Cooper Standard Raises Full Year Adjusted EBITDA Guidance as Second Quarter and First Half Results Exceed Expectations
NORTHVILLE, Mich., July 31, 2025 /PRNewswire/ -- Cooper-Standard Holdings Inc. (NYSE:CPS) today reported results for the second quarter 2025.
Second Quarter 2025 Highlights
Gross profit of $93.1 million, an increase of 12.2% vs. the second quarter of 2024
Operating income of $37.3 million, an increase of 234.5% vs. the second quarter of 2024
Net loss of $1.4 million, or $(0.08) per diluted share, an improvement of $74.8 million vs. the second quarter of 2024
Adjusted net income of $1.0 million, or $0.06 per diluted share, an improvement of $12.3 million vs. the second quarter of 2024
Adjusted EBITDA of $62.8 million, or 8.9% of sales, an increase of $11.9 million vs. the second quarter of 2024
"Through the outstanding effort and commitment of our global team, our operating performance and financial results in the first and second quarters of the year exceeded our plan," said Jeffrey Edwards, chairman and CEO, Cooper Standard. "We expect our execution in the second half to offset the impact of lower light vehicle production volume and ongoing inflationary headwinds. As a result, we are raising our full year adjusted EBITDA guidance."
Consolidated Results
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
(Dollar amounts in millions except per share amounts)
Sales
$ 706.0
$ 708.4
$ 1,373.0
$ 1,384.8
Net (loss) income
$ (1.4)
$ (76.2)
$ 0.2
$ (107.9)
Adjusted net income (loss)
$ 1.0
$ (11.3)
$ 4.5
$ (41.9)
(Loss) income per diluted share
$ (0.08)
$ (4.34)
$ 0.01
$ (6.16)
Adjusted income (loss) per diluted share
$ 0.06
$ (0.64)
$ 0.25
$ (2.39)
Adjusted EBITDA
$ 62.8
$ 50.9
$ 121.5
$ 80.3
Sales declined by 0.3% in the second quarter due primarily to unfavorable volume and mix, including net customer price adjustments, partially offset by foreign exchange.
Net loss for the second quarter of 2025 was $1.4 million, including restructuring charges of $2.9 million and other special items. Net loss for the second quarter of 2024 was $76.2 million, including restructuring charges of $17.8 million and other special items. Excluding these special items and their related tax impact, adjusted net income was $1.0 million in the second quarter of 2025 compared to adjusted net loss of $11.3 million in the second quarter of 2024, or an improvement of $12.3 million. The year-over-year improvement was primarily driven by increased manufacturing and purchasing efficiency and savings realized from past headcount initiatives. These positive drivers were partially offset by unfavorable volume, mix and price, and ongoing general inflation.
Adjusted EBITDA for the second quarter of 2025 was $62.8 million compared to $50.9 million in the second quarter of 2024. The year-over-year improvement was primarily driven by increased manufacturing and purchasing efficiency and savings realized from past headcount initiatives. These positive drivers were partially offset by unfavorable volume, mix and price, and ongoing general inflation.
Adjusted net income (loss), adjusted EBITDA and adjusted income (loss) per diluted share are non-GAAP measures. Reconciliations to the most directly comparable financial measures, calculated and presented in accordance with accounting principles generally accepted in the United States ("U.S. GAAP"), are provided in the attached supplemental schedules.
New Business Awards
The Company continues to leverage its world-class engineering and manufacturing capabilities, its innovation programs and its reputation for quality and service to win new business awards with its OEM customers and capitalize on positive trends associated with hybrid and battery electric vehicles. During the second quarter of 2025, the Company received net new business awards totaling $77.1 million in anticipated future annualized sales. Through the first six months of 2025, the Company has received $132.0 million in net new business awards, primarily related to battery-electric and hybrid vehicle platforms.
Segment Results of Operations
Sales
Three Months Ended June 30,
Variance Due To:
2025
2024
Change
Volume/
Mix*
ForeignExchange
(Dollar amounts in thousands)
Sales to external customers
Sealing systems
$ 364,368
$ 364,946
$ (578)
$ (4,243)
$ 3,665
Fluid handling systems
322,430
322,742
(312)
(887)
575
* Net of customer price adjustments, including recoveries.
Adjusted EBITDA
Three Months Ended June 30,
Variance Due To:
2025
2024
Change
Volume/Mix*
ForeignExchange
CostDecreases/(Increases)**
(Dollar amounts in thousands)
Segment adjusted EBITDA
Sealing systems
$ 40,345
$ 35,035
$ 5,310
$ (7,777)
$ (61)
$ 13,148
Fluid handling systems
26,997
16,282
10,715
(7,689)
7,300
11,104
* Net of customer price adjustments, including recoveries.
** Net of savings from 2024 restructuring initiatives.
Additional detail on our quarterly segment variance analyses is available in our periodic filings with the Securities and Exchange Commission.
Cash and Liquidity
As of June 30, 2025, Cooper Standard had cash and cash equivalents totaling $121.6 million. Total liquidity, including availability under the Company's amended senior asset-based revolving credit facility, was $272.8 million at the end of the second quarter of 2025.
Based on current expectations for light vehicle production and customer demand for our products, the Company believes it has sufficient financial resources to support ongoing operations and the execution of planned strategic initiatives for the foreseeable future. These financial resources include current cash on hand, continuing access to flexible credit facilities, and expected future positive cash generation.
