Thor Industries (THO) Q4 2025 earnings summary

Executive summary

• Fiscal 2025 net sales reached $9.58B, with net income of $258.6M and adjusted EBITDA of $659.1M, reflecting resilience and market share gains amid a volatile macroeconomic environment.

• Strategic initiatives, including organizational restructuring and product portfolio refreshes, are expected to yield long-term cost savings and profitable share gains.

• Dealer inventory turns improved, and the company is well-positioned for the upcoming year, supported by clean channel inventories and refreshed product portfolios.

• Cash flows from operations increased 5.9% year-over-year to $577.9M, supporting investments, dividends, share repurchases, and debt reduction.

Financial highlights

• Q4 2025 consolidated net sales were $2.52B, down 0.4% year-over-year; full-year net sales declined 4.6% to $9.58B.

• Q4 net income rose 39.7% to $125.8M; full-year net income was $258.6M, down 2.5% year-over-year.

• Q4 diluted EPS increased 40.5% to $2.36; full-year diluted EPS was $4.84, down 2.0%.

• Q4 gross profit margin declined 110 bps to 14.7%; full-year margin was 14.0%, down 50 bps.

• Adjusted EBITDA for the year was $659.1M, down 9.7% year-over-year.

Outlook and guidance

• Fiscal 2026 net sales expected between $9.0B and $9.5B, with stable gross margin at midpoint.

• Diluted EPS guidance for FY26 is $3.75–$4.25, assuming balanced wholesale/retail volumes and a steady European market.

• Guidance does not factor in significant impacts from ongoing restructuring or product refresh initiatives.

• Guidance assumes a low- to mid-single digit retail decline in North America and stable market share.