Core Molding Technologies (CMT) Q2 2026 earnings summary

Executive summary

• Q2 2026 results showed resilience, with diversified end markets and execution of the Invest for Growth strategy offsetting softness in medium- and heavy-duty truck sales.

• Secured $25.7 million in new business wins in H1 2026, with 65% from outside traditional truck and powersports sectors, supporting market diversification.

• Strategic investments in Mexico, including Monterrey and Matamoros facilities, quadrupled manufacturing footprint and supported capacity expansion.

• Quality and delivery metrics remain top-tier, with 99.2% on-time delivery and 49 PPM defect rate.

• Revenue base is increasingly diversified, reducing exposure to cyclical markets like trucking and powersports.

Financial highlights

• Q2 2026 net revenues were $62.7M (production: $60.9M, tooling: $1.8M); production sales declined 1.2% YoY, but up 20.8% YoY excluding truck segment.

• Gross margin was 20.3% (up from 18.1% YoY); excluding a one-time capacity charge, gross margin was 19.4%.

• Operating income was $2.3M (3.7% margin), down from $5.2M prior year; net income $1.8M ($0.21/diluted share), down from $4.1M.

• Adjusted EBITDA was $7.6M (12.2% of sales), stable YoY.

• Ended Q2 with $12.1M cash and no debt; expanded credit facility to $100M, maturing 2031.

Outlook and guidance

• FY2026 sales expected to be flat to up 5% YoY, with tooling revenue weighted to Q4.

• Most of $63M in 2025 new program awards to contribute meaningfully in H2 2026 and reach full run rate in 2027.

• Truck production volumes expected to improve through H2 2026 and into 2028.

• Full-year gross margin guidance of 17%-19%.

• Capex for FY2026 expected at $25-$30M, with $18-$20M for Mexico expansion.