The largest RV dealer in North America by store count, Camping World, reported a fourth-quarter loss totaling $33.2 million.
The company reported $1.3 billion in fourth-quarter revenue, topping analysts’ estimates. Same-store used RV sales declined 7.6% in the quarter. Same-store new RV sales declined 14.1% from the fourth quarter of 2021.
“The last several years of strong performance has bolstered our confidence in the long-term prospects of our business,” Camping World Chairman and CEO Marcus Lemonis said. “In light of the short-term softening of demand and new vehicle margin compression, we recognized the need for aggressive annualized cost reductions, starting in the fall of 2022. This includes reduced headcount, the elimination or reduction of underperforming assets, locations, and business lines, while enhancing the wages and benefits of our employees.”
Full-year results were stronger. Camping World totaled $7 billion in 2022 revenue, up 0.8% from 2021. Profits totaled $351 million for the year, down 45% from 2021.
Used RV sales drove better performance. The company recorded a record $1.9 billion in used RV sales, up 11.3% from 2021. New RV revenues declined 2.2% for the year.
Notably, floorplan interest expenses in 2022 rose nearly 200% from 2021. Floorplan interest expenses rose $27.9 million to $42 million in 2022.
