$SWIM

Latham Group, Inc.

CIK:0001833197|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 27, 2026	Jun. 28, 2025	Jun. 27, 2026	Jun. 28, 2025
Income Statement [Abstract]
Net sales	$ 197,474	$ 172,639	$ 314,789	$ 284,059
Cost of sales	127,396	108,676	207,554	187,215
Gross profit	70,078	63,963	107,235	96,844
Selling, general, and administrative expense	37,620	31,940	74,209	62,560
Amortization	7,366	7,299	14,535	14,491
Income from operations	25,092	24,724	18,491	19,793
Other expense (income):
Interest expense, net	5,930	7,149	10,686	13,520
Other expense (income), net	1,376	(3,047)	2,194	(3,355)
Total other expense, net	7,306	4,102	12,880	10,165
Earnings from equity method investment	1,081	488	1,916	1,441
Income before income taxes	18,867	21,110	7,527	11,069
Income tax expense	6,113	5,130	3,307	1,051
Net income	$ 12,754	$ 15,980	$ 4,220	$ 10,018
Net income per share attributable to common stockholders:
Basic (in usd per share)	$ 0.11	$ 0.14	$ 0.04	$ 0.09
Diluted (in usd per share)	$ 0.11	$ 0.13	$ 0.04	$ 0.08
Weighted-average common shares outstanding – basic and diluted
Basic (in shares)	117,476,605	116,466,736	117,191,888	116,181,404
Diluted (in shares)	119,541,000	119,389,997	119,732,620	119,624,905

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 27, 2026	Jun. 28, 2025
Cash flows from operating activities:
Net income	$ 4,220	$ 10,018
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization	26,739	25,097
Unrealized foreign currency loss (gain)	2,227	(4,059)
Amortization of deferred financing costs and debt discount	860	860
Non-cash lease expense	3,815	3,569
Change in fair value of interest rate swap	(1,076)	601
Stock-based compensation expense	2,713	3,352
Bad debt expense	1,137	1,372
Other non-cash, net	(556)	674
Earnings from equity method investment	(1,916)	(1,441)
Changes in operating assets and liabilities:
Trade receivables	(56,080)	(57,447)
Inventories	(1,201)	(900)
Prepaid expenses and other current assets	(2,996)	(2,706)
Income tax receivable	2,895	(4,924)
Other assets	(484)	(151)
Accounts payable	17,833	13,069
Accrued expenses and other current liabilities	7,707	2,351
Other long-term liabilities	(54)	(240)
Net cash provided by (used in) operating activities	5,783	(10,905)
Cash flows from investing activities:
Purchases of property and equipment	(16,053)	(10,344)
Acquisition of business, net of cash acquired	(14,250)	(4,934)
Net cash used in investing activities	(30,303)	(15,278)
Cash flows from financing activities:
Payments on long-term debt borrowings	(813)	(813)
Proceeds from borrowings on revolving credit facility	35,000	25,000
Payments on revolving credit facilities	(35,000)	(25,000)
Repayments of finance lease obligations	(441)	(404)
Common stock withheld for taxes on restricted stock units	(2,476)	(2,363)
Net cash used in financing activities	(3,730)	(3,580)
Effect of exchange rate changes on cash	687	308
Net decrease in cash	(27,563)	(29,455)
Cash at beginning of period	71,043	56,398
Cash at end of period	43,480	26,943
Supplemental cash flow information:
Cash paid for interest	11,387	14,683
Income taxes paid, net	304	379
Supplemental disclosure of non-cash investing and financing activities:
Purchases of property and equipment included in accounts payable and accrued expenses	1,056	400
Right-of-use operating and finance lease assets obtained in exchange for lease liabilities	10,400	1,272
Purchase of property and equipment through settlement of deposit	$ 12,000	$ 0

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 27, 2026	Dec. 31, 2025
Current assets:
Cash	$ 43,480	$ 71,043
Trade receivables, net	95,230	39,914
Inventories, net	79,610	74,926
Income tax receivable	9,283	12,178
Prepaid expenses and other current assets	13,024	20,943
Total current assets	240,627	219,004
Property and equipment, net	136,331	118,820
Equity method investment	28,397	26,482
Deferred tax assets	1,056	718
Operating lease right-of-use assets	30,332	30,723
Goodwill	161,519	155,189
Intangible assets, net	258,225	268,073
Other assets	3,885	4,214
Total assets	860,372	823,223
Current liabilities:
Accounts payable	37,992	19,283
Current maturities of long-term debt	3,250	3,250
Income tax payable	387	0
Current operating lease liabilities	6,892	7,630
Accrued expenses and other current liabilities	63,006	48,979
Total current liabilities	111,527	79,142
Long-term debt, net of discount, debt issuance costs, and current portion	276,563	276,591
Deferred income tax liabilities, net	34,270	34,269
Non-current operating lease liabilities	24,314	23,964
Other long-term liabilities	2,266	3,396
Total liabilities	448,940	417,362
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.0001 par value; 100,000,000 shares authorized as of both June 27, 2026 and December 31, 2025; no shares issued and outstanding as of both June 27, 2026 and December 31, 2025	0	0
Common stock, $0.0001 par value; 900,000,000 shares authorized as of June 27, 2026 and December 31, 2025; 116,655,775 and 116,766,927 shares issued and outstanding, as of June 27, 2026 and December 31, 2025, respectively	12	12
Additional paid-in capital	473,660	473,423
Accumulated deficit	(59,472)	(63,692)
Accumulated other comprehensive loss	(2,768)	(3,882)
Total stockholders’ equity	411,432	405,861
Total liabilities and stockholders’ equity	$ 860,372	$ 823,223