COLUMBUS, Ohio – October 16, 2026 -- Core Molding Technologies (NYSE American: CMT) reported second-quarter net income of $1.8 million, or $0.21 per diluted share, down from $4.1 million, or $0.47 per share, a year earlier. Tooling project revenue fell to $1.8 million from $17.6 million, while production revenue reached $60.9 million.
Non-truck production sales rise 20.8% and offset truck weakness
Production revenue declined 1.2% year over year, a drop the company attributes entirely to the truck vertical. Excluding trucks, production revenue grew 20.8%, driven by powersports, building products, and industrial and utilities markets. For the six months, production revenue was $118.4 million, down 3.5%, and up 20.7% excluding trucks.
Gross margin climbs to 20.3% while SG&A jumps to $10.4 million
Gross margin was $12.7 million, or 20.3% of net revenues, against 18.1% a year earlier. Favorable product mix, operating efficiencies, and a one-time customer capacity credit drove the gain; excluding the credit, margin was 19.4%. SG&A rose to $10.4 million, or 16.6% of net revenues, from $9.1 million, or 11.5%. It included $1.8 million of non-recurring costs tied to the Mexico expansion and severance.
Operating income fell to $2.3 million (3.7% of net revenues) from $5.2 million (6.6%). Adjusted net income was $3.3 million, or $0.39 per diluted share. Adjusted EBITDA was $7.6 million, or 12.2% of net revenues, compared with $9.5 million, or 12.0%, in the prior-year quarter.
Six-month operating income drops to $3.1 million on $4.8 million in one-off costs
First-half net income was $2.4 million, or $0.27 per diluted share, versus $6.2 million, or $0.72. Adjusted net income was $6.5 million, or $0.74 per share. Adjusted EBITDA was $15.0 million (12.3% of net revenue) against $16.7 million (11.9%). Tooling project revenue was $3.0 million, compared with $18.0 million a year earlier. The company repurchased 24,545 shares at an average $18.62, totaling $457,000.
Company books nearly $26 million in new awards, 65% outside trucks and powersports
CEO Eric Palomaki said first-half awards totaled nearly $26 million. All of it is net new business, and about 65% comes from markets outside the traditional truck and powersports sectors. About 74% will be produced in U.S. facilities. The awards include a significant battery energy storage systems contract won in the quarter. Palomaki said larger tooling customer acceptances are expected in the fourth quarter.
Mexico expansion absorbs $18 million to $20 million of 2026 capex
Core plans to quadruple its Monterrey manufacturing footprint this year and add two 4500-ton presses in Matamoros. It completed a major plant relocation and consolidation in less than nine months. First-half capital expenditures were $12.1 million, including $9.6 million for Mexico. Full-year capex is guided at about $25 million to $30 million, with $18 million to $20 million allocated to Mexico. Return on capital employed was 5.7% for the trailing twelve months, or 6.2% excluding cash.
Credit amendment adds $100 million of facilities maturing July 2031
On July 2, 2026, Core signed the third amendment to its 2022 Credit Agreement. It provides a $50 million revolving credit facility and a $50 million delayed-draw term loan facility, both maturing in July 2031, at rates the company calls favorable versus the 2022 agreement. Core repaid the remaining 2022 term loan balance by June 30 and terminated its interest rate swap for a small gain. Cash stood at $12.1 million at quarter-end.
Guidance holds at flat to 5% sales growth
CFO Alex Panda kept 2026 net sales guidance at flat to roughly 5% growth, including production and tooling revenue. The company expects a gradual truck market recovery in the second half. Gross margin is projected at 17% to 19%, depending on end-market mix and the production-to-tooling revenue split.