Thule Group (THULE) Pre-close call summary

Executive summary

• Q4 2025 showed sequential improvement with sales reaching SEK 1,835m, up 20% year-over-year excluding currency effects, mainly from acquisitions, while organic growth was flat but better than Q3.

• The RV market in Europe is recovering, with growth in both aftermarket and OE channels for the first time in two years.

• Entering 2026 with upgraded product lines, expanded digital presence, and efficiency initiatives to lower costs.

• Two strategic themes for 2026: building champion categories and driving efficiency gains and scale effects.

• Growth was driven by new products and categories, including the acquired Quad Lock.

Trading performance and revenue trends

• Q4 2025 organic growth was flat, but reported growth was 9% due to new product launches and acquisitions.

• Full-year 2025 sales were SEK 10,429m, a 14% increase versus prior year excluding currency effects, with organic growth at -1%.

• Cautious consumer and retailer sentiment persisted, especially in North America.

• Quad Lock, the largest acquired category, grew 15% last year and continues to perform well.

• Modest price increases of 1%-2% implemented for 2026, with no further hikes currently planned.

Profitability and margins

• Adjusted EBIT margin increased to 4.5% in Q4 2025, up from 3.8% the previous year.

• Full-year adjusted EBIT margin was 16.0%, slightly down from 17.0% in the prior year.

• Gross margin reached an all-time high of 46.0%.

• EBIT margin improved in Q4 and is expected to improve further in Q1 2026 due to cost reductions and stable gross margin.

• Entry-level products have similar profitability to premium products due to shared components and manufacturing lines.