Mayville Engineering Company ( (MEC) ) has released its Q1 earnings. Here is a breakdown of the information Mayville Engineering Company presented to its investors.
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Mayville Engineering Company (MEC) is a prominent U.S.-based provider of comprehensive manufacturing solutions, specializing in design, prototyping, and production for a variety of industries, including commercial vehicles, construction, powersports, agriculture, and military sectors.
In its first quarter of 2025, MEC reported net sales of $135.6 million, with a GAAP net income of $20 thousand and a non-GAAP adjusted net income of $1.0 million. Despite a challenging economic environment marked by inventory de-stocking and lower customer demand, the company achieved a 12% sequential sales growth and positive free cash flow.
Key financial highlights include an adjusted EBITDA of $12.2 million, reflecting a margin of 9.0%, and a free cash flow of $5.4 million. The company also maintained a net debt to trailing twelve-month adjusted EBITDA ratio of 1.4x. MEC’s strategic focus on cost discipline and operational efficiency has contributed to a 140 basis-point improvement in adjusted EBITDA margin.
Looking forward, MEC remains optimistic about its positioning amid evolving U.S. trade policies and the onshoring of manufacturing. The company aims to secure $100 million in new project awards this year and is maintaining its full-year 2025 guidance, anticipating robust demand in its military and other less cyclical markets. MEC is prepared to navigate potential macroeconomic uncertainties with contingency plans to optimize its cost structure and sustain long-term growth.