LCI Industries (LCI) reported a 31% increase in sales during its first quarter, boosted by strong RV performance.
Consolidated net sales for the first quarter grew to $650 million from $498 million a year ago. Net income was $47.3 million, or $1.86 per diluted share, compared to net income of $43.1 million, or $1.71 per diluted share, in the first quarter of 2017.
“Our content per travel trailer and fifth-wheel increased 8% year-over-year, the largest annual increase since 2012, and our content per motorhome increased 15% year-over-year, representing our fourth straight year of double-digit content growth for motorhomes,” said Scott Mereness, LCI’s President. “We continue to invest in lean manufacturing and automation to improve the efficiency of our operations and meet industry growth demands while managing one of the most volatile commodities environments in recent history due to the new steel and aluminum tariffs. Although operating margin improved from the last two quarters of 2017, raw materials inflation, at least partially caused by the new tariffs, more than offset the margin improvement from our operational and pricing initiatives. Additional price increases will take effect in the coming months and we continue to work with our customers to implement our cost-based pricing strategies.”
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