10-Q · June 3, 2026
THOR Industries reported Q3 2026 revenue of $2.78 billion, down 3.9% year-over-year, with gross margin declining to 12.8% and operating margin at 4.8%. EPS fell to 1.06, reflecting ongoing challenges in the North…
Earnings analysis · 10-K
THO earnings analysis
Filed September 22, 2026 · Our reading of the company's report
The latest report
THOR retained substantial competitive scale and market share, with strong fiscal 2026 growth in European and North American Motorized products and an 8.0% increase in backlog. However, flat revenue masked a materially…
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THOR retained substantial competitive scale and market share, with strong fiscal 2026 growth in European and North American Motorized products and an 8.0% increase in backlog. However, flat revenue masked a materially weaker earnings trajectory: diluted EPS fell 30.2% year over year, gross margin declined to 12.6%, and operating cash flow dropped 44.4% to $321.223 million. Near-term conditions remain challenging because North American retail demand is down, tariffs are pressuring margins, and management expects industry pressure to persist through the remainder of calendar 2026 and potentially beyond.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $3.38
- Gross margin
- 12.6%
What stood out
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Leading RV market positions
THOR describes itself as the world's largest RV manufacturer by units sold and revenue. Its six-month North American market share was approximately 36.8% in combined travel trailers and fifth wheels and 49.8% in motorhomes; EHG held approximately 27.0% share in European motorcaravans and campervans and 16.6% in caravans.
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Expanding integrated RV ecosystem
The strategy centers on innovation, quality, operating efficiency, customer service and strategic acquisitions. The July 1, 2026 Roadpass Digital transaction gave THOR full control of the business, with $93.987 million of consideration and fair value of the previously held interest, to integrate RV and travel-related digital services under Airxcel.
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Revenue held flat as profitability declined
Fiscal 2026 revenue was $9.608 billion versus $9.579 billion in fiscal 2025 and $10.043 billion in fiscal 2024, but diluted EPS declined to $3.38 from $4.84 and $4.94. Gross margin fell to 12.6% from 14.0% and 14.5%, respectively, reflecting lower-margin mix and higher material costs.
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Europe and motorized drive mix
European and North American Motorized products were the principal growth areas: European revenue increased 9.0% to $3.297 billion and North American Motorized revenue increased 12.8% to $2.455 billion. North American Towable revenue fell 16.1% to $3.177 billion, while its unit shipments declined 20.7% to 95,045.
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Backlog provides selective support
Backlog improved 8.0% to $3.299 billion at July 31, 2026, including an 8.4% increase in Europe to $1.654 billion and a 74.6% increase in North American Towable backlog to $916.584 million. This was partly offset by a 27.5% decline in North American Motorized backlog to $728.206 million.
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Balanced capital allocation
Capital allocation remained shareholder-friendly but cash generation weakened. Operating cash flow was $321.223 million versus $577.923 million in fiscal 2025; the company spent $152.387 million on capital expenditures, paid $108.765 million in dividends, repurchased $115.126 million of stock, and reduced term-loan debt by $56.264 million.
What to watch
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Weak demand and tariff pressure
Demand remains exposed to the discretionary and interest-rate cycle: North American retail registrations fell 14.8% to 159,030 units in the six months ended June 30, 2026, while RVIA forecast calendar 2026 wholesale shipments of approximately 314,000 units, down 8.2%. Management also states tariffs, inflation, interest rates and the Iran conflict are expected to negatively affect the remainder of calendar 2026 and potentially beyond; the company did not fully pass through tariff-related cost increases in fiscal 2026, pressuring margins.
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Dealer and supplier concentration
Supplier and channel concentration could amplify an industry downturn. FreedomRoads accounted for approximately 13% of fiscal 2026 consolidated sales and trade receivables, while standby dealer-repurchase obligations totaled $3.316 billion; additionally, Patrick Industries and LCI Industries announced a proposed merger in June 2026 that could further concentrate key-component supply.
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Goodwill impairment sensitivity
Goodwill and valuation sensitivity increased as operating results weakened. THOR carried $1.916 billion of goodwill at July 31, 2026, including $464 million assigned to Airxcel; approximately 80% of consolidated goodwill was in reporting units whose fair value exceeded carrying value by less than 25%, making future impairment sensitive to demand, margins, interest rates and discount-rate assumptions.
Management's outlook
The 10-K provides no company-level revenue or EPS guidance. Management expects North American demand to remain negatively affected through the remainder of calendar 2026 and potentially beyond; it expects relatively stable near-term European market volume but continued pressure on net sales prices and gross margins. The company cites the RVIA calendar 2026 industry forecast of approximately 314,000 North American wholesale units, down 8.2%, with a range of approximately 300,000 to 328,100 units.
Earlier filings 4
10-K · September 24, 2024
THOR describes itself as the largest RV manufacturer in North America and a leading RV manufacturer in Europe, operating multiple well-known brands across three reportable segments. Fiscal 2024 revenue was $10,043,408…
10-Q · June 5, 2024
THOR Industries reported Q3 net sales of $2,801,113 (thousands), down $127,707 or 4.4% versus the prior-year quarter, with consolidated gross margin improving slightly to 15.1% and diluted EPS of $2.13 (beat consensus).…
10-Q · March 6, 2024
THOR reported consolidated net sales of $2,207,369,000 for the quarter ended January 31, 2024, down $139,266,000 or 5.9% versus the prior-year quarter. North American RV sales fell 17.0% to $1,301,392,000 while European…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.