Latham Group, Inc. has recently released its 10-K report, providing an insight into its financial performance and strategic initiatives. The company, formerly known as Latham Topco, Inc., is a leading designer, manufacturer, and marketer of in-ground residential swimming pools in North America, Australia, and New Zealand. Latham offers a wide range of pools and related products under various brand names, including fiberglass and packaged pools, pool covers, and liners.
In the year ended December 31, 2025, Latham reported a 7.4% increase in net sales, reaching $545.9 million compared to $508.5 million in 2024. The company also achieved a significant turnaround in net income, posting a net income of $11.1 million in 2025, compared to a net loss of $17.9 million in 2024. Furthermore, Latham's Adjusted EBITDA increased by $19.6 million to $99.8 million in 2025, with an improved Adjusted EBITDA margin of 18.3%.
In 2025, Latham continued to strengthen its market leadership by expanding its presence in fiberglass and autocover penetration, particularly in the Sand States. The company's strategic priorities for the upcoming year include building the Latham brand, driving increased awareness and adoption of fiberglass pools and autocovers, and targeting branding and marketing spend in key markets.
Additionally, Latham announced a leadership transition, appointing Sean Gadd as President and Chief Executive Officer, effective January 5, 2026. The company also completed a strategic acquisition of Freedom Pools, a fiberglass pool manufacturer and installer operating in Australia and New Zealand, which is expected to contribute approximately $20.0 million in net sales and $4.0 million in adjusted EBITDA on an annualized basis.
Latham's financial performance is influenced by various factors, including the volume of products sold, pricing strategies, cost and availability of materials, and strategic acquisitions and partnerships. The company's success in driving material conversion, product innovation, and market penetration, as well as its ability to adapt to economic conditions and seasonal variations, are critical to its sales growth and overall performance. Following these announcements, the company's shares moved -2.2%, and are now trading at a price of $6.67. For more information, read the company's full 10-K submission here.
