a 5.6% drop to $9.71 million from $10.28 million in the previous year. The EPS reflects a challenging quarter for Myers, indicating financial pressure.

Price Action
The stock price of Myers experienced a 7.01% increase on the latest trading day, yet it declined 1.94% over the past full trading week and rose by 1.10% month-to-date.

Post-Earnings Price Action Review
The investment strategy of acquiring Myers shares following an earnings beat and holding them for 30 days resulted in moderate returns, underperforming relative to the benchmark. While the strategy yielded a 27.36% return, it fell considerably short of the benchmark's 86.38% return, leading to a negative excess return of -59.02%. Despite its low volatility and stable performance, as indicated by a 5.26% CAGR and a maximum drawdown of 0.00%, the strategy's negative excess return underscores its weakness when compared to broader market performance.

CEO Commentary
Christopher S. Boerner, CEO & Chairman, expressed satisfaction with the company's progress, highlighting a strong performance in Q2 driven by a 17% year-over-year sales increase in their growth portfolio. He noted, "We saw strong demand across our growth portfolio and continue to optimize our cost structure to match the needs of our business." Boerner emphasized regulatory achievements, including approvals for key therapies in Europe and the U.S., and announced strategic partnerships aimed at enhancing their market position. He maintained an optimistic outlook, stating, "We feel good about where we are in the growth potential," reaffirming their commitment to sustainable long-term growth.

Guidance
Bristol-Myers Squibb raised its full-year revenue guidance by $700 million, now projecting a range of $46.5 billion to $47.5 billion, reflecting strong growth in the portfolio. The company anticipates an EPS of between $6.35 and $6.65 after considering charges related to the BioNTech partnership. Operating expenses are adjusted to approximately $16.5 billion, reflecting investments in business development and growth initiatives. The gross margin guidance remains at around 72%, with expectations for a significant increase in sales from the growth portfolio, particularly from newly launched products.

Additional News
Myers Industries announced the resignation of CFO Grant Fitz, effective May 2, 2025, with Daniel Hoehn named as interim CFO. Hoehn holds significant experience within the company and previously served as interim CFO from September 2020 to March 2021. In other news, Myers Industries declared a quarterly cash dividend of $0.135 per share, payable on July 3, 2025, reflecting its ongoing commitment to shareholder returns. Additionally, the company’s subsidiary, Elkhart Plastics, launched Schwig's Garden Box™, a new modular dock accessory, expanding its product offerings in the Connect-A-Dock line.