MLR

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 10 a.m. ET Chief Executive Officer - William G. Miller II Executive Vice President and Chief Financial Officer - Deborah Whitmire Operator: Good day, ladies and gentlemen, and welcome to the Miller Industries' Second Quarter 2026 Results Conference Call. Please note this event is being recorded. And now at this time, I would like to turn the call over to Will Miller at Miller Industries. Please go ahead, sir. William Miller: Thank you. Good morning, everyone, and thank you for joining us for our second quarter 2026 earnings call. I want to start by recognizing the hard work of our employees around the world. Our second quarter results and our continued progress in strengthening our business reflects the dedication and passion of our team, our suppliers, our customers, and our shareholders. As always, our remarks today will include forward-looking statements. Actual results may differ materially. Please refer to our SEC filings and the safe harbor statement included in today's presentation. Before I hand the call over to Debbie to discuss our results in greater detail, I would like to start with a brief overview of the quarter. We delivered strong sequential and year-over-year revenue growth in the second quarter while navigating an inconsistent macroeconomic environment. We also achieved continued improvement in profitability, reflecting the production efficiencies our operations team has implemented. These production efficiencies have also enhanced our already strong cash generation, enabling us to further improve our balance sheet and reduce our debt balance. This provides us with greater financial flexibility to invest in our business, focusing on the areas where we see the greatest opportunities to create long-term value. Together, we believe these actions position us well for a strong second half of the year. Our core philosophy remains exactly as it has been since the start of the company. Miller Industries has the best people, the best products, and the best distribution network in the towing and recovery industry. That philosophy is the backbone of Miller Industries' 35-plus year history and will continue to be our philosophy moving forward. Our 1,500-plus employees across Tennessee, Pennsylvania, France, the United Kingdom, and Italy, combined with our widespread distribution footprint, give us unmatched reach, capability, and reliability that continues to position the company for sustained, profitable growth. I want to express my gratitude for all of our team members across the U.S., Europe, and the U.K. for their continued dedication to the company. Their commitment allows us to execute with discipline today while continuing to build the foundation for longer-term growth and value creation. I'll now turn the call over to Debbie, who will provide an update on our financial results in more detail, before returning with some more specific thoughts on our markets, capital allocation priorities, and guidance. Deborah Whitmire: Thank you, Will. For the second quarter, revenue was $240 million, up 12.1% year-over-year and 32.7% sequentially. This growth was driven by steady production rates to meet retail activity and order intake levels. Gross profit was $35.9 million, or 15% of sales, and net income was $7.3 million. Our improved profitability was driven by operational efficiency and disciplined labor cost management, which was made possible by the outstanding execution of our operations team across the globe. Gross profit was impacted by product mix as it returns to a more normalized balance of chassis and body after periods of significantly elevated inventory in our distribution channel. Additionally, diluted EPS was $0.63 per share, up from $0.05 in the first quarter. As expected, EPS during the quarter continued to reflect transaction-related expenses from the Omars acquisition, which impacted EPS by $0.11 in the quarter. We have now recognized the majority of expenses related to the transaction, and we believe that any further impact will be far less material to our financial results. Our integration of Omars continues to progress smoothly, and we remain confident that the acquisition will be accretive in the first year after recognizing these expenses. I'd like to now shift to a discussion of our balance sheet. At the end of the second quarter, we had a cash balance of $55.6 million, up $2.6 million from last quarter. We also reduced our debt by an additional $20 million since the end of Q1. This combination of strong cash generation and a robust balance sheet provides us with greater financial flexibility to invest in our business, pursue strategic opportunities, and allocate capital to maximize value for the company and our investors. During this quarter, we were pleased to return $4.9 million directly to our shareholders in the form of share repurchases and dividends. Now I'll turn the call back to Will to discuss our markets and our outlook. William Miller: Thank you, Debbie. In the domestic market, despite the ongoing geopolitical tensions and elevated fuel prices, we are pleased to see stable retail demand, order entry and distributor inventory levels, which remain at historical averages. We currently anticipate that retail activity and production volumes will remain steady and in line with current levels as the product mix returns to an optimal ratio between bodies and chassis. We remain confident in the strength of our business and our ability to execute against our long-term strategy. In our international and export business, backlog levels remain consistent, and our international facilities are operating at a steady production pace to meet sustained customer demand. The acquisition of Omars and our EUR 8 million expansion in Jige in France, which remains on track to be completed mid-2027, will both be significant drivers of the success of our global initiatives. Meanwhile, we continue to communicate with various domestic and international government agencies, building our confidence that our success in our military business will continue to grow in the second half of the year. We are pleased to report that our military commitments have now surpassed $200 million and production is scheduled to begin in 2027. We anticipate that the majority of revenue will be recognized in 2028 and 2029. We expect our diligent work with militaries around the globe and our industry-leading defense-grade recovery vehicles will be an important driver for our financial results in years ahead. As it relates to our manufacturing capacity expansion in Ooltewah, we are still aiming to be production ready by late 2027. We're beginning to wrap up site preparation this month and are on schedule to begin construction of the new facility by Q4 of 2026. The new 200,000-plus square foot manufacturing facility will be instrumental to producing global high-volume defense-grade recovery vehicles and meeting increased demand for our global export markets while maintaining the ability to service our North American customer base. This project will also incorporate the latest manufacturing technology, helping streamline heavy-duty workflows and enhance our manufacturing efficiency. We believe our strong cash flow generation positions us well to fund most of the expansion organically over the next several years. Our strengthened balance sheet now provides us with even more flexibility to allocate capital to our 5 key priorities. Industry-leading quarterly dividend currently at $0.21 per share; $2.5 million of share repurchases in the second quarter and approximately $11.5 million remaining under the current share repurchase authorization; strategic optimization of working capital; selective M&A opportunities; and ongoing investment in capacity expansion, automation and innovation. We're extremely proud that we've paid our dividend for 63 consecutive quarters. As Debbie mentioned, in the second quarter, we continued to prioritize distributing capital by returning approximately $4.9 million to shareholders between our share repurchase program and dividends. This balanced approach allows us to continue investing in the company while also returning value directly to shareholders. We believe our cash generation capabilities will allow us to execute on each one of these priorities without expanding our credit facility. Given our steady levels of production, we anticipate to attain similar quarterly results of approximately $250 million in revenue for the remainder of the year. We remain confident that we are on track to achieve our previously stated guidance, generating between $850 million to $900 million in revenue for the full year 2026. We anticipate that our earnings per share will be in line with full year 2025 results and gross margins to return to historical levels in the mid-13% range for the full year 2026. We look forward to meeting with investors to speak about exciting developments at Miller Industries in the coming months at the D.A. Davidson Small Cap Conference on August 11; Midwest IDEAS Conference on August 26; the D.A. Davidson Diversified Industrials and Services Conference on September 23; Southwest IDEAS Conference on November 18; and additional non-deal roadshows to be scheduled. We always welcome continued dialogue with our shareholders. In closing, the entire management team and I would like to thank all of our employees, suppliers, customers, and shareholders for their continued support of Miller Industries. We are well positioned to execute on our priorities in the near term while continuing to drive long-term global growth. Thank you again for joining us. Operator, please open the line for questions. Operator: Ladies and gentlemen, we will