Rev Group Inc (NYSE:REVG) stock fell 1.61% (As on June 5, 11:23:41 AM UTC-4, Source: Google Finance) after the company reported better-than-expected second quarter results and raised its full-year outlook. Adjusted Net Income for the second quarter 2025 was $35.4 million, compared to Adjusted Net Income of $20.9 million in the second quarter 2024. Adjusted EBITDA in the second quarter 2025 was $58.9 million, compared to $37.5 million in the second quarter 2024. Adjusted EBITDA for the second quarter 2024 included $1.5 million attributable to Bus Manufacturing Businesses.

Moreover, Specialty Vehicles segment net sales were $453.9 million in the second quarter 2025, an increase of $16.5 million, or 3.8%, from $437.4 million in the second quarter 2024. Specialty Vehicles segment backlog at the end of the second quarter 2025 was $4,282.0 million compared to $4,064.4 million at the end of the second quarter 2024. Backlog at the end of the second quarter 2024 included $54.8 million related to the Bus Manufacturing Businesses. Recreational Vehicles segment net sales were $175.3 million in the second quarter 2025, a decrease of $4.4 million, or 2.4%, from $179.7 million in the second quarter 2024. The decrease in net sales compared to the prior year quarter was primarily due to lower unit shipments and increased dealer assistance, partially offset by pricing actions. Recreational Vehicles segment backlog at the end of the second quarter 2025 was $267.9 million, a decrease of $6.8 million compared to $274.7 million at the end of the second quarter 2024. The decrease was primarily the result of lower order intake in certain categories.

REVG in the second quarter of FY25 has reported the adjusted earnings per share of 70 cents, beating the analysts’ estimates for the adjusted earnings per share of 55 cents. The company had reported the adjusted revenue growth of 7.7 percent to $629.1 million in the second quarter of FY25, beating the analysts’ estimates for revenue of $603.5 billion. The increase, excluding the impact of the Bus Manufacturing Businesses, was primarily due to higher net sales in the Specialty Vehicles segment, partially offset by lower net sales in the Recreational Vehicles segment.

Looking ahead, REV Group raised its fiscal 2025 revenue guidance to $2.35-$2.45 billion, up from its previous outlook of $2.3-$2.4 billion and above the $2.38 billion consensus estimate. The strong results and optimistic forecast reflect REV Group’s operational improvements and continued demand for its specialty and recreational vehicles.