Executive Summary

Record Q1 Adjusted EBITDA of $36.8M and Adjusted EPS of $0.40; consolidated net sales of $525.1M declined year-over-year due to prior-year bus divestitures but rose 3.1% ex-bus, driven by Specialty Vehicles strength .
Specialty Vehicles delivered robust throughput, favorable ambulance mix, and price realization; Recreational Vehicles remained soft on lower unit shipments and higher dealer assistance .
FY2025 guidance reaffirmed: net sales $2.3–$2.4B, Adjusted EBITDA $190–$220M; segment outlooks unchanged (SV growth HS/LD on pro forma base; RV roughly flat) .
Capital allocation remains shareholder-friendly: $19.2M buybacks in Q1, additional $13.8M repurchased through Feb 28; quarterly dividend maintained at $0.06/share; ABL facility extended to 2030 .
Catalyst: Continued backlog durability (~$4.49B total), visible 2–2.5 years in Specialty Vehicles, and disciplined execution support margin trajectory; risk monitoring centered on tariff impacts and inflation pass-through mechanics .

What Went Well and What Went Wrong

What Went Well

Record first-quarter Adjusted EBITDA ($36.8M), up 78.6% ex-bus; Adjusted EPS $0.40 vs $0.25 prior year .
Specialty Vehicles: higher fire apparatus shipments, favorable ambulance mix, price realization; SV Adjusted EBITDA up 116% ex-bus; SV backlog reached $4.226B (record) .
Management highlighted improved operations and cash efficiency exceeding typical seasonality; reaffirmed FY2025 guidance amid strong execution momentum .

Quote: “We are pleased to have delivered record first quarter results, demonstrating the strength of our operational execution... As a result, we are reaffirming our Fiscal 2025 guidance” — CEO Mark Skonieczny .

What Went Wrong

Recreational Vehicles: net sales down 8.5% YoY, Adjusted EBITDA down 21% to $9.2M on lower unit shipments and increased dealer assistance; backlog fell to $264.5M .
Working capital increased ($290.2M vs. $248.2M) and operating cash outflow (-$13.1M) driven by AR timing and lower AP; ABL availability declined vs Oct 31 .
Company did not raise FY2025 guidance despite an internal beat, citing early-year uncertainty around tariffs/inflation; EBITDA beat vs consensus acknowledged but range held .

Financial Results

Consolidated Results vs Prior Quarters

Metric	Q3 2024	Q4 2024	Q1 2025
Net Sales ($USD Millions)	$579.0	$597.9	$525.1
Adjusted EBITDA ($USD Millions)	$45.2	$49.6	$36.8
Adjusted EBITDA Margin (%)	~7.8% (calc 45.2/579.0)	8.3%	7.0%
Diluted EPS ($)	N/A	$0.80	$0.35
Adjusted Diluted EPS ($)	N/A	$0.51	$0.40
Gross Profit ($USD Millions)	N/A	$78.8	$69.8
Operating Income ($USD Millions)	N/A	$34.6	$28.0

Segment Breakdown (YoY)

Segment Metric	Q1 2024	Q1 2025
Specialty Vehicles Net Sales ($USD Millions)	$417.2	$370.2
Recreational Vehicles Net Sales ($USD Millions)	$169.4	$155.0
Specialty Vehicles Adjusted EBITDA ($USD Millions)	$26.2	$35.2
Recreational Vehicles Adjusted EBITDA ($USD Millions)	$11.6	$9.2
Specialty Vehicles Adjusted EBITDA Margin (%)	6.3%	9.5%
Recreational Vehicles Adjusted EBITDA Margin (%)	6.8%	5.9%

Backlog

Backlog ($USD Millions)	Jan 31, 2024	Oct 31, 2024	Jan 31, 2025
Specialty Vehicles	$3,864.1	$4,179.8	$4,226.1
Recreational Vehicles	$376.7	$291.5	$264.5
Total	$4,240.8	$4,471.3	$4,490.6

KPIs and Balance Sheet

KPI	Q1 2025
Net Debt ($USD Millions)	$108.4
Cash ($USD Millions)	$31.6
ABL Availability ($USD Millions)	$262.9
Trade Working Capital ($USD Millions)	$290.2
Capital Expenditures ($USD Millions)	$4.9
Share Repurchases	0.6M shares for $19.2M; avg $33.09
Subsequent Repurchases (through Feb 28)	0.425M shares for $13.8M
Quarterly Dividend	$0.06/share (declared; payable Apr 11, 2025)

Guidance Changes

Metric	Period	Previous Guidance (Dec 11, 2024)	Current Guidance (Mar 5, 2025)	Change
Net Sales ($USD Billions)	FY2025	$2.3 – $2.4	$2.3 – $2.4	Maintained
Adjusted EBITDA ($USD Millions)	FY2025	$190 – $220	$190 – $220	Maintained
Net Income ($USD Millions)	FY2025	$98 – $125	$98 – $125	Maintained
Adjusted Net Income ($USD Millions)	FY2025	$116 – $140	$116 – $140	Maintained
Free Cash Flow ($USD Millions)	FY2025	$90 – $110	$90 – $110	Maintained
Specialty Vehicles Topline	FY2025	HS/LD growth vs pro forma $1.56B	HS/LD growth vs pro forma $1.56B	Maintained
RV Topline/EBITDA	FY2025	~Flat vs FY2024	~Flat vs FY2024	Maintained
Interest Expense ($USD Millions)	FY2025	$18 – $20	$18 – $20	Maintained
Tax Provision ($USD Millions)	FY2025	$34.6 – $43.9	Reaffirmed via guidance	Maintained
Dividend	Ongoing	$0.06/share quarterly	$0.06/share (Apr 11 payable)	Maintained

