THOR Industries, Inc. · NYSE:THO
THOR Industries — Q3 FY2024 Earnings Presentation
19 slides from THOR Industries's earnings presentation, June 2024
Slide 1: Third Quarter of Fiscal 2024 Financial Results
THIRD QUARTER OF FISCAL 2024 FINANCIAL RESULTS www.thorindustries.com
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation includes certain statements that are “forward-looking” statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 193
Slide 3: Third Quarter Fiscal 2024 Summary
THIRD QUARTER FISCAL 2024 SUMMARY NET SALES GROSS MARGIN DILUTED EPS (2) $2.80B 15.1% $2.13 (1) (1) (1) (4.4)% +30 bps (4.9)% NET SALES BY SEGMENT THIRD QUARTER FISCAL 2024 HIGHLIGHTS ▪ Financial performance in line with expectations and reflects efforts to manage the near-term environment while con
Slide 4: Third Quarter Fiscal 2024 Recap
THIRD QUARTER FISCAL 2024 RECAP NORTH AMERICAN INDEPENDENT DEALER INVENTORY OF THOR PRODUCTS 135,500 113,000 105,900 NET SALES 87,900 75,000 $2.80 BILLION NET SALES (1) ($ millions) (4.4)% (3) (3) (3) (3) 4/30/20 4/30/21 4/30/22 4/30/23 4/30/24 UNIT NA Motorized Inventory Units SHIPMENTS $646.9 (3)
Slide 5: North American Towable Segment
NORTH AMERICAN TOWABLE SEGMENT ($ in Millions) Third Quarter Key Drivers Fiscal 2024 ▪ Unit shipments increased 15.1% primarily due to Net Sales $1.07 billion heightened demand for lower-cost travel trailer YOY Change (4.7)% units, which increased 28.2% over the prior-year period Gross Profit $138.1
Slide 6: North American Motorized Segment
NORTH AMERICAN MOTORIZED SEGMENT ($ in Millions) Third Quarter Key Drivers Fiscal 2024 ▪ Unit shipments decreased 20.0% due to Net Sales $646.9 million subdued current dealer and consumer demand YOY Change (18.7)% in comparison with the demand in the prior year ▪ Managed wholesale production to assi
Slide 7: European Segment
EUROPEAN SEGMENT ($ in Millions) Third Quarter Key Drivers Fiscal 2024 ▪ Net sales increase driven by a 1.5% decrease in Net Sales $931.1 million unit shipments and an 8.9% increase in the overall YOY Change 7.4% net price per unit due to the total combined impact of changes in product mix and price
Slide 8: Strong Financial Position
STRONG FINANCIAL POSITION OPERATING CASH FLOW TOTAL LONG-TERM DEBT (1) ($ millions) ($ millions) Other $60.1 $474.1 Total Long- Senior Term Debt $288.8 TLB Unsecured Notes $251.7 $703.7 $500.0 $1,263.8 $207.5 3QFY23 FY23 YTD 3QFY24 FY24 YTD Capital Expenditures ($ millions) $49.5 $150.5 $27.2 $106.1
Slide 9: Capital Management
CAPITAL MANAGEMENT PRIORITIES AND FISCAL 2024 ACTIONS Invest in THOR’s business ▪ Capex spending of $106.1 million FYTD Pay THOR's dividend ▪ Increased regular quarterly dividend to $0.48 in October 2023 th ▪ Represents 14 consecutive year of dividend increases Reduce the Company's debt obligations
Slide 10: Full-Year Fiscal 2024 Guidance
FULL-YEAR FISCAL 2024 GUIDANCE OUTLOOK ASSUMPTIONS ▪ Full-year fiscal 2024 outlook has been revised to reflect the persistence of challenging market conditions affecting North American independent dealers and consumers into the fourth quarter of fiscal 2024, resulting in reduced consolidated net sal
Slide 11: Key Takeaways
KEY TAKEAWAYS Continue to align production and wholesale shipments to reflect current cautious dealer outlook to position THOR and its North American dealers with appropriate inventories as Spring selling season concludes and we approach the 2025 model year changeover Strong financial performance in
Slide 12: Appendix
APPENDIX a =~ hy = "
Slide 13: THOR Snapshot
THOR SNAPSHOT (1) NORTH AMERICAN TOWABLE Founded 1980 Headquarters Elkhart, Indiana Countries with Distribution 25+ Team Members 24,900 NORTH AMERICAN MOTORIZED OTHER Countries with Manufacturing 6 Facilities Worldwide >400 Independent Dealership Locations 3,500 EUROPEAN (1) NET SALES BY SEGMENT NET
Slide 14: THOR's Product Leadership
THOR’S PRODUCT LEADERSHIP (2) (3) NORTH AMERICAN EUROPEAN Travel Trailers Fifth Wheels Class A Class C Class B All RV Segments CATEGORY 23.7% 39.9% 41.3% 37.1% MARKET SHARE (1) 49.4% 52.7% MARKET POSITION (1) #1 #1 #1 #1 #1 #1 (1) All retail information presented is for the CYTD period through March
Slide 15: RV Industry Overview: North America
RV INDUSTRY OVERVIEW North America RV WHOLESALE MARKET TRENDS (UNITS 000's) YTD Shipments (Units) March 2024 March 2023 Unit Change % Change 85,941 78,600 7,341 +9.3% 600.2 504.6 483.7 493.3 430.7 406.1 430.4 370.0 384.5 390.4 356.7 374.2 391.4 353.5 344.0 259.5 254.6 292.7 321.2 300.1 256.8 311.0 3
Slide 16: RV Industry Overview: Europe
RV INDUSTRY OVERVIEW Europe (1) EUROPEAN INDUSTRY UNIT REGISTRATIONS BY COUNTRY Caravans Motorcaravans Total Country Three Months Ended Three Months Ended Three Months Ended March 31, % March 31, % March 31, % 2024 2023 Change 2024 2023 Change 2024 2023 Change The Company monitors retail trends Germ
Slide 17: Consumer Trends Support Long-Term RV Industry Growth
CONSUMER TRENDS SUPPORT LONG-TERM RV INDUSTRY GROWTH Supported by Real Data from RVers Strong interest in the RV Significant growth RV Owner future RVs are a preference lifestyle by consumers in RV usage purchase intent is high for those who camp 76% 96% 95% 47% of consumers who expressed increase i
Slide 18: Quarterly EBITDA Reconciliation
QUARTERLY EBITDA RECONCILIATION ($ in thousands) TTM Fiscal Quarters 3QFY23 4QFY23 1QFY24 2QFY24 3QFY24 TTM Net Income $ 119,729 $ 91,282 $ 55,033 $ 5,326 $ 113,577 $ 265,218 Add Back: (1) Interest Expense, Net 26,362 22,645 20,197 28,229 21,830 92,901 Income Taxes 35,722 40,631 17,549 1,568 28,773
Slide 19: Investor Relations Contact
INVESTOR RELATIONS CONTACT Jeff Tryka, CFA Lambert Global jtryka@lambert.com (616) 295-2509 www.thorindustries.com