What is the revenue and EPS growth rate for Dorman year over year?

What factors drove the changes in Dorman's revenue and profit?

What guidance did Dorman's management provide for the next earnings period?

What is Dorman's gross profit margin?

What is Dorman's latest dividend and current dividend yield?

What does Dorman do and what are its main business segments?

What is the market's earnings forecast for Dorman next quarter?

What were the key takeaways from Dorman’s earnings call?

- **Revenue Growth**: 2025 net sales up 6% to $2.13B, with 7-9% 2026 guidance driven by new products and tariff pricing.
- **Strategic Wins**: Record new product sales ($2.5M fuel pump module), 30% China sourcing reduction, and SuperATV dealer expansion.
- **Margin Outlook**: 2026 operating margin 15-16%, improving to high teens, with $1.25 tariff impact on 2025 EPS.
- **Cash Position**: $648M liquidity, $391M net debt (0.89x leverage), resuming buybacks in Q4 2025.
- **Key Risks**: Tariff-related inventory costs in Q1-Q2 2026, heavy-duty market uncertainty.

**【CEO Summary Section】**
- **Revenue Growth**: 2025 net sales reached $2.13 billion, up 6% YoY, driven by strong demand in light-duty and successful tariff-related pricing. Q4 2025 net sales were $538 million, up 1% YoY, with POS growth in light-duty offsetting volume declines from a large customer.
- **Strategic Priorities**: 
  - **Innovation**: Record new product sales, including 2.5 million-unit fuel pump driver module for Toyota/Lexus. Complex electronics now highest proportion of R&D pipeline.
  - **Operational Excellence**: Automation in distribution centers improved service levels and efficiency.
  - **Supply Chain**: Reduced China sourcing to 30% of total spend in 2026, down from 40% in 2025.
  - **Channel Expansion**: Wins in heavy-duty and specialty vehicle segments, including SuperATV dealer network expansion.
- **2026 Guidance**: 
  - Net sales growth 7-9%, driven by new product (mid-single-digit POS growth) and pricing (tariff pass-through). 
  - Operating margin 15-16% for the year, improving to high teens by end of 2026.
  - Adjusted EPS $8.10-$8.50, reflecting $1.25 impact from 2025 tariffs.

**【CFO Financial Commentary】**
- **2025 Financials**: 
  - GAAP net income $192 million, Non-GAAP EPS $8.87 (up 24% YoY). 
  - Operating cash flow $42 million in Q4, free cash flow $76 million for the year (down 51% YoY due to tariffs). 
  - Ended 2025 with $648 million liquidity, net debt $391 million (0.89x net leverage).
- **2026 Outlook**: 
  - Operating margin temporarily reduced in Q1 due to higher-cost tariff inventory, but improving sequentially. 
  - Free cash flow expected to normalize in second half of 2026.

**【Q&A Highlights】**
- **Light-Duty Growth**: Mid-single-digit POS growth in Q4, with normalization of customer order patterns by Q2 2026. New product pipeline supports 7-9% sales growth.
- **Margin Dynamics**: 2025 tariffs added $1.25 to EPS, but 2026 will see margin compression in Q1-Q2 from higher-cost inventory. FIFO lag expected to resolve by end of 2026.
- **M&A Strategy**: Focus on tuck-in acquisitions in underserved geographies, balanced with share buybacks (resumed in Q4 2025 with $25M repurchases).
- **Complex Electronics**: Higher ASPs and gross margins compared to mechanical parts, with 15+ years of OE-level engineering expertise giving competitive advantage.

Dorman Products, Inc.(DORM)-20260226-2025 Q4 Earnings call transcript

- **Revenue Beat**: Q3 net sales $544M (+7.9% YoY), driven by tariff pricing and mid-single-digit POS growth. Light Duty up 9%, Heavy Duty 6%.
- **Margin Strength**: Operating margin 20.5% (+340 bps), gross margin 44.4% (+390 bps). Q4 margin warning due to tariff costs.
- **EPS Growth**: $2.62 EPS (+34%), with 2025 guidance $8.60-$8.90 EPS (+21-25%).
- **Supply Chain Shift**: China supply reduced to 30-40%, diversification supporting long-term margin targets.
- **M&A Opportunity**: Strong balance sheet ($654M liquidity) enables strategic acquisitions in fragmented markets.