now begin the question-and-answer session. [Operator Instructions] Your first question comes from Michael Shlisky of D.A. Davidson. Please go ahead. Michael Shlisky: The outlook for revenues of $250 million a quarter in the back half of the year, that's a -- it's a slight increase from where you were in 2Q, it's certainly above where you were in the first quarter. And the gross margins in those two quarters were 14% and even 15% this past quarter, but you're still guiding for the mid-13s for the full year. And then you also mentioned that mix is getting back to normal again as well between the chassis and the body. Can you maybe just help us give us a little more granular detail as to why gross margins might not be as robust in the back half as in the first half, if that's the case? William Miller: Yes, I mean, our projections, Mike, right now -- thank you for the question. Our projections right now are sort of to continue the current pace with bodies and chassis, but we're seeing that product mix return back to historical levels. So as our distribution base demands more chassis to integrate with their bodies, we're going to see an uptick in that chassis revenue, which will probably affect margins slightly. So we're not exactly sure, but we think somewhere in that mid-13% range for the full year as it starts to get back down to historical averages. It might be a little bit higher than that, but we're close. Michael Shlisky: Okay, great. I also want to clarify, I think I did this last quarter on the call, Debbie, that the EPS outlook for roughly flat year-over-year. That includes what looks like in the first half so far is almost $0.25 of Omars kind of one-time items. I know you don't put out adjusted EPS, but had it not been for that, your EPS would be up double digits if you didn't have those one-time charges. Is that the right way to think about it? Deborah Whitmire: Yes, that's correct. The outlook does include those additional expenses that were recorded in the first and second quarter. Michael Shlisky: Okay. And you said in your comments that those are the majority of the one-time items. Could you maybe just give us a sense as to how much more it might be left in just a small amount, what will the full year look like from a one-time Omars perspective? Deborah Whitmire: So first quarter, I think we said it was $0.13 impact; second quarter is $0.11. I would say the remainder of the year is $0.04 to $0.05. Michael Shlisky: Okay, great. Thank you for that. Also want to ask about military. Well, it was $150 million last quarter, now you're at $200 million. Can you give us a sense of what broadly speaking has been added? Is it extremely heavy stuff? Is it with a European partner, and then just a sense as to what the pipeline is, what you might think you got your sights on for the rest of the year or just the overall pipeline size for military? William Miller: Yes. The addition that we saw moving us from north of $150 million in commitments to now over $200 million was -- probably there were some small items in there along throughout the quarter there was one more larger commitment. All of it was --- the vast majority of it was heavy-duty production, some -- a few industrial car carriers. The vast majority was heavy-duty production. Can't disclose as far as the customer or region that the latest larger contract was at this time, but we hope to have a little bit more light for investors as we move into Q3 and Q4 this year with regards to where some of these vehicles may be headed. You know, looking forward, there's still -- there has been a significant pipeline of potential opportunities with RFQs that we're actively working with the different governmental agencies globally. So we're excited and we're happy to see them starting to progress and move forward. Michael Shlisky: Great. Thanks for that. And then maybe turning to the core tow business, what -- can you share about your latest conversations with end users or with some dealers about how they feel about buying? I remember over the last, let's say, 12 months or so, political concerns, there's interest rate concerns. Things have gotten better at some points along the way here. Give us a sense, as you take the temperature of the customer base and dealer base, what they might be telling you about for the rest of this year and even the first part of '27? William Miller: Yes, I mean, right now what we're seeing is it's mostly consumer confidence and geopolitical and fuel pricing is what's on everybody's mind. So the confidence level isn't all that high. I mean, our production levels, retail activity levels, inventory levels, everything's really flat right now. So there's -- we're building at the proper rate. We're receiving orders to build at that rate. We're not having inventory shrink or grow at the distribution level. Our distributors are happy with the inventory levels that they have today. We seem to have pushed through all of the excess inventory for the most part at distribution. I think everybody's in a solid steady state. There's obviously room for improvement in the domestic market, but I don't think we're going to see any of that until we get some light at the end of the tunnel with the current issues in the Middle East and fuel prices settling back down. Michael Shlisky: Oh, yes. I just wanted to make sure that you were done. Yes, thanks for those answers. I appreciate it. I will pass them along. William Miller: Thank you, Mike. We appreciate it. Operator: And there are no further questions at this time. I would now like to turn the call back over to Will Miller for closing comments. William Miller: Thank you. I'd like to thank you all again for joining us on the call today, and we look forward to speaking with you on our third quarter conference call. If you'd like information on how to participate and ask questions on the call, please visit our investor relations website, millerind.com/investors, or email [email protected]. Thank you. May God bless you and may God bless our troops. Operator: Ladies and gentlemen, this concludes today's conference. We thank you for participating and ask that you please disconnect your lines. Before you buy stock in Miller Industries, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Miller Industries wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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Interested in Miller Industries, Inc.? Here are five stocks we like better. Strong second-quarter performance: Revenue rose 12.1% year over year to $240 million, while diluted EPS increased to $0.63. Miller reaffirmed its $850 million–$900 million full-year revenue outlook and expects roughly $250 million in quarterly revenue for the rest of 2026. Improved cash flow and shareholder returns: The company increased cash to $65.6 million, reduced debt by $20 million, and returned $4.9 million to shareholders through dividends and buybacks. Management expects 2026 gross margins to return to the historical mid-13% range. Long-term growth investments are expanding: Military commitments exceeded $200 million, with production beginning in 2027 and most revenue expected in 2028–2029. Miller also plans an €8 million French expansion and a new 200,000-plus-square-foot Tennessee facility targeted for production by late 2027. 3 Stocks You’ll Love to Own, But Hate To Encounter 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. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling 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. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High 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. → No Hangover: Revisiting Microsoft One Week After Earnings 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 priorities include its quarterly dividend, which is currently $0.21 per share, share repurchases, working-capital optimization, selective acquisitions, and continued investment in capacity, automation and innovation. He said Miller Industries has paid dividends for 63 consecutive quarters and expects its cash generation to support these priorities without expanding its credit facility. In the domestic towing market, management said retail demand, order entry and distributor inventory levels remained stable and near historical averages. The company expects retail activity and production volumes to remain broadly consistent with current levels. Will Miller said customer sentiment remains influenced by consumer confidence, geopolitical developments and fuel prices. “Our production levels, retail activity levels, inventory levels, everything’s really flat right now,” he said, adding that distributors are satisfied with current inventory levels and that excess distributor inventory has largely been worked through. He said domestic market conditions could improve if geopolitical tensions in the Middle East ease and fuel prices stabilize, but added that the company does not expect a significant improvement before there is more clarity on those issues. Miller Industries said its military commitments have surpassed $200 million, with production scheduled to begin in 2027. The company expects the majority of revenue from those commitments to be recognized in 2028 and 2029. During the call, Will Miller said the increase from more than $150 million in military commitments last quarter included several smaller items and one larger commitment. He said the vast majority involved heavy-duty production, with some industrial car carriers included. He did not disclose the customer or region associated with the larger contract. The company said it continues to work with domestic and international government agencies on additional opportunities and sees military recovery vehicles as