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Wajax (WJX) investor relations material
Wajax Q2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Revenue declined 3.7% year-over-year to $547.1M, mainly due to lower equipment sales in construction and forestry, partially offset by higher mining sales in Western Canada, including a large mining shovel delivery.
Gross profit margin compressed to 19.1% from 20.9% year-over-year, but improved 200 bps from Q4 2024, reflecting margin improvement initiatives in product support.
Adjusted EBITDA fell 18.3% to $44.7M, with margin at 8.2%, up from 6.2% in Q2 2024, driven by cost savings despite lower sales volume.
Cash flow from operations rose to $67.4M, up from $35.8M in Q2 2024, driven by significant inventory reduction and cost discipline.
Leverage ratio improved to 2.35x from 2.53x in Q1, though still above the 1.5–2x target range.
Financial highlights
Revenue: $547.1M, down $21.2M or 3.7% year-over-year.
Adjusted EBITDA: $44.7M, down $10M or 18.3% year-over-year.
Adjusted EPS: $0.77, down 27.4% or $0.29 year-over-year.
Cash flow from operations: $67.4M, up $31.5M year-over-year.
Backlog at quarter-end was $524.3M, down 6.6% sequentially and 3.8% year-over-year.
Outlook and guidance
Management expects continued strong demand in mining and energy, supported by a robust mining equipment backlog.
Broader end markets remain challenging due to macroeconomic softness and tariff uncertainty.
Focus remains on inventory optimization, cost management, and margin improvement to drive long-term value.
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