Financial Data and Key Metrics Changes - The company reported a consolidated net sales increase of 16% year-over-year, reaching $933 million in Q4 2025 [24] - Operating profit margin improved by 180 basis points to 3.8%, with a full-year operating margin of 6.8%, an increase of 100 basis points year-over-year [26][18] - Adjusted EBITDA grew approximately 53% to $70 million, reflecting a margin of 7.5% [28] Business Line Data and Key Metrics Changes - OEM net sales grew 18% to $737 million, with RV OEM revenue increasing by 17% [5][24] - Other OEM markets, including transportation and marine, saw a 21% year-over-year net sales growth to $297 million [6][24] - Aftermarket net sales expanded 8% year-over-year to $196 million, driven by product innovations and increased demand [11][26] Market Data and Key Metrics Changes - The company expects RV wholesale shipments to range between 335,000 and 350,000 units in 2026, with the boat industry anticipated to remain flat to low single digits [7][31] - The transportation market is expected to be flat, while housing industry growth is projected in the low single digits [31] Company Strategy and Development Direction - The company aims to expand market share across all OEM markets and focuses on innovation, having achieved a 67% increase in total content since 2020 [8][10] - Plans include consolidating 8-10 facilities in 2026 and evaluating divestitures of lower-margin businesses [19][32] - The company is committed to maintaining a disciplined capital allocation strategy, including investments in innovation and returning capital to shareholders [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's competitive position entering 2026, citing strong operational execution and market share gains [23][32] - The company anticipates continued growth in the aftermarket due to a significant number of RVs entering the repair cycle [12][68] - Management noted that while the industry outlook is cautious, there are signs of recovery, with retail traffic being decent [76][87] Other Important Information - The company ended 2025 with cash and cash equivalents of $223 million, up from $166 million at the beginning of the year [29] - The company returned $243 million to shareholders in 2025, including $114 million in dividends and $129 million through share repurchases [21][30] Q&A Session Summary Question: Sensitivity of 2026 outlook to potential rate cuts - Management indicated that the 2026 revenue range does not factor in potential rate cuts, focusing instead on market share gains [35] Question: Bridging the difference between 2026 guidance and normal run rate - Management expects a slow recovery from the current cycle, with a normalized range of 375,000 to 415,000 units in the near term [36][38] Question: Retail activity and dealer performance - Management noted that larger dealers are performing decently, while smaller and mid-sized dealers are struggling, impacting overall market dynamics [45][46] Question: Aftermarket performance and profitability - Management acknowledged headwinds in the automotive aftermarket due to pricing cycles but remains optimistic about growth in the RV aftermarket [52][53] Question: First quarter outlook and margin expectations - Management expects first quarter performance to be similar to the previous year, with gradual improvement in margins throughout the year [64][65] Question: Aftermarket opportunities and repair cycles - Management highlighted the significant number of RVs entering the repair cycle, which will drive aftermarket growth [68][69] Question: Affordability in the RV industry - Management discussed pricing pressures and strategies to manage ASPs while addressing rising material costs [94][96]