Fox Factory sees Q3 adjusted EPS 45c-65c, consensus 58c

Sees Q3 revenue $370M-$390M, consensus $370.65M. The company said, “For the third quarter of fiscal 2025, the Company expects net sales in the range of $370 million to $390 million and adjusted earnings per diluted share in the range of $0.45 to $0.65. For the fiscal year 2025, in consideration of the Company’s year-to-date performance and current visibility to tariff impacts, it now expects net sales in the range of $1.45 billion to $1.51 billion, adjusted earnings per diluted share in the range of $1.60 to $2.00, and a full year adjusted tax rate in the range of 15% to 18%. While the impact of the tariff policies on demand remains uncertain, new and expanded tariffs are expected to continue to pose significant challenges for the industries that the Company serves. For 2025, the Company’s pre-mitigated tariff expense has increased from prior expectations of approximately $38 million to upwards of $50 million. However, the Company has identified countermeasures to partially offset these impacts and believes it can absorb this unmitigated component in its updated guidance for full year 2025. Adjusted earnings per diluted share excludes the following items net of applicable tax: amortization of purchased intangibles, litigation and settlement-related expenses, acquisition and integration-related expenses, organizational restructuring expenses and related losses, non-cash goodwill impairment, and strategic transformation costs. A quantitative reconciliation of adjusted earnings per diluted share for the third quarter and full fiscal year 2025 is not available without unreasonable efforts because management cannot predict, with sufficient certainty, all of the elements necessary to provide such a reconciliation. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results.”