Thor Industries reported a profit against a loss in the fiscal first quarter ended September 30 as sales grew 11 percent, above plan.

Bob Martin, president and chief executive officer of Thor Industries, stated, “The quarter finished stronger than we expected, and we are excited about the impact of the actions we are taking to improve the strength of our business and control what we can control so that when the market rebounds we will bounce back stronger than ever. Our 2025 Open House event in September was another success and represented a marked improvement versus last year as I heard great dealer feedback on the new products on display, in particular the new Keystone Montana and Heartland Bighorn products. In addition, I just spent time with our customers at the RVDA Expo in Las Vegas in November and, while they have a near-term cautious tone around the state of the consumer, I have never felt more confident about the long-term health of the industry and our company.”

Todd Woelfer, senior vice president and chief operating officer, added, “The strong results across our North American operations were supported by key data initiatives that continue to empower our operating companies, enabling them to quickly respond to the market and meet consumer demand. At the 2025 Open House we announced the RV Partfinder platform and received strong support from our dealer partners. Our goal is to help address a point of friction in RV ownership, and we are confident that RV Partfinder is an important piece of the answer to that long-standing issue. In North America, we benefitted from the impact of a number of strategic initiatives as our Towable segment experienced improved margins on relatively flat sales while our Motorized segment and supply companies drove improvements on both the top and bottom lines. In Europe, EHG’s quarter was impacted by the typical August shutdown and a price aggressive marketplace. Additionally, EHG’s results included restructuring costs that will have a long-term benefit to EHG’s operating results. From an internal expectation standpoint, EHG’s profitability aligned to plan for the quarter and we expect a similar cadence for the remainder of our fiscal year as we saw last year from EHG,” added Woelfer.

“We are vigilantly monitoring the health of our business so that we can effectively manage risk and protect profitability in light of the fact that numerous indicators suggest that the consumer may be retrenching. We feel confident in our operating plan and our balance sheet, and we will not hesitate to queue up stock repurchases if the stock sells off on broader consumer concerns,” added Colleen Zuhl, senior vice president and chief financial officer.

First Quarter Financial Results
Thor’s consolidated results were primarily driven by the results of its individual reportable segments as noted below.


Net sales were flat as a favorable product mix offset a 14.0 percent decline in unit shipments as we aggressively managed channel inventory entering the winter months. The gross profit margin percentage in the first quarter of fiscal 2026 improved 80 basis points compared to the prior-year period, driven by lower warranty costs, lower overhead associated with the Heartland realignment and reduced promotional expenses, partially offset by higher material costs.

Net sales for the North American Motorized segment increased 30.9 percent in the first quarter of fiscal 2026 compared to the prior-year period, impacted by a 32.3 percent increase in unit shipments driven by a combination of new products in the premium segment of the market as well as an ongoing emphasis on targeting critical retail price points where consumer demand is currently concentrated, with the expectation that this will lead to market share gains. Dealer inventory is at an appropriate level heading into the winter months despite significant load-in of new products, which we anticipate will precede a stronger relative retail performance in the remainder of fiscal 2026. The gross profit margin percentage expanded 230 basis points compared to the prior-year period due to volume leverage, reduced promotional activity and lower warranty costs, which more than offset higher material costs.

European RV net sales for the first quarter of fiscal 2026 increased 8.4 percent compared to the prior-year period, driven by the combined impact of a 1.0 percent increase in unit shipments and a 7.4 percent increase in the overall net price per unit, which benefited from an increase in foreign exchange rates. The gross profit margin percentage fell 340 basis points compared to the prior-year period due to a higher mix of lower-margin special-edition motorcaravan products as well as increased promotional activity and warranty costs.

Fiscal 2026 Guidance
“The first quarter was better than expected, though we continue to see the balance of the year playing out the way we originally envisioned. Looking ahead, we are incrementally more convinced that our company-specific initiatives will gain traction throughout the fiscal year but acknowledge that there is a wide range of outcomes related to the health of the consumer as evidenced by consumer sentiment results. While the fiscal year has gotten off to a strong start, we are not going to get overly excited about offseason sell-in during such an uncertain time. Accordingly, if appropriate, we will update our outlook when we report second quarter results in March after we have more information to interpret.” commented Seth Woolf, head of corporate development & investor relations.

For fiscal 2026, the company’s full-year financial guidance includes:

  • Consolidated net sales in the range of $9.0 billion to $9.5 billion
  • Stable gross margin at midpoint, with upside in a stronger market
  • Diluted earnings per share in the range of $3.75 to $4.25
  • Guidance assumes a low- to mid-single digit retail decline in North America with stable market share
  • Does not incorporate a meaningful financial impact related to the Heartland realignment, Keystone model refresh or other restructuring initiatives
  • Assumes a normalized tax rate

Martin concluded by saying, “Year-to-date retail trends are running at the high end of our fiscal plan despite the fact that we are contending with unprecedented consumer uncertainty. There is no doubt that the government shutdown and constant tariff headlines have weighed on consumer confidence, but our products are dialed in and if we can get a modicum of macro stability, then I expect to see a strong show season.”

Image/Charts courtesy Thor Industries/Airstream