**【CEO Summary Section】**
- **Revenue Growth**: Consolidated net sales of $544 million, up 7.9% YoY, driven by tariff-related pricing and mid-single-digit POS growth. Light Duty segment grew 9%, Heavy Duty 6%, and Specialty Vehicle was flat.
- **Margin Expansion**: Adjusted operating margin improved 340 bps to 20.5%, with gross margin up 390 bps to 44.4%. Q4 gross margin expected to decline due to higher tariff costs in inventory.
- **Earnings**: Adjusted EPS of $2.62, up 34% YoY. Operating cash flow $12 million, free cash flow $2 million, impacted by tariffs.
- **Segment Highlights**: Light Duty benefited from new products like electronic power steering racks. Heavy Duty saw net sales growth but flat margins. Specialty Vehicle maintained strong UTV/ATV ridership despite market challenges.

**【CFO Financial Commentary】**
- **Financial Performance**: Net sales growth 7.9%, driven by pricing and diversification. Adjusted operating income $111 million, up 30%. Tax rate expected 23.5% for the year.
- **Supply Chain**: China supply reduced to 30-40%, with U.S. and rest-of-world diversification. Free cash flow expected to rebound post-Q4 tariff impact.
- **Guidance**: 2025 net sales growth 7-9%, EPS $8.60-$8.90 (21-25% growth). Q4 gross margin warning due to tariff pass-through timing.

**【Q&A Highlights】**
- **Elasticity**: DIFM (nondiscretionary) parts show inelastic demand, while DIY faces headwinds. Dorman's portfolio focus on DIFM supports margin resilience.
- **Margin Outlook**: Q4 margin compression expected, but long-term targets (mid-teens Heavy Duty, high-teens Specialty) remain intact.
- **M&A**: Active pipeline across segments, with balance sheet strength ($654M liquidity) supporting strategic acquisitions.
- **Tariff Strategy**: Diversification and supplier negotiations mitigate risk, with 30-40% China exposure by year-end.

Dorman Products, Inc. (DORM) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: 8% YoY to $541M, driven by 10% light-duty expansion and new product launches. EPS up 23% to $2.06.
- **Margin Expansion**: Operating margin 16.3% (up 70 bps), gross margin 40.6% (up 100 bps) from cost savings and product mix.
- **Tariff Mitigation**: Surgical price increases offset $40M in tariffs, with Q3 gross margin boost expected. Liquidity at $656M supports resilience.
- **Segment Outlook**: Light-duty poised for sustained growth; heavy-duty cautious but improving; specialty vehicle expects recovery with economic stabilization.

**【CEO Summary Section】**
- **Q2 2025 Results**: Consolidated net sales grew 8% YoY to $541 million, driven by 10% growth in the light-duty segment. Adjusted operating margin expanded 70 bps to 16.3%, with adjusted EPS up 23% to $2.06.
- **Tariff Mitigation**: Implemented multifaceted strategy including supplier diversification, cost savings, and surgical price increases effective Q3. Guidance updated to 7-9% net sales growth and $8.60-$8.90 EPS, up from prior 3-5% and $7.55-$7.85.
- **Segment Outlook**: Light-duty benefits from aging vehicles (12.8 years avg age) and new products; heavy-duty cautious amid trucking sector uncertainty; specialty vehicle expects recovery with economic stabilization.

