Blue Bird Corporation reported strong first-quarter results for fiscal 2025, achieving an adjusted EBITDA of $46 million, marking the second-highest first-quarter profit in the company’s history. The company delivered 2,130 buses, slightly exceeding last year’s figures, and maintained net revenue of $314 million, just $4 million shy of the previous year. Notably, 94% of the buses sold were combustion engine models, while electric vehicle (EV) sales fell 36% year-over-year, comprising only 6% of total sales.
The results underscore Blue Bird’s resilience amid challenges such as evolving federal policies and tariff uncertainties. The company ended the quarter with a robust order backlog of 4,400 buses, including a record 765 EVs, reflecting a growing demand for alternative fuel vehicles. Additionally, Blue Bird’s liquidity position strengthened to $280 million, and the firm successfully reduced debt by over $40 million.
The key takeaway for market professionals is Blue Bird’s strategic positioning in the alternative fuel segment, with a significant portion of its backlog consisting of EVs. The company’s ability to maintain margins and profitability, despite a lower EV mix, highlights its operational strength and pricing power, making it a noteworthy player in the evolving transportation landscape.
Source: fool.com