a potential driver of results in future years. International and export backlog levels remained consistent, according to management, while the company’s overseas facilities continued operating at a steady pace. Miller Industries said its Omars acquisition is progressing smoothly and is expected to be accretive in the first year after accounting for transaction expenses. The company is also pursuing an €8 million expansion at Jigé in France, which remains on track for completion in mid-2027. Separately, Miller Industries expects to begin construction in the fourth quarter of 2026 on a new manufacturing facility in Ooltewah, Tennessee, after wrapping up site preparation during the current month. The planned facility will exceed 200,000 square feet and is targeted to be production-ready by late 2027. Management said the site will support production of high-volume defense-grade recovery vehicles and global export demand while maintaining service for North American customers. The facility is also expected to incorporate manufacturing technology intended to improve heavy-duty workflows and efficiency. Miller Industries, Inc is a leading designer, engineer and manufacturer of towing and recovery vehicles and related equipment. The company's product portfolio includes light-, medium- and heavy-duty tow trucks, integrated carriers, rotators, wreckers, trailers and associated hydraulic and electronic components. These products are marketed under well-known brand names, including Miller, Century, Holmes, Vulcan, Chevron and Jige International, serving a broad spectrum of customers in the towing, recovery, roadside assistance and vehicle transport industries. Headquartered in Ooltewah, Tennessee, Miller Industries was founded in the early 1990s and has grown into a global supplier of towing and recovery solutions. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Miller Industries Q2 Earnings Call Highlights" was originally published by MarketBeat. 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Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Revenue growth of 12.1% year-over-year was driven by steady production rates aligned with retail activity and order intake levels. Profitability improvements resulted from operational efficiencies and disciplined labor cost management implemented by global operations teams. Gross profit margins were influenced by a shift in product mix as inventory levels for chassis and bodies returned to a more normalized balance. The company utilized strong cash generation to reduce debt by $20 million in the quarter, enhancing financial flexibility for organic growth investments. Domestic retail demand remains stable despite headwinds from geopolitical tensions, elevated fuel prices, and inconsistent consumer confidence. International growth is being supported by the Omars acquisition and a EUR 8 million expansion at the Jige facility in France to meet sustained demand. Full-year 2026 revenue guidance is maintained at $850 million to $900 million, assuming quarterly revenue of approximately $250 million for the second half. Gross margins are expected to settle in the mid-13% range for the full year as the product mix shifts toward a higher ratio of chassis sales. Military business commitments have surpassed $200 million, with production scheduled for 2027 and the majority of revenue recognition expected in 2028 and 2029. The new 200,000-square-foot Ooltewah facility is on track for construction in Q4 2026, aiming to be production-ready by late 2027 to service global defense and export markets. Management anticipates funding the majority of planned capacity expansions organically through strong internal cash flow generation. Omars acquisition expenses impacted EPS by $0.11 in Q2; management believes the majority of these costs have now been recognized. The company maintains a balanced capital allocation strategy, prioritizing a $0.21 per share dividend and utilizing $2.5 million for share repurchases this quarter. Geopolitical instability and fuel price volatility are identified as primary factors currently dampening domestic consumer confidence. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained that while Q2 margins reached 15%, the full-year guide remains in the mid-13% range due to an expected uptick in chassis revenue. As distributors demand more chassis to integrate with bodies, the higher-cost chassis component typically compresses overall percentage margins toward historical averages. Management confirmed that excluding approximately $0.25 of one-time transaction items in the first half, EPS would be showing double-digit growth. Remaining one-time expenses for the Omars integration are estimated to be between $0.04 and $0.05 for the rest of the year. The increase in military commitments from $150 million to over $200 million was driven by a large contract primarily for heavy-duty production vehicles. Management noted a significant pipeline of active RFQs with global government agencies, though specific customer identities remain confidential for now. Distributor inventory levels have stabilized at historical averages, having successfully cleared previous excess inventory. Current retail activity is described as a 'solid steady state,' with significant domestic improvement unlikely until there is more clarity regarding Middle East tensions and fuel prices.

Sequential and YoY Revenue Growth Driven by Steady Production Levels Significant Sequential Improvement in Net Income Supported by Production Efficiencies Reduced Debt by $20 Million and Returned $4.9 Million to Shareholders Board of Directors Approves Dividend of $0.21 per Share CHATTANOOGA, Tenn., Aug. 5, 2026 /PRNewswire/ -- Miller Industries, Inc. (NYSE: MLR) ("Miller Industries" or the "Company") today announced financial results for the second quarter ended June 30, 2026, and provided updates on its global strategic initiatives. Q2 2026 Financial Results vs. Q2 2025 Revenue: $240.0 million, a 12.1% increase from $214.0 million Gross Profit: $35.9 million, a 3.9% increase from $34.6 million Gross Margin: 15.0%, a 120 basis-point decrease from 16.2% SG&A Expenses: $25.2 million, a 7.6% increase from $23.4 million Net Income: $7.3 million, a 14.1% decrease from $8.5 million Diluted EPS: $0.63 per share, a decrease of 13.7% from $0.73 per diluted share Second Quarter Business Highlights Delivered strong sequential and year-over-year revenue growth as the Company matched production to meet sustained order intake. Significant sequential improvement in net income, capitalizing on production efficiencies. Reduced debt by $20 million since the end of the first quarter of fiscal 2026, with no outstanding balance on the Company's credit facility, strengthening the balance sheet and providing greater financial flexibility to execute on long-term strategic priorities. Strong cash flow generation supported strategic capital allocation, the return of $4.9 million to shareholders in the form of dividends and share repurchases, and continued investment in the business, most notably the capacity expansion at Ooltewah, which remains on schedule. "In the second quarter we were extremely pleased to deliver strong sequential and year-over-year revenue growth, even in a inconsistent macro environment," said William G. Miller II, Chief Executive Officer. "Our pragmatic approach to maintaining steady production and healthy inventory levels in our distribution channel is beginning to pay off. As we move into the second half of the year, we believe these current production levels are sustainable. I also want to recognize our dedicated operations team for their outstanding execution in controlling labor costs and implementing manufacturing efficiencies. We are carrying those operational improvements forward, positioning the Company for higher levels of profitability in more favorable demand conditions." Mr. Miller continued, "Most importantly, during the quarter, we generated substantial cash flow, which allowed us to execute on our strategic capital allocation priorities. During the second quarter, we reduced our total debt balance by $20 million, resulting in greater financial flexibility to expand capacity in Ooltewah, and return capital to shareholders through our industry leading dividend and share repurchase program. We are encouraged by the strong foundation we have built in the first half of this year and remain confident in our ability to deliver on our full year 2026 outlook." Omars UpdateContinued solid initial results from Omars reinforce confidence that the acquisition will be accretive in the first year, despite a negative impact of approximately $0.11 per diluted share from recognition of non-cash acquisition–related expenses in the quarter, based on preliminary valuation estimates. These non-cash acquisition-related expenses were primarily tied to adjustments of equipment to fair market value and amortization of the estimated intangible value of customer relationships. The majority of the expenses related to the Company's acquisition and integration of Omars were recognized in the first and second quarters. Ooltewah, TN Manufacturing Capacity ExpansionTo support future growth, European demand, and defense production commitments, Miller Industries previously announced the addition of a new 200,000+ sq ft facility at its Ooltewah headquarters site, at a cost of approximately $100 million. Miller Industries anticipates funding the majority of this expansion through operating cash flow over the next several years. This expansion is intended to: 1. Increase Overall Production Capacity and Efficiency As distributor inventories have returned to historically average levels, the Company plans to maintain production volumes in the second half of 2026 to meet anticipated steady retail activity. The new facility will significantly expand output capacity to meet growing domestic and international demand, and reinforce Miller Industries as the global leader in the heavy–duty recovery market. In particular, the expansion will increase output capacity for heavy–duty recovery units, which remain the Company's largest global export. 