SEC Filings

Hayward Will Pass IEEPA Tariff Refunds To U.S. Customers, Replacing A Planned Fuel Surcharge

The pool-equipment maker puts the pricing benefit at about 1.0% over six months, while nine-month operating cash flow fell to $225.5 million.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

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Hayward Will Pass IEEPA Tariff Refunds To U.S. Customers, Replacing A Planned Fuel Surcharge

Hayward Holdings, which designs and makes pool equipment and industrial flow control products, intends to pass the economic benefit of any IEEPA tariff refunds to U.S. customers, mainly by dropping a fuel surcharge it had planned, according to its 10-Q filed Wednesday. The company puts the benefit at about 1.0% of pricing over the next six months, depending on when and how much it receives.

Refunds become price relief

The filing says the refunds will chiefly replace a surcharge otherwise planned to cover higher fuel costs. The 1.0% figure could change with when refunds arrive and how large they are.

The prior quarter's filing only said Hayward "may elect or be required to return a portion." The new one states an intention.

The Supreme Court struck down certain IEEPA tariffs on February 20, 2026, the filing says, and the U.S. then announced it would use other laws to collect tariffs, plus new tariffs. Hayward says it has received refunds and may be eligible for more, but their availability, amount and timing are uncertain.

Price drives sales; cash slips

Net sales rose 7.9% to $833.7 million for the nine months, with price adding 6.6 points, volume 0.6 and currency 0.7. For the third quarter, sales rose 6.5% to $260.1 million.

Operating cash flow for the nine months fell to $225.5 million from $283.0 million. The company pointed to the timing of cash collections and inventory purchases, plus higher payments on accrued customer rebates and incentive plans, partly offset by higher net income.

Nine-month net income was $101.4 million, up from $83.2 million.

Buybacks and the business

Hayward sells mostly through distributors to pool builders and servicers, and also directly to large retailers and builders. North America made up 86% of nine-month sales.

The company spent $115.3 million on buybacks in the nine months, leaving $330.8 million under its $450 million repurchase authorization as of September 26, 2026. Hayward has a market value of $2.8 billion.

In its earnings release the same day, Hayward raised its 2026 outlook to net sales growth of about 5% to 6%, from about 5%, and adjusted diluted earnings per share of $0.86 to $0.88, from $0.84 to $0.87.

The six-month window in the filing would carry the roughly 1.0% pricing benefit into the first half of 2027.

Sources

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