**【CFO Financial Commentary】**
- **Gross Margin**: 40.6% (up 100 bps YoY) driven by new products and cost initiatives. SG&A as % of sales rose 30 bps to 24.3%, reflecting investments in customer experience.
- **Segment Performance**: Light-duty operating margin 18.5% (up 140 bps); heavy-duty 1% growth vs. 80 bps margin; specialty vehicle down 3% but strong engagement in UTV/ATV markets.
- **Cash Flow**: Q2 operating cash flow $9M (vs. $63M YoY) due to tariff costs and inventory build. Free cash flow positive, with $656M liquidity supporting resilience.

**【Q&A Key Highlights】**
- **Heavy-Duty Margins**: Incremental margins >50% per dollar of sales recovery; normalized margins ~mid-teens. Current 1% growth reflects new business wins amid soft market.
- **Tariff Impact**: Light-duty least affected due to diversified supply chain; heavy-duty and specialty vehicle exposure offset by U.S. manufacturing. Surgical price increases implemented Q3 to offset costs.
- **Light-Duty Dynamics**: POS growth in line with sell-in, no significant overstocking. New products (e.g., OE flaw fixes) drive higher margins, with pipeline as strong as ever.
- **Capital Allocation**: Prioritize debt management, internal investments, M&A, and share buybacks. Long-term strategy unchanged despite near-term tariff challenges.

Dorman Products, Inc. (DORM) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: 8% YoY sales growth to $508M, driven by light duty segment and new products.
- **Margin Expansion**: 310 bps operating margin improvement to 17%, with light duty margin up 380 bps.
- **Tariff Mitigation**: 30-40% China sourcing, 30% U.S. manufacturing, and diversified supply chain reduce risk.
- **Financial Strength**: $660M liquidity and 1.01x net leverage enable tariff cost absorption.
- **Guidance Reaffirmed**: 2025 sales growth 3-5%, EPS $7.55-$7.85.

**【CEO Summary Section】**
- Q1 2025 net sales grew 8% YoY to $508 million, driven by strong demand in light duty segment and new product launches.
- Adjusted operating margin expanded 310 bps to 17%, with light duty segment operating margin up 380 bps to 19.9%.
- Free cash flow of $40 million used to repay $20 million debt and repurchase $12 million in shares.
- Tariff mitigation strategy includes 30-40% China sourcing, 30% U.S. manufacturing, and diversified global supply chain.
- Nondiscretionary product portfolio resilient to economic uncertainty; 2025 guidance reaffirmed at 3-5% sales growth and $7.55-$7.85 EPS.

**【CFO Financial Commentary】**
- Adjusted gross margin improved 220 bps to 40.9%, driven by new product mix, supplier diversification, and automation initiatives.
- SG&A expenses as % of sales declined 100 bps to 23.9%, reflecting operational efficiency gains.
- Heavy duty segment sales down 11% YoY due to freight market softness, but specialty vehicle ridership remains healthy.
- Net debt reduced to $402 million, with liquidity at $660 million, enabling tariff-related inventory cost absorption.

**【Q&A Key Takeaways】**
- **Tariff Impact**: 30-40% of products sourced from China, but diversified supply chain (30% U.S., rest global) mitigates risk. Tariffs may take 6+ months to flow through inventory.
- **Customer Behavior**: No evidence of pre-tariff buying; focus on nondiscretionary parts limits demand elasticity.
- **Competitive Position**: Lower China exposure (vs. 70%+ in 2018) and U.S. manufacturing scale provide competitive advantage.
- **New Product Contribution**: Outperforms market growth, with light duty POS up high single digits vs. low teens sell-in growth.
- **Financial Resilience**: 1.01x net leverage ratio and $660M liquidity provide flexibility to manage tariff-related costs.

