Latham Group, Inc. (Nasdaq: SWIM), the largest designer, manufacturer, and marketer of in-ground residential swimming pools in North America, Australia, and New Zealand, appoints Sean Gadd as the company’s new President and Chief Executive Officer as part of a CEO transition that will take effect on January 5, 2026. The appointment follows a comprehensive search as part of a succession planning process led by the Board and current CEO Scott Rajeski, who will be retiring from Latham and will serve as a special advisor to the company.

Sean Gadd comes to Latham following a 21-year career at James Hardie. He most recently served as President of North America since 2022, where he has had full P&L responsibility for James Hardie’s largest regional business. Prior to his role as President of North America, Sean served as Executive Vice President, North America, Commercial (2018-2022) and Executive Vice President, Markets and Segments, North America (2015-2018) at James Hardie, leading the front end of the business across product, marketing, and sales. Sean has been instrumental in spearheading James Hardie’s substantial organic net sales growth since 2022, driving material conversion and deeper market penetration through a refined go-to-market strategy targeting end-users via channel partners. Sean brings experience that is directly comparable to Latham’s material conversion and Sand State initiatives, and his demonstrated success in driving strategic growth will be invaluable for Latham and its shareholders.

James E. Cline, Chairman, commented, “Sean is known as a strong leader and brand-builder and has an impressive track record of driving growth at James Hardie. We are thrilled that he has accepted the CEO role at Latham, and the Board believes Sean will be able to leverage his robust commercial experience, sector knowledge, and branding expertise to accelerate our ability to continue to gain share and further the conversion to fiberglass from concrete pools.”

“I am pleased to be joining Latham and am looking forward to building on its achievements to date. This is an excellent opportunity for me to utilize my experience in the building products category to drive further market penetration and adoption of Latham’s top-quality products and greater recognition for its superior service standards,” Mr. Gadd commented.

Mr. Gadd will also become a member of Latham’s Board of Directors, replacing Mr. Rajeski, who is resigning from the Board concurrently with his retirement.

Mr. Cline commented, “On behalf of the Board of Directors, I want to express our deep appreciation for the contributions that Scott Rajeski has made to Latham during his long tenure at the company, first as Chief Financial Officer and, since 2017, as President and Chief Executive Officer. Under his leadership and that of his executive and operating teams, the company went public in April of 2021 and has experienced substantial growth, demonstrated resilience within a difficult industry environment, and built a strong financial position.”

Mr. Rajeski noted, “It has been a privilege to serve as the President & CEO of Latham alongside the talented executive and operating teams that we have at the company. Together, we have advanced the awareness and adoption of fiberglass pools and autocovers, while implementing production and related efficiencies that have streamlined our operations. I am proud to be retiring as CEO of Latham with the company in a strong financial position and in very capable hands. Throughout my conversations with Sean, I have been very impressed with his leadership capabilities and background, and I am confident that he will bring a unique skillset that will allow Latham to continue to outperform the industry, gain further traction in the important Sand States, and remain an acquirer of choice.”

About Latham Group, Inc.

Latham Group, Inc., headquartered in Latham, NY, is the largest designer, manufacturer, and marketer of in-ground residential swimming pools in North America, Australia, and New Zealand. Latham has a coast-to-coast operations platform consisting of approximately 1,850 employees across around 30 locations.

Results from the PHTA Q3 2025 Quarterly Pulse Survey

(Alexandria, VA) – The Pool & Hot Tub Alliance (PHTA), the trade association representing the swimming pool, hot tub, and spa industry, today released the results of its Q3 2025 Quarterly Pulse Survey, providing a strategic snapshot of the industry’s performance compared to the same period last year. The data confirms a resilient market, driven by stability in the service sector, but highlights ongoing challenges related to profitability and economic headwinds.

Key Performance Highlights (Q3 2025 vs. Q3 2024)

• Total Revenue Growth Maintained: The typical business across Building/Remodeling; Service, Maintenance, and Repair; and Retailers reported Total Revenue increased somewhat (+1% to +5%).
• Service Leads the Way: The service segment continues to be the primary engine of growth. 55% of companies reported an increase in the Volume of Service Calls, and the Service, Maintenance, and Repair segment was the only sector to report an increase in Bottom-Line Profits (+1% to +5%).
• New Construction Softens: Activity in new project installation remains mixed. 44% of companies reported an increase in Revenue from New Pools/Spas, but a significant 37% reported a decrease, signaling a clear cooling trend in new construction compared to the post-pandemic surge years.
• Remodel Work is Strong: 42% of companies reported an increase in Revenue from Remodel Jobs, with only 21% reporting a decrease, underscoring the shift in consumer spending toward improving existing assets and finding various sources of equity to tap into for that work.

Profitability and Outlook: The Cost Squeeze

Despite seeing revenue gains, the survey data reflects the financial reality of the current economic environment:

• Profit Margins Stagnate: Bottom-Line Profits for the Building/Remodeling and Retailer segments were Largely Unchanged (+1% to -1%), indicating that high material costs and inflation are absorbing revenue gains.
• Top Challenges: The industry’s primary concerns are firmly rooted in the economy: 70% cited Economic Factors (inflation, interest rates, consumer spending) as a top challenge, followed by Maintaining Profitability (62%) and the persistent issue of Recruiting and Retaining Skilled Employees (47%).

“The Q3 results clearly demonstrate the industry’s ability to pivot,” says Jeff Henriksen, PHTA Vice President of Industry Affairs & Research. “While interest rates and economic uncertainty continue to pressure new construction, our members are successfully leaning into the stability and higher margins of the service and remodel markets. The challenge now is to translate top-line revenue growth into bottom-line profit growth by managing persistent input costs.”

