Latham Group's Q3 sales rise; narrows FY sales forecast
SWIM•Latham Group's Q3 sales rose 12.5% to $182.18 million, slightly beating estimates, and it narrowed its FY 2026 net sales guidance to $605 million-$615 million. The company also approved a three-year, $100 million share buyback program.
1. Quarterly results
Latham Group reported Q3 sales of $182.18 million, up 12.5% and slightly above the $181.62 million analyst consensus. Adjusted EBITDA was $45.25 million, also a slight beat, while net income was $12.06 million and EPS was $0.10.
2. Outlook and buyback
The company narrowed its FY 2026 net sales guidance to $605 million-$615 million from $600 million-$620 million, and its adjusted EBITDA outlook to $112 million-$118 million from $110 million-$120 million. It approved a three-year, $100 million share buyback program.
3. Sales and margins
Q3 in-ground pool sales rose 22.6%, driven mainly by increased demand for fiberglass pools. Sand State sales in Florida and Texas rose 21%. Gross margin expanded 130 basis points to 36.7%, which the company attributed to higher volumes and lean manufacturing and value engineering initiatives.
