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Thor Industries (THO) Q1 Earnings Top Estimates, Surge Y/Y
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Thor Industries Inc. (THO - Free Report) reported first-quarter (ended Oct 31, 2016) fiscal 2017 earnings of $1.49 per share that surpassed the Zacks Consensus Estimate of $1.23. Earnings also surged 55.2% from 96 cents per share recorded in the first quarter of fiscal 2016. Net income from continuing operations increased 55.9% to $78.7 million from $50.5 million in the prior-year quarter.
Revenues rose 65.8% year over year to $1.71 billion, surpassing the Zacks Consensus Estimate of $1.52 billion. The year-over-year improvement was driven by higher sales of towable and motorized RVs, along with benefits from the Jayco’s acquisition.
Gross profit improved 55.5% to $236.8 million from $152.2 million in the first quarter of fiscal 2016. Gross profit margin was 13.9% compared to 14.8% in the year-ago quarter.
Segment Results
Sales of Towable RVs went up 62.6% year over year to $1.21 billion, driven by benefits from Jayco’s acquisition and rising sales of lower-priced travel trailers. Pre-tax income increased 49% to $94.2 million from $63.2 million in the prior-year quarter, backed by higher sales, and modest selling general and administrative expense along with gains from the sale of property. This was partially offset by increased amortization expense and purchase accounting costs.
Revenues from Motorized RVs surged 83.8% to $461.5 million from $251.1 million in the year-ago quarter. The upside was driven by strong sales of moderately priced Gas Class A and Class C motorhomes, along with the benefits from Jayco’s acquisition. Pre-tax income from the segment increased 33.6% to $28.9 million from $21.7 million a year ago.
Financial Position
Thor Industries had cash and cash equivalents of $161.7 million as of Oct 31, 2016, down from $179.3 million as of Oct 31, 2015.
Thor Industries currently holds a Zacks Rank #2 (Buy).
Other well-ranked companies in the auto space include Allison Transmission Holdings, Inc. (ALSN - Free Report) , America's Car-Mart Inc. (CRMT - Free Report) and Rush Enterprises, Inc. (RUSHA - Free Report) .
Allison Transmission has a long-term growth rate of 11%.
America's Car-Mart has a long-term growth rate of 45.50%.
Rush Enterprises, carrying a Zacks Rank #2 (Buy), has a long-term expected growth rate of 15%.
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Thor Industries (THO) Q1 Earnings Top Estimates, Surge Y/Y
Thor Industries Inc. (THO - Free Report) reported first-quarter (ended Oct 31, 2016) fiscal 2017 earnings of $1.49 per share that surpassed the Zacks Consensus Estimate of $1.23. Earnings also surged 55.2% from 96 cents per share recorded in the first quarter of fiscal 2016. Net income from continuing operations increased 55.9% to $78.7 million from $50.5 million in the prior-year quarter.
Revenues rose 65.8% year over year to $1.71 billion, surpassing the Zacks Consensus Estimate of $1.52 billion. The year-over-year improvement was driven by higher sales of towable and motorized RVs, along with benefits from the Jayco’s acquisition.
Gross profit improved 55.5% to $236.8 million from $152.2 million in the first quarter of fiscal 2016. Gross profit margin was 13.9% compared to 14.8% in the year-ago quarter.
Segment Results
Sales of Towable RVs went up 62.6% year over year to $1.21 billion, driven by benefits from Jayco’s acquisition and rising sales of lower-priced travel trailers. Pre-tax income increased 49% to $94.2 million from $63.2 million in the prior-year quarter, backed by higher sales, and modest selling general and administrative expense along with gains from the sale of property. This was partially offset by increased amortization expense and purchase accounting costs.
Revenues from Motorized RVs surged 83.8% to $461.5 million from $251.1 million in the year-ago quarter. The upside was driven by strong sales of moderately priced Gas Class A and Class C motorhomes, along with the benefits from Jayco’s acquisition. Pre-tax income from the segment increased 33.6% to $28.9 million from $21.7 million a year ago.
Financial Position
Thor Industries had cash and cash equivalents of $161.7 million as of Oct 31, 2016, down from $179.3 million as of Oct 31, 2015.
THOR INDS INC Price, Consensus and EPS Surprise
THOR INDS INC Price, Consensus and EPS Surprise | THOR INDS INC Quote
Zacks Rank
Thor Industries currently holds a Zacks Rank #2 (Buy).
Other well-ranked companies in the auto space include Allison Transmission Holdings, Inc. (ALSN - Free Report) , America's Car-Mart Inc. (CRMT - Free Report) and Rush Enterprises, Inc. (RUSHA - Free Report) .
Both Allison Transmission and America's Car-Mart sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Allison Transmission has a long-term growth rate of 11%.
America's Car-Mart has a long-term growth rate of 45.50%.
Rush Enterprises, carrying a Zacks Rank #2 (Buy), has a long-term expected growth rate of 15%.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 ""Strong Buy"" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 ""Strong Sells"" and other private research. See these stocks free >>