Thor Industries Q4 Profit Rises - Update

(RTTNews) - Recreational vehicle maker Thor Industries Inc (THO), Thursday reported a higher profit for the fourth profit, reflecting higher demand for its motorized and towable RVs. Quarterly earnings for the quarter trumped Wall Street estimates, while revenues fell shy of expectations.

Elkhart, Indiana-based Thor Industries' fourth-quarter profit rose to $66.6 million or $1.25 per share from $58.2 million or $1.09 per share last year. On average, seven analysts polled by Thomson Reuters expected earnings of $1.23 per share for the quarter.

Sales for the fourth quarter grew 14 percent to $1.04 billion from $914.0 million last year, driven largely by double-digit sales growth at both towable and motorized RVs. Analysts had a consensus revenue estimate of $1.06 billion for the quarter.

Towable RV sales rose 11 percent to $825.5 million while motorized RV sales improved 29 percent to $217.8 million from last year.

Gross margins dropped to 14.6 percent from 15.3 percent last year, hurt by tight labor market in northern Indiana, changes in product mix and the ramp-up of production at new motorized facilities among other items.

"Given the recent successful dealer Open House in Elkhart, our current line-up of innovative products, our strong dealer relationships and upcoming initiatives to better connect with consumers, we are well positioned for continued success in fiscal 2015," said CEO Bob Martin.

THO closed Thursday's trading at $52.91, down $0.48 or 0.90%, on the NYSE.