Fox Factory Holding Corp. announced on October 16, 2026, that Mike Dennison is stepping down as CEO and a member of the board, effective immediately. Independent director Douglas “Doug” Grimm has been appointed interim CEO. The board has retained Heidrick & Struggles to find a permanent successor. Grimm will remain on the board and its Transformation Committee but step down from the Audit Committee.
Fox Factory also lowered its fiscal 2026 financial outlook. Based on preliminary, unaudited figures, third-quarter net sales for the quarter ended October 2 are estimated at $336 million to $340 million, down from previous guidance of $355 million to $380 million. Adjusted EBITDA is expected to reach $38 million to $42 million, excluding approximately $12 million in IEEPA tariff refunds received during the quarter.
Fourth-quarter net sales are forecast at $287 million to $313 million, with adjusted EBITDA of $23 million to $29 million. Full-year net sales guidance has been reduced to $1.35 billion to $1.38 billion, from $1.42 billion to $1.47 billion. Full-year adjusted EBITDA is expected to reach $140 million to $150 million, excluding approximately $14 million in tariff refunds received during the second and third quarters, compared with previous guidance of $176 million to $196 million on the same basis.
The company attributed the third-quarter shortfall to lower-than-expected sales and margins at Marucci Sports before its divestiture, supply disruptions and higher operating costs in the Powered Vehicles Group, unfavorable product mix, and operational challenges in the Aftermarket Applications Group’s upfit business. Softer-than-expected bike sales in the Specialty Sports Group also contributed, but had a smaller impact.
Fox Factory completed the sale of Marucci Sports on September 25, 2026. Third-quarter net sales included approximately $33 million generated by Marucci before the transaction closed.
The company is scheduled to report its third-quarter fiscal 2026 results after market close on November 5, 2026, followed by an earnings conference call.
