NYSE$LCII

LCI Industries · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

LCI Industries reported first quarter financial results, with diversification strategy and operational execution supporting profitability.

LCI Industries reported a decrease in net sales by 41% year-over-year to $973.3 million. Net income also decreased to $7.3 million, a 96% drop compared to the previous year. Despite these declines, the company highlighted robust content growth and margin expansion, driven by their diversification strategy and operational improvements.

  • Net sales decreased by 41% year-over-year to $973.3 million.
  • Net income decreased by 96% year-over-year to $7.3 million, or $0.29 per diluted share.
  • EBITDA decreased by 83% year-over-year to $52.5 million.
  • North American RV OEM net sales were less than 48% of total net sales for the twelve months ended March 31, 2023, showcasing continued diversification.

Headline financials

Total Revenue

$973M

Previous: $1.64B-40.8%
EPS (adj)

$0.29

Previous: $7.71-96.2%
Capital Expenditures

-$17.2M

Previous: -$42M+59.2%
Free Cash Flow

-$9.9M

Previous: $154M-106.4%
Net Income

$7.26M

Previous: $196M-96.3%
Operating Income

$20M

Previous: $270M-92.6%
Gross Profit

$186M

Previous: $464M-59.9%
Cash & Equivalents

$23.5M

Previous: $55.4M-57.7%
Total Assets

$3.21B

Previous: $3.64B-11.8%
Stock-Based Comp

$4.7M

Previous: $6.52M-28.0%

Revenue & EPS history

LCI · Revenue · Quarterly

$973M

Q1 2023-40.8%vs Q1 2022
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

LCI · $973M total across 4 segments · Q1 2023

  • Adjacent Industries OEMs
    $358M+0.6%
  • Travel Trailers and Fifth-Wheels
    $331M-65.3%
  • Aftermarket Segment
    $215M-13.2%
  • Motorhomes
    $69.6M-20.3%

Forward guidance

The company did not provide specific forward guidance for revenue or earnings. However, they anticipate continued progress on their diversification strategy and inventory reduction plan.

Tailwinds

  • Strong R&D capabilities to expand market share through product innovations.
  • Confident in the underlying strength of the outdoor lifestyle.
  • Seeing continued retail demand coming out of spring shows.
  • Continuing to fortify financial profile and reduce inventories by $300 million this year.
  • Poised to continue trajectory of strong performance and deliver substantial margin growth when RV OEM production recovers.

Headwinds

  • Challenging wholesale and OEM environments.
  • Recent overproduction within the industry.
  • Decline in automotive aftermarket sales.
  • Decrease in North American marine OEM net sales by 6% year-over-year.
  • Impact of lower RV OEM shipments.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+1.4%

Avg return

Earnings day

+1.4%

Avg return

5 days after

-0.4%

Avg return

30 days after

54%

35 / 65 earnings

Positive

+14.4%

Q2 2018

Best reaction

-13.7%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+4.9%+11.4%-10.1%
Q4 2025-0.9%-7.9%-23.8%
Q3 2025+5.7%+18.2%+25.7%
Q1 2025+6.0%+8.6%+12.4%
Q4 2024+5.7%+8.4%-14.2%
Q3 2024-3.1%-5.0%-1.5%
Q2 2024+6.8%+7.0%+9.0%
Q1 2024+8.4%+10.1%-0.7%
Q4 2023+4.5%-3.1%+6.8%
Q3 2023-2.9%-3.4%+1.9%
Q2 2023-7.1%-5.6%-12.8%
Q1 2023-5.9%-8.7%+4.8%
Q4 2022+1.2%+1.1%-7.2%
Q3 2022-13.7%-13.2%-6.6%
Q2 2022+2.7%+0.8%-10.6%
Q1 2022+0.5%+9.1%+8.1%
Q4 2021-2.2%+3.1%-8.4%
Q3 2021+5.3%+6.1%+10.9%
Q2 2021-1.2%+1.2%-3.5%
Q1 2021-2.2%-1.5%+0.6%
Q4 2020-5.6%-3.1%-4.1%
Q3 2020+3.3%+10.4%+18.2%
Q2 2020+3.9%-2.2%-9.7%
Q1 2020-7.7%-5.6%+14.1%
Q4 2019-1.6%-2.8%-34.3%
Q3 2019+2.7%+2.4%+0.1%
Q2 2019+7.3%+8.7%+1.7%
Q1 2019+3.7%+1.0%-4.1%
Q4 2018-1.3%+4.6%+0.9%
Q3 2018+13.7%+12.4%+11.6%
Q2 2018+14.4%+11.8%+5.8%
Q1 2018-1.7%-8.2%-13.1%
Q4 2017+3.3%+4.5%+0.3%
Q3 2017-3.7%-5.9%+5.8%
Q2 2017-4.1%-8.7%-4.8%
Q1 2017-6.2%-8.1%-8.9%
Q4 2016-1.9%-1.8%-7.8%
Q3 2016-1.5%+1.6%+17.9%
Q2 2016+4.2%+7.3%+14.3%
Q1 2016+10.9%
Q4 2015+5.2%
Q3 2015+0.7%
Q2 2015-4.0%
Q1 2015-2.9%
Q4 2014+11.5%
Q3 2014-1.9%
Q2 2014-5.0%
Q1 2014-0.2%
Q4 2013+6.5%
Q3 2013+3.2%
Q2 2013+5.1%
Q1 2013+1.7%
Q4 2012-7.4%
Q3 2012+0.8%
Q2 2012+11.9%
Q1 2011-1.8%
Q1 2012+3.0%
Q4 2009-0.8%
Q4 2011-0.8%
Q3 2011-3.4%
Q3 2010-3.4%
Q2 2010+4.2%
Q2 2011+4.2%
Q4 2010+4.2%
Q1 2010+14.1%

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