Market Performance - THOR's North American RV market share is approximately 39.1% for travel trailers and fifth wheels combined, and 47.9% for motorhomes as of September 30, 2025[74]. - North American RV independent dealer inventory decreased by 5.5% to approximately 70,900 units as of October 31, 2025, compared to 75,000 units a year earlier[77]. - THOR's North American RV backlog increased by $36,333, or 1.9%, to $1,932,525 as of October 31, 2025, driven by increased orders for motorized products[79]. - North American wholesale unit shipments for THOR increased by 3.0% to 104,267 units for the nine months ended September 30, 2025, compared to 101,185 units in the same period of 2024[85]. - North American retail unit registrations for THOR decreased by 1.7% to 113,230 units for the nine months ended September 30, 2025, compared to 115,181 units in 2024[86]. - The RVIA projects a total of approximately 339,700 North American wholesale unit shipments for calendar year 2025, up 1.8% from 2024[80]. - The most likely scenario for calendar year 2026 wholesale unit shipments is projected to increase to approximately 349,000 units, or 2.8% higher than the 2025 forecast[81]. Sales and Revenue - North American total recreational vehicle net sales increased by 11.0% to $1,558,186, while European net sales rose by 8.4% to $655,479 for the three months ended October 31, 2025[108]. - North American motorized vehicle sales surged by 30.9% to $661,096, compared to $505,208 in the same period last year[108]. - European Recreational Vehicle net sales rose by 8.4% to $655,479, with a 1.0% increase in unit shipments[135]. Profitability and Margins - Gross profit margin for North American motorized vehicles improved significantly to 10.8% from 8.5%, reflecting a $28,895 increase in gross profit[108]. - Consolidated gross profit for the three months ended October 31, 2025 increased by $39,532, or 14.0%, with a gross profit margin of 13.4%[112]. - North American Motorized gross profit increased by $28,895, reflecting improved sales and reduced cost percentages[131]. Costs and Expenses - Selling, general and administrative expenses for the three months ended October 31, 2025 increased by $13,833, or 5.8%, primarily due to increased sales-related travel and advertising costs[113]. - The company is closely monitoring the impact of U.S. tariffs on imports, which may affect material costs and profit margins if not offset by pricing strategies[89]. - Labor costs and availability remain a concern, with potential future impacts on production efficiency and profit margins due to high labor costs and regulatory constraints[107]. Inventory and Backlog - European independent dealer inventory decreased by 9.8% to approximately 22,900 units as of October 31, 2025, compared to 25,400 units a year earlier[95]. - The European recreational vehicle backlog decreased by $113,173, or 5.5%, to $1,930,463 as of October 31, 2025, primarily due to improved chassis supply availability[96]. - The order backlog for North American Towable decreased by $277,049, or 29.7%, while North American Motorized backlog increased by $313,382, or 32.5%[110]. Cash Flow and Capital Expenditures - Cash and cash equivalents decreased to $509,878 as of October 31, 2025, down from $586,596 on July 31, 2025[145]. - Net working capital increased to $1,214,646 compared to $1,193,279 at July 31, 2025[146]. - The company plans to use cash generated from operations to reduce indebtedness, maintain and grow dividend payments, and fund growth through acquisitions[148]. - Committed capital expenditures for the remainder of fiscal 2026 are estimated at approximately $195 million, with two-thirds allocated to North America and one-third to Europe[149]. Dividends and Shareholder Returns - The company increased its quarterly dividend from $0.50 to $0.52 per share in October 2025, following a previous increase from $0.48 to $0.50 in October 2024[157]. - The company intends to continue regular quarterly cash dividend payments, with future dividends subject to Board determination based on earnings and cash flows[150]. Economic Outlook - Consumer confidence and discretionary spending are expected to influence near-term demand for RVs, with long-term growth anticipated as economic conditions improve[84]. - The company believes that the availability of camping and RV parking facilities will be crucial for future industry growth, supported by investments from campground owners and government[88]. - Future European RV retail sales outlook remains optimistic due to favorable demographic trends and increasing consumer interest in RV lifestyles[102]. Financial Risks - The company holds $376,064 of debt denominated in Euros, with a hypothetical 10% change in the Euro/U.S. dollar exchange rate potentially affecting the debt balance by approximately $37,606[163]. - A one-percentage-point increase in interest rates could result in an estimated $4,070 reduction in income before income taxes over a one-year period[164].

