Pool Corporation Reports Modest Q2 Sales Increase and Decline in First Half of 2025

Pool Corporation (POOL) reported its financial results for the second quarter and first half of 2025, revealing a modest increase in net sales and a slight rise in profitability compared to the same period in 2024. For the three months ended June 30, 2025, net sales reached $1.78 billion, a 1% increase from $1.77 billion in the prior year. Gross profit for the quarter was $535.2 million, up from $530.1 million, maintaining a gross margin of 30%. Operating income also saw a slight increase to $272.7 million from $271.5 million, while net income rose to $194.3 million, compared to $192.4 million in the previous year. Earnings per diluted share increased by 4% to $5.17, up from $4.99.

In the first half of 2025, however, net sales decreased by 1% to $2.86 billion from $2.89 billion in the same period of 2024. This decline was attributed to lower sales volumes in discretionary categories and the impact of one less selling day compared to the previous year. Gross profit for the six months was $847.5 million, down from $868.7 million, resulting in a gross margin of 29.7%, a slight decline from 30.1% in the prior year. Net income for the first half decreased by 9% to $247.8 million, with diluted earnings per share falling to $6.57 from $7.03.

Strategically, Pool Corporation has focused on expanding its product offerings and enhancing its sales center network. The company acquired distribution assets from Swimline Distributors and Shoreline Pool Distribution in 2024, adding locations in Georgia and Mississippi, respectively. As of June 30, 2025, Pool Corporation operated 451 sales centers, an increase from 448 at the end of 2024. The company continues to invest in technology and automation to improve operational efficiency and customer service.

Operationally, Pool Corporation reported a 3% increase in inventory levels to $1.33 billion, reflecting efforts to ensure product availability during peak seasons. The company’s days sales outstanding (DSO) improved to 25.8 days from 26.8 days year-over-year, indicating better receivables management. Total debt increased to $1.23 billion, primarily due to share repurchases amounting to $156.4 million in the first half of 2025. The company’s effective tax rate for the second quarter was 25.4%, slightly higher than the previous year.

Looking ahead, Pool Corporation anticipates flat sales for the full year of 2025 compared to 2024, with expectations of a 2% price contribution from inflationary product cost increases. The company aims to maintain its gross margin in line with 2024 levels and projects a 2% to 3% increase in operating expenses. The effective tax rate is expected to remain around 25%, and diluted earnings per share are projected to be between $10.80 and $11.30 for the year. Pool Corporation remains committed to returning cash to shareholders through dividends and share repurchases while continuing to explore growth opportunities.