{"success":true,"data":{"pressRelease":{"id":"182439","rtpr_id":"nBw3rpWqfa-20261028","ticker":"HAYW","exchange":"NYSE","all_tickers":["HAYW"],"title":"Hayward Holdings Reports Third Quarter Fiscal Year 2026 Financial Results and Increases 2026 Guidance","author":"Business Wire","published_at":"2026-10-28T11:01:00.318Z","article_body":"Hayward Holdings Reports Third Quarter Fiscal Year 2026 Financial Results and\nIncreases 2026 Guidance\n\nTHIRD QUARTER FISCAL 2026 SUMMARY\n\n\n * Net Sales increased 6% year-over-year to $260.1 million\n\n * Net Income increased 35% year-over-year to $32.4 million\n\n * Adjusted EBITDA* increased 9% year-over-year to $64.5 million\n\n * Diluted earnings per share (EPS) increased 36% year-over-year to $0.15\n\n * Adjusted diluted EPS* increased 29% year-over-year to $0.18\n\nHayward Holdings, Inc. (NYSE: HAYW) (“Hayward,” the “Company,”\n“we,” “us,” or “our”), a leading global specialty water management\ncompany focused on designing and manufacturing pool and outdoor living\ntechnology and industrial flow control products, today announced financial\nresults for the third quarter of fiscal year 2026, ended September 26, 2026.\nComparisons are to financial results for the prior-year third fiscal quarter.\n\nCEO COMMENTS\n\n“Hayward delivered another solid quarter, reflecting disciplined execution\nand the resilience of our installed base aftermarket business model,” said\nKevin Holleran, Hayward’s President and Chief Executive Officer. “Net\nsales increased 6% year-over-year in the quarter and 8% year-to-date, driven\nby favorable price realization and higher volumes. Data from our primary U.S.\nchannel partners indicated strong demand for Hayward products, continued\nmarket share gains, and balanced channel inventories. Our early buy program\nfor the 2027 pool season is progressing well, with orders ahead of the prior\nyear in North America. We further expanded margins and delivered double-digit\nearnings growth despite ongoing inflationary pressures. At the same time, we\nmaintained net leverage at 1.5x, the lowest level since our 2021 initial\npublic offering, while increasing capital returns through share repurchases.\nOur strong year-to-date performance and confidence in continued execution\nsupport our increased full year guidance. We remain focused on advancing our\nstrategic growth initiatives and creating long-term stockholder value.”\n\nTHIRD QUARTER FISCAL 2026 CONSOLIDATED RESULTS\n\nNet sales increased by 6% to $260.1 million for the third quarter of fiscal\n2026. The increase in net sales during the quarter was driven by positive net\nprice to offset inflation and tariffs and modest volume growth.\n\nGross profit increased by 7% to $124.7 million for the third quarter of fiscal\n2026. Gross profit margin increased by 10 basis points to 47.9% primarily due\nto a greater contribution from North America relative to Europe & Rest of\nWorld. Gross profit margin declined modestly in both segments as inflationary\npressures slightly exceeded the benefits of pricing initiatives.\n\nSelling, general, and administrative expense (“SG&A”) decreased by 3%\nto $59.4 million for the third quarter of fiscal 2026. The decrease in\nSG&A was primarily due to the absence of a non-recurring litigation\nexpense incurred in the prior-year period, partially offset by higher\nincentive compensation. As a percentage of net sales, SG&A decreased to\n22.9% for the third quarter of fiscal 2026 as compared to 25.1% in the\nprior-year period, a decrease of 220 basis points.\n\nResearch, development, and engineering expense (“RD&E”) increased by\n21% to $8.6 million for the third quarter of fiscal 2026. The increase was\nprimarily due to higher spend on new product development and new product\nperformance improvements along with increased investment in specialized\nengineering talent and capabilities. As a percentage of net sales, RD&E\nincreased to 3.3% for the third quarter of fiscal 2026 as compared to 2.9% in\nthe prior-year period, an increase of 40 basis points.\n\nOperating income increased by 22% to $50.2 million for the third quarter of\nfiscal 2026, due to the aggregated effects of the items described above.\nOperating income as a percentage of net sales was 19.3% for the third quarter\nof fiscal 2026, a 250 basis point increase compared to 16.8% in the prior-year\nperiod.\n\nInterest expense, net, decreased by 30% to $7.9 million for the third quarter\nof fiscal 2026, primarily due to lower interest rates on bank debt and\nincreased interest income on cash deposits and short-term investments.\n\nNet income increased by 35% to $32.4 million for the third quarter of fiscal\n2026. Net income margin increased by 270 basis points to 12.5%. Adjusted net\nincome* increased by 23% to $39.1 million for the third quarter of fiscal\n2026. Adjusted net income margin* increased by 200 basis points to 15.0%.\n\nAdjusted EBITDA* increased by 9% to $64.5 million for the third quarter of\nfiscal 2026 compared to $59.1 million in the prior-year period. Adjusted\nEBITDA margin* expanded by 60 basis points to 24.8%.\n\nDiluted EPS increased by 36% to $0.15 for the third quarter of fiscal 2026.\nAdjusted diluted EPS* increased by 29% to $0.18 for the third quarter of\nfiscal 2026.\n\nTHIRD QUARTER FISCAL 2026 SEGMENT RESULTS\n\nNorth America (“NAM”)\n\nNet sales rose 9% to $226.4 million in the third quarter of fiscal 2026,\nprimarily due to favorable net pricing that offset inflation and tariffs,\nalong with higher volume.\n\nSegment income increased by 12% to $61.8 million for the third quarter of\nfiscal 2026. Adjusted segment income* increased by 11% to $68.8 million.\n\nEurope & Rest of World (“E&RW”)\n\nNet sales declined 6% to $33.8 million for the third quarter of fiscal 2026,\nprimarily due to lower volume resulting from geopolitical conflicts in the\nMiddle East and a modest decrease in net price.\n\nSegment income decreased by 8% to $5.7 million for the third quarter of fiscal\n2026. Adjusted segment income* decreased by 4% to $6.4 million.\n\nBALANCE SHEET AND CASH FLOW\n\nAs of September 26, 2026, Hayward had cash and cash equivalents of $236.3\nmillion, short-term investments of $239.2 million and $422.3 million available\nfor future borrowings under its revolving credit facilities. Net cash provided\nby operating activities for the nine months ended September 26, 2026 decreased\nby $57.5 million from the nine months ended September 27, 2025. The decline in\nnet cash provided by operating activities primarily reflected the timing of\ncash collections and inventory purchases, as well as higher incremental\npayments for accrued customer rebates and incentive plans, partially offset by\nincreased net income.\n\nOUTLOOK\n\nHayward is increasing its full year 2026 guidance reflecting sales and\nearnings growth driven by solid execution across the organization, positive\nprice realization and continued technology adoption. For Fiscal Year 2026,\nHayward now expects net sales to increase approximately 5% to 6% from Fiscal\nYear 2025, compared to our prior guidance of approximately 5%. We now expect\nadjusted diluted earnings per share* of $0.86 to $0.88, an increase of\napproximately 12% to 14% from Fiscal Year 2025, compared to our prior guidance\nof $0.84 to $0.87.\n\nHayward is excited about the long-term dynamics of the pool industry. The\ninstalled base of pools increases every year, providing continued growth\nopportunities, and the Company benefits from favorable secular demand trends\nin outdoor living, sunbelt migration, and technology adoption. Hayward\ncontinues to leverage its competitive advantages and drive increasing adoption\nof its leading SmartPad™ pool equipment products both in new construction\nand the aftermarket, which represents approximately 85% of North America\nresidential pool net sales. Hayward is confident in its long-term outlook for\nprofitable growth and robust cash flow generation, driven by its technology\nleadership, operational excellence, strong brand and installed base, and\nmulti-channel capabilities.\n\nPlease see the Forward-Looking Statements section of this release for a\ndiscussion of certain risks relevant to Hayward’s outlook.\n\nCONFERENCE CALL INFORMATION\n\nHayward will hold a conference call to discuss the results today, October 28,\n2026 at 9:00 a.m. (ET).\n\nInterested investors and other parties can listen to a webcast of the live\nconference call by logging on to the Investor Relations section of the\nCompany’s website at\nhttps://investor.hayward.com/events-and-presentations/default.aspx\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Finvestor.hayward.com%2Fevents-and-presentations%2Fdefault.aspx&esheet=54629974&newsitemid=20261027327523&lan=en-US&anchor=https%3A%2F%2Finvestor.hayward.com%2Fevents-and-presentations%2Fdefault.aspx&index=1&md5=5c802c2007475c002daacc78298d579b)\n. An earnings presentation will be posted to the Investor Relations section of\nthe Company’s website prior to the conference call.\n\nThe conference call can also be accessed by dialing (877) 423-9813 or (201)\n689-8573.\n\nFor those unable to listen to the live conference call, a replay will be\navailable approximately three hours after the call through the archived\nwebcast on the Hayward website or by dialing (844) 512-2921 or (412) 317-6671.\nThe access code for the replay is 13762887. The replay will be available until\n11:59 p.m. Eastern Time on November 11, 2026.\n\nABOUT HAYWARD HOLDINGS, INC.\n\nHayward Holdings, Inc. (NYSE: HAYW) is a leading global specialty water\nmanagement company focused on designing and manufacturing pool and outdoor\nliving technology and industrial flow control products. Driven by a mission to\ntransform the experience of water, Hayward offers a comprehensive portfolio of\nenergy‑efficient and sustainable pool equipment—including pumps, heaters,\nsanitizers, filters, LED lighting, water features, and cleaners—integrated\nthrough its intuitive, IoT‑enabled SmartPad™ platform. The Company also\nprovides industrial thermoplastic valves and process control products serving\na wide range of applications.\n\nCAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS\n\nThis earnings release contains certain “forward-looking statements” within\nthe meaning of the Private Securities Litigation Reform Act of 1995 (the\n“Act”) and rules and regulations of the Securities and Exchange Commission\n(“SEC”). Forward-looking statements include, without limitation,\nstatements regarding our plans, strategies, objectives, expectations,\nintentions, outlook, expenditures, guidance, targets, and assumptions, as well\nas other statements that are not historical facts. Forward-looking statements\nare based on management’s current beliefs, assumptions, expectations, and\ninformation available at the time the statements are made. Words such as\n“anticipate,” “believe,” “continue,” “could,” “estimate,”\n“expect,” “forecast,” “intend,” “may,” “outlook,”\n“plan,” “potential,” “predict,” “project,” “seek,”\n“should,” “target,” “will,” “would” and similar expressions\nare intended to identify forward-looking statements, although not all\nforward-looking statements contain these words. These statements are made in\nreliance upon the safe harbor provisions of the Act. However, forward-looking\nstatements are subject to risks, uncertainties, and other factors, many of\nwhich are beyond our control, that could cause actual results to differ\nmaterially from those expressed or implied by such statements. Readers are\ncautioned not to place undue reliance on forward-looking statements. We\nundertake no obligation to publicly update, revise, or correct any\nforward-looking statements, whether as a result of new information, future\nevents, or otherwise, except as required by applicable federal securities\nlaws. Forward-looking statements should be read in conjunction with the risk\nfactors and other cautionary statements, including those described under the\nheading \"Risk Factors\" in our most recent Annual Report on Form 10-K and other\nfilings with the SEC.\n\nImportant factors that could cause actual results to differ materially\ninclude, but are not limited to, the following:\n\n\n * our business depends on the performance of distributors, builders, buying\ngroups, retailers and servicers;\n\n * the demand for our products may be adversely affected by unfavorable economic\nand business conditions;\n\n * we operate in markets with high levels of competition;\n\n * our future success depends on developing, manufacturing and attaining market\nadoption of new products and maintaining product quality and reliability;\n\n * our ability to keep pace with rapidly evolving technological developments and\nstandards, including artificial intelligence, and effectively develop and\ndeploy such technologies;\n\n * our results of operations and cash flows may fluctuate from quarter to\nquarter;\n\n * a loss of, or material cancellation, reduction or delay in purchases by one or\nmore of our largest customers;\n\n * our exposure to credit risk on our accounts receivable;\n\n * risks arising from our international business operations;\n\n * past growth may not be indicative of future growth;\n\n * our inability to identify, finance and complete suitable acquisitions;\n\n * negative impacts of litigation and other claims;\n\n * future impairment of our goodwill and intangible assets;\n\n * exchange rate fluctuations, cost increases and other inflation, changes in our\neffective tax rate or exposure to additional income tax liabilities;\n\n * our ability to attract, develop and retain highly qualified personnel,\nincluding key members of management;\n\n * disruptions in the financial markets;\n\n * significant disruption or breach of our technology infrastructure or that of\nour vendors or third parties, or failure to maintain the security of\nconfidential information;\n\n * difficulties in operating or implementing the new ERP system or human\nresources information system;\n\n * misuse of our technology-enabled products;\n\n * failure to maintain an effective system of internal controls;\n\n * dependence on key suppliers, including single-source suppliers and sole-source\nsuppliers;\n\n * ability to manage product inventory in an effective and efficient manner;\n\n * product manufacturing disruptions, including as a result of catastrophic or\nother events beyond our control;\n\n * tariffs and other trade restrictions and the cost of raw materials;\n\n * compliance with, and potential liabilities under, employment, environmental,\nhealth, transportation, safety and other governmental laws and regulations;\n\n * risks related to our handling of personal information;\n\n * our employees, commercial partners and vendors may engage in misconduct or\nother improper activities;\n\n * violations of the U.S. Foreign Corrupt Practices Act, the U.K. Bribery Act,\nand other anti-corruption laws;\n\n * our failure to comply with international trade compliance regulations, and\nchanges in U.S. government sanctions;\n\n * changes in laws, regulations, government policies or regulatory\ninterpretations;\n\n * climate change and legal or regulatory responses thereto, and increasing\nscrutiny from stakeholders on environmental, social and other sustainability\nmatters;\n\n * our ability to obtain, maintain and enforce our intellectual property and\nproprietary rights;\n\n * protection of our trademarks or trade names;\n\n * our reliance on access to intellectual property owned by third parties;\n\n * claims that our employees, consultants or advisors have wrongfully used or\ndisclosed alleged trade secrets or other proprietary information or claims\nasserting ownership of intellectual property that we regard as our own;\n\n * our ability to enforce our intellectual property rights in all jurisdictions;\n\n * other risks related to our indebtedness, corporate structure and ownership of\nour common stock; and\n\n * other factors described in the Risk Factors section of our Annual Report on\nForm 10-K for the year ended December 31, 2025.\n\nMany of these factors are beyond our control. If one or more of these risks or\nuncertainties materialize, or if the underlying assumptions prove incorrect,\nactual results, performance, or achievements may differ materially from those\nexpressed or implied by forward-looking statements in this earnings release.\nThe forward-looking statements included in this earnings release speak only as\nof the date of this release.\n\n*NON-GAAP FINANCIAL MEASURES\n\nThis earnings release includes certain financial measures not presented in\naccordance with the generally accepted accounting principles in the United\nStates (“GAAP”), including adjusted net income, adjusted net income\nmargin, adjusted basic EPS, adjusted diluted EPS, EBITDA, adjusted EBITDA,\nadjusted EBITDA margin, adjusted segment income and adjusted segment income\nmargin. These financial measures are not measures of financial performance in\naccordance with GAAP and may exclude items that are significant in\nunderstanding and assessing the Company’s financial results. Hayward\nbelieves these non-GAAP measures provide analysts, investors and other\ninterested parties with additional insight into the underlying trends of its\nbusiness and assist these parties in analyzing the Company’s performance\nacross reporting periods on a consistent basis by excluding items that it does\nnot believe are indicative of its core operating performance, which allows for\na better comparison against historical results and expectations for future\nperformance. Management uses these non-GAAP measures to understand and compare\noperating results across reporting periods for various purposes including\ninternal budgeting and forecasting, short and long-term operating planning,\nemployee incentive compensation, and debt compliance. These measures should\nnot be considered in isolation or as an alternative to net income, segment\nincome or other measures of profitability, performance or financial condition\nunder GAAP. You should be aware that the Company’s presentation of these\nmeasures may not be comparable to similarly titled measures used by other\ncompanies, which may be defined and calculated differently. See the appendix\nfor a reconciliation of historical non-GAAP measures to the most directly\ncomparable GAAP measures.