Lippert and parent company LCI Industries reported first quarter 2025 results.
Net sales of $1.04 billion were up 8% year-over-year. The increase was primarily driven by a $65.2 million year-over-year increase in net sales in the OEM segment. Operating profit margin was 7.8% in the quarter, up from 6% in the first quarter of 2024.
“We delivered strong first-quarter results, exceeding expectations despite ongoing macroeconomic headwinds,” LCI president and CEO Jason Lippert said in a statement. “We continued to leverage both our innovative product portfolio and our distinct competitive advantages to capture content growth and market share across multiple product categories.”
Adjacent industries OEM net sales for the quarter were $292.8 million, down 2% year-over-year, primarily due to lower sales to North American marine and powersports OEMs, and partially offset by higher sales to utility trailer OEMs. The lower sales were driven by dealer inventory levels, inflation and elevated interest rates impacting retail consumer demand, the statement said.
Operating profit for the OEM segment was $62 million in the first quarter, or 7.5% of net sales, compared with operating profit of $32.8 million, or 4.3% of net sales, in the prior-year period.
Aftermarket net sales for the quarter were $222 million, an increase of 6% compared with 2024. The increase was primarily driven by higher volumes within the RV and marine aftermarkets and market share gains in the automotive aftermarket. Operating profit for the aftermarket segment was $19.3 million in the first quarter, a decrease of $5.4 million year-over-year.
“Our aftermarket business delivered strong results to start 2025, fueled by the success of recent innovations and the growing number of vehicles entering the repair and replacement cycle,” said Jamie Schnur, LCI group president – aftermarket.
“We remain on track toward our $5 billion organic revenue goal in 2027,” Lippert added. “We are also on track to deliver an 85-basis-point margin improvement in 2025 through optimizing infrastructure. As we move throughout the year, we will continue to effectively monitor, adjust and lead through changing macroeconomic dynamics.”
