Thor Industries (THO) investor relations material

Executive summary

• Net sales for Q2 FY26 reached $2.13 billion, up 5.3% year-over-year, driven by strong North American Motorized and European segment growth, offsetting declines in Towables.

• Net income attributable to shareholders was $17.8 million, up from a net loss of $0.6 million in the prior year, aided by real estate transaction gains.

• Strategic realignment of North American RV operations was announced post-quarter to enhance efficiency and collaboration.

• Gross profit rose 2.5% to $251.3 million, but gross margin declined to 11.8% from 12.1% due to a higher mix of motorized sales and unfavorable European product mix.

• Operating cash flow for the six months ended January 31, 2026 was negative $157.1 million, primarily due to inventory build and seasonal factors.

Financial highlights

• Q2 FY26 net sales: $2.13 billion (+5.3% YoY); FYTD net sales: $4.51 billion (+8.5% YoY).

• Gross profit margin for Q2 FY26 was 11.8%, down 30 bps YoY; gross profit for Q2 was $251.3 million.

• Net income for Q2 FY26 was $17.8 million, compared to a loss of $0.6 million in Q2 FY25.

• Adjusted EBITDA for Q2 FY26 was $98.1 million, up 12.7% YoY.

• Quarterly dividend increased to $0.52 per share, with $54.8 million paid in the six-month period.

Outlook and guidance

• FY26 consolidated net sales guidance: $9.0B–$9.5B; diluted EPS guidance: $3.75–$4.25.

• Gross margin expected to remain stable at midpoint, with upside potential in a stronger market.

• Guidance assumes low- to mid-single-digit retail decline in North America with stable market share and no material impact from strategic realignment.

• Tax rate projected at 24%–26% excluding discrete items.

• Management remains optimistic about long-term industry growth despite near-term inflation, interest rate, and inventory challenges.