\n\nReconciliation of full fiscal year 2026 adjusted diluted earnings per share\noutlook to diluted earnings per share is not being provided, as Hayward does\nnot currently have sufficient data to accurately estimate the variables and\nindividual adjustments for such reconciliation. The outlook for adjusted\ndiluted earnings per share for full year 2026 is calculated in a manner\nconsistent with the historical presentation of these measures, as shown in the\nappendix.\n                                                                                                                                                 \n Hayward Holdings, Inc.                                                                                                                          \n \nUnaudited Condensed Consolidated Balance Sheets                                                                                                \n \n((Dollars in thousands, except per share data))                                                                                                \n                                                                                                                                                 \n                                                                                                                                                 \n                                                                                     September 26, 2026               December 31, 2025          \n Assets                                                                                                                                          \n Current assets                                                                                                                                  \n Cash and cash equivalents                                                           $        236,250                 $       329,648            \n Short-term investments                                                                       239,186                         69,462             \n Accounts receivable, net of allowances of $1,456 and $1,931, respectively                    138,940                         280,161            \n Inventories, net                                                                             245,493                         210,739            \n Prepaid expenses                                                                             16,831                          19,500             \n Income tax receivable                                                                        —                               656                \n Other current assets                                                                         31,598                          41,080             \n Total current assets                                                                         908,298                         951,246            \n Property, plant, and equipment, net of accumulated depreciation of $140,079                  172,292                         164,560            \n and $125,807, respectively                                                                                                                      \n Goodwill                                                                                     948,466                         951,197            \n Trademark                                                                                    736,000                         736,000            \n Customer relationships, net                                                                  162,652                         178,126            \n Other intangibles, net                                                                       80,202                          88,899             \n Other non-current assets                                                                     88,685                          80,956             \n Total assets                                                                        $        3,096,595               $       3,150,984          \n Liabilities and Stockholders’ Equity                                                                                                            \n Current liabilities                                                                                                                             \n Current portion of long-term debt                                                   $        10,840                  $       13,261             \n Accounts payable                                                                             76,449                          77,007             \n Accrued expenses and other liabilities                                                       181,437                         224,222            \n Income taxes payable                                                                         4,280                           8,754              \n Total current liabilities                                                                    273,006                         323,244            \n Long-term debt, net                                                                          945,554                         943,547            \n Deferred tax liabilities, net                                                                225,643                         227,449            \n Other non-current liabilities                                                                64,286                          63,736             \n Total liabilities                                                                            1,508,489                       1,557,976          \n Stockholders’ equity                                                                                                                            \n Preferred stock, $0.001 par value, 100,000,000 authorized, no shares issued or               —                               —                  \n outstanding as of September 26, 2026 and December 31, 2025                                                                                      \n Common stock $0.001 par value, 750,000,000 authorized; 247,732,447 issued and                248                             247                \n 211,002,644 outstanding at September 26, 2026; 246,272,783 issued and                                                                           \n 217,356,414 outstanding at December 31, 2025                                                                                                    \n Additional paid-in capital                                                                   1,123,231                       1,109,522          \n Common stock in treasury; 36,729,803 and 28,916,369 at September 26, 2026 and                (481,176   )                    (363,182   )       \n December 31, 2025, respectively                                                                                                                 \n Retained earnings                                                                            952,529                         851,134            \n Accumulated other comprehensive loss                                                         (6,726     )                    (4,713     )       \n Total stockholders’ equity                                                                   1,588,106                       1,593,008          \n Total liabilities and stockholders’ equity                                          $        3,096,595               $       3,150,984          \n                                                                                                                                                 \n\n                                                                                                                                                                          \n Hayward Holdings, Inc.                                                                                                                                                   \n \nUnaudited Condensed Consolidated Statements of Operations                                                                                                               \n \n((Dollars in thousands, except per share data))                                                                                                                         \n                                                                                                                                                                          \n                                                                                                                                                                          \n                                                    Three Months Ended                                         Nine Months Ended                                          \n                                                    September 26,               September 27,                  September 26,                   September 27,              \n                                                    \n2026                       \n2025                          \n2026                           \n2025                      \n Net sales                                          $        260,134            $      244,336                 $      833,728                  $      772,780             \n Cost of sales                                               135,484                   127,635                        435,326                         403,372             \n Gross profit                                                124,650                   116,701                        398,402                         369,408             \n Selling, general and administrative expense                 59,449                    61,368                         186,307                         179,871             \n Research, development and engineering expense               8,635                     7,122                          23,063                          19,236              \n Acquisition and restructuring related expense               8                         276                            1,261                           3,767               \n Amortization of intangible assets                           6,355                     6,882                          19,082                          20,587              \n Operating income                                            50,203                    41,053                         168,689                         145,947             \n Interest expense, net                                       7,921                     11,316                         36,409                          38,617              \n Loss on debt extinguishment                                 —                         —                              2,037                           —                   \n Other expense (income), net                                 1,141                     (1,469       )                 (273         )                  (1,996       )      \n Total other expense                                         9,062                     9,847                          38,173                          36,621              \n Income from operations before income taxes                  41,141                    31,206                         130,516                         109,326             \n Provision for income taxes                                  8,722                     7,178                          29,121                          26,166              \n Net income                                         $        32,419             $      24,028                  $      101,395                  $      83,160              \n                                                                                                                                                                          \n Earnings per share                                                                                                                                                       \n Basic                                              $        0.15               $      0.11                    $      0.47                     $      0.38                \n Diluted                                            $        0.15               $      0.11                    $      0.46                     $      0.37                \n                                                                                                                                                                          \n Weighted average common shares outstanding                                                                                                                               \n Basic                                                       212,209,178               216,826,626                    215,276,635                     216,395,032         \n Diluted                                                     216,531,281               222,420,881                    219,897,633                     222,074,267         \n                                                                                                                                                                          \n\n                                                                                                                                        \n Hayward Holdings, Inc.                                                                                                                 \n \nUnaudited Condensed Consolidated Statements of Cash Flows                                                                             \n \n((Dollars in thousands))                                                                                                              \n                                                                                                                                        \n                                                                                                                                        \n                                                                            Nine Months Ended                                           \n                                                                            September 26, 2026               September 27, 2025         \n Cash flows from operating activities                                                                                                   \n Net income                                                                 $        101,395                 $        83,160            \n Adjustments to reconcile net income to net cash provided by operating                                                                  \n activities                                                                                                                             \n Depreciation                                                                        17,915                           17,026            \n Amortization of intangible assets                                                   24,668                           25,808            \n Amortization of deferred debt issuance fees                                         2,178                            2,818             \n Stock-based compensation                                                            11,466                           9,821             \n Deferred income taxes (benefit)                                                     (2,735    )                      1,949             \n Allowance for credit losses                                                         (485      )                      (1,021   )        \n Loss on debt extinguishment                                                         1,836                            —                 \n Loss on sale/disposal of property, plant and equipment                              1,144                            381               \n Other non-cash items                                                                (2,650    )                      —                 \n Changes in operating assets and liabilities                                                                                            \n Accounts receivable                                                                 140,160                          168,754           \n Inventories                                                                         (35,824   )                      (8,064   )        \n Other current and non-current assets                                                14,245                           29,913            \n Accounts payable                                                                    (508      )                      (14,002  )        \n Accrued expenses and other liabilities                                              (47,350   )                      (33,566  )        \n Net cash provided by operating activities                                           225,455                          282,977           \n                                                                                                                                        \n Cash flows from investing activities                                                                                                   \n Purchases of property, plant, and equipment                                         (28,345   )                      (19,822  )        \n Software development costs                                                          (924      )                      (1,579   )        \n Purchases of short-term investments                                                 (362,501  )                      (19,650  )        \n Proceeds from short-term investments                                                195,000                          —                 \n Net cash used in investing activities                                               (196,770  )                      (41,051  )        \n                                                                                                                                        \n Cash flows from financing activities                                                                                                   \n Proceeds from issuance of long-term debt                                            354,603                          —                 \n Payments of long-term debt                                                          (353,429  )                      (6,941   )        \n Payments of short-term notes payable                                                —                                (2,169   )        \n Debt issuance costs                                                                 (6,840    )                      (1,388   )        \n Purchase of common stock                                                            (115,313  )                      —                 \n Proceeds from issuance of common stock                                              2,243                            1,729             \n Taxes paid for net share settlement of equity awards                                (1,720    )                      (1,141   )        \n Other, net                                                                          (1,020    )                      (1,010   )        \n Net cash used in financing activities                                               (121,476  )                      (10,920  )        \n                                                                                                                                        \n Effect of exchange rate changes on cash and cash equivalents                        (607      )                      1,089             \n Change in cash and cash equivalents                                                 (93,398   )                      232,095           \n Cash and cash equivalents, beginning of period                                      329,648                          196,589           \n Cash and cash equivalents, end of period                                   $        236,250                 $        428,684           \n                                                                                                                                        \n Supplemental disclosures of cash flow information:                                                                                     \n Cash paid-interest                                                         $        39,481                  $        39,892            \n Cash paid-income taxes, net of refunds                                              34,718                           20,587            \n                                                                                                                                        \n Non-cash investing and financing activities:                                                                                           \n Accrued and unpaid purchases of property, plant, and equipment             $        1,867                   $        1,064             \n Equipment financed under finance leases                                             631                              1,866             \n Refinancing of long-term debt                                                       605,397                          —                 \n                                                                                                                                        \n\n\nReconciliations\n\nConsolidated Reconciliations\n\nNet Income and Net Income Margin to Adjusted EBITDA and Adjusted EBITDA Margin\nReconciliations (Non-GAAP)\n\nFollowing is a reconciliation from net income and net income margin to\nadjusted EBITDA and adjusted EBITDA margin:\n (Dollars in thousands)                                        Three Months Ended                                   Nine Months Ended                                  \n                                                               September 26,              September 27,             September 26,               September 27,          \n                                                               \n2026                      \n2025                     \n2026                       \n2025                  \n Net income                                                    $      32,419              $      24,028             $      101,395              $      83,160          \n Depreciation                                                         6,053                      5,509                     17,915                      17,026          \n Amortization                                                         8,240                      8,642                     24,668                      25,808          \n Interest expense, net                                                7,921                      11,316                    36,409                      38,617          \n Income taxes                                                         8,722                      7,178                     29,121                      26,166          \n EBITDA                                                               63,355                     56,673                    209,508                     190,777         \n Loss on debt extinguishment ((a))                                    —                          —                         2,037                       —               \n Stock-based compensation ((b))                                       —                          —                         —                           57              \n Currency exchange items( (c))                                        949                        (536    )                 368                         236             \n Acquisition and restructuring related expense, net( (d))             8                          276                       1,261                       3,767           \n Other( (e))                                                          203                        2,653                     437                         1,567           \n Total Adjustments                                                    1,160                      2,393                     4,103                       5,627           \n Adjusted EBITDA                                               $      64,515              $      59,066             $      213,611              $      196,404         \n                                                                                                                                                                       \n Net income margin                                                    12.5    %                  9.8     %                 12.2     %                  10.8     %      \n Adjusted EBITDA margin                                               24.8    %                  24.2    %                 25.6     %                  25.4     %      \n\n (a)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (b)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of Hayward’s Initial Public      \n          Offering (\"IPO\").                                                                \n                                                                                           \n (c)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (d)      Adjustments in the three months ended September 26, 2026 were primarily driven   \n          by $8 thousand of costs related to a restructuring action in E&RW.               \n          \n                                                                                \n          \nAdjustments in the three months ended September 27, 2025 were primarily driven  \n          by $0.3 million of costs related to restructuring actions in E&RW.               \n          Adjustments in the nine months ended September 26, 2026 were primarily driven    \n          by $0.8 million of costs related to a restructuring action in E&RW and           \n          $0.5 million of termination benefits associated with the restructuring of        \n          several teams in NAM.                                                            \n          \n                                                                                \n          \nAdjustments in the nine months ended September 27, 2025 were primarily driven   \n          by $3.3 million of transaction and integration costs associated with the         \n          acquisition of the ChlorKing business, $0.5 million of costs related to          \n          restructuring actions in E&RW and $0.2 million of separation costs for the       \n          consolidation of operations in North America, partially offset by a reduction    \n          in expense of $0.2 million to finalize the relocation of the Company's           \n          corporate office functions to Charlotte, NC from Berkeley Heights, NJ.           \n                                                                                           \n (e)      Adjustments in the three months ended September 26, 2026 primarily included      \n          $0.2 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the three months ended September 27, 2025 primarily         \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $0.2 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n          \n                                                                                \n          \nAdjustments in the nine months ended September 26, 2026 primarily included      \n          $0.4 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the nine months ended September 27, 2025 primarily          \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $1.3 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n\n\nFollowing is a reconciliation from net income and net income margin to\nadjusted EBITDA and adjusted EBITDA margin for the last 12 months:\n (Dollars in thousands)                                        Last Twelve                    Fiscal Year              \n                                                               \nMonths((f))                                            \n                                                               September 26, 2026             December 31, 2025        \n Net income                                                    $        169,805               $       151,570          \n Depreciation                                                           23,724                        22,835           \n Amortization                                                           33,311                        34,451           \n Interest expense, net                                                  48,074                        50,282           \n Income taxes                                                           36,022                        33,067           \n EBITDA                                                                 310,936                       292,205          \n Loss on debt extinguishment ((a))                                      2,037                         —                \n Stock-based compensation ((b))                                         —                             57               \n Currency exchange items( (c))                                          211                           79               \n Acquisition and restructuring related expense, net( (d))               1,380                         3,886            \n Other( (e))                                                            1,922                         3,052            \n Total Adjustments                                                      5,550                         7,074            \n Adjusted EBITDA                                               $        316,486               $       299,279          \n                                                                                                                       \n Net income margin                                                      14.4     %                    13.5     %       \n Adjusted EBITDA margin                                                 26.8     %                    26.7     %       \n\n (a)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (b)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of the IPO.                      \n                                                                                           \n (c)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (d)      Adjustments in the last 12 months ended September 26, 2026 were primarily        \n          driven by $0.8 million of costs related to restructuring actions in E&RW         \n          and $0.5 million of termination benefits associated with the restructuring of    \n          several teams in NAM.                                                            \n                                                                                           \n          Adjustments in the year ended December 31, 2025 were primarily driven by $3.1    \n          million of compensation expenses for the retention of key employees acquired     \n          in the ChlorKing acquisition. Pursuant to the ChlorKing acquisition agreement,   \n          the full amount held in escrow was released to the specified key employees if    \n          such employees were employed by Hayward on the one-year anniversary of the       \n          acquisition. These payments were contingent on continued employment and were     \n          not dependent on the achievement of any metric or performance measure. The       \n          retention costs were recognized over the 12-month period from the date of        \n          acquisition. Other adjustments for the year ended December 31, 2025 included     \n          $0.4 million of costs related to restructuring actions in E&RW, $0.3             \n          million of separation costs for the consolidation of operations in North         \n          America and $0.2 million of other acquisition and integration costs, partially   \n          offset by a reduction in expense of $0.2 million to finalize the relocation of   \n          the Company's corporate office functions to Charlotte, North Carolina from       \n          Berkeley Heights, New Jersey.                                                    \n                                                                                           \n (e)      Adjustments in the last 12 months ended September 26, 2026 were primarily        \n          driven by $1.5 million for the settlement of the securities class action         \n          litigation. Expenses beyond the total $4.3 million recognized during Fiscal      \n          Year 2025 related to this case were paid by the Company's insurance carriers     \n          pursuant to the Company's retention amount with its insurance carriers. Other    \n          adjustments included $0.4 million of non-recurring transition costs related to   \n          the restructuring in E&RW.                                                       \n                                                                                           \n          Adjustments in the year ended December 31, 2025 were primarily driven by $4.3    \n          million for the settlement of the securities class action litigation as          \n          discussed above, partially offset by $1.3 million of income from insurance       \n          proceeds related to flood damage associated with a hurricane at a contract       \n          manufacturing facility.                                                          \n                                                                                           \n (f)      Items for the last 12 months ended September 26, 2026 were calculated by         \n          adding the items for the nine months ended September 26, 2026 plus fiscal year   \n          ended December 31, 2025 and subtracting the items for the nine months ended      \n          September 27, 2025.                                                              \n\n\nNet Income, Net Income Margin and Diluted EPS to Adjusted Net Income, Adjusted\nNet Income Margin and Adjusted EPS Reconciliations (Non-GAAP)\n\nFollowing is a reconciliation of net income and net income margin to adjusted\nnet income and adjusted net income margin, and a reconciliation of earnings\nper share to adjusted earnings per share:\n (Dollars in thousands, except per share data)                      Three Months Ended                                                     Nine Months Ended                                                  \n                                                                    September 26, 2026                  September 27, 2025                 September 26, 2026                  September 27, 2025             \n Net income                                                         $        32,419                     $        24,028                    $        101,395                    $        83,160                \n Tax adjustments ((a))                                                       (551         )                      (481         )                     (809         )                      (673         )        \n Other adjustments and amortization:                                                                                                                                                                          \n Loss on debt extinguishment ((b))                                           —                                   —                                  2,037                               —                     \n Stock-based compensation ((c))                                              —                                   —                                  —                                   57                    \n Currency exchange items( (d))                                               949                                 (536         )                     368                                 236                   \n Acquisition and restructuring related expense, net( (e))                    8                                   276                                1,261                               3,767                 \n Other( (f))                                                                 203                                 2,653                              437                                 1,567                 \n Total other adjustments                                                     1,160                               2,393                              4,103                               5,627                 \n Amortization                                                                8,240                               8,642                              24,668                              25,808                \n Debt refinancing fees ((g))                                                 —                                   —                                  5,186                               —                     \n Tax effect ((h))                                                            (2,119       )                      (2,708       )                     (7,787       )                      (7,717       )        \n Adjusted net income                                                $        39,149                     $        31,874                    $        126,756                    $        106,205               \n                                                                                                                                                                                                              \n Net income margin                                                           12.5         %                      9.8          %                     12.2         %                      10.8         %        \n Adjusted net income margin                                                  15.0         %                      13.0         %                     15.2         %                      13.7         %        \n                                                                                                                                                                                                              \n Weighted average number of common shares outstanding, basic                 212,209,178                         216,826,626                        215,276,635                         216,395,032           \n Weighted average number of common shares outstanding, diluted               216,531,281                         222,420,881                        219,897,633                         222,074,267           \n                                                                                                                                                                                                              \n Basic EPS                                                          $        0.15                       $        0.11                      $        0.47                       $        0.38                  \n Diluted EPS                                                        $        0.15                       $        0.11                      $        0.46                       $        0.37                  \n                                                                                                                                                                                                              \n Adjusted basic EPS                                                 $        0.18                       $        0.15                      $        0.59                       $        0.49                  \n Adjusted diluted EPS                                               $        0.18                       $        0.14                      $        0.58                       $        0.48                  \n\n (a)      Tax adjustments for the three and nine months ended September 26, 2026           \n          reflected a normalized tax rate of 22.5% and 22.9%, respectively, compared to    \n          the Company’s effective tax rate of 21.2% and 22.3%, respectively. The           \n          Company’s effective tax rate for the three and nine months ended September       \n          26, 2026 primarily included the tax benefits resulting from stock-based          \n          compensation and interest received on an income tax refund. Tax adjustments      \n          for the three and nine months ended September 27, 2025 reflected a normalized    \n          tax rate of 24.5% and 24.5%, respectively, compared to the Company's effective   \n          tax rate of 23.0% and 23.9%, respectively. The Company’s effective tax rate      \n          for the three and nine months ended September 27, 2025 primarily included the    \n          tax benefits resulting from stock-based compensation.                            \n                                                                                           \n (b)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (c)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of the IPO.                      \n                                                                                           \n (d)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (e)      Adjustments in the three months ended September 26, 2026 were primarily driven   \n          by $8 thousand of costs related to a restructuring action in E&RW.               \n                                                                                           \n          Adjustments in the three months ended September 27, 2025 were primarily driven   \n          by $0.3 million of costs related to restructuring actions in E&RW.               \n                                                                                           \n          Adjustments in the nine months ended September 26, 2026 were primarily driven    \n          by $0.8 million of costs related to a restructuring action in E&RW and           \n          $0.5 million of termination benefits associated with the restructuring of        \n          several teams in NAM.                                                            \n                                                                                           \n          Adjustments in the nine months ended September 27, 2025 were primarily driven    \n          by $3.3 million of transaction and integration costs associated with the         \n          acquisition of the ChlorKing business, $0.5 million of costs related to          \n          restructuring actions in E&RW and $0.2 million of separation costs for the       \n          consolidation of operations in North America, partially offset by a reduction    \n          in expense of $0.2 million to finalize the relocation of the Company's           \n          corporate office functions to Charlotte, NC from Berkeley Heights, NJ.           \n                                                                                           \n (f)      Adjustments in the three months ended September 26, 2026 primarily included      \n          $0.2 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the three months ended September 27, 2025 primarily         \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $0.2 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n                                                                                           \n          Adjustments in the nine months ended September 26, 2026 primarily included       \n          $0.4 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the nine months ended September 27, 2025 primarily          \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $1.3 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n                                                                                           \n (g)      Represents non-recurring professional fees expensed as part of our credit        \n          facility refinance for the portion of debt that was accounted for as a           \n          modification.                                                                    \n                                                                                           \n (h)      The tax effect represented the immediately preceding adjustments at the          \n          normalized tax rates as discussed in footnote (a) above.                         \n                                                                                           \n\n\nReconciliation of Net Debt to Net Leverage (Non-GAAP)\n\nFollowing is a reconciliation of Net Leverage, defined as total debt less cash\nand cash equivalents and short-term investments divided by the sum of the last\ntwelve months adjusted EBITDA:\n (Dollars in thousands)                September 26, 2026          December 31, 2025     \n Term Facility, due June 23, 2033      $           960,000         $          955,000    \n Other bank debt                                   1,182                      4,826      \n Finance lease obligations                         3,715                      3,639      \n Total Debt                            $           964,897         $          963,465    \n                                                                                         \n Cash and cash equivalents                         236,250                    329,648    \n Short-term investments                            239,186                    69,462     \n Net Debt                              $           489,461         $          564,355    \n                                                                                         \n Adjusted EBITDA                                   316,486                    299,279    \n Net Leverage                                      1.5                        1.9        \n                                                                                         \n\n\nSegment Reconciliations\n\nFollowing is a reconciliation from segment income and segment income margin to\nadjusted segment income and adjusted segment income margin for the NAM and\nE&RW segments:\n (Dollars in thousands)              Three Months Ended                          Three Months Ended                      \n                                     September 26, 2026                          September 27, 2025                      \n                                     NAM                    E&RW                 NAM                    E&RW             \n Segment income                      $    61,782            $    5,733           $    55,387            $    6,247       \n Depreciation                             5,140                  486                  4,675                  441         \n Amortization                             1,885                  —                    1,760                  —           \n Other ((a))                              —                      203                  (101    )              —           \n Total adjustments                        7,025                  689                  6,334                  441         \n Adjusted segment income             $    68,807            $    6,422           $    61,721            $    6,688       \n                                                                                                                         \n Segment income margin                    27.3    %              17.0   %             26.6    %              17.3   %    \n Adjusted segment income margin           30.4    %              19.0   %             29.6    %              18.5   %    \n\n (a)      Adjustments in the three months ended September 26, 2026 for E&RW              \n          primarily included $0.2 million of non-recurring transition costs related to   \n          the restructuring in E&RW.                                                     \n                                                                                         \n          Adjustments in the three months ended September 27, 2025 for NAM primarily     \n          included $0.1 million of income from insurance proceeds related to flood       \n          damage associated with a hurricane at a contract manufacturing facility.       \n                                                                                         \n                                                                                         \n\n                                                                                                                              \n (Dollars in thousands)          Nine Months Ended                                  Nine Months Ended                         \n                                 September 26, 2026                                 September 27, 2025                        \n                                      NAM                     E&RW                  NAM                     E&RW              \n Segment income                       $    202,502            $    20,656           $    182,215            $    20,374       \n Depreciation                              15,147                  1,485                 14,623                  1,294        \n Amortization                              5,586                   —                     5,221                   —            \n Other ((a))                               —                       437                   (611     )              —            \n Total adjustments                         20,733                  1,922                 19,233                  1,294        \n Adjusted segment income              $    223,235            $    22,578           $    201,448            $    21,668       \n                                                                                                                              \n Segment income margin                     28.4     %              17.2    %             28.0     %              16.7    %    \n Adjusted segment income margin            31.3     %              18.8    %             31.0     %              17.7    %    \n\n (a)      Adjustments in the nine months ended September 26, 2026 for E&RW primarily      \n          included $0.4 million of non-recurring transition costs related to the          \n          restructuring in E&RW.                                                          \n                                                                                          \n          Adjustments in the nine months ended September 27, 2025 for NAM primarily       \n          included $0.6 million of income from insurance proceeds related to flood        \n          damage associated with a hurricane at a contract manufacturing facility.        \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20261027327523/en/\n(https://www.businesswire.com/news/home/20261027327523/en/)\n\nInvestor Relations:\n\nKevin Maczka\n\ninvestor.relations@hayward.com \n(mailto:investor.relations@hayward.com) \n\n\nMedia Relations:\n\nMisty Zelent\n\nmzelent@hayward.com (mailto:mzelent@hayward.com)\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw3rpWqfa-20261028","title":"Hayward Holdings Reports Third Quarter Fiscal Year 2026 Financial Results and Increases 2026 Guidance","author":"Business Wire","ticker":"HAYW","created":"2026-10-28T11:01:00.318Z","tickers":["HAYW"],"exchange":"NYSE","article_body":"Hayward Holdings Reports Third Quarter Fiscal Year 2026 Financial Results and\nIncreases 2026 Guidance\n\nTHIRD QUARTER FISCAL 2026 SUMMARY\n\n\n * Net Sales increased 6% year-over-year to $260.1 million\n\n * Net Income increased 35% year-over-year to $32.4 million\n\n * Adjusted EBITDA* increased 9% year-over-year to $64.5 million\n\n * Diluted earnings per share (EPS) increased 36% year-over-year to $0.15\n\n * Adjusted diluted EPS* increased 29% year-over-year to $0.18\n\nHayward Holdings, Inc. (NYSE: HAYW) (“Hayward,” the “Company,”\n“we,” “us,” or “our”), a leading global specialty water management\ncompany focused on designing and manufacturing pool and outdoor living\ntechnology and industrial flow control products, today announced financial\nresults for the third quarter of fiscal year 2026, ended September 26, 2026.\nComparisons are to financial results for the prior-year third fiscal quarter.\n\nCEO COMMENTS\n\n“Hayward delivered another solid quarter, reflecting disciplined execution\nand the resilience of our installed base aftermarket business model,” said\nKevin Holleran, Hayward’s President and Chief Executive Officer. “Net\nsales increased 6% year-over-year in the quarter and 8% year-to-date, driven\nby favorable price realization and higher volumes. Data from our primary U.S.\nchannel partners indicated strong demand for Hayward products, continued\nmarket share gains, and balanced channel inventories. Our early buy program\nfor the 2027 pool season is progressing well, with orders ahead of the prior\nyear in North America. We further expanded margins and delivered double-digit\nearnings growth despite ongoing inflationary pressures. At the same time, we\nmaintained net leverage at 1.5x, the lowest level since our 2021 initial\npublic offering, while increasing capital returns through share repurchases.\nOur strong year-to-date performance and confidence in continued execution\nsupport our increased full year guidance. We remain focused on advancing our\nstrategic growth initiatives and creating long-term stockholder value.”\n\nTHIRD QUARTER FISCAL 2026 CONSOLIDATED RESULTS\n\nNet sales increased by 6% to $260.1 million for the third quarter of fiscal\n2026. The increase in net sales during the quarter was driven by positive net\nprice to offset inflation and tariffs and modest volume growth.\n\nGross profit increased by 7% to $124.7 million for the third quarter of fiscal\n2026. Gross profit margin increased by 10 basis points to 47.9% primarily due\nto a greater contribution from North America relative to Europe & Rest of\nWorld. Gross profit margin declined modestly in both segments as inflationary\npressures slightly exceeded the benefits of pricing initiatives.\n\nSelling, general, and administrative expense (“SG&A”) decreased by 3%\nto $59.4 million for the third quarter of fiscal 2026. The decrease in\nSG&A was primarily due to the absence of a non-recurring litigation\nexpense incurred in the prior-year period, partially offset by higher\nincentive compensation. As a percentage of net sales, SG&A decreased to\n22.9% for the third quarter of fiscal 2026 as compared to 25.1% in the\nprior-year period, a decrease of 220 basis points.\n\nResearch, development, and engineering expense (“RD&E”) increased by\n21% to $8.6 million for the third quarter of fiscal 2026. The increase was\nprimarily due to higher spend on new product development and new product\nperformance improvements along with increased investment in specialized\nengineering talent and capabilities. As a percentage of net sales, RD&E\nincreased to 3.3% for the third quarter of fiscal 2026 as compared to 2.9% in\nthe prior-year period, an increase of 40 basis points.\n\nOperating income increased by 22% to $50.2 million for the third quarter of\nfiscal 2026, due to the aggregated effects of the items described above.\nOperating income as a percentage of net sales was 19.3% for the third quarter\nof fiscal 2026, a 250 basis point increase compared to 16.8% in the prior-year\nperiod.\n\nInterest expense, net, decreased by 30% to $7.9 million for the third quarter\nof fiscal 2026, primarily due to lower interest rates on bank debt and\nincreased interest income on cash deposits and short-term investments.\n\nNet income increased by 35% to $32.4 million for the third quarter of fiscal\n2026. Net income margin increased by 270 basis points to 12.5%. Adjusted net\nincome* increased by 23% to $39.1 million for the third quarter of fiscal\n2026. Adjusted net income margin* increased by 200 basis points to 15.0%.\n\nAdjusted EBITDA* increased by 9% to $64.5 million for the third quarter of\nfiscal 2026 compared to $59.1 million in the prior-year period. Adjusted\nEBITDA margin* expanded by 60 basis points to 24.8%.\n\nDiluted EPS increased by 36% to $0.15 for the third quarter of fiscal 2026.\nAdjusted diluted EPS* increased by 29% to $0.18 for the third quarter of\nfiscal 2026.\n\nTHIRD QUARTER FISCAL 2026 SEGMENT RESULTS\n\nNorth America (“NAM”)\n\nNet sales rose 9% to $226.4 million in the third quarter of fiscal 2026,\nprimarily due to favorable net pricing that offset inflation and tariffs,\nalong with higher volume.\n\nSegment income increased by 12% to $61.8 million for the third quarter of\nfiscal 2026. Adjusted segment income* increased by 11% to $68.8 million.\n\nEurope & Rest of World (“E&RW”)\n\nNet sales declined 6% to $33.8 million for the third quarter of fiscal 2026,\nprimarily due to lower volume resulting from geopolitical conflicts in the\nMiddle East and a modest decrease in net price.\n\nSegment income decreased by 8% to $5.7 million for the third quarter of fiscal\n2026. Adjusted segment income* decreased by 4% to $6.4 million.\n\nBALANCE SHEET AND CASH FLOW\n\nAs of September 26, 2026, Hayward had cash and cash equivalents of $236.3\nmillion, short-term investments of $239.2 million and $422.3 million available\nfor future borrowings under its revolving credit facilities. Net cash provided\nby operating activities for the nine months ended September 26, 2026 decreased\nby $57.5 million from the nine months ended September 27, 2025. The decline in\nnet cash provided by operating activities primarily reflected the timing of\ncash collections and inventory purchases, as well as higher incremental\npayments for accrued customer rebates and incentive plans, partially offset by\nincreased net income.\n\nOUTLOOK\n\nHayward is increasing its full year 2026 guidance reflecting sales and\nearnings growth driven by solid execution across the organization, positive\nprice realization and continued technology adoption. For Fiscal Year 2026,\nHayward now expects net sales to increase approximately 5% to 6% from Fiscal\nYear 2025, compared to our prior guidance of approximately 5%. We now expect\nadjusted diluted earnings per share* of $0.86 to $0.88, an increase of\napproximately 12% to 14% from Fiscal Year 2025, compared to our prior guidance\nof $0.84 to $0.87.\n\nHayward is excited about the long-term dynamics of the pool industry. The\ninstalled base of pools increases every year, providing continued growth\nopportunities, and the Company benefits from favorable secular demand trends\nin outdoor living, sunbelt migration, and technology adoption. Hayward\ncontinues to leverage its competitive advantages and drive increasing adoption\nof its leading SmartPad™ pool equipment products both in new construction\nand the aftermarket, which represents approximately 85% of North America\nresidential pool net sales. Hayward is confident in its long-term outlook for\nprofitable growth and robust cash flow generation, driven by its technology\nleadership, operational excellence, strong brand and installed base, and\nmulti-channel capabilities.\n\nPlease see the Forward-Looking Statements section of this release for a\ndiscussion of certain risks relevant to Hayward’s outlook.\n\nCONFERENCE CALL INFORMATION\n\nHayward will hold a conference call to discuss the results today, October 28,\n2026 at 9:00 a.m. (ET).\n\nInterested investors and other parties can listen to a webcast of the live\nconference call by logging on to the Investor Relations section of the\nCompany’s website at\nhttps://investor.hayward.com/events-and-presentations/default.aspx\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Finvestor.hayward.com%2Fevents-and-presentations%2Fdefault.aspx&esheet=54629974&newsitemid=20261027327523&lan=en-US&anchor=https%3A%2F%2Finvestor.hayward.com%2Fevents-and-presentations%2Fdefault.aspx&index=1&md5=5c802c2007475c002daacc78298d579b)\n. An earnings presentation will be posted to the Investor Relations section of\nthe Company’s website prior to the conference call.\n\nThe conference call can also be accessed by dialing (877) 423-9813 or (201)\n689-8573.\n\nFor those unable to listen to the live conference call, a replay will be\navailable approximately three hours after the call through the archived\nwebcast on the Hayward website or by dialing (844) 512-2921 or (412) 317-6671.\nThe access code for the replay is 13762887. The replay will be available until\n11:59 p.m. Eastern Time on November 11, 2026.\n\nABOUT HAYWARD HOLDINGS, INC.\n\nHayward Holdings, Inc. (NYSE: HAYW) is a leading global specialty water\nmanagement company focused on designing and manufacturing pool and outdoor\nliving technology and industrial flow control products. Driven by a mission to\ntransform the experience of water, Hayward offers a comprehensive portfolio of\nenergy‑efficient and sustainable pool equipment—including pumps, heaters,\nsanitizers, filters, LED lighting, water features, and cleaners—integrated\nthrough its intuitive, IoT‑enabled SmartPad™ platform. The Company also\nprovides industrial thermoplastic valves and process control products serving\na wide range of applications.\n\nCAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS\n\nThis earnings release contains certain “forward-looking statements” within\nthe meaning of the Private Securities Litigation Reform Act of 1995 (the\n“Act”) and rules and regulations of the Securities and Exchange Commission\n(“SEC”). Forward-looking statements include, without limitation,\nstatements regarding our plans, strategies, objectives, expectations,\nintentions, outlook, expenditures, guidance, targets, and assumptions, as well\nas other statements that are not historical facts. Forward-looking statements\nare based on management’s current beliefs, assumptions, expectations, and\ninformation available at the time the statements are made. Words such as\n“anticipate,” “believe,” “continue,” “could,” “estimate,”\n“expect,” “forecast,” “intend,” “may,” “outlook,”\n“plan,” “potential,” “predict,” “project,” “seek,”\n“should,” “target,” “will,” “would” and similar expressions\nare intended to identify forward-looking statements, although not all\nforward-looking statements contain these words. These statements are made in\nreliance upon the safe harbor provisions of the Act. However, forward-looking\nstatements are subject to risks, uncertainties, and other factors, many of\nwhich are beyond our control, that could cause actual results to differ\nmaterially from those expressed or implied by such statements. Readers are\ncautioned not to place undue reliance on forward-looking statements. We\nundertake no obligation to publicly update, revise, or correct any\nforward-looking statements, whether as a result of new information, future\nevents, or otherwise, except as required by applicable federal securities\nlaws. Forward-looking statements should be read in conjunction with the risk\nfactors and other cautionary statements, including those described under the\nheading \"Risk Factors\" in our most recent Annual Report on Form 10-K and other\nfilings with the SEC.\n\nImportant factors that could cause actual results to differ materially\ninclude, but are not limited to, the following:\n\n\n * our business depends on the performance of distributors, builders, buying\ngroups, retailers and servicers;\n\n * the demand for our products may be adversely affected by unfavorable economic\nand business conditions;\n\n * we operate in markets with high levels of competition;\n\n * our future success depends on developing, manufacturing and attaining market\nadoption of new products and maintaining product quality and reliability;\n\n * our ability to keep pace with rapidly evolving technological developments and\nstandards, including artificial intelligence, and effectively develop and\ndeploy such technologies;\n\n * our results of operations and cash flows may fluctuate from quarter to\nquarter;\n\n * a loss of, or material cancellation, reduction or delay in purchases by one or\nmore of our largest customers;\n\n * our exposure to credit risk on our accounts receivable;\n\n * risks arising from our international business operations;\n\n * past growth may not be indicative of future growth;\n\n * our inability to identify, finance and complete suitable acquisitions;\n\n * negative impacts of litigation and other claims;\n\n * future impairment of our goodwill and intangible assets;\n\n * exchange rate fluctuations, cost increases and other inflation, changes in our\neffective tax rate or exposure to additional income tax liabilities;\n\n * our ability to attract, develop and retain highly qualified personnel,\nincluding key members of management;\n\n * disruptions in the financial markets;\n\n * significant disruption or breach of our technology infrastructure or that of\nour vendors or third parties, or failure to maintain the security of\nconfidential information;\n\n * difficulties in operating or implementing the new ERP system or human\nresources information system;\n\n * misuse of our technology-enabled products;\n\n * failure to maintain an effective system of internal controls;\n\n * dependence on key suppliers, including single-source suppliers and sole-source\nsuppliers;\n\n * ability to manage product inventory in an effective and efficient manner;\n\n * product manufacturing disruptions, including as a result of catastrophic or\nother events beyond our control;\n\n * tariffs and other trade restrictions and the cost of raw materials;\n\n * compliance with, and potential liabilities under, employment, environmental,\nhealth, transportation, safety and other governmental laws and regulations;\n\n * risks related to our handling of personal information;\n\n * our employees, commercial partners and vendors may engage in misconduct or\nother improper activities;\n\n * violations of the U.S. Foreign Corrupt Practices Act, the U.K. Bribery Act,\nand other anti-corruption laws;\n\n * our failure to comply with international trade compliance regulations, and\nchanges in U.S. government sanctions;\n\n * changes in laws, regulations, government policies or regulatory\ninterpretations;\n\n * climate change and legal or regulatory responses thereto, and increasing\nscrutiny from stakeholders on environmental, social and other sustainability\nmatters;\n\n * our ability to obtain, maintain and enforce our intellectual property and\nproprietary rights;\n\n * protection of our trademarks or trade names;\n\n * our reliance on access to intellectual property owned by third parties;\n\n * claims that our employees, consultants or advisors have wrongfully used or\ndisclosed alleged trade secrets or other proprietary information or claims\nasserting ownership of intellectual property that we regard as our own;\n\n * our ability to enforce our intellectual property rights in all jurisdictions;\n\n * other risks related to our indebtedness, corporate structure and ownership of\nour common stock; and\n\n * other factors described in the Risk Factors section of our Annual Report on\nForm 10-K for the year ended December 31, 2025.\n\nMany of these factors are beyond our control. If one or more of these risks or\nuncertainties materialize, or if the underlying assumptions prove incorrect,\nactual results, performance, or achievements may differ materially from those\nexpressed or implied by forward-looking statements in this earnings release.\nThe forward-looking statements included in this earnings release speak only as\nof the date of this release.\n\n*NON-GAAP FINANCIAL MEASURES\n\nThis earnings release includes certain financial measures not presented in\naccordance with the generally accepted accounting principles in the United\nStates (“GAAP”), including adjusted net income, adjusted net income\nmargin, adjusted basic EPS, adjusted diluted EPS, EBITDA, adjusted EBITDA,\nadjusted EBITDA margin, adjusted segment income and adjusted segment income\nmargin. These financial measures are not measures of financial performance in\naccordance with GAAP and may exclude items that are significant in\nunderstanding and assessing the Company’s financial results. Hayward\nbelieves these non-GAAP measures provide analysts, investors and other\ninterested parties with additional insight into the underlying trends of its\nbusiness and assist these parties in analyzing the Company’s performance\nacross reporting periods on a consistent basis by excluding items that it does\nnot believe are indicative of its core operating performance, which allows for\na better comparison against historical results and expectations for future\nperformance. Management uses these non-GAAP measures to understand and compare\noperating results across reporting periods for various purposes including\ninternal budgeting and forecasting, short and long-term operating planning,\nemployee incentive compensation, and debt compliance. These measures should\nnot be considered in isolation or as an alternative to net income, segment\nincome or other measures of profitability, performance or financial condition\nunder GAAP. You should be aware that the Company’s presentation of these\nmeasures may not be comparable to similarly titled measures used by other\ncompanies, which may be defined and calculated differently. See the appendix\nfor a reconciliation of historical non-GAAP measures to the most directly\ncomparable GAAP measures.\n\nReconciliation of full fiscal year 2026 adjusted diluted earnings per share\noutlook to diluted earnings per share is not being provided, as Hayward does\nnot currently have sufficient data to accurately estimate the variables and\nindividual adjustments for such reconciliation. The outlook for adjusted\ndiluted earnings per share for full year 2026 is calculated in a manner\nconsistent with the historical presentation of these measures, as shown in the\nappendix.\n                                                                                                                                                 \n Hayward Holdings, Inc.                                                                                                                          \n \nUnaudited Condensed Consolidated Balance Sheets                                                                                                \n \n((Dollars in thousands, except per share data))                                                                                                \n                                                                                                                                                 \n                                                                                                                                                 \n                                                                                     September 26, 2026               December 31, 2025          \n Assets                                                                                                                                          \n Current assets                                                                                                                                  \n Cash and cash equivalents                                                           $        236,250                 $       329,648            \n Short-term investments                                                                       239,186                         69,462             \n Accounts receivable, net of allowances of $1,456 and $1,931, respectively                    138,940                         280,161            \n Inventories, net                                                                             245,493                         210,739            \n Prepaid expenses                                                                             16,831                          19,500             \n Income tax receivable                                                                        —                               656                \n Other current assets                                                                         31,598                          41,080             \n Total current assets                                                                         908,298                         951,246            \n Property, plant, and equipment, net of accumulated depreciation of $140,079                  172,292                         164,560            \n and $125,807, respectively                                                                                                                      \n Goodwill                                                                                     948,466                         951,197            \n Trademark                                                                                    736,000                         736,000            \n Customer relationships, net                                                                  162,652                         178,126            \n Other intangibles, net                                                                       80,202                          88,899             \n Other non-current assets                                                                     88,685                          80,956             \n Total assets                                                                        $        3,096,595               $       3,150,984          \n Liabilities and Stockholders’ Equity                                                                                                            \n Current liabilities                                                                                                                             \n Current portion of long-term debt                                                   $        