Westport's Q2 Loss Meets Expectations, Revenues Rise Y/Y

Westport Fuel Systems Inc. WPRT reported a loss of 29 cents per share in the second quarter of 2025, which was in line with the Zacks Consensus Estimate. The company incurred a loss of 43 cents in the year-ago period.WPRT registered consolidated revenues of $88.9 million, which beat the Zacks Consensus Estimate of $74 million. The top line also rose from $88.6 million generated in the corresponding quarter of 2024. The company incurred an adjusted EBITDA loss of $1 million compared with a loss of $2 million recorded in the year-ago period.Westport Fuel Systems Inc. Price, Consensus and EPS Surprise Westport Fuel Systems Inc. price-consensus-eps-surprise-chart | Westport Fuel Systems Inc. QuoteWPRT’s Segmental TakeawaysFrom the third quarter of 2024, Westport has started reporting its results under four segments: Cespira, Light-Duty, High-Pressure Controls and Systems, and Heavy-Duty OEM. Cespira is Westport’s HPDI joint venture with Volvo Group.Cespira: The segment reported net sales of $12 million, which missed our estimate of $17.7 million but rose from $4.1 million reported in the corresponding quarter of 2024. It incurred an operating loss of $6.7 million in the second quarter of 2025, wider than the loss of $2 million reported in the corresponding quarter of 2024.Light-Duty: Net sales of the segment totaled $76.4 million, which increased from $69.3 million in the second quarter of 2024 and beat our estimate of $68.3 million. This upside was mainly due to delayed OEM and OEM businesses.Gross profit rose to $15.1 million (20% of revenues) from the year-ago period’s $14.7 million (21% of revenues), primarily due to an increase in sales to European customers and lower sales in developing regions.High-Pressure Controls and Systems: Net sales of the segment totaled $2.9 million compared with $3.6 million in the year-ago period. A slowdown in hydrogen infrastructure development due to a slower adoption of hydrogen-powered solutions has resulted in a year-over-year decline. The figure, however, surpassed our estimate of $2.3 million.  In the reported quarter, gross profit fell to $0.1 million of revenues (3% of revenues) from $1.1 million (31% of revenues) in the year-ago period due to lower sales volume and increased material costs.Heavy-Duty OEM: In the reported quarter, net sales of the segment fell to $9.6 million from $10.5 million in the year-ago quarter. The year-over-year decline resulted from the reduction in manufacturing support to Cespira. The metric, however, beat our estimate of $3.7 million. Gross profit totaled $0.7 million (7% of revenues), down from a gross profit $1.3 million in the second quarter of 2024.WPRT's FinancialsWestport had cash and cash equivalents (including restricted cash) of $6.06 million as of June 30, 2025, down from $14.75 million as of Dec. 31, 2024. Long-term debt decreased to $0.98 million as of June 30, 2025, from $2.93 million as of Dec. 31, 2024.WPRT’s Zacks Rank & Key PicksWestport carries a Zacks Rank #4 (Sell) at present.Some better-ranked stocks in the auto space are PHINIA Inc. PHIN, Gentex Corporation GNTX and Ferrari N.V. RACE. PHIN, GNTX and RACE sport a Zacks Rank #1 (Strong Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here. The Zacks Consensus Estimate for PHIN’s 2025 sales and earnings implies year-over-year flat growth and an 18.13% rise, respectively. EPS estimates for 2025 and 2026 have improved 16 cents and 12 cents, respectively, in the past seven days.The Zacks Consensus Estimate for GNTX’s 2025 sales and earnings indicates year-over-year growth of 9.24% and 0.57%, respectively. EPS estimates for 2025 and 2026 have improved 9 cents in the past 30 days and 2 cents in the past seven days, respectively.The Zacks Consensus Estimate for RACE’s fiscal 2025 earnings and sales indicates year-over-year growth of 13.65% and 13.76%, respectively. EPS estimates for fiscal 2025 and 2026 have improved 14 cents and 18 cents, respectively, in the past 30 days.See our %%CTA_TEXT%% report – free today!7 Best Stocks for the Next 30 DaysWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Westport Fuel Systems Inc. (WPRT): Free Stock Analysis Report Gentex Corporation (GNTX): Free Stock Analysis Report Ferrari N.V. (RACE): Free Stock Analysis Report PHINIA Inc. (PHIN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks