Thor Industries, Inc. · NYSE:THO
Thor Industries — Q1 FY2024 Earnings Presentation
19 slides from Thor Industries's earnings presentation, Dec 6, 2023
Slide 1: First Quarter of Fiscal 2024 Financial Results
www.thorindustries.com FIRST QUARTER OF FISCAL 2024 FINANCIAL RESULTS
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 27 A of the Securities Act of 1933 , as amended, and Section 21 E of the Securities Exchange
Slide 3: First Quarter Fiscal 2024 Summary
FIRST QUARTER FISCAL 2024 SUMMARY FIRST QUARTER FISCAL 2024 HIGHLIGHTS ŀ Financial performance demonstrates the collective efforts of our operatin g companies to prioritize profitability in a soft demand environment in North America ▪ European segment continues to deliver year - over - year top and
Slide 4: First Quarter of Fiscal Year 2024 Recap
$3,029.1 $8,921.3 $18,070.4 $7,417.3 $5,364.5 $4,397.7 $10,444.7 $1,567.8 $670.0 $1,067.0 $2,215.1 $4,277.4 $2,864.3 $1,237.5 $1,292.1 $2,308.5 $3,348.4 $2,985.2 $3,331.2 10/31/19 10/31/20 10/31/21 10/31/22 10/31/23 European $708.2 28.3% NA Motorized $711.2 28.4% NA Towable $945.5 37.8% Other $135.9
Slide 5: North American Towable Segment
($ in Millions) First Quarter Fiscal 2024 Net Sales YOY Change Gross Profit YOY Change Gross Profit Margin YOY Change $945.5 million (28.3)% $118.0 million (39.7)% 12.5% (240) bps NORTH AMERICAN TOWABLE SEGMENT 5 Key Drivers ▪ Unit shipments decreased 13 . 0 % primarily due to a softening in current
Slide 6: North American Motorized Segment
($ in Millions) First Quarter Fiscal 2024 Net Sales YOY Change Gross Profit YOY Change Gross Profit Margin YOY Change $711.2 million (36.7)% $79.4 million (57.3)% 11.2% (530) bps NORTH AMERICAN MOTORIZED SEGMENT 6 Key Drivers ▪ Unit shipments decreased 31 . 5 % due to a softening in current consumer
Slide 7: European Segment
EUROPEAN SEGMENT Key Drivers ▪ Net sales increase driven by a 19 . 5 % increase in unit shipments and a 20 . 9 % increase in the overall net price per unit due to the total combined impact of changes in foreign currency, product mix and price ▪ Favorable foreign currency exchange impact of 10 . 0 %
Slide 8: Strong Financial Position
8 NET DEBT / TTM EBITDA (2)(3) 1.2x NET DEBT / TTM ADJUSTED EBITDA (2)(3) 1.1x STRONG FINANCIAL POSITION ($ millions) $94.0 $59.7 1QFY23 1QFY24 OPERATING CASH FLOW TOTAL LONG - TERM DEBT AS OF OCTOBER 31, 2023 (1)(3) ($ millions) LIQUIDITY AS OF OCTOBER 31, 2023 ($ millions) SELECTED FINANCIAL RATIO
Slide 9: Capital Management Priorities and Fiscal Year 2024 Actions
CAPITAL MANAGEMENT PRIORITIES AND FISCAL YEAR 2024 ACTIONS Invest in THOR’s business ▪ Capex spending of $38.2 million Pay THOR's dividend ▪ Increased regular quarterly dividend to $0.48 in October 2023 ▪ Represents 14 th 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 ▪ Modest year - over - year consolidated net sales decline driven by anticipated reductions in overall average selling prices and lower unit shipments of motorized products, partially offset by higher anticipated wholesale shipment volumes within
Slide 11: Key Takeaways
KEY TAKEAWAYS Prudent focus on operational and commercial initiatives to better position THOR and its North American dealers ahead of the calendar 2024 selling season Continued strong financial performance in our European segment driven by continued efforts of our management team, favorable price -
Slide 12: Appendix
APPENDIX 12
Slide 13: THOR Snapshot: The Global RV Industry Leader
The Global RV Industry Leader THOR SNAPSHOT (1) (1) As of July 31, 2023 Founded 1980 Headquarters Elkhart, Indiana Countries with Distribution 25+ Team Members 24,900 Countries with Manufacturing 6 Facilities Worldwide >400 Independent Dealership Locations 3,500 NET SALES BY SEGMENT (1) NET SALES BY
Slide 14: THOR's Product Leadership
THOR’S PRODUCT LEADERSHIP ( 1 ) As of calendar YTD September 30 , 2023 . Data reported by Statistical Surveys, Inc is based on official state and provincial records . This information is subject to adjustment, is continuously updated and is often impacted by delays in reporting by various states or
Slide 15: Towable RV Wholesale Market Trends
120.8 121.1 156.5 176.5 201.3 194.3 192.2 199.5 229.1 249.7 239.1 207.6 250.6 258.9 298.3 323.0 334.5 298.1 208.6 152.4 217.1 227.6 257.6 282.8 312.8 326.9 442.0 426.1 376.0 359.4 389.6 544.0 434.9 316.8 249.3 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Slide 16: Europe Retail Registrations
Europe (1) Source : European Caravan Federation; CYTD through September 30, 2023 and 2022; European retail registration data available at www.CIVD.de % Change Total CYTD September 30, 2023 2022 % Change Motorcaravans CYTD September 30, 2023 2022 % Change Caravans CYTD September 30, 2023 2022 Country
Slide 17: Consumer Trends Support Long-Term RV Industry Growth
17 Intention to RV is high Consumer satisfaction among RV owners is very strong RV Owner future purchase intent is high Interest in the RV lifestyle continues to exceed pre - pandemic levels 38 % CONSUMER TRENDS SUPPORT LONG - TERM RV INDUSTRY GROWTH Supported by Real Data from RVers 99 % 20 Million
Slide 18: Quarterly EBITDA Reconciliation
18 QUARTERLY EBITDA RECONCILIATION ($ in thousands) TTM Fiscal Quarters TTM $ 291,850 1QFY24 $ 55,033 4QFY23 $ 91,282 3QFY23 $ 119,729 2QFY23 $ 25,806 1QFY23 $ 137,423 Net Income Add Back: 94,837 20,197 22,645 26,362 25,633 22,807 Interest Expense, Net 100,814 17,549 40,631 35,722 6,912 41,848 Incom
Slide 19: Investor Relations Contact
www.thorindustries.com INVESTOR RELATIONS CONTACT Michael Cieslak, CFA mcieslak@thorindustries.com (574) 294 - 7724