Camping World Holdings, Inc. (CWH), a retailer in the recreational vehicle (RV) industry, recently announced the fourth quarter and the entire year of 2023 results, revealing positive earnings growth in 2024.
CWH, with its central operations based in Lincolnshire, is a global retailer in the recreational vehicle (RV) sector, offering RVs, accessories, and services. The company, under the renowned Camping World and Good Sam brands, has been a cornerstone in the RV community since 1966, dedicated to enhancing the RV experience for outdoor enthusiasts.
“Beginning in December, our new vehicle same-store unit growth turned positive, with January and February to date trending up from mid-single to low-double digits. We achieved our goal of significantly improving our new unit inventory position, with less than 7,500 new model year 2023 remaining as of today. We believe we are outpacing the industry with close to 80% in 2024 models currently. We believe that successful negotiations in year-over-year pricing reductions on like-for-like new units have sparked early demand and new gross margin stabilization,” Marcus Lemonis, chairman and chief executive officer of Camping World Holdings, Inc., said in a press release.
Looking ahead, CWH remains optimistic about its growth trajectory in 2024, driven by positive demand trends, strategic acquisitions, and a disciplined approach to inventory and cost management. The company plans to expand its footprint to 320 locations by 2028, reflecting its commitment to long-term growth and market leadership.
“Any reduction of new model pricing causes us to reset used vehicle values and slow down the purchases of used RV inventory while market values correct themselves. We expect this short-term maneuver to allow used vehicle volumes to improve over time, with gross margin improvement beginning in the second quarter and continuing through the balance of the year,” Lemonis said.
In a detailed year-over-year operating highlights, Camping World Holdings, Inc. (CWH) has reported a total revenue of $6.2 billion for the year, marking a decrease of 10.6% or $740.5 million. This decline was notably contrasted by a record-breaking performance in the used vehicle segment, where revenue reached $2.0 billion, an increase of 5.4% or $102.0 million. Used vehicle unit sales also reached a new high at 56,823 units, up by 10.7% or 5,498 units.
In addition, the new vehicle reached a revenue dropping to $2.6 billion, a substantial decrease of 20.2% or $651.8 million. New vehicle unit sales fell to 58,731 units, down by 16.6% or 11,698 units. The average selling price for both new and used vehicles declined by 4.3% and 4.8%, respectively, reflecting broader market pressures and pricing strategies.
For the complete full year-over-year operating highlights and fourth quarter-over-quarter operating highlights, click here.