POOL CORP (NASDAQ:POOL) Stock Dips on Q3 2025 Revenue Miss Despite In-Line Earnings

Recent Performance

POOL CORP (NASDAQ:POOL) is trading lower in pre-market activity following the release of its third-quarter 2025 earnings report. The market's immediate reaction suggests a degree of disappointment, despite the company delivering results that were largely in line with Wall Street's expectations on key profitability metrics. The negative pre-market movement stands in contrast to the stock's relatively flat performance over the past week, indicating that investor sentiment is being driven specifically by the new earnings data.

Q3 2025 Earnings Versus Estimates

The company's financial results for the quarter present a mixed picture when held against analyst forecasts. While profitability met expectations, the top-line revenue figure came in slightly below what the market was anticipating.

• Revenue: The company reported net sales of $1.45 billion, which represents a modest year-over-year increase of approximately 1%. However, this figure fell short of the analyst consensus estimate of $1.48 billion.
• Earnings Per Share (EPS): On a non-GAAP basis, POOL CORP reported earnings of $3.39 per share. This was nearly in line with the estimate of $3.46, indicating that the company maintained strong control over its profit margins despite the revenue miss.

Company Outlook and Future Estimates

A significant takeaway from the earnings announcement was the company's confirmation of its annual earnings guidance. This suggests that management remains confident in its full-year performance and strategic direction, potentially viewing the Q3 revenue shortfall as an isolated event rather than a new trend. Looking ahead, analysts have already established expectations for the upcoming quarter and the full year, providing a benchmark for future performance.

• Q4 2025 Analyst Estimates: For the next quarter, analysts are projecting sales of $1.02 billion and earnings per share of $0.99.
• Full-Year 2025 Analyst Estimates: For the entire fiscal year, the consensus estimates point towards sales of $5.42 billion and earnings per share of $11.15.

Press Release Summary

The core announcement from POOL CORP highlighted several key operational achievements beyond the headline revenue and profit numbers. The company reported that the slight sales increase followed a pattern of growth established in the previous quarter. A notable positive was the expansion of its gross margin to 29.6%, which improved by 50 basis points compared to the third quarter of 2024. This margin resilience is a critical factor that likely helped the company meet its EPS target even with softer-than-expected revenue.

Market Reaction and Context

The negative price action in pre-market trading appears to be a direct response to the revenue miss. In a market environment where investors often reward companies that exceed expectations on all metrics, merely meeting profit estimates while missing on sales can be perceived as a minor setback. The reaffirmed full-year guidance may be acting as a mitigating factor, preventing a more severe sell-off. The broader context, including news of Berkshire Hathaway's investment, provides a long-term bullish narrative for some investors, but the short-term price movement is being dictated by the specific details of the Q3 report.

For a detailed look at historical earnings and future analyst estimates for POOL CORP, you can review the data here.

---

Disclaimer: This article is for informational purposes only and does not constitute financial advice or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.