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Thor (THO) Q3 Earnings Top Estimates, Backlog Jumps 550% Y/Y

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Thor Industries, Inc. (THO - Free Report) reported third-quarter fiscal 2021 (ended Apr 30, 2021) adjusted earnings of $3.29 per share, which beat the Zacks Consensus Estimate of $2.36. This outperformance can be attributed to higher-than-anticipated revenues across all its segments. The bottom line also skyrocketed 665.1% from the year-ago profit of 43 cents per share.

This recreational vehicle (RV) maker registered revenues of $3,459.3 million for the quarter under review, topping the Zacks Consensus Estimate of $3,020 million. Moreover, the top line recorded a 105.7% year-over-year increase.

As of Apr 30, 2021, Thor — which shares space with Winnebago Industries (WGO - Free Report) , LCI Industries (LCII - Free Report) and Skyline Corporation (SKY - Free Report) — had cash and cash equivalents of $297.5 million and a long-term debt of $1,718.1 million. Consolidated backlog totaled $14.32 billion at quarter-end, representing a 550% jump from the year-ago period. Thor currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Thor Industries, Inc. Price, Consensus and EPS Surprise

Thor Industries, Inc. Price, Consensus and EPS Surprise

Thor Industries, Inc. price-consensus-eps-surprise-chart | Thor Industries, Inc. Quote

Segmental Results

North American Towable RVs: Revenues from the segment came in at $1,730 million, surging 123.7% year over year on the back of robust shipments and benefits from the Tiffin Group buyout. The top line also surpassed the Zacks Consensus Estimate of $1,427 million. Pretax profit totaled $167.7 million, up from $49.3 million recorded in the year-ago period, thanks to higher sales and improved gross profit margins. At quarter-end, total backlog of the unit was $7.43 billion, skyrocketing from $857.9 million as of Apr 30, 2020.

North American Motorized RVs: Revenues from the segment totaled $775.4 million, which reflected year-over-year growth of 193.7%, thanks to higher unit sales and the Tiffin Group buyout benefits. The top line also outpaced the consensus mark of $706 million. Pretax profit came in at $54.8 million, up from $10.9 million recorded in the year-ago period. Backlog in the segment summed $3.55 billion, jumping from $548 million as of Apr 30, 2020.

European RVs: Revenues from the segment came in at $894.2 million, up 45.3% from the year-ago period driven by higher unit shipments, favorable product mix and forex translations. The top line also beat the consensus mark of $812 million. The segment incurred a net profit of $44 million versus net loss of $0.2 million in the year-ago period. Backlog of the segment was $3.34 billion as of Apr 30, jumping from $803.5 million recorded on Apr 30, 2020.

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