In its preliminary, unaudited financial results for the fourth quarter of 2022, Lippert expects net sales in the fourth quarter of 2022 to be in the range of $890 million to $900 million, with a loss per diluted share to be in the range of $0.62 to $0.73, as a result of a downturn in the market and RV OEMs reducing production more than expected.
Commenting on these results, Jason Lippert, LCI Industries’ President and Chief Executive Officer, said: “During the fourth quarter, RV OEMs made larger-than-anticipated adjustments to production levels by taking a collective month of production down in order to normalize inventories as retail demand slowed, which had an adverse impact on our results. In response, we moved quickly to align our operations and manufacturing costs to current market conditions in order to support profitability in 2023, and as a result, we incurred severance-related and inventory reserve costs in the fourth quarter.”
“Despite these near-term impacts, we believe that our core RV demographics remain strong, and that RV dealer inventories are starting to come down. We anticipate RV OEM production to return to run rates more consistent with 2019 levels in the back half of 2023."
"The non-RV related parts of our business where we have been successfully driving diversification are proving more resilient, and we anticipate a rebound in aftermarket as parts supply improves across the industry. Additionally, our teams continue to drive new innovative products to support future growth," Lippert continued.
"In the interim, our experienced leadership team is taking prudent action, adjusting our cost structure while executing on our proven diversification strategy to minimize the impact of softened RV demand, drive sustainable growth, and generate long-term shareholder value.”
The Company expects to report complete results for the fourth quarter of 2022 on February 14, 2023.