Financial Performance - Revenue for the first quarter of fiscal 2026 was $2.39 billion, representing an 11.5% increase compared to $2.14 billion in the same period last year[1] - Net income attributable to THOR was $21.7 million, a significant recovery from a net loss of $1.8 million in the prior year[1] - Adjusted EBITDA for the quarter was $131.0 million, up 21.5% from $107.8 million year-over-year[1] - Net sales for the three months ended October 31, 2025, increased to $2,389,123, representing a growth of 11.5% compared to $2,142,784 in the same period of 2024[22] - Gross profit margin improved to 13.4% in Q1 2025, up from 13.1% in Q1 2024, with gross profit amounting to $320,974[22] - Net income attributable to THOR Industries, Inc. was $21,669 for Q1 2025, a significant recovery from a net loss of $1,832 in Q1 2024[22] - Adjusted EBITDA for Q1 2025 reached $131,005, an increase of 21.5% from $107,782 in Q1 2024[24] Market Performance - North American market share improved for the second consecutive quarter, with retail performance exceeding expectations[5] - North American Motorized RVs segment saw a 30.9% increase in net sales to $661.1 million, driven by a 32.3% rise in unit shipments[10] - European RVs net sales increased by 8.4% to $655.5 million, despite a 16.0% decline in gross profit due to higher promotional activity[11] Financial Guidance - The company expects full-year consolidated net sales to be in the range of $9.0 billion to $9.5 billion[14] - Diluted earnings per share guidance for fiscal 2026 is projected between $3.75 and $4.25[14] Operational Efficiency - The gross profit margin expanded by 30 basis points to 13.4%, reflecting strategic actions taken to streamline operations[5] - Selling, general and administrative expenses as a percentage of net sales improved to 10.6% in Q1 2025 from 11.2% in Q1 2024[22] - THOR Industries is focused on strategic initiatives to enhance operational efficiency and drive future growth[24] Asset Management - Total current assets decreased to $2,719,937 as of October 31, 2025, down from $2,777,975 as of July 31, 2025[23] - Cash and equivalents stood at $509,878 as of October 31, 2025, a decrease from $586,596 at the end of the previous quarter[23] - Long-term debt remained stable at $913,129 as of October 31, 2025, compared to $919,612 as of July 31, 2025[23] - The company reported a decrease in interest expense to $9,017 in Q1 2025, down from $15,228 in Q1 2024[22] Market Sentiment - The company is closely monitoring consumer sentiment and is prepared to adjust its outlook based on market conditions[12]

Core Insights - THOR Industries reported strong financial results for the first quarter of fiscal 2026, with net sales of $2.39 billion, a 11.5% increase from the previous year, and net income attributable to THOR of $21.7 million, compared to a loss of $1.8 million in the same period last year [1][2][3] - The company improved its North American market share for the second consecutive quarter, driven by better-than-expected retail performance and strategic initiatives [1][2] - Despite challenges in the European market, THOR's overall performance indicates a positive outlook for the fiscal year, with expectations of continued traction from company-specific initiatives [2][3] Financial Highlights - Net Sales: $2,389,123 (2025) vs. $2,142,784 (2024), an increase of 11.5% [1] - Gross Profit: $320,974 (2025) vs. $281,442 (2024), a 14.0% increase [1] - Gross Profit Margin: 13.4% (2025) vs. 13.1% (2024), an improvement of 30 basis points [1] - Net Income: $21,669 (2025) vs. $(1,832) (2024), a significant turnaround [1] - Adjusted EBITDA: $131,005 (2025) vs. $107,782 (2024), a 21.5% increase [1][4] Segment Performance North American Towable RVs - Net Sales: $897,090 (2025) vs. $898,778 (2024), a slight decline of 0.2% [2] - Unit Shipments: 25,807 (2025) vs. 30,018 (2024), a decrease of 14.0% [2] - Gross Profit Margin: 13.3% (2025) vs. 12.5% (2024), an increase of 80 basis points [2] North American Motorized RVs - Net Sales: $661,096 (2025) vs. $505,208 (2024), an increase of 30.9% [2] - Unit Shipments: 4,950 (2025) vs. 3,741 (2024), an increase of 32.3% [2] - Gross Profit Margin: 10.8% (2025) vs. 8.5% (2024), an increase of 230 basis points [2] European RVs - Net Sales: $655,479 (2025) vs. $604,903 (2024), an increase of 8.4% [2] - Unit Shipments: 8,723 (2025) vs. 8,635 (2024), a slight increase of 1.0% [2] - Gross Profit Margin: 11.9% (2025) vs. 15.3% (2024), a decrease of 340 basis points [2] Market Outlook - The company anticipates consolidated net sales for fiscal 2026 to be in the range of $9.0 billion to $9.5 billion, with stable gross margins expected [2][3] - Diluted earnings per share are projected to be between $3.75 and $4.25, reflecting a cautious but optimistic outlook amid consumer uncertainty [2][3] - The company is prepared to manage risks and protect profitability, with a focus on stock repurchases if necessary [1][2]

