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

What were the key takeaways from Latham Group’s earnings call?

Did Latham Group beat or miss consensus estimates last quarter?

What were the key takeaways from Latham Group's earnings call?

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

What does Latham Group do and what are its main business segments?

What is Latham Group's gross profit margin?

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

- **Revenue & Profit Growth**: 7.6% net sales increase, 28.5% EBITDA rise to $38.3 million, driven by fiberglass pools (75% of sales) and Coverstar synergies.
- **Margin Expansion**: Gross margin +300bps to 35.4%, EBITDA margin +390bps to 23.7%, fueled by lean manufacturing and Measure tool efficiency.
- **Strategic Wins**: Florida sales up high single-digits, 24% fiberglass market share, and $71M cash for M&A/expansion.
- **Tariff Resilience**: $10M annual tariff mitigation via price increases and supply chain diversification.

**【CEO Summary Section】**
- **Revenue Growth**: Net sales increased 7.6% YoY to $162 million, driven by organic growth and strategic initiatives. Adjusted EBITDA rose $8.5 million (28.5%) to $38.3 million.
- **Product Line Performance**: All three product lines (in-ground pools, covers, liners) saw YoY growth. Fiberglass pools accounted for 75% of full-year 2025 in-ground sales, with 24% market share.
- **Margin Expansion**: Gross margin improved 300bps to 35.4%, EBITDA margin increased 390bps to 23.7%, due to lean manufacturing and Coverstar synergies.
- **Strategic Initiatives**: Measure Pro tool reduced quoting time by 80%, driving 13% liner sales growth. Florida sales up high single-digits, with partnerships in sand states.

**【CFO Financial Commentary】**
- **Financial Health**: Cash reserves of $71 million, net debt leverage 2.3x (targeting 2.0x by year-end). Operating cash flow $51 million Q3, $40 million YTD.
- **Guidance Update**: Narrowed 2025 net sales to $540-$550 million (7% growth), EBITDA $92-$98 million (19% growth). CapEx revised to $22-$24 million.
- **Tariff Mitigation**: Implemented June 2025 price increase covering $10 million annual tariff impact. Supply chain diversification maintained margins.

**【Q&A Highlights】**
- **Florida Market**: Dealer conversions and MPC partnerships driving high single-digit growth. Fiberglass adoption accelerating due to labor efficiency (6x faster install vs. concrete).
- **Tariff Strategy**: Dynamic mitigation via supplier diversification. Annual price increase cadence expected to resume post-tariff normalization.
- **Capital Allocation**: 2.0x leverage target; $71 million cash for M&A (e.g., Coverstar) and sand states expansion.
- **2026 Outlook**: Dealer backlogs suggest flat to +2% pool starts. Measure Go app expansion to 15,000 dealers via iPhone LiDAR.

SWIM

SWIM fundamentals

You can ask Aime