Dorman Products (DORM)-6 May 25-2025 Q1 Earnings call transcript

- **Record Performance**: 2024 sales surpass $2.0 billion, Q4 sales up 8% YoY to $534 million, with light-duty leading at 11% growth.
- **Profitability Boost**: Q4 adjusted EPS of $2.20 (+40% YoY), free cash flow of $63 million, and net debt reduced by $54 million.
- **Strategic Focus**: Innovation in complex electronics, supply chain diversification, and M&A pipeline support 2025 growth targets of 3-5% sales and 6-10% EPS expansion.
- **Risk Management**: Tariff exposure mitigated via 30% U.S. sourcing; heavy-duty market recovery expected to benefit from new product pipeline.
- **Balance Sheet Strength**: Net leverage at 1.12x, $500M share buyback program active, and $642 million liquidity for strategic investments.

**【CEO Summary Section】**
- Achieved record annual sales of $2.0 billion in 2024, driven by 4.1% YoY growth, with light-duty segment leading at 11% Q4 sales growth.
- Introduced new leadership structure with Tayfun Uner as Head of Light Duty, enhancing segment focus and strategic alignment.
- Q4 consolidated net sales reached $534 million (+8% YoY), with adjusted operating margin expanding 210bps to 17.5%.
- Heavy-duty segment faced market challenges but maintained R&D investment for future recovery, while specialty vehicle saw 5% YoY growth from new products and channel expansion.

**【CFO Financial Commentary】**
- Q4 adjusted diluted EPS of $2.20 (+40% YoY), driven by margin expansion and debt repayment of $54 million.
- Free cash flow of $63 million (+30% YoY) supported balance sheet strength, with net debt reduced to $426 million (1.12x net leverage).
- 2025 guidance: 3-5% net sales growth, with light-duty leading and flattish heavy-duty sales; EPS target of $7.55-$7.85 (+6-10% YoY).
- Tariff exposure managed through diversified supply chain (30% U.S., 30-40% China, minimal Canada/Mexico sourcing).

**【Q&A Highlights】**
- **Tariffs & Supply Chain**: 30% U.S. sourcing and 30-40% China diversification mitigate tariff risks; FIFO accounting delays margin impact by 6 months.
- **Heavy-Duty Strategy**: Focused on new product launches (+50% in 2024) and productivity initiatives to improve margins despite market softness.
- **M&A Pipeline**: Robust opportunities across segments, with activity expected to resume post-trade clarity; $500M share buyback program remains active.
- **Specialty Vehicle**: Non-discretionary repair parts drive growth, with 2025 modest sales increase expected despite new machine sales headwinds.
- **Light-Duty Margin**: Complex electronics products deliver high margins due to new-to-market exclusivity, outpacing overall segment growth.

Actual											0.66	0.47	1.14	1.19	1.04	1.1	1.18	1.33	1.29	1.29	1.17	1.01	0.56	1.01	1.4	1.57	1.31	1.67	1.96	2.2	2.02	2.06	2.62	2.17
Forecast											0.644	0.43	0.825	0.9175	1.0425	1.0425	1.215	1.352	1.2133	1.3075	1.1475	1.0487	0.8325	1.0759	1.5925	1.4067	0.8233	1.1867	1.5275	1.9675	1.455	1.7975	2.5029	2.12
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	+2.48%	+9.30%	+38.18%	+29.70%	-0.24%	+5.52%	-2.88%	-1.63%	+6.32%	-1.34%	+1.96%	-3.69%	-32.73%	-6.13%	-12.09%	+11.61%	+59.12%	+40.73%	+28.31%	+11.82%	+38.83%	+14.60%	+4.68%	+2.36%

DORM

DORM fundamentals

DORM Q4 2025 Earnings

Earnings Call

You can ask Aime

DORM

DORM fundamentals

DORM Q4 2025 Earnings

Earnings Call

DORM Earnings Call Summary for Q4/20258:00 AM on Feb 26, 2026

DORM Earnings Call Summary for Q3/20258:00 AM on Oct 28, 2025

DORM Earnings Call Summary for Q2/20258:00 AM on Aug 5, 2025

DORM Earnings Call Summary for Q1/20258:00 AM on May 6, 2025

DORM Earnings Call Summary for Q4/20248:00 AM on Feb 27, 2025

You can ask Aime