Outlook
Our industry and, indeed, the global economy is facing unprecedented uncertainty due to changing trade and tariff policies being implemented or considered by the governments of the United States and other nations. Despite this trade-related uncertainty, the Company believes that the underlying demand for new light vehicle production in its key operating regions remains strong, supported by the age of the existing fleet, increasing population, increasing numbers of newly licensed drivers, and declining vehicle inventories. The Company believes it is well-positioned to manage through tariffs that may be imposed on the products it ships across borders, primarily in North America, but acknowledges that overall light vehicle production volumes may be impacted by changing trade policies. While the uncertainty related to trade and tariff policies make forecasting difficult in the near term, the Company remains confident that the continuing successful execution of its plans and strategies will drive increasing profit margins and returns on invested capital over time as markets stabilize.
Based on our actual results in the first half of the year and our expectations that continuing operational excellence will offset the impact of potential lower light vehicle production volumes in the second half, the Company has adjusted its full year guidance as follows:
Initial 2025 Guidance1
Current 2025 Guidance1
Sales
$2.7 - $2.8 billion
$2.7 - $2.8 billion
Adjusted EBITDA2
$200 - $235 million
$220 - $250 million
Capital Expenditures
$45 - $55 million
$45 - $55 million
Cash Restructuring
$20 - $25 million
$20 - $25 million
Net Cash Interest
$105 - $115 million
$105 - $115 million
Net Cash Taxes
$30 - $35 million
$25 - $30 million
Key Light Vehicle Productions Assumptions(Units)
North America
15.1 million
14.9 million
Europe
16.6 million
16.7 million
Greater China
30.2 million
31.2 million
South America
3.1 million
3.2 million
1 Guidance is representative of management's estimates and expectations as of the date it is published. Initial guidance was first presented in our earnings press release published on February 13, 2025. Current guidance as presented in this press release considers July 2025 S&P Global production forecasts for relevant light vehicle platforms and models, customers' planned production schedules and other internal assumptions.
2 Adjusted EBITDA is a non-GAAP financial measure. The Company has not provided a reconciliation of projected adjusted EBITDA to projected net income (loss) because full-year net income (loss) will include special items that have not yet occurred and are difficult to predict with reasonable certainty prior to year-end. Due to this uncertainty, the Company cannot reconcile projected adjusted EBITDA to U.S. GAAP net income (loss) without unreasonable effort.
Conference Call Details
Cooper Standard management will host a conference call and webcast on August 1, 2025 at 9 a.m. ET to discuss its second quarter 2025 results, provide a general business update and respond to investor questions. Investors and other interested parties may listen to the call by accessing the online, real-time webcast at https://ir.cooperstandard.com/events.
To participate by phone, callers in the United States and Canada can dial toll-free at 800-836-8184 (international callers dial 646-357-8785) and ask to be connected to the Cooper Standard conference call. Representatives of the investment community will have the opportunity to ask questions during Q&A. Participants should dial-in at least five minutes prior to the start of the call.
A replay of the webcast will be available on the investors' portion of the Cooper Standard website (https://ir.cooperstandard.com) shortly after the live event.
About Cooper Standard
Cooper Standard, headquartered in Northville, Mich., with locations in 20 countries, is a leading global supplier of sealing and fluid handling systems and components. Utilizing our materials science and manufacturing expertise, we create innovative and sustainable engineered solutions for diverse transportation and industrial markets. Cooper Standard's approximately 22,000 team members (including contingent workers) are at the heart of our success, continuously improving our business and surrounding communities. Learn more at www.cooperstandard.com or follow us on LinkedIn, X, Facebook, Instagram or YouTube.
Forward Looking Statements
This press release includes "forward-looking statements" within the meaning of U.S. federal securities laws, and we intend that such forward-looking statements be subject to the safe harbor created thereby. Our use of words "estimate," "expect," "anticipate," "project," "plan," "intend," "believe," "outlook," "guidance," "forecast," or future or conditional verbs, such as "will," "should," "could," "would," or "may," and variations of such words or similar expressions are intended to identify forward-looking statements. All forward-looking statements are based upon our current expectations and various assumptions. Our expectations, beliefs, and projections are expressed in good faith and we believe there is a reasonable basis for them. However, we cannot assure you that these expectations, beliefs and projections will be achieved. Forward-looking statements are not guarantees of future performance and are subject to significant risks and uncertainties that may cause actual results or achievements to be materially different from the future results or achievements expressed or implied by the forward-looking statements. Among other items, such factors may include: volatility or decline of the Company's stock price, or absence of stock price appreciation; impacts and disruptions related to the wars in Ukraine and the Middle East; our ability to achieve commercial recoveries and to offset the adverse impact of higher commodity and other costs through pricing and other negotiations with our customers; work stoppages or other labor disruptions with our employees or our customers' employees; prolonged or material contractions in automotive sales and production volumes; our inability to realize sales represented by awarded business; escalating pricing pressures; loss of large customers or significant platforms; our ability to successfully compete in the automotive parts industry; availability and increasing volatility in costs of manufactured components and raw materials; disruption in our supply base; competitive threats and commercial risks associated with our diversification strategy; possible variability of our working capital requirements; risks associated with our international operations, including changes in laws, regulations, and policies governing the terms of foreign trade such as increased trade restrictions and tariffs; foreign currency exchange rate fluctuations; our ability to control the operations of our joint ventures for our sole benefit; our substantial amount of indebtedness and rates of interest; our ability to obtain adequate financing sources in the ...
