In This Article:
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Full Year Revenue: $3.7 billion, down 1% year-over-year.
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Fourth Quarter Revenue: $803 million, a decrease of 4% from Q4 2023.
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OEM Net Sales (Q4 2024): $621.6 million, down 6% from Q4 2023.
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RV OEM Net Sales (Q4 2024): $376 million, down 3% year-over-year.
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Aftermarket Net Sales (Q4 2024): $181.6 million, up 1% year-over-year.
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Adjacent Industries OEM Net Sales (Q4 2024): $245.5 million, down 9% year-over-year.
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Gross Margin (Q4 2024): 21.1%, up from 19.2% in Q4 2023.
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Operating Profit Margin (Q4 2024): 2%, a 170 basis point improvement from Q4 2023.
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GAAP Net Income (Q4 2024): $10 million or $0.37 per diluted share.
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EBITDA (Q4 2024): $46 million, a 29% increase year-over-year.
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Cash Flow from Operations (2024): $370 million.
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Net Debt (End of 2024): $591 million, 1.7 times pro forma EBITDA.
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January 2025 Sales: Up 6% year-over-year, with RV sales up 17%.
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Dividend Increase: 10% to $1.15 per share.
Release Date: February 11, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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LCI Industries Inc (NYSE:LCII) achieved a full-year revenue of $3.7 billion in 2024, demonstrating resilience despite a challenging RV and marine market.
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The company expanded its market leadership across top product categories, with a 7% organic growth in the automotive aftermarket.
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LCI Industries Inc (NYSE:LCII) increased EBITDA by $89 million through cost savings and operational improvements.
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The company successfully reduced net debt below 2 times EBITDA, generating $370 million in cash flow from operations.
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LCI Industries Inc (NYSE:LCII) reported a 17% increase in January RV sales, indicating a positive start to 2025.
Negative Points
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Consolidated net sales for the fourth quarter decreased by 4% compared to the same period in 2023.
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OEM net sales for the fourth quarter of 2024 were down 6% year-over-year.
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The marine market experienced a 15% decline in sales due to inflation and high interest rates impacting retail demand.
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The company faces a potential 50 basis point headwind from tariffs, which they are working to mitigate.
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There was a shift in unit mix towards lower content single axle travel trailers, impacting revenue negatively.
Q & A Highlights
Q: Can you provide an update on how tariffs, particularly on steel and aluminum, are impacting your outlook for the year? A: Jason Lippert, CEO: We haven't included any tariff impacts in our plan as it's still fluid. Our largest product, chassis, uses almost 99% domestic steel, so tariffs have minimal impact there. Overall, we estimate about a 50 basis point impact, which we believe we can mitigate through pricing and supplier cooperation.