Holley Clocks 7% Top-Line Decline In Q2; Warns On Supply Chain & Inventory Issues - Holley (NYSE:HLLY)

Holley Inc. HLLY reported a second-quarter FY22 sales decline of 7.1% year-on-year, to $179.42 million, missing the consensus of $187.99 million.
The gross profit decreased 7.3% Y/Y to $75.3 million with a gross margin of 41.9%.
Selling, general and administrative expenses rose 38.5% to $36.3 million.
The operating margin was 14%, and operating income for the quarter decreased 37.2% to $25.1 million.
The company held $30.5 million in cash and equivalents as of July 3, 2022. Cash provided by operating activities totaled $2.4 million.
Adjusted EBITDA decreased 31.2% Y/Y to $37.2 million.
EPS was $0.35 compared to $0.34 a year ago.
"Our outlook for the full year 2022 is consistent with the previously communicated full year guidance issued on July 28, 2022, and reflects the current supply chain pressures, inventory, and demand trends we have seen in recent weeks," said CFO Dominic Bardos.
Related: Holley's Disappointing Preliminary Q2 Results Trigger 29% Price Target Cut By This Analyst
Outlook: Holley sees FY22 sales of $700 million - $725 million versus the consensus of $717.77 million.
The company expects FY22 adjusted EBITDA of $135 million - $145 million.
Price Action: HLLY shares are trading lower by 0.77% at $6.44 on the last check Thursday.