Navigating Mixed Terrain: REV Group Reports Slight Sales Growth In Q1, Adjusts Forecast Amid Market Shifts
Portfolio Pulse from Akanksha Bakshi
REV Group, Inc. (NYSE:REVG) reported a slight increase in Q1 fiscal 2024 sales by 0.43% year-over-year to $586 million, surpassing consensus estimates. The growth was primarily driven by the Specialty Vehicles segment. Adjusted EPS rose to $0.25 from $0.12, beating consensus estimates of $0.15. Gross profit increased by 8.6% to $62.9 million, with an expanded margin. The company's backlog grew to $4.24 billion. A quarterly dividend of $0.05 per share was declared. However, REVG adjusted its 2024 sales outlook to $2.45 billion-$2.55 billion from the previously expected $2.6 billion-$2.7 billion, leading to a 3.81% decline in share price.
March 06, 2024 | 5:14 pm
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REV Group reported a slight Q1 sales increase and beat EPS estimates, but adjusted its 2024 sales outlook downwards, leading to a 3.81% drop in share price.
The positive Q1 earnings report and dividend declaration are overshadowed by the adjusted sales outlook for 2024, which is lower than previously expected. This adjustment likely contributed to the negative investor sentiment, resulting in a 3.81% decrease in REVG's share price. The direct mention of REVG and detailed financial figures provide a clear basis for the analysis.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100