Motorcar Parts of America, Inc. (MPAA) Earnings Call Transcripts

Motorcar Parts of America, Inc.'s Latest Earnings Call - Q4 FY2026

Motorcar Parts of America, Inc. reported a strong fourth quarter for fiscal 2026, with net sales increasing by 9.9% year-over-year, reaching $200 million. The company achieved a net income of $9.7 million, a significant turnaround from a net loss of $722,000 in the prior year. Management provided guidance for fiscal 2027, projecting net sales growth of 7.5% to 10.2%, indicating confidence in new business commitments and market conditions.

Reported metrics

Guidance from management

Management expects net sales for fiscal 2027 to increase between 7.5% to 10.2%, with operating income projected between $86 million and $91 million, reflecting continued growth and operational efficiencies.

What management said

Sure. So if you look at Exhibit 3 of this morning's earnings press release, our reported gross margin was 23.7%. The noncash items had a 1.8% impact. So you add that 1.8% on and also the cash items had 0.3%. So if you add to 1.8% in the 0.3% to the 23.7%, that gives you to 25.8%. Does that make sense?

Right. So that's a good point. If you look at the letter A, the negative $6.5 million had an impact of negative 0.9% and we indicate that's the impact when you take into consideration both the sales and cost of goods sold impact. So the combined impact of sales and cost to be sold on gross profit was a negative 0.9%. So the total cash impact was 0.3% unfavorable for the quarter that if you add to the noncash 1.8% and...

What analysts pressed on

Analysts expressed concerns regarding the stickiness of new business tied to competitor bankruptcies and the normalization of customer ordering patterns. There were questions about the impact of macroeconomic factors on consumer behavior and vehicle maintenance spending.

Main topics on the call

• Revenue Growth — Net sales increased by 9.9% in Q4 2026 and 4.3% for the fiscal year, reaching $200 million. Management stated, 'we ended the year with a strong fourth quarter and numerous new business commitments phasing in throughout f...
• Profitability Improvement — Gross profit surged 30.9% in Q4, with gross margin improving to 23.7% from 19.9% a year earlier. Selwyn Joffe noted, 'Our strategy remains focused on increasing profitability, growing share and neutralizing working capit...
• Cash Flow and Debt Management — The company generated $19.2 million in cash from operating activities for the year, reducing net bank debt to $80 million. David Lee highlighted, 'Our liquidity remains strong with total cash and availability of approxim...
• Guidance for Fiscal 2027 — Management expects net sales to grow between 7.5% to 10.2%, with anticipated annualized net sales exceeding $900 million by year-end. David Lee stated, 'Current guidance includes new business commitments that are expecte...

Read the full Motorcar Parts of America, Inc. transcript (Q4 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 26 Motorcar Parts of America, Inc. earnings call transcripts on record, spanning February 10, 2020 to August 10, 2026. Based on this history, Motorcar Parts of America, Inc. reports quarterly. The most recent call on file is dated August 10, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

MPAA

Exchange

NasdaqGS

Country

US

Sector

Consumer Discretionary

Industry

Automobile Components

Calls on record

26

First call

February 10, 2020

Most recent

August 10, 2026

Reporting cadence

quarterly