Company: CVGI
Filing Date: 2025-08-04
Form Type: 10-Q
Source: 0001290900-25-000010
Chunk: 39

Company: Commercial Vehicle Group, Inc.
Filing Date: 2025-08-04
Form: 10-Q
Item: Item 1
Chunk 39
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 Expense. Interest associated with our debt was relatively flat on a lower average debt balance, at $2.3 million and $2.4 million for the three months ended June 30, 2025 and 2024, respectively. 

Loss on extinguishment of debt. Loss on extinguishment of debt reflects the write-off of deferred financing fees related to early repayment of the prior revolver $0.5 million.

Provision for Income Taxes. Income tax expense of $1.7 million and benefit of $0.3 million was recorded for the three months ended June 30, 2025 and 2024, respectively. The primary driver in the effective tax rate change is the company's losses in the U.S. while maintaining its full valuation allowance position on U.S. deferred tax assets.

Net Income (Loss) from continuing operations. Net loss from continuing operations was $4.1 million for the three months ended June 30, 2025 compared to net loss of $1.3 million for the three months ended June 30, 2024. The decrease in net income is attributable to the factors noted above.

27

Segment Results

Global Seating Segment Results 

Three Months Ended June 30, 2025 Compared to Three Months Ended June 30, 2024

The table below sets forth certain Global Seating Segment operating data for the three months ended June 30 (dollars are in thousands):

 20252024$ Change% ChangeRevenues$74,457 $82,404 $(7,947)(9.6)%Gross profit9,930 10,634 (704)(6.6)Selling, general & administrative expenses 7,219 8,534 (1,315)(15.4)Operating income2,711 2,100 611 29.1

Revenues. The decrease in Global Seating Segment revenues of $7.9 million was primarily driven by decreased customer demand. 

Gross Profit. The decrease in 2025 gross profit of $0.7 million was primarily attributable to lower sales volumes. The decrease in cost of revenues was driven by a decrease in raw material and purchased component costs of $5.9 million, or 13.0%, and a decrease in labor and overhead expenses of $1.4 million, or 5.3%. 

As a percentage of revenues, gross profit margin was 13.3% for the three months ended June