REV Group, Inc. (NYSE:REVG) shares are trading higher after the company reported second-quarter FY24 results.

Net sales of $616.9 million beat the consensus of $601.5 million. Excluding the impact of the Collins divestiture, net sales decreased 2.7% Y/Y due to lower net sales in the Recreational Vehicles segment.

Specialty Vehicles segment net sales rose 2.9% Y/Y but Recreational Vehicles segment net sales fell 30% Y/Y.

Adjusted EBITDA stood at $37.5 million, vs. $41.9 million a year ago quarter. Adjusted EPS of $0.39 exceeded the street view of $0.26.

Effective January 26, the company closed the sale of its school bus business, Collins Bus Corporation, to Forest River Bus, LLC for $303.0 million in cash.

As of April-end, net debt totaled $181.8 million, including $38.2 million cash on hand.

Dividend: The board of directors declared a regular quarterly cash dividend per share of $0.05, payable on July 12 to shareholders of record on June 28.

Outlook: REV Group lowered the FY24 outlook for net sales to $2.40 billion-$2.50 billion (from $2.45 billion-$2.55 billion) vs. an estimate of $2.49 billion.

REV Group Inc. President and CEO, Mark Skonieczny, said. "We continue to experience robust demand in our Fire and Ambulance businesses and remain focused on operating initiatives that drive throughput improvements across our manufacturing sites."

"The Specialty Vehicles segment results demonstrate that these initiatives are taking hold and continue to build from prior quarters' momentum. Within the Recreational Vehicles segment, we continue to be proactive in managing our cost structure to align with end market demand and delivered operating margins in line with our expectations."

Investors can gain exposure to the stock via Procure Disaster Recovery Strategy ETF (NASDAQ:FIXT) and Cambria ETF Trust Cambria Micro And SmallCap Shareholder Yield ETF (BATS:MYLD).

Price Action: REVG shares are up 10% at $27.28 at the last check Wednesday.