Patrick Industries CEO Andy Nemeth said the RV supplier sees optimistic signs in the retail market to start 2025.
Patrick Industries reported fourth-quarter and full-year 2024 financial results Thursday. For the year, the company’s net sales rose 7% compared with 2023 to $3.7 billion. Profits fell 3% from 2023 to $138 million.
Nemeth said company leadership was encouraged by conversations after consumer RV shows to begin the year.
“We are feeling a lot of optimism in this space because of the discipline that has been put in,” Nemeth said, referencing RV manufacturers’ control of shipments to keep the market from being oversaturated. “From what we have heard as it relates to the consumer retail show season, there has been solid traction and the consumers are buying units.”
Patrick RV President Jeff Rodino said RV dealers remained diligent with inventory management in 2024. He said the company saw promising trends for 2025.
“While our experience suggests that RV tends to be the first of our Outdoor Enthusiast markets to improve after a down cycle,” Rodino said, “we will closely monitor the impact of interest rates and consumer confidence on all of our end markets and continue to drive our business for long-term profitable growth.”
Manufacturers continue to ship smaller and entry-level RVs to dealers but Nemeth said he believed an RV buyer that has been out of the market for a while could return mid-year.
“I think there is the lifetime RV buyer out there who sat out of the market for the last couple years because of availability and pricing,” he said. “As pricing comes back in line, interest rates have come down a little bit, we are going to see that lifetime RVer coming back into the market, which gives us that opportunity for a mid- to higher-level product.”
For the full year, Patrick’s content per wholesale RV rose 1% to $4,870. Nemeth credited the supplier’s product development for the success.
“We are really excited about the new product opportunities that we have been working on,” he said, “both from a prototyping perspective for the current model year and our Advanced Product Group, which has been very active in working with our customers.”
Fourth-quarter net sales rose 8% from the fourth quarter of 2023 to $846 million. Profits totaled $15 million in the fourth quarter, down 51.6% from the fourth quarter of 2023.
