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Miller Industries Reports Financial Results for Q2 2025

Miller Industries, Inc., the renowned manufacturer of towing and recovery equipment, recently released its financial results for the second quarter of 2025, marking significant challenges faced by the company and the industry at large.

As of June 30, 2025, Miller Industries reported net sales totaling $214.0 million, a stark decline of 42.4% compared to $371.5 million in the same quarter of the previous year. This decrease was largely attributed to a substantial drop in product shipments, particularly chassis, which previously saw a surge as original equipment manufacturers (OEMs) rebounded from supply chain disruptions. The combination of lower demand and market turbulence contributed to this decline in financial performance.

The company recorded a gross profit of $34.6 million, representing 16.2% of net sales. This is notably an improvement in gross margin percentage from 13.8% in Q2 2024, largely driven by a shift in the product mix with more emphasis on bodies rather than chassis in the current quarter. Despite these improvements in margins, the overall impact of reduced sales was evident as the company faced higher selling, general, and administrative expenses, which increased to $23.4 million.

Net income also took a considerable hit, decreasing 58.8% to $8.5 million, or $0.73 per diluted share, down from $20.5 million or $1.78 per diluted share in the prior year. Despite the challenges, the Board of Directors announced a quarterly cash dividend of $0.20 per share, marking the company's fifty-ninth consecutive quarter of dividend payments, reflecting a commitment to shareholder returns, even amidst financial hurdles.

“In the second quarter, we encountered significant market challenges primarily linked to industry-wide demand fluctuations. Retail sales activity declined by 20% from the previous quarter, resulting in a 30% drop in order intake from our distributors,” stated William G. Miller II, Chief Executive Officer. He indicated that decreased consumer confidence and rising ownership costs, due in part to interest rates and insurance expenses, played a crucial role in diminished demand.

Moreover, elevated levels of inventory within the distribution channel have persisted since late last year, adding to the ongoing issues regarding supply and demand. To address these challenges, Miller Industries is closely monitoring production levels and making necessary adjustments to better align with current market demands.

Looking ahead, Miller remains optimistic about the long-term prospects of the business. The CEO highlighted that fundamental metrics, such as miles driven and accident rates per mile, are on the rise, suggesting potential recovery in the commercial market. Proactive measures to reduce channel inventory and optimize costs are expected to position the company favorably for a market rebound.

For the remainder of 2025, Miller Industries has revised its guidance to a projected revenue range of $750 to $800 million, while suspending specific earnings per share forecasts due to operational reviews affecting cost structures, which may introduce unforeseen expenses. Updates from the company will be provided as more information becomes available.

As a recognized leader in the towing and recovery sector, with brands such as Century, Vulcan, and Chevron, Miller Industries is navigating through these turbulent times with a focus on operational efficiency and robust capital allocation strategies. The upcoming months will be critical as they aim to leverage strategic opportunities while mitigating risks associated with market fluctuations.

A conference call is scheduled for August 7, 2025, to further discuss the financial results and provide insights into future strategies. Stakeholders and interested parties are encouraged to engage through the scheduled broadcast link.

Miller Industries continues to embody its commitment to its shareholders and the broader market, striving for sustained growth in what remains a dynamic and challenging industry landscape.