Commercial Vehicle Group, Inc. Q4 FY2025 earnings call

• CVG delivered strong year-over-year improvement in profitability despite challenging demand, with adjusted gross margin 10.3% up 190 basis points. • Global electrical systems segment had fourth quarter revenues up 13% year-over-year, benefiting from ramp-up of key new programs and new contract with Zoox. • Strong free cash generation for full year: $33.7 million generated, up $21.5 million from last year, driven by improved working capital and lower capital expenditures, enabling net debt reduction by over $35 million and net leverage to 4.1 times. • Operational efficiency improvements driving adjusted EBITDA margin improvement in fourth quarter and full year. • Aftermarket seats in seeding segment saw sales up 7% year over year due to resegmentation and improved operational efficiencies

Global seeding segment: Fourth quarter revenues $70.7 million, down 5.6%; adjusted operating income $1.8 million, up $1.2 million. Full year revenues down 8.7%; adjusted operating income $10.5 million, up $4.9 million. Global electrical systems segment: Fourth quarter revenues $49.7 million, up 12.7%; adjusted operating income $0.9 million, up $3.9 million. Full year revenues essentially flat; adjusted operating income $3.8 million, up $4.6 million. Trim systems and components: Fourth quarter revenues $34.4 million, down 22.5%; adjusted operating loss $1.4 million. Full year revenues down 22.9%; adjusted operating income $0.2 million, down $13.4 million

• Net sales guidance range $660 million to $700 million, representing nearly 5% growth over 2025 at midpoint. • Adjusted EBITDA guidance range $24 to $30 million, representing approximately 50% growth over 2025 at midpoint. • Expect to generate positive free cash flow in 2026, use it to continue paying down debt and improve net leverage toward targeted two times

• Economic conditions in markets where CVG operates. • Fluctuations in production volumes of vehicles for which CVG is a supplier. • Financial covenant compliance and liquidity. • Risks associated with conducting business in foreign countries and currencies. • Other risks as detailed in SEC filing

Q: Give more color on the two new key programs starting to ramp.

A: Both programs going to plan. EMEA program ramping up with customer volumes as planned. Zoox program in North America with new facility in Mexico ramping up, on track for volume production toward latter part of second quarter.

Q: Color on new business wins in 2025 outside key programs.

A: Targeted ~$100 million a year to book new business, but quantified numbers volatile. Zoox opportunity had near term production. Other programs in EMEA using Morocco facility. Booked a few wins in first quarter in seeding and trim systems.

Q: Aftermarket business color and outlook in 2026.

A: Resegmentation improved operational efficiencies. Turnaround time reduced, driving growth. Promotions and additional capacity, with over 60 field sales reps. Looking at new products to introduce.

Q: Thoughts on Zoox production target and capacity.

A: Zoox targets 10,000 units per year, volume about 5000 annualized in 2026, planning to scale capacity as needed.

Q: Levers for free cash flow improvement in 2026.

A: Continue to improve working capital management, including inventory efficiencies and demand variation management.

Q: Thoughts on truck order numbers and revenue translation.

A: ACT forecast for 2026 revised, volatility in forecast due to various factors. Customer schedules have variation, but optimistic about increased quarterly production.

Q: Interest expense and debt reduction outlook.

A: Higher interest rates now, but using free cash flow to pay down debt, expecting gradual interest expense reduction in 2026.

Q: Guidance range for adjusted EBITDA and assumptions.

A: Range wide due to volatility, but ACT forecast positive revision, expecting momentum into top side with significant drop through of incremental top line and completed restructuring