Commercial Vehicle Group, Inc. (NASDAQ:CVGI) Q1 2024 Earnings Call Transcript

So the framework that was put in place last year to drive the focus on direct material is still there. The framework that was put in place last year to have a specific cost-out deck per manufacturing facility on conversion costs is still in place. We’re pursuing that. More emphasis now this year, pretty much driven by some macro items. So freight and logistics is one area with the disruption in the Suez Canal and some of our supply chains that go across region. That has caused us to take a more specific look at our freight and logistics and supply chain costs and see what opportunity we can get there. Also looking at on-shoring or near-shoring to reduce long supply chains, which have both FX risk as well as supply chain risk. So there are a number of items we’re looking at to achieve that similar level of savings at a gross level that we achieved last year for this year, which is helping us further solidify our range on the EBITDA margin line.

Joshua Zoepfel: Thank you. I appreciate it.

Operator: Thank you. There seems to be no further questions at this time. I’d now like to turn the call back over to Mr. Ray for final closing comments.

James Ray: I’d like to thank you all for joining today’s call. We remain excited for the prospects that we see for CVG as we continue to execute our forward-looking strategy of resource alignment, cost management, and customer engagement. We reaffirm our business outlook, and we look forward to continuing to drive growth at CVG. I hope you all have a great day and a safe day. Thank you very much for joining the call.

Operator: Thank you, sir. Ladies and gentlemen, this concludes your conference call for today. We thank you for participating and ask that you please disconnect your lines. Have a lovely day.