Dorman Products(NASDAQ) DORM

Dorman makes parts to fix cars and trucks when original pieces break. These parts help vehicle owners avoid expensive trips to the dealer. The company focuses on fixing vehicles that are between 7 and 14 years old.

What Dorman Sells

• Light Duty: Replacement parts for passenger cars and light trucks; accounted for 80% of net sales in Q1 2026.
• Heavy Duty: Components for large commercial trucks such as lighting and engine management; made up 11% of net sales in Q1 2026.
• Specialty Vehicle: Repair parts and accessories for all-terrain vehicles; represented 9% of net sales in Q1 2026.
• Complex Electronics: In-house designed modules used in modern vehicles to capture growth in vehicle technology.

Strategic Moves

• Introduced 936 new parts in the first quarter of 2026, including 229 that were previously unavailable in the aftermarket.
• Implemented tariff-related pricing actions during the second half of 2025 to manage rising import costs.
• Repurchased 435,174 shares of common stock for $51 million in early 2026 through an authorized share repurchase program.

What Makes Dorman Different

Dorman manages a catalog of approximately 144,000 distinct parts to maintain high availability for repair shops. The company uses an in-house engineering approach to improve upon original equipment designs that frequently fail.

Q1 2026 Financial Scorecard

• Net sales rose to $528.8 million in Q1 2026, up 4.2% from $507.7 million in Q1 2025.
• Gross profit was $190.2 million in Q1 2026, down 8.5% year-over-year due to higher tariff expenses.
• Net income reached $43.6 million in Q1 2026, a 24.3% decrease compared to $57.5 million in the prior year.
• Free cash flow hit $35.3 million in Q1 2026, down 12.3% from $40.3 million in Q1 2025.

The Bottom Line

Dorman has moved beyond basic hardware to focus on complex electronic and technical repair solutions. Its ability to supply parts previously available only from dealers supports its position in the aging vehicle market.