NFI Group said a stronger second quarter, aided in part by purchases tied to the FIFA World Cup, pushed revenue to $1.03 billion and lifted deliveries and cash flow as the North American manufacturing recovery continued.
Key results and the World Cup effect
The company reported deliveries of 1,232 equivalent units in the second quarter, an increase of 14.5% from the prior-year period. Revenue rose 18.6% year over year to $1.03 billion. NFI also said gross profit, adjusted EBITDA and net earnings improved notably, supported by stronger margins in both manufacturing and aftermarket operations.
Net earnings for the quarter were reported at $17.4 million, representing an increase of $178.2 million compared with the second quarter of 2025. Net cash generated by operating activities totaled $159.1 million, an improvement of $228.7 million from the same quarter a year earlier.
"Relative to the World Cup, in the aftermarket specifics of your question, we were obviously prepared as we came into the year that there could be some lift, but we weren’t sure exactly how that would play through in terms of the transit agencies... The end result was obviously something that was favorable for us in terms of Q2," NFI chairman and CEO John Sapp said on a recent investor call.
Sapp cautioned that the World Cup impact may not sustain through the full fiscal year because some transit agencies "bought ahead" of the event and could reduce purchases in the second half as a result.
Aftermarket strength and manufacturing trends
The company characterized its aftermarket segment as delivering a record quarter, a driver of improved margins overall. Executives attributed the quarter's momentum to higher North American production, better vehicle economics and stronger conversion of backlog into deliveries.
- Deliveries: 1,232 equivalent units, up 14.5% year over year.
- Revenue: $1.03 billion, up 18.6% year over year.
- Net earnings: $17.4 million, an increase of $178.2 million year over year.
- Operating cash: Net cash from operations of $159.1 million, improved by $228.7 million from Q2 2025.
| Metric | Q2 Result | Year-over-year change |
|---|---|---|
| Deliveries (equivalent units) | 1,232 | +14.5% |
| Revenue | $1.03 billion | +18.6% |
| Net earnings | $17.4 million | + $178.2 million |
| Net cash from operations | $159.1 million | + $228.7 million |
Implications for transit agencies and the sector
NFI's results reflect two broader dynamics in North American transit manufacturing: a post-pandemic recovery in production and a temporary procurement surge tied to a major international event. Transit agencies that anticipated demand during the FIFA World Cup appear to have accelerated purchases, benefiting manufacturers and aftermarket suppliers in the near term.
Company leaders signaled that the timing of purchases could create volatility in future quarters. If some agencies "bought ahead" of event-related needs, as the CEO suggested, NFI and its peers may face softer order flow later in the year, shifting the emphasis to backlog conversion and aftermarket services to sustain revenue and margins.
Facilities such as NFI's New Flyer manufacturing plant in Jamestown were cited as part of the company’s broader manufacturing footprint contributing to the quarter's gains. Executives highlighted improved vehicle economics and stronger backlog conversion as central to the progress in the period.
Investors and industry observers will be watching the company’s ability to maintain margin improvements and aftermarket momentum as the calendar moves past event-driven procurement. For transit agencies, the recent shopping patterns underscore how global events can compress procurement timelines and alter budgetary plans.
As NFI moves forward, management will likely continue emphasizing aftermarket growth and operational efficiencies to offset any second-half moderation in agency orders that may follow the World Cup-related buying surge.
