Shares of REV Group Inc. (REVG) surged 6.88% in pre-market trading on Wednesday following the release of its impressive fiscal 2025 second-quarter results and updated full-year guidance. The specialty vehicle manufacturer demonstrated robust performance, surpassing analyst expectations and showcasing strong financial growth.

REV Group reported adjusted earnings per share of $0.70 for the second quarter, significantly beating the analyst consensus estimate of $0.62 and marking a 79.49% increase from $0.39 in the same period last year. The company's quarterly sales reached $629.1 million, exceeding the analyst forecast of $612.04 million and representing a 1.98% year-over-year growth.

The strong results were driven by higher net sales in the Specialty Vehicles segment, which offset a decline in the Recreational Vehicles segment. Notably, the company's adjusted EBITDA showed substantial improvement, rising to $58.9 million from $37.5 million in the previous year, reflecting a 63.6% increase when excluding the divested Bus Manufacturing Businesses. In light of these positive results, REV Group has updated its full-year fiscal 2025 outlook, projecting net sales between $2.35 billion and $2.45 billion, up from its previous forecast of $2.30 billion to $2.40 billion. The company also announced strategic initiatives, including a $20 million investment in its Brandon, South Dakota location to enhance manufacturing throughput, and the repurchase of approximately 2.9 million common shares for $88.4 million during the quarter.