Commercial Vehicle Group, Inc. (NASDAQ:CVGI) Q1 2024 Earnings Conference Call May 7, 2024 10:00 AM ET

Company Participants

Andy Cheung - CFO
James Ray - President and CEO

Conference Call Participants

John Franzreb - Sidoti and Company
Gary Prestopino - Barrington Research
Joshua Zoepfel - Noble Capital Markets
Steven Martin - Slater

Operator

Good morning, ladies and gentlemen, and welcome to the CVGI Q1 2024 Earnings Conference Call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct the question and answer session. [Operator Instructions]. This call is being recorded on Tuesday, May 7, 2024.

I would now like to turn the conference over to Mr. Andy Cheung, Chief Financial Officer. Please go ahead sir.

Andy Cheung

Thank you, operator, and welcome everyone to our conference call. Joining me on the call today is James Ray, President and CEO of CVG. This morning, we will provide a brief company update as well as commentary regarding our first quarter 2024 results, after which we will open the call for questions.

As a reminder, this conference call is being webcast and the Q1 2024 earnings call presentation, which we will refer to during this call, is available on our website. Both may contain forward-looking statements, including, but not limited to, expectations for future periods regarding market trends, cost-saving initiatives, and new product initiatives, among others.

Actual results may differ from anticipated results because of certain risks and uncertainties. These risks and uncertainties may include, but are not limited to economic conditions in the market in which CVG operates, fluctuations in the production volumes of vehicles for which CVG is a supplier, financial covenants compliance and liquidity, risks associated with conducting business in foreign countries and currencies, and other risks as detailed in our SEC filings.

I will now turn the call over to James to provide a company update.

James Ray

Thank you, Andy. I'd like to turn your attention to the supplemental earnings presentation, starting on Slide 3. As we discussed in last quarter's call, we launched restructuring initiatives comprehending softer market conditions that were expected and we continue to expect in the year. These softer conditions, as well as a strong quarter in the prior year period, made for a tough comparison versus the prior year across most metrics.

We reported net sales of $232 million in the quarter and adjusted EBITDA of $12.7 million. We remain focused on driving further operational efficiency improvements, strengthening our vehicle solution segment, and growing our electrical system segment to be our largest business. We fully executed restructuring initiatives in the first quarter and combined with additional efforts I'll discuss later, underpin our financial guidance for 2024.