Camping World’s third-quarter financial report disappoints investors

Investors hoped to see some sales growth for Camping World in the third-quarter financial report but results were up just 6% to $1.31 billion and weren’t good enough to satisfy even these modest expectations. Some continuing headwinds could remain for the retailer to overcome heading into the end of the year.

Adjusted net income did even worse, falling 20% to $18.2 million, and the resulting adjusted earnings of $0.49 per share was $0.12 per share less than the consensus forecast among investors, reported Motley Fool.

A new corporate structure separated out Camping World’s business into different segments. The largest, vehicle sales,  saw sluggish revenue gains of just 0.7%. Vehicle unit sales were higher by 2.3% to almost 28,300, with fairly similar gains in both new and used RVs. However, same-store sales of new RVs fell 4.5%, with motorized RVs suffering a nearly 20% plunge in comps. Average selling prices were also down nearly 3% to around $31,600, with modest gains in used vehicle prices getting outweighed by a 4% decline in new vehicle prices. New vehicle inventory levels were also sharply lower, down 12% with a particularly big drawdown of 38% in motorized unit inventory levels.

Related

2 Thoughts to “Camping World’s third-quarter financial report disappoints investors”

  1. Walter Beaird

    You are so correct. Recently I went to cw to purchase some items . As usual several employees around focusing on their job or just chitchating with each other but customer service far from their mind. Went to the front to check out female cashier and a young man . No greeting just chewing her gum waiting for me to say something. Told her about lack of customer service that I couldn’t get help, everyone too occupied to help me. The young man said, well you should have asked for help. Poor customer service . Not only do you sell product but customer service, which costs nothing but reward is greater to your business. Cw does not see it that way. Sell and move on.

  2. marty chambers

    Camping World will be destroyed under the leadership of it’s present predatory CEO.

    People are learning, many after learning they have been screwed, that CW has become nothing more than a money making machine that does not give a care about RVing, only making money off of new RV owners.

    The sell the worse of the worse, mostly Thor connected RVs. These RVs come to the dealer needing a laundry list of issues fixed that should have been fixed before they left the factory! People buy these units with the promise of quick repairs but learn that once CW gets your money they forget you exist.

    And on top of selling crap they sell it for too much money and they talk people into financing everything for 20 years. Paying for a cheap RV paying low monthly payments only means you most likely will paying for the loan for an RV that you hate and cannot sell. And for 20 years!

    I wonder how many people get underwater on their RV loan due to CW.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.