Overview

* NFI Q2 revenue rises 2% yr/yr, missing analyst expectations

* Adjusted EPS beats estimates, reflecting operational improvements

* Net loss impacted by non-recurring items totaling $167.6 mln

Outlook

* NFI maintains 2025 revenue guidance of $3.8 bln to $4.2 bln

* Company expects 2025 adjusted EBITDA of $320 mln to $360 mln

* NFI sees 2025 ROIC between 9% and 12%

* Zero-emission buses to account for 35%-40% of 2025 sales

Result Drivers

* REVENUE GROWTH - Driven by improved pricing and product mix in manufacturing segment

* SUPPLY CHAIN IMPROVEMENTS - New seat supplier came online ahead of schedule, aiding operational objectives

* BACKLOG INCREASE - Strong order activity and demand for zero-emission buses boosted backlog

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Miss $868.20 $905.40

Revenue mln mln (5

Analysts

)

Q2 Beat $0.09 $0.07 (4

Adjusted Analysts

EPS )

Q2 EPS -$1.35

Q2 $10.70

Adjusted mln

Net

Income

Q2 Net -$160.80

Income mln

Q2 $70.80

Adjusted mln

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

* Wall Street's median 12-month price target for NFI Group Inc ( NFYEF ) is C$22.00, about 13.5% above its July 30 closing price of C$19.02

* The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)