April – A tradition unlike any other – and so is peak season at Karavan!
We are in it – peak busy season and I want to start by thanking everyone who shows up every day to serve our customers with the most professional and quality minded attitude in the trailer business!
We closed out Q1 in a strong position — revenue ahead of plan and ahead of 2025. Despite real headwinds in labor and freight, we landed the quarter in line with our earnings expectations. That does not happen by accident. It happens because the people in this building show up and do the work. Thank you.
Q2 is where we need to prove ourselves. The efficiency improvements we have been working toward have to show up now. We operate in a price-competitive space, and our ability to absorb rising costs without passing them to customers is directly tied to how well we execute on the floor every single day. The work you do matters more this quarter than ever.
Q1 IN REVIEW — OPERATIONS
Q1 2026 represents a solid foundation to build on as we enter our busiest stretch of the year.
Revenue finished ahead of plan and ahead of the same period in 2025.
Q1 earnings landed in line with plan, despite ongoing labor and freight cost pressures.
Production ramp-up is underway as we move into peak season for big box and OEM customers.
Q2 is where we need to see efficiency gains convert into results. The cost environment is not getting easier — which means execution on the floor is the variable that matters most right now.
2026 STRATEGIC OBJECTIVES — PROGRESS UPDATE
Our five strategic objectives continue to guide our focus. Here is where we stand entering Q2:
Reduce Labor Cost: March showed meaningful improvement after a slow start to the year. This remains a priority — the gains are available, but we have to earn them every week.
Freight Cost: This one is being challenged by forces outside our walls. Global events — including disruption tied to the current conflict in the Middle East — are creating real headwinds in this space. Our response is not to make excuses; it is to find every lever available to manage costs within our control. That work is actively underway.
Quality: We are ahead of where we were at this point last year, and we are building the internal metrics that will help us drive further improvement in real time. Quality is not a department — it is everyone’s responsibility. Keep it front of mind.
Customer Experience: A new customer service tool is in implementation and on track to be fully live by end of Q2. This will give us better visibility, faster response times, and a stronger foundation for measuring how well we are serving our customers.
PEOPLE & CULTURE
Transitions
Every business goes through cycles, and part of that cycle is change in the people around us. This month, we say goodbye to two valued team members — Juan Camarena in Safety and Jill Towery in Finance. Both have made meaningful contributions to Karavan, and we are grateful for the time and dedication they brought to their roles.
I want to be clear: we are not walking into uncertainty here. We are walking into continuity.
A new Safety Manager will be joining us within the next couple of weeks. Juan is meeting with him prior to stepping away – so we are ready for a strong handoff.
Jill has spent months training her replacement, Korey, and will be returning part-time over the summer to provide additional support as we need it. The Finance function is in good hands.
These transitions are a normal part of a growing business. We planned for them, prepared for them, and we are ready.
EMPLOYEE SPOTLIGHT
Each month, we shine a light on one of our own — the people who make Karavan run. If you would like to be featured, reach out to Gail Lindsey in HR. We want to hear your story.
*** Watch for this month’s featured team member coming soon to the employee portal. ***
Our theme this year is simple: “What got us here won’t get us there.” Q1 proved we can compete. Q2 will prove we can improve.
Let’s go earn it.