Fox Factory (FOXF) Q3 2026 earnings summary

Executive summary

• Q3 net sales fell 10.1% YoY to $338.4M; GAAP net loss was $109.7M, including a $121.3M divestiture loss, while adjusted net income rose to $22.7M.

• Marucci’s September 25 sale focused the portfolio on ride dynamics; priorities include execution, process simplification, cost savings, pricing recovery, cash generation and debt reduction.

• Interim leadership is implementing a “One Fox” operating model; Heidrick & Struggles is conducting an internal and external CEO search.

Financial highlights

• Q3 gross margin was 31.5%, up from 30.4% YoY, supported by tariff refunds and offset by product mix and higher freight, commodity and fuel costs.

• Adjusted operating expenses were $68.7M, or 20.3% of sales, versus $85.7M, or 22.8%; 9M gross savings were ~$41M toward a $50M FY26 goal.

• Q3 adjusted EBITDA was $50.4M, including ~$12M of tariff refunds, versus $44.4M; excluding refunds, adjusted EBITDA was ~$38M and margin was 11.3%.

• Adjusted net income was $22.7M, or $0.54 per diluted share, versus $9.9M, or $0.23; 9M adjusted net income was $45.6M versus $36.3M.

Outlook and guidance

• Q4 FY26 guidance: net sales of $287M–$313M and adjusted EBITDA of $25M–$30M, excluding Marucci and additional IEEPA tariff refunds.

• FY26 guidance: net sales of $1.35B–$1.38B; adjusted EBITDA of $143M–$148M excluding ~$14M of tariff refunds, or $157M–$162M including refunds.

• FY26 guidance includes Marucci through September 25; the sales outlook reduction versus August includes ~$63M from Marucci and lower Q3 sales in retained businesses.

• Guidance assumes current input-cost levels with no further increases; Q4 combined Powered Vehicles and Aftermarket Applications adjusted EBITDA margin is expected to be approximately flat YoY.