Future Outlook: Cautious Confidence

The industry remains confident in its future adaptability:

• Positive Future Outlook: 69% of companies anticipate revenue growth over the next 12 months (up from 68% last quarter).
• Adaptability: 77% of companies feel they are well positioned to adapt and thrive in the face of industry disruptions.

The PHTA Quarterly Pulse Survey tracks the pool and hot tub industry’s performance and outlook. Sponsored by PHTA and conducted by Industry Insights, the survey provides vital data to help businesses navigate industry trends.

For more information, please visit phta.org/research or contact Jeff Henriksen at [email protected] or 703-838-0083, ext. 148.

About the Pool & Hot Tub Alliance
The Pool & Hot Tub Alliance (PHTA), a non-profit organization with over 4,000 members from around the world, was established in 1956 to support, promote, and protect the common interests of the $62B pool, hot tub, and spa industry. PHTA provides education, advocacy, standards development, research, and market growth initiatives to increase our members’ professionalism, knowledge, and profitability. Additionally, PHTA promotes the use of pools by expanding swimming, water safety, and related research and outreach activities aimed at introducing more people to swimming, making swimming environments safer, and keeping pools open to serve communities. For more information, visit www.phta.org.

Florida has always been one of the strongest performing markets in the pool industry. When Florida grows, the rest of the pool world feels it. When Florida slows, that slowdown echoes across every major pool market in the country. With permit data now available through September, we finally have a complete view of how the state is performing year-to-date — and what the numbers reflect is a market still cooling, but in a steady and predictable way.

When measuring true year-to-date performance from January through September, Florida recorded 21,268 permits for 2025 compared to 21,908 during the same period in 2024. That’s a decline of 640 permits, or –2.92% YOY.

This marks the third consecutive year of softening permit activity since the highs of the pandemic boom. But the pace of the decline, and the underlying factors behind it, tell a far more balanced story than simply calling it a slump.

📊 Florida Pool Permit Data Overview (Jan 2024 – Sep 2025)

Month-by-month YOY totals sourced directly from Florida Pool Pro Magazine & HB Weekly.

📈 Top 10 Counties with the Biggest YOY Increases

📉 Top 10 Counties with the Sharpest YOY Declines

A Market Cooling, But Much Less Than Expected

The COVID surge pushed the industry to extraordinary highs. Builders saw unprecedented demand and permit numbers that were never meant to be the new normal. With rising rates and higher construction costs, some cooling was predictable as the market settled into a more sustainable rhythm.

Many analysts predicted sharp declines in the 10% range for 2025.

Instead, Florida is hovering just under a 3% decline year-to-date, and several months posted meaningful year-over-year growth:

February 2025: +16.97%
March 2025: +16.76%
May 2025: +11.89%
July 2025: +16.24%
September 2025: +1.58%

These gains counterbalance weaker months, showing a market that has stayed resilient despite challenging economic conditions.

The only true outliers pulling the year down are the months of April and August.

A Weak Spring and a Soft End to Summer

If there were two stretches that really weighed on Florida’s 2025 permit numbers, it was a weak spring and a soft end to summer.

April 2024: 2,850 permits
April 2025: 2,218 permits
Difference: –632 permits
Drop: –22.2%

August 2024: 2,898 permits
August 2025: 2,269 permits
Difference: –629 permits
Drop: –21.7%

Industry veterans know that a couple of bad months don’t define a year. But the fact is, a dip during those two traditionally big pool months dragged down the curve for the reporting period. A weak spring and a soft end to summer were enough to tip the scales, keeping 2025 in negative territory despite steady performance across most other months.

Why Florida’s Market Remains Fundamentally Strong

Despite the mild 2.92% YTD dip, on-the-ground activity tells a different story. Builders, service companies, and renovation specialists across the state are staying busy.

Here’s why:

Renovation Work Is Robust

Even if homeowners aren’t building new pools, they’re investing in:

1. Pool resurfacing
2. Pool equipment upgrades
3. New tile and coping
4. Pool automation
5. Pool remodeling

The renovation market continues to prop up revenue and stabilize contractor schedules even as new pool construction projects continue to cool in 2025.

High-End Construction Hasn’t Slowed

Florida’s high-end residential pool market — especially in counties like Miami-Dade, Palm Beach, Lee, Sarasota and Collier — continues to show resilient demand. Miami-Dade posted a roughly +22% increase in permits year-over-year, Lee moved about +13%, Sarasota climbed about +11%.

Population Growth Continues

Florida remains one of the top inbound migration states. More residents = more long-term pool demand. That pipeline remains extremely healthy.

Swimming Pools Still in High Demand

A slowdown could be driven by hesitation, but it is certainly not a lack of desire. Swimming pools still rank high on homeowners’ wish lists; roughly 15% of the homes in the state of Florida have a pool.

Final Thoughts

Economic Headwinds Are Real — But Not Overwhelming

The factors shaping today’s environment are challenging but aren’t going away quickly:

1. Interest rates remain elevated
2. Construction costs remain high
3. Insurance premiums are a major pressure point
4. Homeowners are more cautious

Florida’s pool industry enters 2026 on steadier footing than many expected. Even with the current market conditions, permits are down less than 3% for the year — a far better outcome than the double-digit drop analysts were bracing for.

Looking ahead, 2026 has room for quiet but meaningful growth. Even a modest improvement in rates could unlock a wave of buyers who have been waiting for the right moment, and continued in-migration keeps Florida’s long-term demand solid. Homeowners are still building, still upgrading, and still prioritizing their outdoor spaces — just with more intention than in the frenzy years.