Thor Q3 2020 Earnings Report
Key Takeaways
Thor Industries reported net sales of $1.68 billion for the third quarter of fiscal 2020. Net income attributable to Thor was $24.1 million, with diluted earnings per share of $0.43. The company's financial position remained strong due to management actions and a variable cost structure.
Net sales for the third quarter were $1.68 billion.
Third-quarter results include $1.04 billion in North American RV sales and $615.3 million in European RV net sales.
Gross profit margin for the third quarter was 12.2%.
Net income attributable to Thor for the third quarter was $24.1 million.
Thor
Thor
Thor Revenue by Segment
Forward Guidance
The outlook for the balance of the fiscal year and the calendar year has markedly improved with an influx of first-time buyers and dealers reporting a significant improvement in sales.
Positive Outlook
- Market indicators in North America are increasingly positive.
- Dealers reporting a significant improvement in sales from April to May.
- Restarted production in the first week of May in North America.
- Long-term outlook for future growth in retail sales remains positive in Europe.
- An influx of first-time buyers bodes well for the long-term health of the RV industry.
Challenges Ahead
- Events of this quarter were unexpected and difficult.
- COVID-19 and related governmental mandates had a significant negative impact.
- Retail consumers were under strict shelter-in-place requirements.
- Operations of independent dealers were disrupted.
- Supply constraints from chassis manufacturers and component parts vendors in Europe.
Revenue & Expenses
Visualization of income flow from segment revenue to net income