Fox Factory Holding Corp. Announces Second Quarter Fiscal 2022 Financial Results

Achieves Record Quarterly Sales of $406.7 Million

Reports Record Earnings per Diluted Share of $1.26 and Non-GAAP Adjusted Earnings per Diluted Share of $1.38

DULUTH, GA – August 5, 2022 – (Motor Sports NewsWire) – Fox Factory Holding Corp. (Nasdaq: FOXF) (“FOX” or the “Company”) today reported financial results for the second quarter ended July 1, 2022.

Second Quarter Fiscal 2022 Highlights

• Sales increased 23.9% to $406.7 million, compared to $328.2 million in the same period last fiscal year
• Gross profit increased 28.7% to $142.9 million, compared to $111.1 million in the same period last fiscal year. Gross margin percentage increased 120 basis points to 35.1%, compared to 33.9% in the same period last fiscal year; non-GAAP adjusted gross margin percentage increased 120 basis points to 35.3% compared to 34.1% in the same period last fiscal year
• Net income was $53.5 million, or 13.2% of sales and $1.26 of earnings per diluted share, compared to $44.3 million, or 13.5% of sales and $1.05 of earnings per diluted share in the same period last fiscal year
• Non-GAAP adjusted net income was $58.6 million, or $1.38 of non-GAAP adjusted earnings per diluted share, compared to $51.0 million, or $1.20 of non-GAAP adjusted earnings per diluted share in the same period last fiscal year
• Adjusted EBITDA was $88.1 million, or 21.7% of sales, compared to $69.7 million, or 21.2% of sales in the same period last fiscal year

“We are pleased to report another quarter of record revenue and profitability in an increasingly complex and challenging macro business environment. Not only did we surpass the $400.0 million quarterly revenue mark for the first time, but we also delivered record gross margin, EBITDA, and net income,” commented Mike Dennison, FOX’s Chief Executive Officer. “We are still seeing healthy demand across most of our diversified portfolio for the balance of the year. However, the ongoing macroeconomic and geopolitical volatility have caused us to slow both hiring and spending in an effort to stay in front of what will most likely be turbulent months ahead.”

Sales for the second quarter of fiscal 2022 were $406.7 million, an increase of 23.9% as compared to sales of $328.2 million in the second quarter of fiscal 2021. This increase reflects a 28.1% increase in Specialty Sports Group sales and a 20.9% increase in Powered Vehicles Group sales. The increase in Specialty Sports Group sales is driven by continued strong demand in the…