Camping World Holdings, Inc. Reports First Quarter 2021 Results and Raises Full Year Guidance
Camping World Holdings, Inc. (CWH) reported a strong first quarter for 2021, with revenues up by $530.5 million to $1.558 billion. Gross profit rose to $520.5 million, marking an increase of $217.8 million and a gross margin of 33.4%. The company achieved net income of $147.4 million, up $161.6 million from the previous year, with a net income margin of 9.5%. Adjusted EBITDA also saw substantial growth, increasing to $189.3 million.
Due to this performance, CWH raised its fiscal year Adjusted EBITDA guidance from $640-$690 million to $770-$810 million.
- Revenue increased by $530.5 million to $1.558 billion.
- Gross profit rose by $217.8 million to $520.5 million, with a gross margin improvement of 395 basis points to 33.4%.
- Income from operations increased by $155.3 million to $168.6 million.
- Net income increased by $161.6 million to $147.4 million, resulting in a net income margin of 9.5%.
- Diluted earnings per share were $1.40.
- Adjusted EBITDA increased by $153.3 million to $189.3 million, with a margin of 12.2%.
- Raised fiscal year 2021 Adjusted EBITDA guidance to $770-$810 million.
- Long-lived asset impairment and restructuring costs of $3.6 million were recorded.
Camping World Holdings, Inc. (NYSE: CWH) (the “Company”), America’s Recreation Dealer, today reported results for the first quarter ended March 31, 2021.
First Quarter Operating Highlights
-
Revenue increased by
$530.5 million to$1.55 8 billion -
Gross profit increased by
$217.8 million to$520.5 million , and gross margin increased by 395 basis points to33.4% -
Income from operations increased by
$155.3 million to$168.6 million -
Net income increased by
$161.6 million to$147.4 million and included long-lived asset impairment and restructuring costs of$3.6 million related to the 2019 Strategic Shift. Net income margin was9.5% versus a net loss margin of1.4% for the first quarter of 2020 -
Diluted earnings per share of Class A common stock and adjusted earnings per share - diluted(1) of Class A common stock were each
$1.40 -
Adjusted EBITDA(1) increased by
$153.3 million to$189.3 million and adjusted EBITDA margin(1) was12.2% for the first quarter versus3.5% for the first quarter of 2020 -
Vehicle inventories decreased by
$299.6 million : new vehicle inventories were down$338.7 million and used vehicle inventories were up$39.1 million -
Products, parts, accessories and other inventories increased by
$49.6 million to$284.2 million
Marcus Lemonis, Chairman and CEO of Camping World Holdings, Inc. stated, “As a result of our financial performance during the three months ended March 31, 2021, the continued strength of our business and the confidence in our business model, we are raising our 2021 fiscal year guidance(2) of Adjusted EBITDA of
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(1) |
|
Adjusted earnings per share – diluted, adjusted EBITDA and adjusted EBITDA Margin are non-GAAP measures. For a reconciliation of these non-GAAP measures to the most directly comparable GAAP measures, see the “Non-GAAP Financial Measures” section later in this press release. A reconciliation for the Company’s Adjusted EBITDA outlook to the corresponding GAAP measures on a forward-looking basis cannot be provided without unreasonable efforts, as we are unable to provide reconciling information with respect to certain items. However, in 2021 the Company expects equity-based compensation of approximately |
(2) |
|
Prior guidance provided on February 25, 2021. |
Earnings Conference Call and Webcast Information
A conference call to discuss the Company’s first quarter 2021 financial results is scheduled for today, May 4, 2021, at 8:30 am Eastern Time. Investors and analysts can participate on the conference call by dialing (866) 548-4713 or (323) 794-2093 and using conference ID# 2210962. Interested parties can also listen to a live webcast or replay of the conference call by logging on to the Investor Relations section on the Company’s website at http://investor.campingworld.com. The replay of the conference call webcast will be available on the investor relations website for approximately 90 days.
Presentation
This press release presents historical results for the periods presented for the Company and its subsidiaries, which are presented in accordance with accounting principles generally accepted in the United States (“GAAP”), unless noted as a non-GAAP financial measure. The Company’s initial public offering (“IPO”) and related reorganization transactions (“Reorganization Transactions”) that occurred on October 6, 2016 resulted in the Company as the sole managing member of CWGS Enterprises, LLC (“CWGS, LLC”), with sole voting power in and control of the management of CWGS, LLC. Despite its position as sole managing member of CWGS, LLC, the Company had a minority economic interest in CWGS, LLC through March 11, 2021. As of March 31, 2021, the Company owned
About Camping World Holdings, Inc.
