Adjusted EBITDA loss was $3.1 million compared to a positive $0.1 million in the prior year period.
Ended the quarter with $19.8 million in cash and increased revolver capacity to manage near-term uncertainty.
GAAP net loss widened to $12.7 million from $8.7 million, impacted by lower gross margin, higher marketing costs, one-time advisory fees, and restructuring costs.
Gross profit increased 3% to $49.8 million, with gross margin declining slightly to 32.8% from 33.5% due to product mix and tariff impacts.
Inventory increased to $94 million from $90 million, reflecting proactive stocking to improve supply chain continuity.
Reported revenue of $151.9 million, up 5% from $144.3 million in the prior year quarter, driven by growth in e-commerce and offline channels.
Adjusted operating margin expanded by 70 basis points to 16.3%, supported by margin improvements in the light-duty business.
Consolidated net sales for Q2 2025 grew 8% year-over-year to $541 million, driven primarily by strong volume growth in the light-duty segment.
Heavy Duty segment grew 1% with a slight positive operating margin of 80 basis points, down year-over-year due to lower volume and investments for growth.
Light Duty segment net sales increased 10% with a 140 basis point margin improvement to 18.5%.
Operating cash flow was $9 million in Q2 2025, down from $63 million in Q2 2024, impacted by higher tariff costs and increased inventory investments.
Specialty Vehicle segment net sales declined 3% due to weak consumer sentiment but maintained margin focus and engagement in enthusiast markets.
Dafinchi