Wall Street Journal today: Rocky Road Ahead for RV Makers
Now might be a good time to look for that deal. Some key takeaways:
What drove the industry's good fortune was consumer confidence, cheap financing, affordable fuel, and a new found "hip factor". That's gone now. Rising interest rates, and steel and aluminum tariff's have kicked in. RV shipments rose till May, but by September, down 30% year over year. Thor has lost two thirds it value, and Winnebago lost 57%. Camping World lost 3/4 it's value. Thor showed a 21.3% drop in revenue and an 83.2 drop in pre-tax profit. The previous record sales spike consisted more of cheap towables, more than motorhomes. Another worry is the"glamping", a trend which brought many younger people in, could fade with changing sensibilities or financial priorities.
What drove the industry's good fortune was consumer confidence, cheap financing, affordable fuel, and a new found "hip factor". That's gone now. Rising interest rates, and steel and aluminum tariff's have kicked in. RV shipments rose till May, but by September, down 30% year over year. Thor has lost two thirds it value, and Winnebago lost 57%. Camping World lost 3/4 it's value. Thor showed a 21.3% drop in revenue and an 83.2 drop in pre-tax profit. The previous record sales spike consisted more of cheap towables, more than motorhomes. Another worry is the"glamping", a trend which brought many younger people in, could fade with changing sensibilities or financial priorities.