2. Support European Demand Through U.S. Backfill, Integrated Capacity, and Regional Expansion U.S. production will continue to serve as a critical backbone for European demand with the addition of Omars, the expansion of Jige's heavy–duty integration facility, and production enhancements at the Company's Boniface facility, all of which will help ensure production stability, improved lead times, and a fully integrated supply strategy globally. 3. Prepare for Higher-Volume Global Military Production With military commitments now surpassing $200 million, and additional global RFQs underway, the new facility will be capable of supporting higher-volume global defense–grade recovery vehicle production. Military programs production is scheduled to begin in 2027 and accelerate into 2028 and 2029, requiring enhanced capacity, specialized equipment, and advanced production flow capabilities. Return of Capital to ShareholdersThe Company's Board of Directors approved a quarterly cash dividend of $0.21. The dividend is payable September 15, 2026, to shareholders of record as of September 8, 2026, and represents the sixty-third consecutive quarter that Miller Industries has paid a dividend. Additionally, Miller Industries repurchased approximately $2.5 million of stock during the second quarter of 2026. 2026 Guidance and Production OutlookThe Company is re-affirming its previously issued revenue guidance of $850 million to $900 million for full year 2026 and expects earnings per share to be generally in line with full year 2025 results. Miller Industries expects production volumes to remain steady in the second half of 2026. Gross margins are expected to return to historical levels in the mid-13% range for full year 2026, with revenue mix continuing to shift toward historical levels of bodies and chassis. The statements in the 2026 guidance and production outlook provided above are forward looking. Actual results may differ materially. See our cautionary note regarding "forward-looking statements" below. Conference CallThe Company will host a conference call, which will be simultaneously broadcast live over the Internet. The call is scheduled for tomorrow, August 6, 2026, at 10:00 AM ET. Listeners can access the conference call live and archived over the Internet through the following link: https://app.webinar.net/dWQVqgwq5RK Please allow 15 minutes prior to the call to visit the site, download, and install any necessary audio software. A replay of this call will be available approximately one hour after the live call ends through Thursday, August 20, 2026. The replay number is 1-844-512-2921, Passcode 116408. About Miller Industries, Inc.Miller Industries is The World's Largest Manufacturer of Towing and Recovery Equipment®, and markets its towing and recovery equipment under a number of well-recognized brands, including Century®, Vulcan®, Chevron™, Holmes®, Challenger®, Champion®, Jige™, Boniface™, Omars™, Titan® and Eagle®. Forward-Looking StatementsCertain statements in this news release may be deemed to be forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of words such as "may", "will", "should", "could", "continue", "future", "potential", "believe", "project", "plan", "intend", "seek", "estimate", "predict", "expect", "anticipate" and similar expressions, or the negative of such terms, or other comparable terminology and include, without limitation: any statements relating to our 2026 guidance and expected order intake and production levels (including under the heading "2026 Guidance and Production Outlook"); the growth and effect of the drivers of our long-term business performance; our future production capacity expansion plans (including the source of funding for the expansion, timing thereof and anticipated impact of the expansion on our business); future customer demand levels; acquisition related costs and the success and timing of integration plans associated with Omars; our anticipated priorities relating to capital allocation; expectations regarding the industry cost environment and the Company's cost control and operational efficiency initiatives; and any potential upside from pending military contracts and their potential effect on revenue and earnings growth. However, the absence of these words or similar expressions does not mean that a statement is not forward-looking. Forward-looking statements also include the assumptions underlying or relating to any of the foregoing statements. Such forward-looking statements are made based on our management's beliefs as well as assumptions made by, and information currently available to, our management. Our actual results may differ materially from the results anticipated in these forward-looking statements due to, among other things: our dependence upon outside suppliers for component parts, chassis and raw materials, including aluminum, steel, and petroleum-related products leaves us subject to changes in price and availability, the cadence and quantity of deliveries from our suppliers, and delays in receiving supplies of such materials, component parts or chassis; our customers' and towing operators' access to capital and credit to fund purchases; the continuing impact of existing tariffs, the implementation of new or increased tariffs and any resulting trade wars, and any resulting macroeconomic uncertainty; the rising costs of equipment ownership, including continuing increases in insurance premiums and elevated interest rates that have added cost pressures to our end users, and fluctuations in the value of used trucks; macroeconomic trends, availability of financing, and changing interest rates; our customers' ability to fund purchases of our products; various international political, economic and other uncertainties, including as a result of new or ongoing military conflicts in the Middle East and Ukraine, which may continue to adversely impact our customer spending patterns; volatility in fuel and other transportation costs, including as a result of the geopolitical tensions in the Middle East and the disruptions in international shipping through the Strait of Hormuz; increases in the cost of skilled labor; risks relating to our indebtedness, including our ability to maintain compliance with the covenants in our credit facility; special risks from our sales to U.S. and other governmental entities through prime contractors; the cyclical nature of our industry and changes in consumer confidence and in economic conditions in general; changes in insurance costs and weather conditions; competition in our industry and our ability to attract or retain customers; changes in government regulations, including environmental and health and safety regulations; our ability to develop or acquire proprietary products and technology; assertions against us relating to intellectual property rights; changes in the tax regimes and related government policies and regulations in the countries in which we operate; our dependence on the continued participation and level of service of our numerous independent distributors; the catastrophic loss of one of our manufacturing facilities; risks relating to acquisitions; environmental and health and safety liabilities and requirements; failure to comply with domestic and foreign anti-corruption laws; loss of the services of our key executives; the effects of regulations relating to conflict minerals; product warranty or product liability claims in excess of our insurance coverage; potential recalls of components or parts manufactured for us by suppliers or potential recalls of defective products; an inability to acquire insurance at commercially reasonable rates; fluctuations of our stock price and involvement with activist shareholders; a disruption in, or breach in security of, our information technology systems or any violation of data protection laws; risks related to our use of artificial intelligence, including generative artificial intelligence and machine learning; and those other risks discussed in our filings with the Securities and Exchange Commission, including those risks discussed under the caption "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2025 and subsequent Quarterly Reports on Form 10-Q, which discussion is incorporated herein by this reference. Such factors are not exclusive. We do not undertake to update any forward-looking statement that may be made from time to time by, or on behalf of, the Company. View original content:https://www.prnewswire.com/news-releases/miller-industries-reports-2026-second-quarter-results-302844184.html

