By Denny Jacob
In the latest quarter, Thor Industries, a leading RV-maker, experienced a significant decrease in sales, particularly in its North American business. This decline can be attributed to various challenges such as inflation and higher interest rates.
Thor Industries reported a net income of $90.3 million, equivalent to $1.68 per share, for the fourth quarter ending on July 31. This reflects a decline from the previous year’s figures of $280.9 million and $5.15 per share, respectively. Analysts polled by FactSet had estimated earnings of 94 cents per share.
Moreover, the company’s sales suffered a 28% drop, amounting to $2.74 billion compared to $3.82 billion previously. Analysts had expected sales to reach $2.43 billion.
Both the North American towable RVs and motorized RVs segments experienced a significant plunge in sales. In contrast, sales of European RVs saw an increase during the same period.
Chief Executive Bob Martin attributed the challenges faced during fiscal year 2023 to several factors including higher interest rates, rising inflation, increased economic uncertainty, ongoing supply chain constraints, and geopolitical issues.