Superior Industries Reports Second Quarter 2024 Financial Results
Intellectia.AI Updated: 1970-01-01
Superior Industries Reports Second Quarter 2024 Financial Results
Superior Industries International, Inc. ("Superior" or the "Company") (NYSE:SUP) today announced its financial results for the second quarter ended June 30, 2024. Below are the key highlights from the earnings report.
Key Financial Metrics:
| Metric | Q2 2024 | Q2 2023 | YoY Change |
|---|---|---|---|
| Net Sales | $319 million | $373 million | -14.5% |
| Adjusted EBITDA | $40 million | $52 million | -23% |
| Net Loss | $11 million | $0.1 million | -10,900% |
| Loss per Diluted Share | $0.75 | $0.35 | -114.3% |
Interpretation: The company's financial performance saw a decline in revenue and profitability YoY. Net Sales decreased by 14.5% YoY due to lower aluminum pass-through and deconsolidation of a subsidiary. Adjusted EBITDA also decreased by 23%, mainly because of lower price increases to customers to offset inflation and lower unit sales. The Net Loss expanded significantly compared to the previous year, indicating challenges in maintaining profitability.
Revenue Performance Across Major Segments:
| Segment | Q2 2024 | Q2 2023 | YoY Change |
|---|---|---|---|
| Value-Added Sales | $180M | $181M | -0.55% |
Interpretation: Revenue from Value-Added Sales remained stable, showing a slight decrease of 0.55% YoY. This stability signals that the company managed to sustain its core revenue streams despite broader economic challenges and operational shifts.
Comments from Company's Officers: Majdi Abulaban, President and CEO, emphasized that despite softer production among key OEM customers, Superior delivered solid performance in Q2, achieving a sequential margin expansion of 400 basis points. He highlighted the ongoing transformation of the European operations and the relocation of production to Poland as strategic moves to enhance profitability and competitive positioning.
Forward Guidance: The company adjusted its full-year 2024 outlook due to lower aluminum costs and reduced production volumes by OEMs, impacting both Net Sales and Adjusted EBITDA negatively. Unlevered Free Cash Flow estimates remain unchanged as the company expects other mitigating actions.
Stock Price Movement: Following the earnings release, Superior Industries' stock experienced a slight decrease of 0.18%.
Superior Industries has proactively addressed its challenges and is focusing on strategic transformations to optimize its operational framework and drive future growth.
For additional information, please visit the Company's website at www.supind.com.
The report has been organized into a more readable format, and unnecessary columns have been removed.