Image source: The Motley Fool. Thursday, May 7, 2026 at 10 a.m. ET Chairman and Chief Executive Officer — William Miller Executive Vice President, Chief Financial Officer, and Treasurer — Deborah Whitmire William Miller: Thank you. Good morning, everyone, and thank you for joining us for our first quarter 2026 earnings call. I want to begin by thanking our employees around the world for their dedication and support. Our first quarter results and strategic progress reflect the commitment and passion of our team, our suppliers, our customers and our shareholders. As always, our remarks today will include forward-looking statements. Actual results may differ materially. Please refer to our SEC filings and the safe harbor statement included in today's presentation. I would like to start with a brief overview before I hand the call over to Debbie, who will review our results in greater detail. We entered the year with strong momentum. The actions we took in 2025 to reduce field inventory, improve the health of our distribution channel, and strengthen our supply chain positioned us to capture rising demand across the business. As that demand materialized, we strategically increased production to deliver solid sequential revenue growth. Late in the quarter, escalating geopolitical tensions in the Middle East introduced additional uncertainty and led to higher diesel prices, creating pressure on retail demand. In response, our team remained disciplined and focused, proactively pausing our North American production increase at current levels to maintain balanced distributor inventory. We believe this was the right decision to best position the business for future success. Despite the reduction in retail activity that we saw throughout 2025 and the recent effects of the conflict in the Middle East, we remain confident in the strength of our business and the structural demand opportunities ahead. Our core philosophy remains exactly as it has been since day-1. Miller Industries has the best people, the best products and the best distribution network in the towing and recovery industry. That philosophy is the backbone of Miller Industries' 35-year history and will continue to be our philosophy moving forward. Our 1,500-plus employees across Tennessee, Pennsylvania, France, the U.K. and Italy, and our distribution footprint gives us unmatched reach, capability and reliability that continues to position the company for future growth. I want to recognize all of our teams across the U.S., Europe and the U.K. for their dedication to support the company throughout difficult periods. Their commitment allows us to stay agile in the near term while building the foundation for longer-term growth and value creation. I'll now turn the call over to Debbie, who will provide an update on our financial results in more detail before returning with some more specific thoughts on our markets in 2026, capital allocation priorities and guidance. Deborah Whitmire: Thank you, Will. Before I begin, I would like to note that this was our first full quarter of contribution from the Omars acquisition. We are encouraged by the smooth integration thus far and expect Omars to be an increasingly meaningful contributor to our results going forward. For the first quarter, revenue was $180.9 million, down 19.8% year-over-year and in line with our expectations for the quarter. This decline reflects the institution of lower production levels in the second half of 2025. Earlier this year, we started to accelerate production to meet increasing retail activity and order intake. This drove quarter-over-quarter revenue growth of 5.7%. Gross profit was $25.7 million or 14.2% of sales, and diluted EPS was $0.05 per share. Higher SG&A expenses for the quarter were primarily attributable to the inclusion of Omars. Based on preliminary valuation estimates, we recorded certain noncash acquisition-related expenses associated with Omars during the first quarter, primarily related to fair value adjustments on equipment sales and the amortization of estimated intangible customer relationship assets. These items reduced first quarter results by approximately $0.13 per diluted share. At this time, we expect this amount to represent roughly half of those total onetime acquisition-related expenses anticipated to be recognized over the balance of 2026. We are continuing to work closely with our third-party valuation specialists, and the final amounts will be recorded upon completion of the valuation process. We remain confident that the acquisition will be accretive in the first year after recognizing these noncash acquisition-related expenses. Earnings per share was also impacted by higher consolidated taxes, primarily as a result of a conservative tax approach to the acquisition-related expenses for Omars as well as nondeductible executive compensation. I'd like to now shift to a discussion of our balance sheet. At the end of the first quarter, we had a cash balance of $53 million, up $8.3 million from the end of last year as we continue to convert receivables at a faster pace. Our strong cash position provides increased flexibility to deploy capital in the most efficient and value-creating way for our investors. Now I'll turn the call back to Will to discuss our markets and our outlook. William Miller: Thank you, Debbie. In the domestic market, we started 2026 with strengthening retail activity and order intake. Due to geopolitical tensions and rising fuel costs towards the end of Q1, we saw a significant reduction in the overall market. At the same time, cost of manufacturing in the United States have continued to increase. While we implemented an initial surcharge in April 2025 to offset tariff-related costs, continued cost increases have exceeded the coverage that our surcharge provides. As a result, we have implemented an additional 3% price increase on all manufactured products to better align pricing with our current cost environment and support our continued investment in U.S. manufacturing. Effective August 1, 2026, all manufactured products will begin invoicing at the updated pricing structure. Orders invoiced on or after this date will reflect new pricing regardless of order placement date. Importantly, more recent data suggests that the underlying demand that was present at the beginning of the year remains intact as we have seen a rise in chassis sales over the past few weeks. We remain optimistic that retail activity will increase in the second half of the year, which would enable us to continue to accelerate production. With systems in place to closely monitor demand signals, we are well positioned to respond quickly as market conditions improve. With backlog levels elevated, our international facilities production rates remain consistent as they work to meet steady customer demands. We remain encouraged by the outlook for our export business, driven by growing international sales and a robust pipeline of global military RFQs. These positive trends should provide a strong multiyear growth tailwind. The acquisition of Omars and our EUR 8 million expansion at Jige in France, which remains on track to be completed by mid-2027, will both play significant roles in the success of our global initiatives. We continue to build a strong pipeline of military RFQs, continuing long-term growth in our overall business. We began 2026 with more than $150 million in military commitments with production scheduled to begin in 2027 with the majority of revenue to be recognized in 2028 and 2029. We continue to work diligently with militaries around the globe and anticipate that defense-grade recovery vehicles will be an important contributor to our financial results in the years to come. To serve future demand, we are focused on being production ready in Ooltewah's new 200,000-plus square foot manufacturing facility by late 2027. Site preparation for the capacity expansion remains on schedule, and we are targeting facility construction to begin by late summer. As we shared last quarter, this investment will streamline heavy-duty workflow and enhance our manufacturing efficiencies. The new facility will be key to providing -- producing global high-volume defense grade recovery vehicles as well as meeting increased demand for our global export markets while maintaining the ability to service our North American customer base. Our strong ongoing cash flow generation position us to fund the majority of this expansion organically through operating cash flow over the next several years. We remain disciplined in how we allocate capital, focusing on 5 key priorities: paying a consistent industry-leading quarterly dividend of $0.21 per share. We reduced our credit facility by $10 million, bringing the total debt balance to approximately $21 million at the end of the quarter. Share repurchases, including $2.2 million in the first quarter and approximately $14 million remaining under our current authorization, selective M&A opportunities and ongoing investment in capacity expansion, automation and innovation. We're extremely proud that we paid our dividend for 62 consecutive quarters. In the first quarter, we returned approximately $4.6 million to shareholders between our dividend and share repurchase program. This balanced approach strengthens the company while also returning value directly to shareholders. As Debbie said earlier, our strong cash generation allows us to execute on each one of these priorities without the need for additional financing. At this time, we remain optimistic that we are on track to generate between $850 million and $900 million in revenue for full year 2026 and expect earnings per share to be generally in line with full year 2025 results. While demand remains consistent, higher diesel prices and heightened uncertainty stemming from geopolitical tensions in the Middle East are leading customers to push orders. As a result, we expect production volumes and revenue to be increasingly weighted towards the second half of 2026. As external pressures on our industry lessen, we remain confident in our ability to approach $250 million in quarterly revenue by the second half of the year. We also continue to expect that gross margins will return to historical levels in the mid-13% range for full year 2026, with product mix shifting towards historical levels of bodies and chassis. We look forward to meeting with investors to speak about these exciting developments throughout 2026 at the Three Part Advisors Conferences in New