Latham Group Inc
NASDAQ:SWIM
Latham Group Inc
Latham Group, Inc. operates as a designer, manufacturer and marketer of in-ground residential swimming pools in North America, Australia and New Zealand. The company is headquartered in Latham, New York and currently employs 2,388 full-time employees. The company went IPO on 2021-04-23. The firm is principally engaged in designing, manufacturing and marketing of in-ground residential swimming pools in North America, Australia and New Zealand. The company offers a portfolio of pools and related products, including in-ground swimming pools, pool liners and pool covers. The firm manufactures fiberglass pools by applying various layers of materials onto a mold. The company has a broad and diverse mold portfolio designed to meet customer needs. The company also manufactures custom vinyl pools. The firm manufactures a complete line of both sonically and heat welded vinyl pool liners for both above and in-ground swimming pool applications. Its automatic safety covers manufacturing facilities cut, sew and assemble motorized safety covers. The firm also supports dealer network with business development tools, co-branded marketing programs and in-house training services, as well as a coast-to-coast operations platform in approximately 30 facilities.
Latham Group, Inc. operates as a designer, manufacturer and marketer of in-ground residential swimming pools in North America, Australia and New Zealand. The company is headquartered in Latham, New York and currently employs 2,388 full-time employees. The company went IPO on 2021-04-23. The firm is principally engaged in designing, manufacturing and marketing of in-ground residential swimming pools in North America, Australia and New Zealand. The company offers a portfolio of pools and related products, including in-ground swimming pools, pool liners and pool covers. The firm manufactures fiberglass pools by applying various layers of materials onto a mold. The company has a broad and diverse mold portfolio designed to meet customer needs. The company also manufactures custom vinyl pools. The firm manufactures a complete line of both sonically and heat welded vinyl pool liners for both above and in-ground swimming pool applications. Its automatic safety covers manufacturing facilities cut, sew and assemble motorized safety covers. The firm also supports dealer network with business development tools, co-branded marketing programs and in-house training services, as well as a coast-to-coast operations platform in approximately 30 facilities.
Revenue Growth: Latham delivered net sales of $162 million in Q3, up 7.6% year-on-year, outperforming a flat-to-down U.S. in-ground pool market.
Margin Expansion: Gross margin rose to 35.4% (up 300 bps YoY) and adjusted EBITDA margin increased to 23.7% (up 390 bps), supported by operational efficiencies and acquisitions.
Product Strength: All product lines grew: pool covers up 15%, liners up 13%, and in-ground pools up nearly 1%, with strong gains in fiberglass pools and successful market adoption of Latham's Measure tool.
Guidance Raised: 2025 net sales guidance narrowed to $540–550 million and adjusted EBITDA raised to $92–98 million, implying 7% and 19% YoY growth at midpoints.
Sand States Focus: Continued traction in Florida and other sand states, including high single-digit sales growth and expanding presence in master planned communities.
Tariffs Mitigated: June price increases have fully offset the $10 million tariff exposure, with no immediate further impact expected.
Strong Financial Position: Ended the quarter with $71 million in cash and a net debt leverage ratio of 2.3, expected to approach 2 by year-end.
