Recreational vehicle maker Thor Industries, Inc. (NYSE:THO) reported fiscal third-quarter 2026 results on Wednesday, posting earnings below Wall Street expectations while revenue topped estimates.

Thor Industries Misses Earnings Estimates Despite Revenue Beat

The company reported earnings of $1.86 per share, missing analysts’ consensus estimate of $1.98 per share. Revenue declined 3.9% year over year to $2.78 billion but exceeded expectations of $2.65 billion.

Gross profit fell 19.9% from a year earlier to $354.8 million. Gross margin contracted 250 basis points to 12.8%. Adjusted EBITDA fell 28% year over year to $183.6 million.

Thor ended the quarter with $371.9 million in cash and cash equivalents.

Towable RV Weakness Weighs On Results

North American Towable RV net sales fell 24.6% year over year as unit shipments declined 25%, reflecting weak retail demand and cautious ordering by independent dealers. The segment’s backlog stood at $386 million as of April 30, 2026.

Gross margin for the segment declined 470 basis points due to lower volumes, higher material costs and an unfavorable product mix.

North American Motorized RV net sales increased 7.7% year over year, supported by a 9.1% rise in shipments. The segment reported a backlog of $766 million. Gross margin declined 170 basis points because of higher material, warranty and overhead costs.

European RV net sales rose 11.8% year over year. Unit shipments increased 4.2%, while net price per unit rose 7.6%, including an 8.2% benefit from foreign exchange gains. The segment’s backlog totaled $1.36 billion. Gross margin declined 180 basis points due to higher material costs, a greater mix of lower-margin special-edition motorcaravans and higher warranty expenses.

Thor Industries Cuts Earnings Outlook

“Our results through the first three quarters of fiscal 2026 reflect the persistent macroeconomic pressures weighing on the broader RV market, including a challenged retail environment driven in large part by low consumer confidence, cautious independent dealer ordering patterns and ongoing tariff-related and inflationary cost dynamics that continue to negatively impact industry-wide performance,” said Todd Woelfer, senior vice president and chief operating officer.

Thor lowered its fiscal 2026 GAAP earnings outlook to a range of $3.30 to $3.80 per share from a prior range of $3.75 to $4.25 per share. The revised outlook is below the analyst consensus estimate of $4.07 per share.

The company maintained its fiscal 2026 revenue guidance of $9.0 billion to $9.5 billion. Analysts are expecting revenue of $9.53 billion.

Woelfer added, “Given the prolonged geopolitical and macroeconomic conditions and the resulting pressure on consumer confidence and retail demand, we believe it is prudent to revise portions of our full-year guidance. Despite this revision, we remain confident in our ability to execute through the remainder of fiscal 2026 and position THOR to outperform when market conditions stabilize.”

THO Price Action: Thor Industries shares were down 0.12% at $77.45 at the time of publication on Wednesday, according to Benzinga Pro data.

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