Thor spikes higher after strong Q1 results, 'consumers embracing RV lifestyle'
Shares of companies related to the recreational vehicle market are trading higher after Indiana-based RV giant Thor Industries (THO) reported robust financial performance for its first quarter of fiscal year 2017. WHAT'S NEW: After the close of trading last night, Thor reported a 55.9% jump in net income for the quarter to $78.7M, or $1.49 per share. Revenue for the quarter was up 65.8% to $1.71B. Thor's Q1 financial results soundly beat analyst expectations of $1.23 for EPS and $1.5B for revenue. Consolidated Recreational Vehicle backlogs more than doubled to $2.11B versus the 2016 first quarter. "Fiscal 2017 began like fiscal 2016 ended, with continued robust performance throughout the company. The strong revenue and earnings growth reflects the ongoing enthusiastic reception of our product offerings by dealers and consumers alike, as well as our ability to effectively manage our growth and integrate acquisitions successfully," said Thor CEO Bob Martin. "Starting with our Dealer Open House in September, our new products have been incredibly well received, with strong year-over-year sales and backlog growth. With continued dealer optimism and steady economic conditions, we believe 2017 will be one of the strongest years for wholesale shipments for the industry since the 1970s." The CEO added that the integration of Jayco has gone well. Jayco contributed approximately $467.1M in sales and $44.7M in gross profit in Q1. PRICE ACTION: Shares of Thor Industries are up $12.46 per share, or 13.78%, to $102.91 in midday trading. OTHERS TO WATCH: Shares of other companies related to the RV industry are also higher at midday, with Winnebago (WGO) up 0.45%, Harley-Davidson (HOG) up 0.5%, Drew Industries (DW) up 3.3%, and Patrick Industries (PATK) higher by 5.9%. THO WGO HOG DW PATK