Thule Group (THULE) Pre-close call summary

Executive summary

• Q4 showed sequential improvement with total growth of 20% excluding currency effects, mainly from acquisitions, while organic growth was flat but better than Q3.

• The RV market in Europe is recovering, with growth in both aftermarket and OE channels for the first time in two years.

• Entering 2026 with upgraded product lines, expanded digital presence, and efficiency initiatives to support growth.

Trading performance and revenue trends

• North America remains a weaker geography, but actions taken in 2025, including new product launches, are driving gradual improvement.

• Quad Lock, the acquired category, grew 15% last year and continues to perform well, though Q1 is seasonally its smallest quarter.

• New product launches in Q1 and Q2 target both premium and entry-level segments, aiming to capture spring and summer demand.

• RV segment represents about 15-20% of sales in Q1, with both OE and aftermarket channels showing growth.

Profitability and margins

• EBIT margin improved in Q4 and is expected to improve further in Q1 versus last year, supported by cost reductions and stable gross margin.

• Gross margin gains from last year are being maintained despite FX and material cost headwinds; no significant increase expected.

• SG&A is expected to decrease in Q1, mainly due to lower development costs.

• Profitability is similar across product segments, with only minor differences between premium and entry-level products.