Thor 4Q Earnings Increase 31%; Sales up 19%
Thor Industries Inc. Thursday (Sept. 26) reported a 19% gain in sales and a 31% increase in net income for its fiscal fourth quarter, ended July 31, buoyed by strong performance from its motorhome operations.
Highlights from the report include:
• Sales from continuing operations for the fourth quarter of fiscal 2013 were $914 million, up 19% from $769.9 million in the fourth quarter last year, based on continued strong growth in motorized recreational vehicle sales and more modest growth in towable RV sales.
• Net income from continuing operations for the fourth quarter was $55.2 million, up 35% from $40.9 million in the prior-year fourth quarter. Including the discontinued operations of Thor’s bus business, the pending sale of which was announced at the end of the fiscal year, net income for the fourth quarter was $58.2 million, up 31% from $44.4 million in the fourth quarter of fiscal 2012.
• Diluted earnings per share (EPS) from continuing operations for the fourth quarter was $1.04, up 35% from 77 cents in the fourth quarter last year. Including the discontinued operations of Thor’s bus business, diluted EPS for the fourth quarter was $1.09, up 30% from 84 cents in the fourth quarter of fiscal 2012.
• Sales from continuing operations for the fiscal year were $3.24 billion, up 23% from $2.64 billion in the prior year.
• Net income from continuing operations for the fiscal year was $151.7 million, up 36%, compared to $111.4 million in fiscal 2012. Including discontinued operations, net income for fiscal 2013 was $152.9 million, up 26% from $121.7 million in fiscal 2012.
• Diluted EPS from continuing operations for the fiscal year was $2.86, up 38% from $2.07 in the prior-year. Including discontinued operations, diluted EPS for the fiscal year was $2.88, up 27% from $2.26 in fiscal 2012.
“We are pleased to end fiscal 2013 on a positive note with continued momentum in sales and earnings,” said Bob Martin, Thor president and CEO. “The recent actions we’ve taken to divest non-core businesses and expand our RV business through acquisition leave us optimistic about the future of Thor. At the recently completed Open House in Elkhart, we were able to showcase a number of new products from all of our RV subsidiaries as well as new products from our recently acquired Livin’ Lite subsidiary, reinforcing our leadership in innovation in the RV industry.”
Segment highlights included:
• Towable RV sales were $745.8 million for the fourth quarter, up 13% from $662.1 million in the prior year period. Income before tax was $76.4 million, up 41% from $54.2 million in the fourth quarter last year, primarily as a result of higher sales volumes and ongoing efforts to improve operating efficiencies.
• Motorized RV sales were $168.2 million for the fourth quarter, up 56% from $107.8 million in the prior year fourth quarter. Income before tax was $13.5 million, up 85% from $7.3 million last year, which was driven primarily by improved product mix and increased sales volumes.
• For the full year, towable RV sales were $2.65 billion, up 16% from $2.29 billion in the prior year period. Income before tax was $205.7 million, up 29% from $159.0 million in fiscal 2012.
• Full year motorized RV sales were $591.5 million, up 67% from $353.9 million in the prior year. Income before tax was $43.9 million, up 137% from $18.5 million last year.
“Our results for the fourth quarter reflect positive outlooks on the part of dealers and consumers about our industry that form a solid foundation for Thor in the new fiscal year,” said Peter B. Orthwein, Thor executive chairman. “On this foundation, we will continue to build our business, through new product innovation, improved operating performance and opportunistic additions to our core RV business. We are focused on generating growth in sales and earnings over the coming fiscal year and believe the current industry conditions will support our efforts.”