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Sep 30
Core Molding Q3 2025 Earnings Report
Core Molding Technologies reported its third quarter 2025 financial and operating results, highlighting persistent topline challenges but strong operational achievements and strategic investments for future growth.
Key Takeaways
Core Molding Technologies experienced double-digit sales declines in Q3 2025 primarily due to the Volvo Transition and lower truck demand. Despite this, the company maintained solid gross margins within its target range, strong earnings, and EBITDA, supported by operational excellence and cost control. Strategic investments in organic growth and new business wins position the company for future acceleration.
Third quarter sales declined double-digits, mainly due to the Volvo Transition and reduced demand in the truck segment.
The company maintained solid gross margins between 17% and 19%, demonstrating effective cost control and operational excellence.
Core Molding secured $47 million in new incremental business scheduled to launch over the next two years, reflecting market share gains and new opportunities.
Strategic investments of $25 million are underway for organic growth, including expanding the Matamoros plant and establishing a new facility in Monterrey, Mexico.
Core Molding
Core Molding
Core Molding Revenue by Segment
Core Molding Revenue by Geographic Location
Revenue by Segment
Truck Revenue
CapyFin.comPowersports Revenue
CapyFin.comIndustrial & Utilities Revenue
CapyFin.comBuilding Products Revenue
CapyFin.comRevenue by Geographic Location
US Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
Core Molding Technologies anticipates a full-year 2025 sales decline of 10% to 12% year-over-year. However, the company is well-positioned for future growth with significant new business launches and strategic investments in capacity expansion.
Positive Outlook
- Secured $47 million in new incremental business launching over the next two years, indicating future revenue growth.
- Strategic investments of $25 million in organic growth, including plant expansion and a new facility, will enhance capabilities and capacity.
- New programs reflect a balanced mix of market share gains, wallet-share expansion, and new business wins.
- Expansion in Mexico will serve a major truck customer and leverage advanced molding and paint capabilities.
- Anticipates spending $8 million to $10 million on capital expenditures by the end of fiscal 2025 to support growth initiatives.
Challenges Ahead
- Full-year 2025 sales are expected to be down 10% to 12% from the prior year.
- Topline challenges are expected to persist, primarily due to the Volvo Transition and lower demand in the truck segment.
- The company did not provide specific financial targets for 2026, only mentioning acceleration of new program launches.
- Reliance on certain major customers poses a risk of potential loss due to program completion or other factors.
- General macroeconomic, social, regulatory, and political conditions could impact future results.
Revenue & Expenses
Visualization of income flow from segment revenue to net income