CMT · Core Molding Technologies, Inc.

Core Molding Technologies reported Q1 2026 results that reflected the ongoing truck down cycle but demonstrated margin expansion and strategic progress. Net sales of $58.6 million declined 4.7% year-over-year, driven by a 34% drop in medium and heavy-duty truck sales to $19.5 million, partially offset by a 46% surge in Powersports sales to $20.7 million. Gross margin improved 120 basis points to 20.4%, attributed to operating discipline, cost control, footprint optimization, and favorable program mix. Adjusted EBITDA of $7.3 million (12.5% of sales) was essentially flat year-over-year but improved sequentially from 10.2% in Q4 2025. GAAP net income fell to $0.6 million ($0.07 per diluted share) from $2.2 million ($0.25) a year ago, impacted by $0.9 million in succession plan costs and $2.1 million in Mexico expansion expenses. On an adjusted basis, net income was $3.2 million ($0.37 per diluted share). Management highlighted $17 million in new business wins and early signs of cycle recovery, with truck orders increasing due to pre-buy activity and new program launches. The company maintained its full-year 2026 guidance: sales flat to up ~5% year-over-year, gross margin in the range of 17%-19%, and capital expenditures of $25-$30 million (including $18-$20 million for Mexico expansion). The balance sheet remains strong with $73.5 million in total liquidity and term debt less than 1x trailing twelve-month Adjusted EBITDA. During the quarter, the company repurchased 24,545 shares at an average price of $18.62 for $457,000, and the Board authorized an additional 6.5 million shares for repurchase.