Camping World Shares Surge 7% After Beating Third Quarter Earnings Expectations

NEW YORK - Camping World Holdings Inc. (NYSE:CWH) shares rose 7.4% in after-hours trading on Monday after the recreational vehicle retailer reported third-quarter earnings and revenue that surpassed analyst expectations. The Lincolnshire, Illinois-based company announced adjusted earnings of $0.13 per share, exceeding the $0.11 analyst estimate. Revenue came in at $1.7 billion, exceeding analysts’ forecast of $1.64 billion.

Camping World’s combined same-store sales for new and used vehicles turned positive for the first time in 10 quarters. New vehicle sales increased by 31.2% year-over-year to 19,943 units, while used vehicle sales fell by 17.9% to 14,065 units.

Camping World’s Chairman and CEO Marcus Lemonis stated, “Our record-level share of the new vehicle market is a direct result of our unwavering focus on product development and competitive pricing. The trends in our same-store sales volume since the beginning of October are very encouraging to me; while used vehicles remain flat compared to last year, new vehicles continue to show double-digit percentage growth.”

Total gross profit fell by 4.7% year-over-year to $498.5 million, with the gross profit margin decreasing by 134 basis points to 28.9%. The company attributed this decline primarily to lower average selling prices for both new and used vehicles.

Camping World maintained its quarterly dividend of $0.125 per share for Class A common stock. The company completed the quarter with 207 retail locations, reflecting a net decrease of two stores compared to the previous year.