Thor Industries Inc (THO) Q1 2025 Earnings Report

Thor Industries delivered a QQ1 2025 results print characterized by a material revenue decline and a small net loss, notwithstanding a positive EBITDA and robust cash position. Revenue stood at $2.143 billion, down 14.3% year over year and 15.4% quarter over quarter, as the RV market continued to exhibit sequential and cyclicality-driven softness. Gross margins remained modest at about 13.1%, while operating income and EBITDA showed resilience relative to the revenue base, delivering an operating margin of roughly 1.92% and EBITDA margin near 3.81%. The quarter was materially affected by sizable other expenses totaling about $42.4 million, contributing to a net loss of $1.83 million and an EPS of -$0.0346. Despite the near-term earnings headwinds, Thor maintains a solid balance sheet with a net cash position of approximately $413 million and a cash balance of about $445 million, providing ample liquidity to weather a cyclical downturn and fund selective investments.

From a cash-flow perspective, operating cash flow was $30.7 million, capex was $25.3 million, yielding free cash flow of around $5.5 million. Net cash used in financing activities was $64.6 million, and the company ended the period with a cash balance of $445.2 million and a net cash position of about $413.0 million. The strong liquidity and minimal leverage, combined with a diversified RV product mix and a global dealer network, position Thor to navigate a softer demand environment while pursuing opportunities in aftermarket services and digital offerings. Near-term profitability hinges on normalization of other expenses and stabilization of dealer demand; the longer-term thesis remains intact if volumes recover and cost structure remains disciplined.