Thor Industries announced record consolidated sales and net income from continuing operations for the fourth quarter and full year ended July 31, 2015. Q4 sales from continuing operations were $1.06 billion, up 2% from $1.04 billion in Q4 last year.
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Sales of both towable and motorized RVs posted slight decreases from a year ago, offset by the inclusion of a full quarter of revenue from Postle, which was acquired on May 1, 2015.
Gross profit margins increased to 16.2% in the fourth quarter of fiscal 2015 compared to 14.6% in the prior-year period.
Gross margins in the fourth quarter of fiscal 2015 improved largely as a result of the retroactive reinstatement of tariff rebates on certain imported raw material products as well as improvements in labor and warranty costs as a percent of sales.
Net income from continuing operations for the fourth quarter was $69.0 million, up 3% from $66.8 million in the prior-year fourth quarter. Including the discontinued operations of Thor's Bus business, net income for the fourth quarter was also $69.0 million, up 4% from $66.6 million in the fourth quarter of fiscal year 2014.
Diluted earnings per share (EPS) from continuing operations for the fourth quarter was $1.31, up 5% from $1.25 in the fourth quarter last year.
Including the discontinued operations of Thor's Bus business, diluted EPS for the fourth quarter was also $1.31, up 5% from $1.25 in the fourth quarter of fiscal 2014. EPS for the fourth quarter of fiscal 2015 reflects the impact of the 1 million share repurchase completed on May 15, 2015.
A number of items affect the comparability of Thor's financial results for the fourth quarters of fiscal 2015 and fiscal 2014. In the fourth quarter of fiscal 2014, the company benefitted from a gain on the sale of property as well as a lower effective tax rate due to the settlement of various uncertain state tax positions.
These benefits were partially offset by incremental costs for amortization and inventory revaluation related to the acquisition of K-Z. The net impact of these items on fourth quarter 2014 results was approximately $0.12 per diluted share.
In the fourth quarter of fiscal 2015, the company benefitted from the retroactive reinstatement of tariff rebates on certain imported raw material as well as a more modest decrease in effective tax rate due to the settlement of various uncertain state tax positions, partially offset by the incremental cost of amortization and inventory revaluation related to the acquisition of Postle.
The net impact of these items on fourth quarter 2015 results was approximately $0.17 per diluted share. ■