York, Chicago and Dallas, D.A. Davidson's Industrial Conference and additional non-deal roadshows to be scheduled. We welcome continued dialogue with our shareholders. In closing, the entire management team and I would like to thank all of our employees, suppliers, customers and shareholders for their continued support of Miller Industries. We are exceptionally well positioned to manage near-term uncertainty and capitalize on long-term global growth. Thank you again for joining us. Operator, please open the line for questions. Operator: [Operator Instructions] Your first question comes from Mike Shlisky with D.A. Davidson. Michael Shlisky: So let's see, the onetime items that you mentioned, Debbie, in your comments, were those in the -- on the SG&A line in the quarter? And maybe more broadly, you add SG&A about $3 million quarter-over-quarter because of the Omars deal. First of all, is that the right number that Omars is a run rate? Or were there onetime items in there? And do you anticipate any synergies over time to reduce some of that SG&A? Deborah Whitmire: Mike, some of the onetime charges were at the gross margin line and some were at the SG&A line. About $600,000 is on the SG&A line that is related to those acquisition costs. The remaining amount will be pretty much the current run rate with a full quarter of Omars. The additional was the conservative approach that we took from a tax standpoint as we continue to understand the deductibility under Italian tax law of those acquisition-related expenses. So it's the combination of the 3. Michael Shlisky: Great. And the synergies... Deborah Whitmire: What was that? William Miller: Opportunities to reduce SG&A in the future? Deborah Whitmire: Yes. Omars was a stand-alone company. So they had a full stack of engineering, HR, accounting. We feel like the leverage that we can get is the synergies between the 3 European companies as we go forward to either enhance efficiencies or combine that with the U.S. for reductions of cost. Michael Shlisky: Great. I also wanted to ask about your comments, Will, on the military opportunities out there. Did anything move closer to the commitment phase during the quarter? In other words, how is the pipeline looking as far as getting closer to being able to book things? William Miller: Yes. We've seen some movement in positive directions from a few RFQs throughout the quarter. At this time, there's nothing specifically to add on any specific RFQ, but we're hoping that when we release Q2 earnings next quarter that we'll have some additional information that we can provide to you and shareholders more specifically about some of the RFQs that we have commitments for and some that are in the pipeline that we believe will move forward throughout the quarter. Michael Shlisky: Great. And if you indulge me in one more here. William Miller: No, no. Absolutely. Michael Shlisky: Okay. Yes. They said 2 questions, but usually, there's very few other folks on this call here asking the question. So I appreciate the time. I just want to also ask the underlying reasons for a consumer to use a tow service are most of those kind of still intact? The average age of the car remains all-time records, number of cars on the road, miles driven. Most of those things are still trending in Miller's favor, you think, in 2026? William Miller: I believe so. I think what we're seeing today is individuals as they're looking to make that purchase of $100,000 to $1 million with diesel price ranging anywhere from $5 to $9 a gallon here in the United States that a little bit of uncertainty with the current geopolitical tensions and waiting to see how that all levels out before they make that commitment. Obviously, we're still seeing some solid retail activity, but not at the levels where they were prior to 6 or 8 weeks ago. So I think that will quickly return once things in the Middle East settle down. Michael Shlisky: And your view of maybe the average tow fleet truck is... William Miller: It's still in line. If anything, over last year, lower retail activity. If anything, the age of the fleet has aged out slightly more, which is a positive trend for us as customers look to replace fleets. Operator: We have reached the end of the question-and-answer session. And I will now turn the call over to William Miller for closing remarks. Please go ahead. William Miller: Thank you. I'd like to thank you all again for joining us on the call today, and we look forward to speaking with you on our second quarter conference call. If you would like information on how to participate and ask questions on the call, please visit our Investor Relations website, millerind.com/investors or e-mail, [email protected]. Thank you, and may God bless you and may God bless our troops. Operator: Thank you. This concludes today's conference, and you may now disconnect your lines. Thank you all for your participation. Before you buy stock in Miller Industries, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Miller Industries wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $463,900!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,294,401!* Now, it’s worth noting Stock Advisor’s total average return is 978% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of June 1, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Miller (MLR) Q1 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Miller Industries, Inc.? Here are five stocks we like better. Q1 results were weaker year over year as revenue fell 19.8% to $180.9 million, though it rose 5.7% sequentially as production improved. The company said lower production levels set in late 2025 were the main drag, while Omars-related acquisition costs also weighed on earnings. Cash generation remained strong, with cash rising to $53 million and debt reduced by $10 million to about $21 million. Miller Industries also returned $4.6 million to shareholders through dividends and buybacks, while maintaining its $0.21 quarterly dividend. Management kept full-year 2026 guidance unchanged, still forecasting revenue of $850 million to $900 million and EPS roughly in line with 2025. The company sees second-half improvement ahead, supported by higher order activity, a growing military pipeline, and a new 3% price increase to offset rising manufacturing costs. 3 Stocks You’ll Love to Own, But Hate To Encounter Miller Industries (NYSE:MLR) said first-quarter 2026 results reflected lower production levels put in place last year, while management pointed to improving order activity, a first full-quarter contribution from Omars and a growing military pipeline as drivers for the remainder of the year. President and CEO William Miller, II said the company entered 2026 with “strong momentum” after actions taken in 2025 to reduce field inventory, improve the distribution channel and strengthen the supply chain. As demand improved early in the year, Miller Industries increased production, contributing to sequential revenue growth. However, Miller said escalating geopolitical tensions in the Middle East late in the quarter pushed diesel prices higher and pressured retail demand. → Beyond NVIDIA: Picks-and-Shovels AI Plays with Strong Momentum “In response, our team remained disciplined and focused, proactively pausing our North American production increase at current levels to maintain balanced distributor inventory,” Miller said. He added that management believes the decision positions the business for future success. For the first quarter, Miller Industries reported revenue of $180.9 million, down 19.8% from the prior-year period. Debbie, who reviewed the company’s financial results during the call, said the decline reflected lower production levels instituted in the second half of 2025. Revenue increased 5.7% from the previous quarter as the company began accelerating production earlier this year to meet stronger retail activity and order intake. → 3 Ways to Target the Resources Powering AI and Data Centers Gross profit was $25.7 million, or 14.2% of sales. Diluted earnings per share were $0.05. Debbie said higher selling, general and administrative expenses were primarily tied to the inclusion of Omars, which was acquired by Miller Industries and contributed for a full quarter for the first time. The company also recorded certain non-cash acquisition-related expenses tied to preliminary valuation estimates for Omars, including fair value adjustments on equipment sales and amortization of estimated intangible customer relationship assets. → Quantum Earnings Season Is Ramping Up—What to Watch From 2 Major Players Those items reduced first-quarter results by about $0.13 per diluted share. Debbie said the company expects that amount to represent roughly half of the total one-time acquisition-related expenses anticipated to be recognized over the balance of 2026, subject to completion of the valuation process. Despite the near-term costs, Debbie said Miller Industries remains confident the Omars acquisition will be accretive in the first year after recognizing the non-cash acquisition-related expenses. Miller Industries ended the quarter with $53 million in cash, up $8.3 million from the end of last year. Debbie said the increase was driven by faster conversion of receivables. Miller said the company’s cash generation gives it flexibility to fund investments and return capital to shareholders without the need for additional financing. The company reduced its credit facility by $10 million during the quarter, bringing total debt to approximately $21 million. Miller Industries also repurchased $2.2 million of shares in the first quarter and had about $14 million remaining under its current authorization. Miller highlighted the company’s quarterly dividend of $0.21 per share, noting that Miller Industries has paid a dividend for 62 consecutive quarters. In total, the company returned about $4.6 million to shareholders in the first quarter through dividends and share repurchases. Miller said U.S. manufacturing costs have continued to rise. The company previously implemented an initial surcharge in April 2025 to offset tariff-related costs, but he said continued cost increases have exceeded the coverage provided by that surcharge. As a result, Miller Industries has implemented an additional 3% price increase on all manufactured products. Miller said products will begin invoicing under the updated pricing structure effective Aug. 1, 2026, and orders invoiced on or after that date will reflect the new pricing regardless of when they were placed. Miller said more recent data indicates that underlying demand seen at the start of the year remains intact, pointing to a rise in chassis sales over the past few weeks. He said the company remains optimistic that retail activity will improve in the second half of 2026, allowing production to accelerate. Management pointed to international demand and military opportunities as important long-term growth drivers. Miller said production rates at the company’s international facilities remain consistent, supported by elevated backlog levels and steady customer demand. The company began 2026 with more than $150 million in military commitments, with production scheduled to begin in 2027 and the majority of revenue expected to be recognized in 2028 and 2029. Miller said the company continues to build a pipeline of military requests for quotes and expects defense-grade recovery vehicles to become an important contributor to future financial results. Miller also cited the Omars acquisition and an EUR 8 million expansion at Jige in France, which remains on track for completion by mid-2027, as important to the company’s global initiatives. In the U.S., Miller Industries is targeting production readiness by late 2027 at a new manufacturing facility in Ooltewah exceeding 200,000 square feet. Site preparation remains on schedule, with construction targeted to begin by late summer. Miller Industries maintained its outlook for full-year 2026 revenue of $850 million to $900 million and said it expects earnings per share to be generally in line with full-year 2025 results. Management said production volumes and revenue are expected to be increasingly weighted toward the second half of 2026 as customers delay orders amid higher diesel prices and geopolitical uncertainty. The company also continued to expect gross margins to return to historical levels in the mid-13% range for the full year, supported by product mix shifting toward historical levels of bodies and chassis. During the question-and-answer portion of the call, D.A. Davidson analyst Michael Shlisky asked about Omars-related expenses and potential synergies. Debbie said some one-time charges were recorded in gross margin and about $600,000 were recorded in SG&A. She said Omars had operated as a standalone company with its own engineering, human resources and accounting functions, and that Miller Industries sees opportunities to gain efficiencies across its three European companies and with the U.S. business. Asked about military opportunities, Miller said some requests for quotes moved in a positive direction during the quarter, though he did not provide specifics. He said management hopes to provide more information with second-quarter results. Miller also said the underlying factors supporting towing demand remain favorable, including fleet replacement needs. He said lower retail activity last year may have caused the age of tow fleets to increase slightly, which he described as a positive trend as customers look to replace equipment. Miller Industries, Inc is a leading designer, engineer and manufacturer of towing and recovery vehicles and related equipment. The company's product portfolio includes light-, medium- and heavy-duty tow trucks, integrated carriers, rotators, wreckers, trailers and associated hydraulic and electronic components. These products are marketed under well-known brand names, including Miller, Century, Holmes, Vulcan, Chevron and Jige International, serving a broad spectrum of customers in the towing, recovery, roadside assistance and vehicle transport industries. Headquartered in Ooltewah, Tennessee, Miller Industries was founded in the early 1990s and has grown into a global supplier of towing and recovery solutions. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Miller Industries Q1 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for May 2026.

Sequential Revenue Growth Driven by Disciplined Production Increases Ooltewah Capacity Expansion on Track Strong Cash Flow Supports Capacity Expansion, Debt Reduction, and Shareholder Returns Board of Directors Approves Dividend of $0.21 per Share CHATTANOOGA, Tenn., May 6, 2026 /PRNewswire/ -- Miller Industries, Inc. (NYSE: MLR) ("Miller Industries" or the "Company") today announced financial results for the first quarter ended March 31, 2026, and provided updates on its global strategic initiatives. Q1 2026 Financial Results vs. Q1 2025 Revenue: $180.9 million, a 19.8% decrease from $225.7 million Gross Profit: $25.7 million, a 24.3% decrease from $33.9 million Gross Margin: 14.2%, an 80 basis-point decrease from 15.0% SG&A Expenses: $23.9 million, a 3.0% increase from $23.3 million Net Income: $555 thousand, a 93.1% decrease from $8.1 million Diluted EPS: $0.05 per share, a decrease of 92.8% from $0.69 per diluted share In addition, Miller Industries acquired Omars in the fourth quarter of fiscal 2025. Based on preliminary valuation estimates, non-cash acquisition-related expenses associated with Omars—primarily tied to the sale of equipment adjusted to fair market value and amortization of the estimated intangible value of customer relationships—negatively impacted the Company's financial results for the first fiscal quarter of 2026 by approximately $0.13 per diluted share. The Company currently anticipates that this amount represents roughly one half of the total acquisition-related expenses expected to be recognized over the remainder of 2026. Miller Industries remains confident that the acquisition will be accretive in the first year after recognizing these non-cash acquisition–related expenses. The Company continues to work with its third–party valuation consultants, and the final amount to be expensed will be finalized upon completion of their analysis. First Quarter Business Highlights Delivered sequential revenue growth as the Company increased production to meet rising order intake. Advancing site preparation for capacity expansion at Ooltewah to significantly enhance North American production capacity and support manufacturing for European and military operations; site expected to be ready for construction to begin by late summer. Continued strong cash flow generation, supporting the capacity expansion, continued debt reduction and returns of capital to shareholders. Returned $4.6 million directly to shareholders in the form of dividends and share repurchases during the quarter. "First–quarter performance was consistent with our expectations, as we continued to carefully increase production in response to improving retail activity and order flow, driving sequential revenue growth," said William G. Miller II, Chief Executive Officer. "Near–term profitability continues to reflect elevated acquisition–related costs associated with Omars; however, we expect these expenses to moderate as the year progresses. Importantly, the business continued to generate solid cash flow, further strengthening our balance sheet and financial flexibility." Miller continued, "Late in the quarter, rising geopolitical tensions in the Middle East led to higher diesel prices and increased macroeconomic uncertainty, which began to pressure retail demand. In response, we proactively paused our planned North American production increases at current levels to maintain balanced distributor inventory. While we expect these conditions to continue to impact both revenue and profitability in the second quarter of 2026, we remain cautiously optimistic that improving retail activity in the second half of the year will position us to achieve our full–year 2026 outlook." Ooltewah, TN Manufacturing Capacity Expansion To support future growth, European needs and defense production commitments, Miller Industries previously announced the addition of a new 200,000+ sq ft facility at its Ooltewah headquarters site, at a cost of approximately $100 million. As the Company expects to continue its strong cash generation, Miller Industries anticipates funding the majority of this expansion through operating cash flow over the next several years. This expansion is intended to: 1. Increase Overall Production Capacity and Efficiency With distributor inventories returning to historically average levels, production volumes are expected to rise in the second half of 2026 and return to a steady level to meet retail deliveries. The new facility will significantly expand output capacity to meet growing domestic and international demand, reduce lead times, and reinforce Miller Industries' global leadership in heavy–duty recovery vehicle technology. In particular, the expansion will increase output capacity for heavy–duty recovery units, which remain the Company's largest global export. 2. Support European Demand Through U.S. Backfill, Integrated Capacity, and Regional Expansion U.S. production will continue to serve as a critical backbone for European demand with the addition of Omars, the expansion of Jige's heavy–duty integration, and production enhancements at the Company's Boniface facility. The combination of Jige expansion, Omars integration, and Boniface growth supported by U.S. backfill capability will help to ensure production stability, improved lead times, and a fully integrated supply strategy globally. 