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Jan 31

REV Group Q1 2025 Earnings Report

REV Group reported strong Q1 2025 results with increased adjusted EBITDA and reaffirmed its full-year guidance.

Key Takeaways

REV Group reported Q1 2025 revenue of $525.1 million, a decrease from the prior year due to the sale of its Bus Manufacturing Businesses. However, excluding the impact of the divestiture, revenue grew 3.1%. Net income was $18.2 million, with adjusted EBITDA reaching a record $36.8 million. The company reaffirmed its fiscal 2025 guidance, reflecting confidence in its operational momentum.

Q1 2025 revenue was $525.1 million, down from $586.0 million in Q1 2024 due to the divestiture of Bus Manufacturing Businesses.

Net income was $18.2 million, compared to $182.7 million in Q1 2024, which included a $257.5 million gain from the sale of Collins.

Adjusted EBITDA reached a record $36.8 million, up from $30.5 million in Q1 2024.

The company reaffirmed its fiscal 2025 guidance, highlighting continued operational strength.

Total Revenue
$525M
Previous year: $586M
-10.4%
EPS
$0.4
Previous year: $0.25
+60.0%
Adjusted EBITDA
$36.8M
Previous year: $30.5M
+20.7%
Net cash used in operations
-$13.1M
Fire & Emergency Adj. EBITDA
$35.2M
Gross Profit
$69.8M
Previous year: $62.9M
+11.0%
Cash and Equivalents
$31.6M
Previous year: $87.9M
-64.1%
Total Assets
$1.24B
Previous year: $1.42B
-12.6%

REV Group

REV Group

REV Group Revenue by Segment

Forward Guidance

REV Group reaffirmed its fiscal 2025 guidance, expecting continued revenue growth, improving margins, and operational efficiencies.

Positive Outlook

  • Revenue expected to grow throughout fiscal 2025.
  • Adjusted EBITDA projected to increase due to operational improvements.
  • Strong order backlog supports continued demand in Specialty Vehicles.
  • Company resumed share repurchases, signaling confidence in valuation.
  • Liquidity remains strong with $262.9 million available under credit facility.

Challenges Ahead

  • Macroeconomic conditions such as inflation and interest rates may impact demand.
  • Supply chain disruptions could affect production schedules.
  • Recreational Vehicles segment saw a decline in shipments and backlog.
  • Operating cash flow was negative in Q1 2025.
  • Continued pressure from inflation and dealer assistance in RV segment.

Revenue & Expenses

Visualization of income flow from segment revenue to net income