Miller Industries Q2 Earnings Call Highlights

Miller Industries NYSE: MLR reported second-quarter 2026 revenue of $240 million, up 12.1% from a year earlier and 32.7% sequentially, as steady production rates supported retail activity and order intake.

The towing and recovery equipment maker said it expects similar quarterly revenue of about $250 million for the remainder of the year and reaffirmed its full-year revenue outlook of $850 million to $900 million.

President and CEO Will Miller said the company delivered revenue growth and improved profitability despite what he described as an inconsistent macroeconomic environment.

He attributed the progress to production efficiencies and stronger cash generation, which helped the company reduce debt and increase financial flexibility.

Gross profit in the quarter was $35.9 million, representing 15% of sales, while net income totaled $7.3 million.

Diluted earnings per share were $0.63, compared with $0.05 in the first quarter.

Executive Vice President, CFO and Treasurer Debbie Whitmire said the profitability improvement reflected operational efficiency and disciplined labor-cost management.

However, gross profit was affected by a product mix that returned toward a more normalized balance between chassis and bodies after a period of elevated inventory within distribution channels.

The quarter’s earnings also included $0.11 per share of expenses related to the acquisition of Omars.

Whitmire said Miller Industries has recognized the majority of transaction-related costs and expects any remaining impact to be less material.

During the question-and-answer session, she estimated the remaining Omars-related expense for the year at roughly $0.04 to $0.05 per share, following impacts of $0.13 in the first quarter and $0.11 in the second quarter.

The company expects full-year earnings per share to be in line with 2025 results and expects gross margins to return to historical levels in the mid-13% range for 2026.

Will Miller told analysts that greater chassis demand from distributors could modestly pressure margins as the product mix normalizes.

Miller Industries ended the second quarter with $65.6 million in cash, an increase of $2.6 million from the prior quarter.

The company also reduced debt by $20 million since the end of the first quarter.

Management said the balance sheet and cash generation provide flexibility to support investments, strategic opportunities and shareholder returns.

The company returned $4.9 million to shareholders during the quarter through dividends and share repurchases, including $2.5 million in stock buybacks.

Approximately $11.5 million remained available under its current repurchase authorization.

Will Miller said the company’s capital-allocation ...