10,840                  $       13,261             \n Accounts payable                                                                             76,449                          77,007             \n Accrued expenses and other liabilities                                                       181,437                         224,222            \n Income taxes payable                                                                         4,280                           8,754              \n Total current liabilities                                                                    273,006                         323,244            \n Long-term debt, net                                                                          945,554                         943,547            \n Deferred tax liabilities, net                                                                225,643                         227,449            \n Other non-current liabilities                                                                64,286                          63,736             \n Total liabilities                                                                            1,508,489                       1,557,976          \n Stockholders’ equity                                                                                                                            \n Preferred stock, $0.001 par value, 100,000,000 authorized, no shares issued or               —                               —                  \n outstanding as of September 26, 2026 and December 31, 2025                                                                                      \n Common stock $0.001 par value, 750,000,000 authorized; 247,732,447 issued and                248                             247                \n 211,002,644 outstanding at September 26, 2026; 246,272,783 issued and                                                                           \n 217,356,414 outstanding at December 31, 2025                                                                                                    \n Additional paid-in capital                                                                   1,123,231                       1,109,522          \n Common stock in treasury; 36,729,803 and 28,916,369 at September 26, 2026 and                (481,176   )                    (363,182   )       \n December 31, 2025, respectively                                                                                                                 \n Retained earnings                                                                            952,529                         851,134            \n Accumulated other comprehensive loss                                                         (6,726     )                    (4,713     )       \n Total stockholders’ equity                                                                   1,588,106                       1,593,008          \n Total liabilities and stockholders’ equity                                          $        3,096,595               $       3,150,984          \n                                                                                                                                                 \n\n                                                                                                                                                                          \n Hayward Holdings, Inc.                                                                                                                                                   \n \nUnaudited Condensed Consolidated Statements of Operations                                                                                                               \n \n((Dollars in thousands, except per share data))                                                                                                                         \n                                                                                                                                                                          \n                                                                                                                                                                          \n                                                    Three Months Ended                                         Nine Months Ended                                          \n                                                    September 26,               September 27,                  September 26,                   September 27,              \n                                                    \n2026                       \n2025                          \n2026                           \n2025                      \n Net sales                                          $        260,134            $      244,336                 $      833,728                  $      772,780             \n Cost of sales                                               135,484                   127,635                        435,326                         403,372             \n Gross profit                                                124,650                   116,701                        398,402                         369,408             \n Selling, general and administrative expense                 59,449                    61,368                         186,307                         179,871             \n Research, development and engineering expense               8,635                     7,122                          23,063                          19,236              \n Acquisition and restructuring related expense               8                         276                            1,261                           3,767               \n Amortization of intangible assets                           6,355                     6,882                          19,082                          20,587              \n Operating income                                            50,203                    41,053                         168,689                         145,947             \n Interest expense, net                                       7,921                     11,316                         36,409                          38,617              \n Loss on debt extinguishment                                 —                         —                              2,037                           —                   \n Other expense (income), net                                 1,141                     (1,469       )                 (273         )                  (1,996       )      \n Total other expense                                         9,062                     9,847                          38,173                          36,621              \n Income from operations before income taxes                  41,141                    31,206                         130,516                         109,326             \n Provision for income taxes                                  8,722                     7,178                          29,121                          26,166              \n Net income                                         $        32,419             $      24,028                  $      101,395                  $      83,160              \n                                                                                                                                                                          \n Earnings per share                                                                                                                                                       \n Basic                                              $        0.15               $      0.11                    $      0.47                     $      0.38                \n Diluted                                            $        0.15               $      0.11                    $      0.46                     $      0.37                \n                                                                                                                                                                          \n Weighted average common shares outstanding                                                                                                                               \n Basic                                                       212,209,178               216,826,626                    215,276,635                     216,395,032         \n Diluted                                                     216,531,281               222,420,881                    219,897,633                     222,074,267         \n                                                                                                                                                                          \n\n                                                                                                                                        \n Hayward Holdings, Inc.                                                                                                                 \n \nUnaudited Condensed Consolidated Statements of Cash Flows                                                                             \n \n((Dollars in thousands))                                                                                                              \n                                                                                                                                        \n                                                                                                                                        \n                                                                            Nine Months Ended                                           \n                                                                            September 26, 2026               September 27, 2025         \n Cash flows from operating activities                                                                                                   \n Net income                                                                 $        101,395                 $        83,160            \n Adjustments to reconcile net income to net cash provided by operating                                                                  \n activities                                                                                                                             \n Depreciation                                                                        17,915                           17,026            \n Amortization of intangible assets                                                   24,668                           25,808            \n Amortization of deferred debt issuance fees                                         2,178                            2,818             \n Stock-based compensation                                                            11,466                           9,821             \n Deferred income taxes (benefit)                                                     (2,735    )                      1,949             \n Allowance for credit losses                                                         (485      )                      (1,021   )        \n Loss on debt extinguishment                                                         1,836                            —                 \n Loss on sale/disposal of property, plant and equipment                              1,144                            381               \n Other non-cash items                                                                (2,650    )                      —                 \n Changes in operating assets and liabilities                                                                                            \n Accounts receivable                                                                 140,160                          168,754           \n Inventories                                                                         (35,824   )                      (8,064   )        \n Other current and non-current assets                                                14,245                           29,913            \n Accounts payable                                                                    (508      )                      (14,002  )        \n Accrued expenses and other liabilities                                              (47,350   )                      (33,566  )        \n Net cash provided by operating activities                                           225,455                          282,977           \n                                                                                                                                        \n Cash flows from investing activities                                                                                                   \n Purchases of property, plant, and equipment                                         (28,345   )                      (19,822  )        \n Software development costs                                                          (924      )                      (1,579   )        \n Purchases of short-term investments                                                 (362,501  )                      (19,650  )        \n Proceeds from short-term investments                                                195,000                          —                 \n Net cash used in investing activities                                               (196,770  )                      (41,051  )        \n                                                                                                                                        \n Cash flows from financing activities                                                                                                   \n Proceeds from issuance of long-term debt                                            354,603                          —                 \n Payments of long-term debt                                                          (353,429  )                      (6,941   )        \n Payments of short-term notes payable                                                —                                (2,169   )        \n Debt issuance costs                                                                 (6,840    )                      (1,388   )        \n Purchase of common stock                                                            (115,313  )                      —                 \n Proceeds from issuance of common stock                                              2,243                            1,729             \n Taxes paid for net share settlement of equity awards                                (1,720    )                      (1,141   )        \n Other, net                                                                          (1,020    )                      (1,010   )        \n Net cash used in financing activities                                               (121,476  )                      (10,920  )        \n                                                                                                                                        \n Effect of exchange rate changes on cash and cash equivalents                        (607      )                      1,089             \n Change in cash and cash equivalents                                                 (93,398   )                      232,095           \n Cash and cash equivalents, beginning of period                                      329,648                          196,589           \n Cash and cash equivalents, end of period                                   $        236,250                 $        428,684           \n                                                                                                                                        \n Supplemental disclosures of cash flow information:                                                                                     \n Cash paid-interest                                                         $        39,481                  $        39,892            \n Cash paid-income taxes, net of refunds                                              34,718                           20,587            \n                                                                                                                                        \n Non-cash investing and financing activities:                                                                                           \n Accrued and unpaid purchases of property, plant, and equipment             $        1,867                   $        1,064             \n Equipment financed under finance leases                                             631                              1,866             \n Refinancing of long-term debt                                                       605,397                          —                 \n                                                                                                                                        \n\n\nReconciliations\n\nConsolidated Reconciliations\n\nNet Income and Net Income Margin to Adjusted EBITDA and Adjusted EBITDA Margin\nReconciliations (Non-GAAP)\n\nFollowing is a reconciliation from net income and net income margin to\nadjusted EBITDA and adjusted EBITDA margin:\n (Dollars in thousands)                                        Three Months Ended                                   Nine Months Ended                                  \n                                                               September 26,              September 27,             September 26,               September 27,          \n                                                               \n2026                      \n2025                     \n2026                       \n2025                  \n Net income                                                    $      32,419              $      24,028             $      101,395              $      83,160          \n Depreciation                                                         6,053                      5,509                     17,915                      17,026          \n Amortization                                                         8,240                      8,642                     24,668                      25,808          \n Interest expense, net                                                7,921                      11,316                    36,409                      38,617          \n Income taxes                                                         8,722                      7,178                     29,121                      26,166          \n EBITDA                                                               63,355                     56,673                    209,508                     190,777         \n Loss on debt extinguishment ((a))                                    —                          —                         2,037                       —               \n Stock-based compensation ((b))                                       —                          —                         —                           57              \n Currency exchange items( (c))                                        949                        (536    )                 368                         236             \n Acquisition and restructuring related expense, net( (d))             8                          276                       1,261                       3,767           \n Other( (e))                                                          203                        2,653                     437                         1,567           \n Total Adjustments                                                    1,160                      2,393                     4,103                       5,627           \n Adjusted EBITDA                                               $      64,515              $      59,066             $      213,611              $      196,404         \n                                                                                                                                                                       \n Net income margin                                                    12.5    %                  9.8     %                 12.2     %                  10.8     %      \n Adjusted EBITDA margin                                               24.8    %                  24.2    %                 25.6     %                  25.4     %      \n\n (a)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (b)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of Hayward’s Initial Public      \n          Offering (\"IPO\").                                                                \n                                                                                           \n (c)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (d)      Adjustments in the three months ended September 26, 2026 were primarily driven   \n          by $8 thousand of costs related to a restructuring action in E&RW.               \n          \n                                                                                \n          \nAdjustments in the three months ended September 27, 2025 were primarily driven  \n          by $0.3 million of costs related to restructuring actions in E&RW.               \n          Adjustments in the nine months ended September 26, 2026 were primarily driven    \n          by $0.8 million of costs related to a restructuring action in E&RW and           \n          $0.5 million of termination benefits associated with the restructuring of        \n          several teams in NAM.                                                            \n          \n                                                                                \n          \nAdjustments in the nine months ended September 27, 2025 were primarily driven   \n          by $3.3 million of transaction and integration costs associated with the         \n          acquisition of the ChlorKing business, $0.5 million of costs related to          \n          restructuring actions in E&RW and $0.2 million of separation costs for the       \n          consolidation of operations in North America, partially offset by a reduction    \n          in expense of $0.2 million to finalize the relocation of the Company's           \n          corporate office functions to Charlotte, NC from Berkeley Heights, NJ.           \n                                                                                           \n (e)      Adjustments in the three months ended September 26, 2026 primarily included      \n          $0.2 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the three months ended September 27, 2025 primarily         \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $0.2 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n          \n                                                                                \n          \nAdjustments in the nine months ended September 26, 2026 primarily included      \n          $0.4 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the nine months ended September 27, 2025 primarily          \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $1.3 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n\n\nFollowing is a reconciliation from net income and net income margin to\nadjusted EBITDA and adjusted EBITDA margin for the last 12 months:\n (Dollars in thousands)                                        Last Twelve                    Fiscal Year              \n                                                               \nMonths((f))                                            \n                                                               September 26, 2026             December 31, 2025        \n Net income                                                    $        169,805               $       151,570          \n Depreciation                                                           23,724                        22,835           \n Amortization                                                           33,311                        34,451           \n Interest expense, net                                                  48,074                        50,282           \n Income taxes                                                           36,022                        33,067           \n EBITDA                                                                 310,936                       292,205          \n Loss on debt extinguishment ((a))                                      2,037                         —                \n Stock-based compensation ((b))                                         —                             57               \n Currency exchange items( (c))                                          211                           79               \n Acquisition and restructuring related expense, net( (d))               1,380                         3,886            \n Other( (e))                                                            1,922                         3,052            \n Total Adjustments                                                      5,550                         7,074            \n Adjusted EBITDA                                               $        316,486               $       299,279          \n                                                                                                                       \n Net income margin                                                      14.4     %                    13.5     %       \n Adjusted EBITDA margin                                                 26.8     %                    26.7     %       \n\n (a)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (b)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of the IPO.                      \n                                                                                           \n (c)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (d)      Adjustments in the last 12 months ended September 26, 2026 were primarily        \n          driven by $0.8 million of costs related to restructuring actions in E&RW         \n          and $0.5 million of termination benefits associated with the restructuring of    \n          several teams in NAM.                                                            \n                                                                                           \n          Adjustments in the year ended December 31, 2025 were primarily driven by $3.1    \n          million of compensation expenses for the retention of key employees acquired     \n          in the ChlorKing acquisition. Pursuant to the ChlorKing acquisition agreement,   \n          the full amount held in escrow was released to the specified key employees if    \n          such employees were employed by Hayward on the one-year anniversary of the       \n          acquisition. These payments were contingent on continued employment and were     \n          not dependent on the achievement of any metric or performance measure. The       \n          retention costs were recognized over the 12-month period from the date of        \n          acquisition. Other adjustments for the year ended December 31, 2025 included     \n          $0.4 million of costs related to restructuring actions in E&RW, $0.3             \n          million of separation costs for the consolidation of operations in North         \n          America and $0.2 million of other acquisition and integration costs, partially   \n          offset by a reduction in expense of $0.2 million to finalize the relocation of   \n          the Company's corporate office functions to Charlotte, North Carolina from       \n          Berkeley Heights, New Jersey.                                                    \n                                                                                           \n (e)      Adjustments in the last 12 months ended September 26, 2026 were primarily        \n          driven by $1.5 million for the settlement of the securities class action         \n          litigation. Expenses beyond the total $4.3 million recognized during Fiscal      \n          Year 2025 related to this case were paid by the Company's insurance carriers     \n          pursuant to the Company's retention amount with its insurance carriers. Other    \n          adjustments included $0.4 million of non-recurring transition costs related to   \n          the restructuring in E&RW.                                                       \n                                                                                           \n          Adjustments in the year ended December 31, 2025 were primarily driven by $4.3    \n          million for the settlement of the securities class action litigation as          \n          discussed above, partially offset by $1.3 million of income from insurance       \n          proceeds related to flood damage associated with a hurricane at a contract       \n          manufacturing facility.                                                          \n                                                                                           \n (f)      Items for the last 12 months ended September 26, 2026 were calculated by         \n          adding the items for the nine months ended September 26, 2026 plus fiscal year   \n          ended December 31, 2025 and subtracting the items for the nine months ended      \n          September 27, 2025.                                                              \n\n\nNet Income, Net Income Margin and Diluted EPS to Adjusted Net Income, Adjusted\nNet Income Margin and Adjusted EPS Reconciliations (Non-GAAP)\n\nFollowing is a reconciliation of net income and net income margin to adjusted\nnet income and adjusted net income margin, and a reconciliation of earnings\nper share to adjusted earnings per share:\n (Dollars in thousands, except per share data)                      Three Months Ended                                                     Nine Months Ended                                                  \n                                                                    September 26, 2026                  September 27, 2025                 September 26, 2026                  September 27, 2025             \n Net income                                                         $        32,419                     $        24,028                    $        101,395                    $        83,160                \n Tax adjustments ((a))                                                       (551         )                      (481         )                     (809         )                      (673         )        \n Other adjustments and amortization:                                                                                                                                                                          \n Loss on debt extinguishment ((b))                                           —                                   —                                  2,037                               —                     \n Stock-based compensation ((c))                                              —                                   —                                  —                                   57                    \n Currency exchange items( (d))                                               949                                 (536         )                     368                                 236                   \n Acquisition and restructuring related expense, net( (e))                    8                                   276                                1,261                               3,767                 \n Other( (f))                                                                 203                                 2,653                              437                                 1,567                 \n Total other adjustments                                                     1,160                               2,393                              4,103                               5,627                 \n Amortization                                                                8,240                               8,642                              24,668                              25,808                \n Debt refinancing fees ((g))                                                 —                                   —                                  5,186                               —                     \n Tax effect ((h))                                                            (2,119       )                      (2,708       )                     (7,787       )                      (7,717       )        \n Adjusted net income                                                $        39,149                     $        31,874                    $        126,756                    $        106,205               \n                                                                                                                                                                                                              \n Net income margin                                                           12.5         %                      9.8          %                     12.2         %                      10.8         %        \n Adjusted net income margin                                                  15.0         %                      13.0         %                     15.2         %                      13.7         %        \n                                                                                                                                                                                                              \n Weighted average number of common shares outstanding, basic                 212,209,178                         216,826,626                        215,276,635                         216,395,032           \n Weighted average number of common shares outstanding, diluted               216,531,281                         222,420,881                        219,897,633                         222,074,267           \n                                                                                                                                                                                                              \n Basic EPS                                                          $        0.15                       $        0.11                      $        0.47                       $        0.38                  \n Diluted EPS                                                        $        0.15                       $        0.11                      $        0.46                       $        0.37                  \n                                                                                                                                                                                                              \n Adjusted basic EPS                                                 $        0.18                       $        0.15                      $        0.59                       $        0.49                  \n Adjusted diluted EPS                                               $        0.18                       $        0.14                      $        0.58                       $        0.48                  \n\n (a)      Tax adjustments for the three and nine months ended September 26, 2026           \n          reflected a normalized tax rate of 22.5% and 22.9%, respectively, compared to    \n          the Company’s effective tax rate of 21.2% and 22.3%, respectively. The           \n          Company’s effective tax rate for the three and nine months ended September       \n          26, 2026 primarily included the tax benefits resulting from stock-based          \n          compensation and interest received on an income tax refund. Tax adjustments      \n          for the three and nine months ended September 27, 2025 reflected a normalized    \n          tax rate of 24.5% and 24.5%, respectively, compared to the Company's effective   \n          tax rate of 23.0% and 23.9%, respectively. The Company’s effective tax rate      \n          for the three and nine months ended September 27, 2025 primarily included the    \n          tax benefits resulting from stock-based compensation.                            \n                                                                                           \n (b)      Adjustments in the nine months ended September 26, 2026 represents a $1.8        \n          million loss incurred as a result of the Company's debt refinancing in June      \n          2026 in connection with the entry into the Credit Agreement. The Company also    \n          incurred a $0.2 million loss on debt extinguishment as a result of the           \n          voluntary repayment of the principal balance for a portion of other bank debt    \n          in February 2026.                                                                \n                                                                                           \n (c)      Represents non-cash stock-based compensation expense related to equity awards    \n          issued to management, employees, and directors. The adjustment includes only     \n          expense related to awards issued under the 2017 Equity Incentive Plan, which     \n          were awards granted prior to the effective date of the IPO.                      \n                                                                                           \n (d)      Represents unrealized non-cash (gains) losses on foreign denominated monetary    \n          assets and liabilities and foreign currency contracts.                           \n                                                                                           \n (e)      Adjustments in the three months ended September 26, 2026 were primarily driven   \n          by $8 thousand of costs related to a restructuring action in E&RW.               \n                                                                                           \n          Adjustments in the three months ended September 27, 2025 were primarily driven   \n          by $0.3 million of costs related to restructuring actions in E&RW.               \n                                                                                           \n          Adjustments in the nine months ended September 26, 2026 were primarily driven    \n          by $0.8 million of costs related to a restructuring action in E&RW and           \n          $0.5 million of termination benefits associated with the restructuring of        \n          several teams in NAM.                                                            \n                                                                                           \n          Adjustments in the nine months ended September 27, 2025 were primarily driven    \n          by $3.3 million of transaction and integration costs associated with the         \n          acquisition of the ChlorKing business, $0.5 million of costs related to          \n          restructuring actions in E&RW and $0.2 million of separation costs for the       \n          consolidation of operations in North America, partially offset by a reduction    \n          in expense of $0.2 million to finalize the relocation of the Company's           \n          corporate office functions to Charlotte, NC from Berkeley Heights, NJ.           \n                                                                                           \n (f)      Adjustments in the three months ended September 26, 2026 primarily included      \n          $0.2 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the three months ended September 27, 2025 primarily         \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $0.2 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n                                                                                           \n          Adjustments in the nine months ended September 26, 2026 primarily included       \n          $0.4 million of non-recurring transition costs related to the restructuring in   \n          E&RW. Adjustments in the nine months ended September 27, 2025 primarily          \n          included a $2.8 million non-recurring litigation expense. Expense beyond the     \n          $2.8 million was paid by the Company's insurance carriers pursuant to the        \n          Company's retention amount with its insurance carriers. Other adjustments        \n          include $1.3 million of income from insurance proceeds related to flood damage   \n          associated with a hurricane at a contract manufacturing facility.                \n                                                                                           \n (g)      Represents non-recurring professional fees expensed as part of our credit        \n          facility refinance for the portion of debt that was accounted for as a           \n          modification.                                                                    \n                                                                                           \n (h)      The tax effect represented the immediately preceding adjustments at the          \n          normalized tax rates as discussed in footnote (a) above.                         \n                                                                                           \n\n\nReconciliation of Net Debt to Net Leverage (Non-GAAP)\n\nFollowing is a reconciliation of Net Leverage, defined as total debt less cash\nand cash equivalents and short-term investments divided by the sum of the last\ntwelve months adjusted EBITDA:\n (Dollars in thousands)                September 26, 2026          December 31, 2025     \n Term Facility, due June 23, 2033      $           960,000         $          955,000    \n Other bank debt                                   1,182                      4,826      \n Finance lease obligations                         3,715                      3,639      \n Total Debt                            $           964,897         $          963,465    \n                                                                                         \n Cash and cash equivalents                         236,250                    329,648    \n Short-term investments                            239,186                    69,462     \n Net Debt                              $           489,461         $          564,355    \n                                                                                         \n Adjusted EBITDA                                   316,486                    299,279    \n Net Leverage                                      1.5                        1.9        \n                                                                                         \n\n\nSegment Reconciliations\n\nFollowing is a reconciliation from segment income and segment income margin to\nadjusted segment income and adjusted segment income margin for the NAM and\nE&RW segments:\n (Dollars in thousands)              Three Months Ended                          Three Months Ended                      \n                                     September 26, 2026                          September 27, 2025                      \n                                     NAM                    E&RW                 NAM                    E&RW             \n Segment income                      $    61,782            $    5,733           $    55,387            $    6,247       \n Depreciation                             5,140                  486                  4,675                  441         \n Amortization                             1,885                  —                    1,760                  —           \n Other ((a))                              —                      203                  (101    )              —           \n Total adjustments                        7,025                  689                  6,334                  441         \n Adjusted segment income             $    68,807            $    6,422           $    61,721            $    6,688       \n                                                                                                                         \n Segment income margin                    27.3    %              17.0   %             26.6    %              17.3   %    \n Adjusted segment income margin           30.4    %              19.0   %             29.6    %              18.5   %    \n\n (a)      Adjustments in the three months ended September 26, 2026 for E&RW              \n          primarily included $0.2 million of non-recurring transition costs related to   \n          the restructuring in E&RW.                                                     \n                                                                                         \n          Adjustments in the three months ended September 27, 2025 for NAM primarily     \n          included $0.1 million of income from insurance proceeds related to flood       \n          damage associated with a hurricane at a contract manufacturing facility.       \n                                                                                         \n                                                                                         \n\n                                                                                                                              \n (Dollars in thousands)          Nine Months Ended                                  Nine Months Ended                         \n                                 September 26, 2026                                 September 27, 2025                        \n                                      NAM                     E&RW                  NAM                     E&RW              \n Segment income                       $    202,502            $    20,656           $    182,215            $    20,374       \n Depreciation                              15,147                  1,485                 14,623                  1,294        \n Amortization                              5,586                   —                     5,221                   —            \n Other ((a))                               —                       437                   (611     )              —            \n Total adjustments                         20,733                  1,922                 19,233                  1,294        \n Adjusted segment income              $    223,235            $    22,578           $    201,448            $    21,668       \n                                                                                                                              \n Segment income margin                     28.4     %              17.2    %             28.0     %              16.7    %    \n Adjusted segment income margin            31.3     %              18.8    %             31.0     %              17.7    %    \n\n (a)      Adjustments in the nine months ended September 26, 2026 for E&RW primarily      \n          included $0.4 million of non-recurring transition costs related to the          \n          restructuring in E&RW.                                                          \n                                                                                          \n          Adjustments in the nine months ended September 27, 2025 for NAM primarily       \n          included $0.6 million of income from insurance proceeds related to flood        \n          damage associated with a hurricane at a contract manufacturing facility.        \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20261027327523/en/\n(https://www.businesswire.com/news/home/20261027327523/en/)\n\nInvestor Relations:\n\nKevin Maczka\n\ninvestor.relations@hayward.com \n(mailto:investor.relations@hayward.com) \n\n\nMedia Relations:\n\nMisty Zelent\n\nmzelent@hayward.com (mailto:mzelent@hayward.com)\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-10-28T11:01:00.392223588Z","server_sent_at_ms":1793185260392},"received_at":"2026-10-28T11:01:00.674Z","source_url":"https://www.businesswire.com/news/home/20261027327523/en/"},"analysis":{"id":"170231","press_release_id":"182439","analysis_json":{"industry":{"label":"Machinery","sector":"Industrials"},"redFlags":["Europe & Rest of World segment sales declined 6% with segment income down 8%","Nine-month operating cash flow decreased $57.5 million year-over-year on collection timing, inventory purchases, and rebate/incentive payments","Gross margin declined modestly in both segments as inflationary pressures slightly exceeded pricing benefits"],"eventType":"earnings","narrative":"Hayward Holdings reported Q3 FY2026 net sales of $260.1 million, up 6% year-over-year, with net income up 35% to $32.4 million and diluted EPS up 36% to $0.15.\n\nNorth America led with 9% sales growth to $226.4 million on pricing and volume, while Europe & Rest of World declined 6% on geopolitical-driven volume weakness. Adjusted EBITDA rose 9% to $64.5 million with margin expansion to 24.8%, and net leverage fell to 1.5x, the lowest since the 2021 IPO, alongside $115.3 million of YTD buybacks.\n\nThe company raised full-year 2026 guidance, now expecting net sales growth of 5%-6% and adjusted diluted EPS of $0.86-$0.88, up 12%-14% year-over-year, citing strong demand, market share gains, and early 2027-season orders ahead of prior year.","sentiment":"bullish","agentHooks":{"shouldPost":true,"suggestedAngle":"Beat-and-raise with margin expansion, record-low 1.5x leverage, and accelerating buybacks — aftermarket-installed-base model delivering double-digit earnings growth."},"keyFigures":{"eps":0.15,"revenue":260100000,"guidance":"FY2026 net sales growth of ~5%-6% (raised from ~5%); adjusted diluted EPS of $0.86-$0.88, +12%-14% YoY (raised from $0.84-$0.87)","revenueYoy":"6%","customDimensions":{"net_income":32400000,"er_net_sales":33800000,"er_sales_yoy":"-6%","gross_margin":"47.9%","net_leverage":"1.5x","nam_net_sales":226400000,"nam_sales_yoy":"9%","net_income_yoy":"35%","adjusted_ebitda":64500000,"operating_income":50200000,"adjusted_ebitda_yoy":"9%","adjusted_diluted_eps":0.18,"cash_and_equivalents":236300000,"adjusted_ebitda_margin":"24.8%","short_term_investments":239200000,"revolving_credit_availability":422300000}},"quotedText":"Net sales increased 6% year-over-year in the quarter and 8% year-to-date, driven by favorable price realization and higher volumes.","namedEntities":{"people":[{"name":"Kevin Holleran","role":"President and CEO"},{"name":"Kevin Maczka","role":"Investor Relations"},{"name":"Misty Zelent","role":"Media Relations"}],"products":["SmartPad™","ChlorKing"],"companies":[{"name":"Hayward Holdings, Inc.","ticker":"HAYW"}],"dollarAmounts":[{"amount":"$260.1 million","context":"Q3 FY2026 net sales"},{"amount":"$32.4 million","context":"Q3 FY2026 net income"},{"amount":"$64.5 million","context":"Q3 FY2026 adjusted EBITDA"},{"amount":"$0.15","context":"Q3 diluted EPS"},{"amount":"$0.18","context":"Q3 adjusted diluted EPS"},{"amount":"$124.7 million","context":"Q3 gross profit"},{"amount":"$50.2 million","context":"Q3 operating income"},{"amount":"$115,313","context":"purchase of common stock, nine months ended (in thousands)"},{"amount":"$0.86 to $0.88","context":"raised FY2026 adjusted diluted EPS guidance"}]},"materialImpact":{"score":4,"reasoning":"Solid beat-and-raise quarter: net sales +6% to $260.1M, net income +35%, diluted EPS +36% to $0.15, and full-year guidance raised on both sales and adjusted EPS. Not a >10% surprise, so not a 5, but clearly market-moving for the filer."},"tickerRelevance":{"others":[],"primary":"HAYW"},"globalImportance":45,"audienceRelevance":40,"eventTypeSecondary":["guidance_update","buyback"],"importanceComponents":{"tickerTier":"mid-cap S&P constituent","eventGravity":"earnings beat with guidance raise","sectorWeight":"consumer/industrial pool equipment, moderate retail interest","householdBrandBoost":"recognized pool brand but niche consumer category","marketCapAdjustment":"mid-cap, moderate liquidity"}},"event_type":"earnings","event_type_secondary":["guidance_update","buyback"],"sentiment":"bullish","material_impact_score":4,"narrative":"Hayward Holdings reported Q3 FY2026 net sales of $260.1 million, up 6% year-over-year, with net income up 35% to $32.4 million and diluted EPS up 36% to $0.15.\n\nNorth America led with 9% sales growth to $226.4 million on pricing and volume, while Europe & Rest of World declined 6% on geopolitical-driven volume weakness. Adjusted EBITDA rose 9% to $64.5 million with margin expansion to 24.8%, and net leverage fell to 1.5x, the lowest since the 2021 IPO, alongside $115.3 million of YTD buybacks.\n\nThe company raised full-year 2026 guidance, now expecting net sales growth of 5%-6% and adjusted diluted EPS of $0.86-$0.88, up 12%-14% year-over-year, citing strong demand, market share gains, and early 2027-season orders ahead of prior year.","key_figures":{"eps":0.15,"revenue":260100000,"guidance":"FY2026 net sales growth of ~5%-6% (raised from ~5%); adjusted diluted EPS of $0.86-$0.88, +12%-14% YoY (raised from $0.84-$0.87)","revenueYoy":"6%","customDimensions":{"net_income":32400000,"er_net_sales":33800000,"er_sales_yoy":"-6%","gross_margin":"47.9%","net_leverage":"1.5x","nam_net_sales":226400000,"nam_sales_yoy":"9%","net_income_yoy":"35%","adjusted_ebitda":64500000,"operating_income":50200000,"adjusted_ebitda_yoy":"9%","adjusted_diluted_eps":0.18,"cash_and_equivalents":236300000,"adjusted_ebitda_margin":"24.8%","short_term_investments":239200000,"revolving_credit_availability":422300000}},"named_entities":{"people":[{"name":"Kevin Holleran","role":"President and CEO"},{"name":"Kevin Maczka","role":"Investor Relations"},{"name":"Misty Zelent","role":"Media Relations"}],"products":["SmartPad™","ChlorKing"],"companies":[{"name":"Hayward Holdings, Inc.","ticker":"HAYW"}],"dollarAmounts":[{"amount":"$260.1 million","context":"Q3 FY2026 net sales"},{"amount":"$32.4 million","context":"Q3 FY2026 net income"},{"amount":"$64.5 million","context":"Q3 FY2026 adjusted EBITDA"},{"amount":"$0.15","context":"Q3 diluted EPS"},{"amount":"$0.18","context":"Q3 adjusted diluted EPS"},{"amount":"$124.7 million","context":"Q3 gross profit"},{"amount":"$50.2 million","context":"Q3 operating income"},{"amount":"$115,313","context":"purchase of common stock, nine months ended (in thousands)"},{"amount":"$0.86 to $0.88","context":"raised FY2026 adjusted diluted EPS guidance"}]},"model_name":"glm-5.3-flashx","prompt_hash":"sha256:5c812bd9e28b810d","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-10-28T11:01:10.770Z","global_importance":45,"audience_relevance":40,"importance_components":{"tickerTier":"mid-cap S&P constituent","eventGravity":"earnings beat with guidance raise","sectorWeight":"consumer/industrial pool equipment, moderate retail interest","householdBrandBoost":"recognized pool brand but niche consumer category","marketCapAdjustment":"mid-cap, moderate liquidity"}},"durationMs":null,"modelName":"glm-5.3-flashx"}}