Core Viewpoint - Thor Industries (THO) is expected to report a quarterly loss of -$0.10 per share, reflecting a year-over-year decline of 138.5%, with anticipated revenues of $2.12 billion, a decrease of 1.2% compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate has been revised 8.7% lower over the last 30 days, indicating a collective reevaluation by analysts [2]. - Revisions to earnings estimates are crucial indicators for predicting investor actions regarding the stock, with empirical research showing a strong correlation between earnings estimate trends and short-term stock price performance [3]. Revenue Projections - Analysts project 'Net Sales- Recreational Vehicles- North American Towable' to be $876.12 million, down 2.5% year-over-year [5]. - 'Net Sales- Recreational Vehicles- North American Motorized' is expected to reach $510.31 million, indicating a 1% increase year-over-year [5]. - Total 'Net Sales- Recreational Vehicles' is forecasted at $1.99 billion, reflecting a decline of 1.1% from the prior year [6]. - 'Net Sales- Other' is anticipated to be $204.93 million, showing a growth of 5.9% year-over-year [6]. - 'Net Sales- Recreational Vehicles- European' is estimated at $591.25 million, down 2.3% from the previous year [6]. Unit Sales Estimates - 'Units sales - Recreational Vehicles - Total North America' is estimated at 33,480, slightly down from 33,759 reported in the same quarter last year [9]. - 'Units sales - Recreational Vehicles - North American Towable' is projected to be 29,561, compared to 30,018 in the same quarter last year [8]. - Total 'Units sales' are expected to reach 41,813, down from 42,394 reported in the same quarter last year [8]. - 'Units sales - Recreational Vehicles - European' is projected at 8,332, down from 8,635 in the same quarter last year [7]. Profitability Metrics - The consensus estimate for 'Gross Profit- Recreational Vehicles- European' is $88.26 million, down from $92.65 million reported in the same quarter last year [10]. - Over the past month, Thor Industries shares have recorded a return of +2.3%, outperforming the Zacks S&P 500 composite's +0.4% change [10].

Core Points - THOR Industries, Inc. will release its fiscal 2026 first quarter earnings on December 3, 2025, before the market opens [1] - The earnings release will be accompanied by a comprehensive Q&A document and a slide presentation available on the company's website [2] - THOR Industries is the largest manufacturer of recreational vehicles globally, owning multiple operating subsidiaries [3] Company Overview - THOR Industries, Inc. is recognized as the sole owner of subsidiaries that collectively represent the world's largest manufacturer of recreational vehicles [3]

Core Viewpoint - Thor Industries reported strong earnings for Q4 fiscal 2025, significantly beating expectations, but experienced a slight decline in revenues year-over-year [2][8]. Financial Performance - Earnings per share for Q4 fiscal 2025 were $2.31, surpassing the Zacks Consensus Estimate of $1.16 and up from $1.68 in Q4 fiscal 2024 [2]. - Total revenues for Q4 were $2.52 billion, exceeding the Zacks Consensus Estimate of $2.31 billion, but down 0.4% from the previous year [2]. Segmental Results - **North American Towable RVs**: Revenues were $888.7 million, a decrease of 4.6% year-over-year, but above the estimate of $825.6 million [3]. - **North American Motorized RVs**: Revenues increased by 7.8% year-over-year to $557.4 million, exceeding the estimate of $504 million [5]. - **European RVs**: Revenues were $923 million, down 2.2% year-over-year, but above the estimate of $856.3 million [6]. Profitability Metrics - Gross profit for the company totaled $118.6 million, a 1% increase year-over-year, driven by reduced warranty and promotional expenses [4]. - Pretax income rose to $74.5 million from $50.9 million in the previous year, primarily due to improved gross profits [4]. Backlog and Cash Position - Total backlog at the end of the quarter was $525 million, down from $552.4 million a year earlier [4]. - Cash and cash equivalents stood at $586.6 million, with long-term debt of $919.6 million as of July 31, 2025 [7]. Guidance and Future Outlook - For fiscal 2026, Thor Industries projects consolidated net sales between $9 billion and $9.5 billion, down from $9.6 billion in fiscal 2025, with EPS expected to range from $3.75 to $4.25 compared to $4.84 in fiscal 2025 [8]. - There has been a downward trend in estimates revisions, with the consensus estimate shifting down by 9.43% [9][10]. Investment Scores - Thor Industries holds a strong Growth Score of A but has a lower Momentum Score of C, with an overall VGM Score of A [11].

