Mayville Engineering (MEC) To Report Earnings Tomorrow: Here Is What To Expect

Vertically integrated manufacturing solutions provider Mayville Engineering Company (NYSE:MEC) will be reporting earnings this Tuesday after market hours. Here’s what investors should know.

Mayville Engineering beat analysts’ revenue expectations by 0.8% last quarter, reporting revenues of $135.6 million, down 15.9% year on year. It was an exceptional quarter for the company, with a solid beat of analysts’ EPS estimates and an impressive beat of analysts’ adjusted operating income estimates.

Is Mayville Engineering a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Mayville Engineering’s revenue to decline 15.7% year on year to $138 million, a reversal from the 17.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Mayville Engineering has missed Wall Street’s revenue estimates four times over the last two years.

Looking at Mayville Engineering’s peers in the engineered components and systems segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Arrow Electronics delivered year-on-year revenue growth of 10%, beating analysts’ expectations by 5.9%, and Worthington reported flat revenue, topping estimates by 5.6%. Arrow Electronics traded down 11.7% following the results while Worthington was up 1.8%.

Read our full analysis of Arrow Electronics’s results here and Worthington’s results here.

Investors in the engineered components and systems segment have had steady hands going into earnings, with share prices flat over the last month. Mayville Engineering is up 1% during the same time and is heading into earnings with an average analyst price target of $22.75 (compared to the current share price of $16.40).

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