A 27 percent increase in sales, fueled largely by sales in the RV segment, was reflected in a 25 percent boost in earnings for Drew Industries, compared to the first quarter of last year.
The company reported net income of $20.1 million for the first quarter of 2015, compared to net sales of $16.2 million for the first quarter of 2014, and responding to a 29 percent growth in sales to the company’s RV segment, which made up 93 percent of sales in the quarter.
RV segment net sales growth was primarily due to an 8 percent increase in industry-wide wholesale shipments of travel trailer and fifth wheel RVs, Drew’s primary RV market, as well as increased content per unit through market share gains.
The acquisitions completed by the company in 2014 and the first quarter of 2015 also added $18 million in net sales in the first quarter of 2015, all of which related to Drew’s RV segment. Further, the company organically increased sales to adjacent industries and the aftermarket.
The company’s content per travel trailer and fifth wheel RV for the 12 months ended March 31 increased by $192, or 7 percent, to $2,923, compared to content per travel trailer and fifth wheel RV for the 12 months ended March 31, 2014, of $2,731.
“With the strong underlying demand for our products in the first quarter of 2015, we achieved record net sales, the highest level for any quarter in Drew’s history,” Drew CEO Jason Lippert said. “The industries we serve continue to grow, which, when coupled with our recent acquisitions, new products and market share gains, have led to the significant increase in our net sales for the first quarter of 2015.”