LCI Industries (NYSE:LCII) reported a strong first quarter in 2026, driven by growth in adjacent OEM markets, the aftermarket segment, and international operations.
The company’s consolidated revenue increased by 4% year over year to $1.1 billion, while operating profit rose 17% to $95 million.
Adjusted earnings per share (EPS) reached $2.59, representing an 18% increase from the prior-year period, according to an article by MarketBeat.
President and CEO Jason Lippert attributed the robust performance to a decade-long diversification strategy that mitigated the impact of sluggish retail and wholesale leisure markets.
While RV OEM revenue declined by 4% due to lower North American travel trailer and fifth-wheel shipments, adjacent industry OEM sales surged by 17%.
This growth was bolstered by share gains in the bus and utility trailer markets, demand from North American marine OEMs, and $47 million in contributions from the recent acquisitions of Freedman Seating and Trans/Air Climate Control.
Additionally, LCI’s aftermarket net sales saw a 7% year-over-year increase, totaling $238 million.
European operations also contributed significantly, reporting their strongest quarterly results to date following 18 months of restructuring and plant optimization efforts.
Despite the strong quarter, management lowered its 2026 RV wholesale shipment forecast by 20,000 units, estimating a new range of 315,000 to 330,000 units.
However, LCI maintained its full-year revenue guidance of $4.2 billion to $4.3 billion and its operating margin outlook of 7.5% to 8%. The company also tightened its adjusted EPS guidance to a range of $8.75 to $9.25.
Margin expansion was supported by a 13% year-over-year increase in total RV content per unit, which hit a record $5,826.
This was driven by organic growth from product innovation, pricing adjustments to cover material costs, and an improved mix toward higher-content fifth-wheel units.
The company anticipates an additional $140 million in annualized run-rate gains from new product placements during the upcoming 2027 model change.
For the RV and outdoor recreation industry, LCI Industries’ Q1 performance highlights the importance of strategic diversification and aftermarket service.