Thor Reports Record Net Income, E.P.S. in Quarter; Results in Excess of Analysts' Consensus Estimates; Sales, Net Income, E.P.S. Results For 12 Months
JACKSON CENTER, Ohio, Oct. 1, 2007 -- Thor Industries, Inc. announced results for the fourth quarter and 12 months ended July 31, 2007. Net income and E.P.S. in the quarter were the highest ever and well in excess of analysts' estimates.
Net income for the quarter was a record $50,313,000, up 16% from $43,458,000 last year. E.P.S. for the quarter were 90 cents, up 17% from 77 cents last year. Sales for the quarter were $754,900,000, down 6% from $805,291,000 last year.
Net income for the 12 months was $134,731,000 compared to $163,405,000 last year. Basic E.P.S. for the 12 months were $2.42 versus $2.89 last year. Sales for the 12 months were $2,856,308,000, compared to $3,066,276,000 last year.
RV sales in the quarter were $645,429,000 versus $719,840,000 last year. Bus sales in the quarter were $109,471,000 up 28% from $85,451,000 last year. RV sales in the 12 months were $2,455,623,000 compared to $2,750,508,000 last year. Bus sales in the 12 months were a record $400,685,000 up 27% from $315,768,000 last year. RV income before tax was $63,353,000 in the quarter, down 2% from $64,549,000 last year and $190,399,000 in the 12 months, down from $255,996,000 last year. Bus income before tax in the quarter was $7,375,000 up 121% from $3,343,000 last year and $18,997,000 in the 12 months, up 103% from $9,356,000 last year. Corporate net costs were $3,065,000 in the quarter versus $1,869,000 last year and $12,536,000 in the 12 months versus $9,241,000 last year.
Cash, cash equivalents and short term investments on July 31, 2007, were a record $346.5 million, up from $264.4 million last year and we continue to have zero debt.
"Gross and net margins increased in the quarter due to improved manufacturing efficiencies, lower warranty costs, higher interest income, and a lower tax provision due to a favorable tax settlement," said Wade F. B. Thompson, Thor Chairman.
On August 2, 2007, Thor's Board of Directors approved a special dividend of $2 per share. This dividend, in addition to our regular quarterly dividend of 7 cents per share, will be paid on October 8, 2007 to stockholders of record on September 27, 2007.
"The special dividend affirms our commitment to provide all our shareholders with superior returns. Our cash will continue to build, providing us with sufficient resources to continue our internal and external growth plans," said Thompson.
Thor is the world's largest manufacturer of recreation vehicles and a major builder of commercial buses.
This release includes certain statements that are "forward looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934 as amended. These forward looking statements involve uncertainties and risks. There can be no assurance that actual results will not differ from our expectations. Factors which could cause materially different results include, among others, additional issues that may arise in connection with the findings of the completed investigation of the Audit Committee of the Board of Directors of Thor Industries, Inc. ("Thor" or the "Company") and the SEC's requests for additional information, fuel prices, fuel availability, interest rate increases, increased material costs, the success of new product introductions, the pace of acquisitions, cost structure improvements, competition and general economic conditions and the other risks and uncertainties discussed more fully in Item 1A of the Company's Annual Report on Form 10-K/A for the year ended July 31, 2006. The Company disclaims any obligation or undertaking to disseminate any updates or revisions to any change in expectation of the Company after the date hereof or any change in events, conditions or circumstances on which any statement is based except as required by law.
THOR INDUSTRIES, INC.
STATEMENT OF INCOME FOR THE 3 AND 12 MONTHS ENDED JULY 31, 2007 and 2006
$000 except per share - unaudited
3 MONTHS ENDED JULY 31
2007 % 2006 %
Net sales $754,900 $805,291
Gross profit $109,978 14.6% $112,002 13.9%
Selling, general and
administrative $45,664 6.0% $48,748 6.1%
Amortization of intangibles $265 - $237 -
Interest income (net) $3,394 .4% $2,419 .3%
Other income $220 - $587 .1%
Income before taxes $67,663 9.0% $66,023 8.2%
Taxes $17,350 2.3% $22,565 2.8%
Net income $50,313 6.7% $43,458 5.4%
E.P.S. - basic $0.90 $0.77
E.P.S. - diluted $0.90 $0.77
Avg. common shares
outstanding-basic 55,697,761 56,197,965
Avg. common shares
outstanding-diluted 55,950,360 56,576,527
THOR INDUSTRIES, INC.
STATEMENT OF INCOME FOR THE 3 AND 12 MONTHS ENDED JULY 31, 2007 and 2006
$000 except per share - unaudited
12 MONTHS ENDED JULY 31
2007 % 2006 %
Net sales $2,856,308 $3,066,276
Gross profit $363,295 12.7% $431,458 14.1%
Selling, general and
administrative $177,697 6.2% $183,926 6.0%
Amortization of intangibles $935 - $949 -
Interest income (net) $10,602 .4% $7,772 .3%
Other income $1,595 .1% $1,756 .1%
Income before taxes $196,860 6.9% $256,111 8.4%
Taxes $62,129 2.2% $92,706 3.0%
Net income $134,731 4.7% $163,405 5.3%
E.P.S. - basic $2.42 $2.89
E.P.S. - diluted $2.41 $2.87
Avg. common shares
outstanding-basic 55,665,275 56,502,865
Avg. common shares
outstanding-diluted 55,923,108 56,897,039
SUMMARY BALANCE SHEETS - JULY 31 ($000) (unaudited)
2007 2006
Cash and
equivalents $171,889 $196,136
Investments,
short term 174,575 68,237
Accounts
receivable 177,395 193,743
Inventories 168,980 183,169
Deferred income
tax and other 12,689 11,431
Total current
assets 705,528 652,716
Fixed assets 157,242 157,465
Investments -
joint ventures 2,671 2,737
Goodwill 165,663 165,663
Other assets 28,193 26,144
Total $1,059,297 $1,004,725
SUMMARY BALANCE SHEETS - JULY 31 ($000) (unaudited)
2007 2006
Current liabilities $277,199 $291,965
Other liabilities 15,767 12,911
Stockholders' equity 766,331 699,849
Total $1,059,297 $1,004,725