LCI Industries reported fourth quarter and full year 2025 results.
Fourth Quarter 2025 Highlights Versus Fourth Quarter 2024
- Net sales increased 16% to $933 million, driven primarily by organic growth in RV OEM
- Operating profit margin expanded 180 bps to 3.8% from 2.0%
- Net income increased 96% to $19 million, or 2% of net sales
- Diluted earnings per share more than doubled to $0.77 from $0.37
- Adjusted net income of $22 million; adjusted diluted EPS increased 138% to $0.89 from $0.37
- Adjusted EBITDA increased 53% to $70 million, or 7.5% of net sales
- Towable RV content per unit up 11% to $5,670
Full Year 2025 Highlights Versus Full Year 2024
- Net sales increased 10% to $4.1 billion
- Operating profit margin expanded 100 bps to 6.8%
- Net income increased 32% to $188 million, or 4.6% of net sales
- Diluted earnings per share increased 35% to $7.57 from $5.60
- Adjusted net income of $185 million; adjusted diluted EPS increased 33% to $7.46 from $5.60
- Adjusted EBITDA increased 19% to $408 million, or 10% of net sales
“We delivered a very strong 2025 with our strategic execution delivering results that validate our multi-year investment in operational excellence and diversification. Despite a difficult wholesale environment in the fourth quarter, our team’s relentless focus on innovation, efficiency, and market expansion contributed to a strong fourth quarter performance. This included 16% revenue growth and operating profit that more than doubled, capping off a year of accomplishments that has positioned us well as we look to the future,” said Jason Lippert, president and CEO. “The foundation we’ve built through our competitive moat — combining our scale, deep industry expertise, enhanced technology, and an extremely talented team — positions us to capture significant growth opportunities across our multiple end markets. With our towable content per unit increasing 67% since 2020, a robust aftermarket business touching nearly every RV on the road, and gaining meaningful traction in our other OEM markets, we enter 2026 in a strong competitive position, poised to deliver operating margin expansion and exceptional shareholder value creation.”
Fourth Quarter 2025 Results
Consolidated net sales increased 16.1% to $932.7 million in the fourth quarter of 2025, up from $803.1 million in the same period of 2024. The $129.6 million increase was primarily driven by a $115.0 million increase in the OEM Segment, reflecting sales price increases due to higher material costs, sales from acquired businesses during the year ($40.1 million in the fourth quarter), and strong North American RV sales from market share gains and a higher mix of premium fifth-wheel units.
Net income was up 96% to $18.7 million, or $0.77 per diluted share, compared to $9.5 million, or $0.37 per diluted share, in the fourth quarter of 2024. Adjusted net income, which excludes restructuring costs, net of tax effect, more than doubled to $21.6 million, or $0.89 per diluted share, compared to $9.5 million, or $0.37 per diluted share. Adjusted EBITDA increased 53% to $70.1 million, compared to $45.8 million in the fourth quarter of 2024. Operating profit margin was 3.8% in the fourth quarter of 2025 compared to 2.0% in the same period of 2024. The year-over-year margin expansion primarily benefitted from reduced costs from materials sourcing strategies and increased North American RV sales volume related to an increased sales mix of higher content fifth-wheel units and market share gains, partially offset by $3.9 million of restructuring costs related to the closure of the Company’s glass operations in Ireland.
*Additional information regarding adjusted net income and adjusted EBITDA used throughout this release, as well as reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measure of net income, is provided in the “Supplementary Information – Reconciliation of Non-GAAP Measures” section below.
Full Year 2025 Results
Consolidated net sales increased 10% to $4.1 billion for the full year 2025, up from $3.7 billion in 2024. The $380.8 million increase was primarily driven by contributions from acquired businesses during the year ($124.5 million), sales price increases due to higher material costs, and higher North American RV sales driven by an increased mix of higher content fifth-wheel units, market share gains and a modest increase in total North American RV wholesale shipments.
Net income for the full year 2025 was up 32% to $188.3 million, or $7.57 per diluted share, compared to net income of $142.9 million, or $5.60 per diluted share, for the full year 2024. Adjusted net income increased to $185.4 million, or $7.46 per diluted share, from $142.9 million, or $5.60 per diluted share, and excludes loss on extinguishment of debt, gain on sale of real estate, restructuring costs, and executive separation costs, net of tax effect. Adjusted EBITDA for the year ended December 31, 2025 increased 19% to $408.2 million, compared to $343.9 million for the full year 2024. Operating profit margin was 6.8% for the full year 2025 compared to 5.8% in 2024. The margin expansion primarily benefitted from reduced costs from materials sourcing strategies and leveraging of fixed expenses over higher North American RV sales volumes related to an increased sales mix of higher content fifth-wheel units, market share gains, and a modest increase in RV wholesale shipments.
OEM Segment – Fourth Quarter Performance
OEM net sales increased $115.0 million, or 18%, to $736.5 million for the fourth quarter of 2025, compared to the same period of 2024. RV OEM net sales increased 17% to $440.0 million, primarily driven by sales price increases related to higher material costs, an increase in RV sales mix toward higher content fifth-wheel units, and market share gains. Adjacent Industries OEM net sales increased 21% year-over-year to $296.5 million, driven primarily by sales from acquired businesses and higher sales to North American marine and utility trailer OEMs.
Operating profit of the OEM Segment was $26.9 million in the fourth quarter of 2025, or 3.7% of net sales, compared to $1.9 million, or 0.3% of net sales, in the same period in 2024. The operating profit margin expansion of the OEM Segment was primarily driven by increases in selling prices for targeted products, primarily related to increased material costs, reduced costs from material sourcing strategies, and improved fixed cost absorption, partially offset by higher material costs on the expense side, which were impacted by tariffs and higher steel, aluminum, and freight costs, and restructuring costs related to the closure of the Company’s glass operations in Ireland.
Aftermarket Segment – Fourth Quarter Performance
Aftermarket net sales increased 8% to $196.2 million for the fourth quarter of 2025, compared to the same period of 2024. The increase was primarily driven by product innovations, increased demand for our upgrade and service parts as more units enter the upgrade and repair cycle within the RV aftermarket, and sales price increases related to higher material costs, partially offset by lower volumes within the automotive aftermarket. Operating profit of the Aftermarket Segment was $8.5 million, or 4.3% of net sales, compared to $14.3 million, or 7.9% of net sales, in the same period of 2024. The operating profit margin change was primarily driven by higher material costs related to tariffs and higher steel, aluminum, and freight costs, increases in sales mix toward lower margin products, and investments in capacity, distribution and logistics technology to support the growth of the Aftermarket Segment, partially offset by increases in selling prices for targeted products, primarily related to increased material costs, and reduced costs from material sourcing strategies.
