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Jun 30
Myers Industries Q2 2025 Earnings Report
Myers Industries reported a decrease in second-quarter sales and net income, primarily due to soft demand in Vehicle and Automotive Aftermarket, despite growth in Industrial sales. The company also announced a strategic review of its Myers Tire Supply business and plans to consolidate rotational molding production capacity.
Key Takeaways
Myers Industries experienced a decline in second-quarter 2025 sales and profitability, with net sales decreasing by 4.8% and net income by 5.6% year-over-year. This was largely driven by softness in the Vehicle and Automotive Aftermarket sectors, although growth in Scepter military products provided some offset. Despite the sales challenges, the company significantly improved free cash flow and is on track to achieve its $20 million cost savings goal by the end of 2025. A strategic review of the Myers Tire Supply business has been initiated to streamline the portfolio and enhance profitability.
Net sales for Q2 2025 decreased by 4.8% to $209.583 million, primarily due to lower demand in Vehicle and Automotive Aftermarket, partially offset by growth in Industrial military products.
Net income for the quarter was $9.705 million, a 5.6% decrease year-over-year, while diluted EPS was $0.26, down 7.1%.
The company generated significant free cash flow of $24.7 million, a substantial improvement of $14.8 million compared to the prior year, driven by better working capital management.
Myers Industries is launching a strategic review of its Myers Tire Supply business and consolidating rotational molding production facilities to accelerate its Focused Transformation program and improve asset utilization.
Myers Industries
Myers Industries
Myers Industries Revenue by Segment
Revenue by Segment
Material Handling Revenue
CapyFin.comDistribution Revenue
CapyFin.com Forward Guidance
Myers Industries maintains its 2025 end market outlook, anticipating moderate growth in Industrial, strong growth in Infrastructure, and stable performance in Consumer and Food & Beverage. Vehicle and Automotive Aftermarket Distribution are expected to be down or slightly down.
Positive Outlook
- Moderate growth expected in the Industrial end market (30% of sales), including Akro-Mils®, Buckhorn® & Jamco® containers, organizational bins, totes, carts and cabinets, and Scepter® military ammunition containers.
- Strong growth anticipated in the Infrastructure end market (13% of sales), driven by Signature Systems™ ground protection matting.
- Consumer end market (11% of sales), including Scepter® fuel cans and outdoor furniture, is expected to remain stable, with potential influence from hurricane responses.
- Food & Beverage end market (8% of sales), featuring Buckhorn® seed boxes and intermediate bulk containers, is projected to be stable.
- The company is on track to achieve $20 million in cost savings by the end of 2025, with $15 million in annualized savings realized through the first six months.
Challenges Ahead
- The Vehicle end market (13% of sales), including RV, marine, and automotive components, is expected to be down.
- Automotive Aftermarket Distribution (25% of sales) is projected to be slightly down.
- The strategic review of Myers Tire Supply business introduces uncertainty regarding its future within the company's portfolio.
- Consolidating rotational molding production facilities involves idling two facilities, which may entail short-term operational adjustments.
- Overall sales decline in Q2 2025 indicates ongoing market softness in key segments.
Revenue & Expenses
Visualization of income flow from segment revenue to net income