Core Insights - THOR Industries, Inc. reported earnings of $2.31 per share for Q4 fiscal 2025, exceeding the Zacks Consensus Estimate of $1.16 and up from $1.68 in Q4 fiscal 2024 [1] - The company achieved revenues of $2.52 billion in Q4, surpassing the Zacks Consensus Estimate of $2.31 billion, although this represented a 0.4% decline year over year [1] Segmental Results - North American Towable RVs generated revenues of $888.7 million, a decrease of 4.6% year over year, but exceeded the estimate of $825.6 million [2] - North American Motorized RVs reported revenues of $557.4 million, an increase of 7.8% year over year, surpassing the estimate of $504 million [4] - European RVs revenues were $923 million, down 2.2% year over year, yet above the estimate of $856.3 million [5] Financial Performance - Gross profit for the company totaled $118.6 million, reflecting a 1% year-over-year increase due to reduced warranty and promotional expenses [3] - Pretax income rose to $74.5 million from $50.9 million in the previous year, driven by improved gross profits [3] - As of July 31, 2025, THOR had cash and cash equivalents of $586.6 million and long-term debt of $919.6 million [6] Guidance for Fiscal 2026 - THOR projects consolidated net sales for fiscal 2026 to be between $9 billion and $9.5 billion, down from $9.6 billion in fiscal 2025 [7] - Expected EPS for fiscal 2026 is projected to be in the range of $3.75 to $4.25, compared to $4.84 in fiscal 2025 [7]

Core Viewpoint - Thor Industries is positioned for growth in the recreational vehicle market, supported by favorable economic conditions and strong financial performance [2][3][4]. Company Overview - Thor Industries is a leading manufacturer of recreational vehicles (RVs) and campers, competing with major players like Winnebago Industries and Forest River [1]. - The company has a market capitalization of approximately $5.62 billion and has seen its stock fluctuate between $63.16 and $118.85 over the past year [5]. Financial Performance - BMO Capital has maintained an "Outperform" rating for Thor Industries, raising the price target from $105 to $115, reflecting confidence in the company's future performance [2][6]. - Thor Industries is expected to achieve new stock price highs by early 2026, aided by a projected reduction in interest rates by the Federal Open Market Committee [3]. - The company benefits from strong cash flow and asset growth, which supports significant capital returns through dividends and share repurchases, yielding about 2.25% annually [4][6]. Market Conditions - The anticipated reduction in interest rates by 75 basis points over the next two to three quarters is expected to boost demand for discretionary items like RVs, positively impacting Thor Industries [3][6].

Industry Overview - The recreational vehicle (RV) industry experienced a strong demand during the pandemic due to social distancing and remote work, but has faced challenges in recent years due to higher interest rates affecting consumer borrowing costs [1][2] - A potential series of interest rate cuts could make RV stocks more attractive to investors [2] Company Analysis: Thor Industries - Thor Industries has demonstrated resilience with positive sales and earnings growth despite a weak retail environment, aided by flex pricing power and reduced reliance on discounting [4][5] - The company has reduced its debt by nearly $200 million and is positioned for volume recovery as borrowing costs ease [5] - Current stock price is $105.97 with a 12-month forecast of $100.00, indicating a downside of 5.63% [4] Company Analysis: Winnebago Industries - Winnebago reported lower year-over-year revenue and earnings, impacted by tariffs, and expects modest price increases to offset these effects [9][10] - The stock is currently priced at $33.65 with a 12-month forecast of $43.22, suggesting a potential upside of 28.44% [8][9] - The company is undergoing a strategic redesign to expand into Class C motorhomes and the marine segment [10] Company Analysis: Camping World - Camping World reported a strong earnings quarter with a 9.4% revenue increase to $1.98 billion and a 50% increase in EPS year-over-year [11][12] - The stock is currently priced at $16.19 with a 12-month forecast of $21.78, indicating a potential upside of 34.48% [11][13] - Despite recent stock declines, sentiment is shifting positively, with a consensus Moderate Buy rating among analysts [13]

Core Viewpoint - Thor Industries is expected to reach new stock price highs by early 2026, with stable business and potential growth over the next 12 months, driven by a favorable market environment and demand for RVs and campers as interest rates decrease [3][10]. Financial Performance - Thor Industries reported a strong Q4, with revenue slightly contracting but exceeding MarketBeat's consensus by nearly 900 basis points, primarily due to growth in the North American Motorized segment [7]. - The company’s fiscal year 2025 balance sheet shows a 5% increase in equity, supported by asset growth and debt reduction [5]. - The dividend yield is approximately 2.25% annually, with the dividend running at about 45% of the earnings forecast, allowing for continued growth in distributions [4][6]. Market Outlook - Analysts have a 12-month stock price forecast of $100.00, indicating a potential downside of 5.63% from the current price of $105.97, with a high forecast of $120.00 and a low of $65.00 [8]. - Despite strong margins and profits on an adjusted basis, the company’s guidance is considered tepid, which may temper bullish analyst trends and lead to potential downgrades or price target reductions [9][10]. Investor Sentiment - Institutional investors own over 95% of the stock and have been buying on balance throughout the year, although the F2026 guidance may cause them to pause buying activity [11]. - The stock is currently in a near-term uptrend but faces strong resistance near the $120 level, which has historically acted as a price ceiling [12][13].