Camping World Holdings, Inc. (together with its subsidiaries) is America’s largest retailer of RVs and related products and services. Our vision is to build a long-term legacy business that makes RVing fun and easy, and our Camping World and Good Sam brands have been serving RV consumers since 1966. We strive to build long-term value for our customers, employees, and shareholders by combining a unique and comprehensive assortment of RV products and services with a national network of RV dealerships, service centers and customer support centers along with the industry’s most extensive online presence and a highly-trained and knowledgeable team of associates serving our customers, the RV lifestyle, and the communities in which we operate. We also believe that our Good Sam organization and family of programs and services uniquely enables us to connect with our customers as stewards of the RV enthusiast community and the RV lifestyle.
For more information, please visit www.CampingWorld.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements about our business plans and goals, including statements regarding strength of our business, our long-term plan and our financial outlook. These forward-looking statements are based on management’s current expectations.
These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: the COVID-19 pandemic, which has had, and could have in the future, certain negative impacts on our business; our ability to execute and achieve the expected benefits of our 2019 Strategic Shift; the availability of financing to us and our customers; fuel shortages or high prices for fuel; the success of our manufacturers; general economic conditions in our markets; changes in consumer preferences; competition in our industry; risks related to acquisitions and expansion into new markets; our failure to maintain the strength and value of our brands; our ability to manage our inventory; fluctuations in our same store sales; the cyclical and seasonal nature of our business; our dependence on the availability of adequate capital and risks related to our debt; our reliance on six fulfillment and distribution centers; natural disasters, including epidemic outbreaks; risks associated with selling goods manufactured abroad; our dependence on our relationships with third party suppliers and lending institutions; our ability to retain senior executives and attract and retain other qualified employees; risks associated with leasing substantial amounts of space; regulatory risks; data privacy and cybersecurity risks; risks related to our intellectual property; the impact of ongoing or future lawsuits against us and certain of our officers and directors; and risks related to our organizational structure.
These and other important factors discussed under the caption “Risk Factors” in our Annual Report on Form 10-K filed for the year ended December 31, 2020 and our other reports filed with the SEC could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change, except as required under applicable law. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date of this press release.
| Camping World Holdings, Inc. and Subsidiaries | |||||||||
| Consolidated Statements of Operations (unaudited) | |||||||||
| (In Thousands Except Per Share Amounts) | |||||||||
| Three Months Ended March 31, | |||||||||
2021 |
2020 |
||||||||
| Revenue: | |||||||||
| Good Sam Services and Plans | $ |
40,871 |
|
$ |
47,208 |
|
|||
| RV and Outdoor Retail | |||||||||
| New vehicles |
|
821,976 |
|
|
497,317 |
|
|||
| Used vehicles |
|
294,257 |
|
|
206,665 |
|
|||
| Products, service and other |
|
251,270 |
|
|
172,623 |
|
|||
| Finance and insurance, net |
|
138,254 |
|
|
92,456 |
|
|||
| Good Sam Club |
|
11,153 |
|
|
11,004 |
|
|||
| Subtotal |
|
1,516,910 |
|
|
980,065 |
|
|||
| Total revenue |
|
1,557,781 |
|
|
1,027,273 |
|
|||
| Costs applicable to revenue (exclusive of depreciation | |||||||||
| and amortization shown separately below): | |||||||||
| Good Sam Club Services and Plans |
|
14,424 |
|
|
21,859 |
|
|||
| RV and Outdoor Retail | |||||||||
| New vehicles |
|
643,680 |
|
|
426,442 |
|
|||
| Used vehicles |
|
223,193 |
|
|
163,793 |
|
|||
| Products, service and other |
|
154,146 |
|
|
110,269 |
|
|||
| Good Sam Club |
|
1,844 |
|
|
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FAQ
What were Camping World Holdings' revenues for Q1 2021?
Camping World Holdings reported revenues of $1.558 billion for the first quarter ended March 31, 2021.
How much did gross profit increase for Camping World in Q1 2021?
Gross profit for Camping World increased by $217.8 million to $520.5 million in Q1 2021.
What is the Adjusted EBITDA guidance for Camping World for 2021?
Camping World raised its Adjusted EBITDA guidance for 2021 to between $770 million and $810 million.
What was the net income for Camping World in the first quarter of 2021?
Camping World reported a net income of $147.4 million for the first quarter of 2021.
What was the diluted earnings per share for Camping World Holdings?
The diluted earnings per share for Camping World Holdings in Q1 2021 were $1.40.
Camping World Holdings, Inc.
NYSE:CWHCWH RankingsCWH Latest NewsCWH Stock Data
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16.64%
Auto & Truck Dealerships
Retail-auto Dealers & Gasoline Stations
United States of America
LINCOLNSHIRE
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