First quarter

• Net sales for the quarter amounted to SEK 2,662m (2,420), corresponding to an increase of 10.0 percent, of which 12.7 percent from the acquisition of Quad Lock, a decrease of 2.9 percent from organic growth and an increase of 0.3 percent from exchange rate fluctuations.
• The gross margin for the quarter increased to 44.8 percent (41.2).
• Operating income for the quarter amounted to SEK 401m (412), corresponding to a margin of 15.1 percent (17.0). This year, more products are being launched earlier in the year, resulting in higher costs in the first quarter.
• Net income for the quarter was SEK 266m (300).
• Earnings per share before dilution amounted to SEK 2.46 (2.83) for the quarter.
• Cash flow from operating activities totaled an outflow of SEK 334m (inflow: 89) for the quarter.

CEO’s STATEMENT

Thule growing despite weak North America
In the first quarter, the North American market was weak and the increased uncertainty also affected the rest of the world. Nevertheless, our continued efforts to create a larger, more profitable Thule delivered results. Sales increased 10 percent and the gross margin was the highest ever. Despite a phasing of product development costs into the first quarter, operating profit was in line with the previous year.

Thule grew 10 percent year-on-year. Organic sales fell 3 percent. The North American market clearly worsened during the quarter and organic sales in North America declined 13 percent. In Europe, organic sales were unchanged even if global uncertainty did not go unnoticed. Even in RV Products, where the industry is going through a tough period, sales were similar to last year. The sales growth of 10 percent came from delivering on our priorities: new Thule products resulted in growth despite a challenging market, recently launched product categories of dog transportation and car seats added sales, the addition of the performance phone mounts category through the acquired Quad Lock boosted sales significantly and our DTC¹ channel posted solid growth.  

The gross margin for the first quarter increased to 44.8 percent (41.2) with the increase driven by a continued positive organic trend and by Quad Lock’s higher gross margin. EBIT was on a similar level to last year and amounted to SEK 401m (412). This year, we are set to launch more products earlier in the year to maximize sales throughout the spring season. This means higher product development costs in the first half of the year, which will impact the margin in the short term. The first quarter EBIT margin was 15.1 percent (17.0). Without the changed phasing of product development costs, the EBIT margin would have been flat with last year.

We have clear sustainability targets and efforts to achieve these targets continue steadily. We signed a letter of intent with SSAB for fossil-free steel in the first quarter, which comprises an important step toward lowering emissions from our products.

New products and categories drive growth
As in previous years, we are set to launch many new products this year, and several of these were already launched in the first quarter. Our updated mid-priced Thule Force roof-mounted cargo box is off to a good start.  The new generation of our highest selling bike carrier Thule Easyfold 3 made a strong contribution to sales growth and the new North American bike carrier Thule Verse has been warmly received. We are already able to confirm that 2025 will be another year in which our product design will be strongly acknowledged, having recently won seven iF Design Awards. Additional important launches are set for the second quarter.

Beyond strengthening existing market positions, we are also further developing our new categories. The launch of dog transportation and car seats in 2024 was successful, and efforts to expand these categories continued in the first quarter of 2025. Our car seats are now available in 30 countries, which adds new revenue. Later this year, we will launch a high back booster seat with back and neck support for somewhat older children. Dog products made an excellent start last year and growth remained robust in the first quarter. Thule Cappy, a crash-tested dog harness, will be launched in the second quarter.

Historically, many of our entries into new categories have taken place through acquisitions that we have integrated and developed into Thule. Late last year, we acquired Quad Lock, the global market leader for performance phone mounts for cyclists, motorcyclists and other adventurers. As a global market leader in a growing niche, with the best products in the market, a strong history of innovation and product development and being known for quality, safety and an active life outdoors – Quad Lock fits very well with Thule and our strategy. The beginning of our collaboration has been positive with sales increasing over 20 percent in the first quarter, successive integration in identified areas and with employees from both organizations already having switched locations between Australia and Sweden. The growth opportunities here are plentiful.

Changes in North America
In the challenging US market, we recently implemented a number of changes to increase our own competitiveness.

• A new sales organization is in place with a management team specifically responsible for North America. At the same time, we are implementing efficiency measures by closing the office included in the acquisition of Case Logic in 2007 and gathering employees at our regional office in Connecticut.
• We are focusing our investments on growing niches where we hold strong positions. We are now developing many new and innovative bike carriers and both Thule Verse and Thule Revert, specifically developed for the North American market, sold out immediately after being launched. We are reinvesting in pick-up trucks, a category where we have not launched any new products in several years and are set to launch Thule Xscape this winter, an easy-to-install premium product enabling the safe transportation of skis, surfboards, rooftop tents and other equipment. We manufacture both of these product categories locally in the US. At the same time, we are now stopping our child car seat project for the US market.  Competition is high, the premium segment remains small and the investment is costly. We continue to invest in car seats in Europe, where we have had a good start and the potential is much greater.
• We are implementing price increases in North America to offset cost increases from the newly imposed tariffs, even though we have two of our own factories in the US

In the beginning of April, the Group management visited the US. We have driven employees, a strong brand and loyal customers that appreciate our investments in new products in the current market conditions. Another good sign was that the most intense internal discussions concerned how to best meet demand of our own new products.

Strong position and long-term investments
Thule is well positioned despite a challenging market. We are global market leaders in our most important product categories and sell premium products to enthusiasts who are willing to pay. We have our own manufacturing in Europe and North America, and a financial position that allows us to invest for the long term. We also have extensive experience of managing fluctuations in our business environment, and with the help of our skilled employees, we will continue adapting our operations to market conditions.

We also continue to make investments in areas that increase our competitiveness and create value for Thule:
1. Continue to invest in product development. The changes we have made in North America are further reinforcing our focus on organic growth in attractive niches.
2. Succeed in more product categories at the same time. We are building on our successful start in dog transportation and car seats, and a successful initial period with Quad Lock.
3. Increase visibility for consumers. Selling more products to existing customers is another successful path to growth.
4. Increase efficiency and capacity utilization in our supply chain.

We expect the market to remain difficult, particularly in North America. We are facing the future with strong market positions, a track record of adaptability and long-term investments. I look forward to continuing the journey toward a larger, more profitable Thule – and the many new products that will be launched already in the second quarter!

Mattias Ankarberg
CEO and President