Camping World Holdings has reported results for the third quarter ended Sept. 30 showing that revenue increased 6.2 percent to $1.3 billion, and that gross profit increased 5.9 percent to $376.3 million. The gross margin, however, was flat at 28.7 percent.
“No RV dealer in the industry has more combined resources, experience and scale than Camping World, and our model was designed with the goal navigating through the various ups and downs of the industry and delivering long-term profitable growth,” said Marcus Lemonis, chairman and CEO. “At a time of excess channel inventory, rising input costs, rising interest rates, volatility in the stock market and uncertainty around the broader economy, we aggressively managed our RV inventory levels, controlled SG&A expenses, stayed disciplined on our pricing, and focused on margins and cash flow. This allowed us to generate more than $100 million of adjusted EBITDA in the third quarter and put us in an opportunistic buying position over the next several months.”
During the quarter, the company’s board of directors appointed Brent Moody, formerly the chief operating and legal officer, as president of the company.
Dealerships in the third quarter saw a revenue increase of 0.7 percent to $1 billion, while gross profit decreased 1.5 percent to $277 million.
Vehicle units sold increased 2.3 percent to 28,288 units, and new vehicle units sold increased 2.1 percent to 19,512 units. Meanwhile, used vehicles units sold increased 2.6 percent to 8,776 units. The average selling price per unit sold decreased 2.8 percent to $31,641.
New travel trailer units sold as a percentage of total new units sold increased 193 basis points to 67.2 percent, contributing to the decrease in average selling price per vehicle.
Same store unit volume of new vehicles decreased 4.5 percent, with towables down 1.5 percent and motorized down 19.6 percent.
New vehicle inventory per dealership decreased 12.2 percent to $6.7 million from Sept. 30, 2017.
New motorized unit inventory per dealership decreased 38.1 percent.
New towable unit inventory per dealership decreased 1.8 percent.
Retail revenue increased 52.6 percent to $184.5 million. Retail same store sales decreased 10.1 percent across the same store base of 116 Camping World RV products, parts and services stores.
As of Sept. 30, there were 129 Camping World RV products, parts and services locations, 60 Gander Outdoors locations, and 22 other retail locations.
The company closed one Gander Outdoors location in the third quarter.