Earnings Call Themes & Trends

Topic	Previous Mentions (Q3 2024)	Previous Mentions (Q4 2024)	Current Period (Q1 2025)	Trend
Tariffs/Macro	Noted industry cycles, terminal trucks at trough; cautious RV demand	Risk monitoring includes tariffs/inflation; supply chain resiliency improved; <2% Tier-1 exposure outside U.S.	Direct exposure ~2% of direct materials from China/Mexico/Canada; steel/aluminum ~5% of materials; multi-sourcing, potential surcharges if needed	Increasing focus; mitigation plans in place
Supply Chain & Throughput	Fire ramp and SIOP; ambulance at or above pre-COVID rates; double-digit SV margins targeted	Operational excellence and lean; SV margins 11.4% Q4; backlog 2–3 years; updated intermediate targets	SV record first-quarter performance; continued throughput initiatives; confidence in meeting FY targets	Sustained improvement
Pricing & Pass-through	Price realization in SV; discounting in RV moderating as dealer inventories improve	Mid-single-digit pricing cadence; structurally higher SV margins (14–16% by FY2027)	Mid-single-digit SV price increases; pass-through on commercial chassis/ambulances; limited ability to reprice fixed-bid fire contracts; surcharges possible	Continued disciplined pricing
Backlog & Demand Visibility	SV backlog ~$4.1B; RV backlog down to $240M	SV backlog $4.2B; investor day frames 2–3 year visibility	Total backlog $4.49B; SV backlog $4.226B; visibility 2–2.5 years; RV backlog $264.5M	Stable high backlog
RV Market & Shows	Hershey/Elkhart as indicators; dealer destocking; decrementals managed	Tampa expected to set pace; FY25 RV roughly flat	Tampa SuperShow: higher retail sales across brands; still cautious outlook until sustained retail improvement	Gradual improvement signs

Management Commentary

Strategic posture: “Record first quarter adjusted EBITDA and cash efficiency that exceeded typical seasonality... positions us well to continue delivering on our long-term strategy for value creation.” — CEO Mark Skonieczny .
Tariffs: “Approximately 2% of our direct material purchases come from China, Mexico, and Canada... raw material spend on steel and aluminum ~5%... multi-sourcing strategy reduces sole-source exposure.” — CEO Mark Skonieczny .
Capital allocation: “We recommenced share repurchases... repurchasing approximately 579,000 shares... We continued to purchase shares subsequent to the first quarter...” — CEO Mark Skonieczny .
Segment drivers: “Increased shipments of fire apparatus, a favorable mix of ambulance units, and price realization...” — Press release .
Guidance tone: “We are reaffirming our Fiscal 2025 guidance provided in December.” — CEO Mark Skonieczny .

Q&A Highlights

Tariff exposure and mitigation: Management reiterated limited direct exposure, improved supply resilience, and potential use of surcharges if needed to manage indirect cost spikes .
RV outlook: Despite strong Tampa retail, management wants to see retail-wholesale normalization and sustained bookings before increasing FY25 RV guidance; back-half weighted .
Pricing mechanics: Mid-single-digit price increases in SV; pass-through mechanisms on ambulances and some fire commercial chassis; limited repricing of fixed-bid contracts but commercial discipline provides buffer .
Guidance stance: Q1 was above internal expectations, but guidance maintained due to early-year inflation/tariff uncertainty; pathway exists to top-half even with known tariff risk .
Orders/Market share: Fire industry units ~5,000 in 2024 vs long-term ~4,000; ambulance demand still above normal; market share commentary limited .

Estimates Context

Management noted Q1 EBITDA was above consensus, but the company did not raise FY guidance due to uncertainty around tariffs/inflation .
SPGI/Capital IQ Wall Street consensus (EPS/Revenue/EBITDA) for Q1 2025 was unavailable via our data service at this time due to request limits; as such, detailed numeric comparison vs consensus cannot be provided .

Key Takeaways for Investors

Specialty Vehicles operational momentum is durable: throughput, mix, and pricing drove a record Q1; SV margins are tracking toward double-digits sustainably, underpinning FY25 and intermediate targets .
RV remains the swing factor: early retail strength at Tampa is encouraging, but management needs sustained retail momentum and dealer restocking; FY25 RV is guided roughly flat, implying upside optionality if trends persist .
Backlog supports multi-year visibility: ~$4.49B total, 2–2.5 years in SV, providing planning and margin continuity even amid macro noise; lumpy orders but above long-term trends in fire .
Pricing discipline and pass-through mechanics mitigate inflation/tariff risks; surcharges are a lever to preserve margins if indirect costs rise .
Capital deployment constructive: ongoing buybacks ($33.09/share avg in Q1) and dividend support TSR; ABL maturity extension enhances flexibility for opportunistic repurchases or bolt-ons .
FY2025 guide reaffirmed with room to the top half: early beat and SV strength offset RV caution; watch Q2 tariff clarity and RV booking cadence for potential revision .
Trading implications: near-term upside biased to continued SV execution and backlog conversion; monitor tariff headlines and RV order intake post-spring for estimate revisions and sentiment shifts .

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