What guidance did Core Molding's management provide for the next earnings period?

What does Core Molding do and what are its main business segments?

What is Core Molding's gross profit margin?

What were the key takeaways from Core Molding's earnings call?

What is the market's earnings forecast for Core Molding next quarter?

Did Core Molding beat or miss consensus estimates last quarter?

What were the key takeaways from Core Molding’s earnings call?

What is the revenue and EPS growth rate for Core Molding year over year?

- **Power Sports Recovery**: 8% YoY growth in power sports after 8 quarters of decline, driven by UTV skid plate program ($8M annual run-rate). 
- **Mexico Expansion**: $25M investment in DCPD molding and topcoat paint capabilities, targeting $300M+ 2027 revenue. 
- **Financial Resilience**: 17.4% gross margin, 11% EBITDA margin, and $4.9M free cash flow despite 19.9% revenue decline. 
- **Tooling Timing**: Q4 tooling sales (~15% of 2025 revenue) to offset Q3 decline, with $35M 2027 tooling revenue. 
- **SMC Momentum**: Four customers complete SMC trials, with potential wins in Q4 and $200M total addressable market.

### CEO Summary Section
- **Revenue Growth and Market Recovery**: Despite a 19.9% YoY decline in Q3 revenue ($58.4M), the company highlights recovery in power sports (8% YoY growth after 8 quarters of decline) and new business wins ($46.7M incremental in 2025). The UTV skid plate program is expected to generate $8M annual run-rate revenue.
- **Strategic Investments**: $25M investment in Mexico expansions (Matamoros and Monterrey) for DCPD molding and topcoat paint capabilities. New business development roles focus on wallet-share growth and SMC opportunities.
- **Operational Efficiency**: 99% on-time deliveries, 62 PPM quality performance, and industry-low safety incident rates. Footprint optimization in RTM processes to save $1M/year starting Q1 2026.
- **Long-Term Outlook**: Targeting $300M+ revenue in 2027 from truck and power sports programs, with $150M in revenue over 7-10 years. Free cash flow of $4.9M for the first 9 months of 2025.

### CFO Financial Commentary
- **Financial Performance**: Gross margin of 17.4% (within 17%-19% target), adjusted EBITDA margin of 11% (up 70bps YoY). GAAP net income of $1.9M ($0.22 EPS) vs. $3.2M ($0.36 EPS) YoY, impacted by higher tax rates.
- **Cash Flow and Capital Allocation**: $14.2M cash from operations, $9.3M capex, and $4.9M free cash flow. 2025 capex guidance of $18M-$22M, with $7.5M spent on Mexico by end-2025.
- **Tooling Revenue Timing**: Q4 tooling sales expected to offset Q3 decline, with $35M tooling revenue anticipated in 2027. Tooling sales to be ~15% of 2025 revenue but at lower margins.

### Q&A Highlights
- **Tariffs and Trade Compliance**: All products USMCA-compliant, mitigating tariff risks. RMA clauses allow cost pass-through if tariffs apply.
- **SMC Progress**: Four customers completed SMC trials, with potential wins in Q4. Total addressable market for SMC estimated at $200M.
- **Buyback Activity**: $2.1M remaining under $10M buyback authorization, with no shares repurchased in Q3.
- **Truck Market Recovery**: ACT forecasts suggest truck builds to increase in H2 2026, aligning with company's $300M+ 2027 revenue target.

CMT

CMT fundamentals

You can ask Aime