3. Prepare for Higher-Volume Global Military Production With more than $150 million in military commitments and additional global RFQs underway, the new facility will be capable of supporting higher-volume global defense–grade recovery vehicle production. Military programs production is scheduled to begin in 2027 and accelerate into 2028 and 2029, requiring enhanced capacity, specialized equipment, and advanced production flow capabilities. Return of Capital to Shareholders The Company's Board of Directors approved a quarterly cash dividend of $0.21. The dividend is payable June 8, 2026, to shareholders of record as of June 1, 2026, and represents the sixty-second consecutive quarter that Miller Industries has paid a dividend. Additionally, Miller Industries repurchased approximately $2.2 million of stock during the first quarter of 2026. Pricing Actions and Cost Environment Update Miller Industries continues to experience ongoing pricing pressure driven by tariff impacts, regulatory and compliance requirements, and the elevated cost structure associated with manufacturing in the U.S. While the Company implemented a surcharge in April 2025 to partially offset these pressures, continued cost increases have exceeded the coverage provided by that surcharge. As a result, the Company announced that the existing surcharge will be rolled into its standard pricing structure. In addition, Miller Industries will implement a 3% price increase on all manufactured products invoiced after July 31, 2026. These actions are intended to better align pricing with the current cost environment while supporting continued investment in U.S. manufacturing, product quality, safety, and regulatory compliance. Management remains focused on disciplined cost control and operational efficiency initiatives; however, these pricing adjustments are necessary to help mitigate ongoing margin pressure and maintain the long–term sustainability of Miller Industries' domestic manufacturing operations. 2026 Guidance and Production Outlook The Company is re-affirming its previously issued revenue guidance of $850 million to $900 million for full year 2026 and expects earning per share to be generally in line with full year 2025 results. Given geopolitical tensions in the Middle East and resulting higher diesel prices, Miller Industries expects production volumes to be weighted toward the second half of 2026. While macroeconomic conditions remain dynamic, the Company remains optimistic that revenue will approach $250 million per quarter by the second half of 2026. Gross margins are expected to return to historical levels in the mid-13% range for full year 2026, with revenue mix shifting toward historical levels of bodies and chassis. The statements in the 2026 guidance and production outlook provided above are forward looking. Actual results may differ materially. See our cautionary note regarding "forward-looking statements" below. Conference Call The Company will host a conference call, which will be simultaneously broadcast live over the Internet. The call is scheduled for tomorrow, May 7, 2026, at 10:00 AM ET. Listeners can access the conference call live and archived over the Internet through the following link: https://app.webinar.net/NZVRAYXeQbW Please allow 15 minutes prior to the call to visit the site, download, and install any necessary audio software. A replay of this call will be available approximately one hour after the live call ends through Thursday, May 21, 2026. The replay number is 1-844-512-2921, Passcode 1182125. About Miller Industries, Inc. Miller Industries is The World's Largest Manufacturer of Towing and Recovery Equipment®, and markets its towing and recovery equipment under a number of well-recognized brands, including Century®, Vulcan®, Chevron™, Holmes®, Challenger®, Champion®, Jige™, Boniface™, Omars™, Titan® and Eagle®. Forward-Looking Statements Certain statements in this news release may be deemed to be forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of words such as "may", "will", "should", "could", "continue", "future", "potential", "believe", "project", "plan", "intend", "seek", "estimate", "predict", "expect", "anticipate" and similar expressions, or the negative of such terms, or other comparable terminology and include, without limitation: any statements relating to our 2026 guidance and expected production levels (including under the heading "2026 Guidance and Production Outlook"); the growth and effect of the drivers of our long-term business performance; our future production capacity expansion plans (including the timing thereof and anticipated impact on our business); future customer demand levels; acquisition related costs and the success and timing of integration plans associated with Omars; our priorities relating to capital allocation; increases in the Company's product pricing, including the timing and success thereof; expectations regarding the industry cost environment and the Company's cost control and operational efficiency initiatives; and any potential upside from pending military contracts and their potential effect on revenue and earnings growth. However, the absence of these words or similar expressions does not mean that a statement is not forward-looking. Forward-looking statements also include the assumptions underlying or relating to any of the foregoing statements. Such forward-looking statements are made based on our management's beliefs as well as assumptions made by, and information currently available to, our management. Our actual results may differ materially from the results anticipated in these forward-looking statements due to, among other things: our dependence upon outside suppliers for component parts, chassis and raw materials, including aluminum, steel, and petroleum-related products leaves us subject to changes in price and availability, the cadence and quantity of deliveries from our suppliers, and delays in receiving supplies of such materials, component parts or chassis; our customers' and towing operators' access to capital and credit to fund purchases; the continuing impact of existing tariffs, the implementation of new or increased tariffs and any resulting trade wars, and any resulting macroeconomic uncertainty; the rising costs of equipment ownership, including continuing increases in insurance premiums and elevated interest rates that have added cost pressures to our end users, and fluctuations in the value of used trucks; macroeconomic trends, availability of financing, and changing interest rates; our customers' ability to fund purchases of our products; various international political, economic and other uncertainties, including as a result of new or ongoing military conflicts in the Middle East and Ukraine, which may continue to adversely impact our customer spending patterns; volatility in fuel and other transportation costs, including as a result of the geopolitical tensions in the Middle East and the disruptions in international shipping through the Strait of Hormuz; increases in the cost of skilled labor; risks relating to our indebtedness, including our ability to maintain compliance with the covenants in our credit facility; special risks from our sales to U.S. and other governmental entities through prime contractors; the cyclical nature of our industry and changes in consumer confidence and in economic conditions in general; changes in insurance costs and weather conditions; competition in our industry and our ability to attract or retain customers; changes in government regulations, including environmental and health and safety regulations; our ability to develop or acquire proprietary products and technology; assertions against us relating to intellectual property rights; changes in the tax regimes and related government policies and regulations in the countries in which we operate; our dependence on the continued participation and level of service of our numerous independent distributors; the catastrophic loss of one of our manufacturing facilities; risks relating to acquisitions; environmental and health and safety liabilities and requirements; failure to comply with domestic and foreign anti-corruption laws; loss of the services of our key executives; the effects of regulations relating to conflict minerals; product warranty or product liability claims in excess of our insurance coverage; potential recalls of components or parts manufactured for us by suppliers or potential recalls of defective products; an inability to acquire insurance at commercially reasonable rates; fluctuations of our stock price and involvement with activist shareholders; a disruption in, or breach in security of, our information technology systems or any violation of data protection laws; risks related to our use of artificial intelligence, including generative artificial intelligence and machine learning; and those other risks discussed in our filings with the Securities and Exchange Commission, including those risks discussed under the caption "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2025 and subsequent Quarterly Reports on Form 10-Q, which discussion is incorporated herein by this reference. Such factors are not exclusive. We do not undertake to update any forward-looking statement that may be made from time to time by, or on behalf of, the Company. View original content:https://www.prnewswire.com/news-releases/miller-industries-reports-2026-first-quarter-results-302764646.html