REVG - REV Group jumps after earnings topper strong guidance

2023-06-08 09:42:36 ET

REV Group ( NYSE: REVG ) rallied in early trading on Thursday after cruising past consensus expectations with its Q1 earnings report and boosting guidance.

Sales rose 18.2% during the quarter to $576.3M. The increase was attributed in part to price realization across all segments. Net income was $20.8M vs. $10.6M a year ago.

CEO update: "Within the quarter, several businesses in the F&E and Commercial segments improved their operational consistency with increased starts and completions resulting in improved net sales. Despite a challenged industry environment, the Recreation segment delivered revenue and earnings growth sequentially and year-over-year."

Looking ahead, REV Group ( REVG ) sees FY23 revenue of $2.45B to $2.55B vs. $2.41B consensus and expects adjusted net income of $48M to $62M.

The company's board of directors approved the repurchase of up to $175M shares. The new authorization replaces the previous $150M repurchase program under which approximately $73.7M worth of stock had been repurchased since its authorization in September of 2021.

Shares of REV Group ( REVG ) jumped 13.86% in morning action to $13.39 vs. the 52-week trading range of $9.85 to $16.38.

More on REV Group:

• REV Group: Speeding Up Amidst The Wagon War
• Growth metrics on REV Group
• Recent options trades on REV Group
• Seeking Alpha's Quant Rating for REV Group

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