Supplier/distributor Patrick Industries Inc. returned to profitability during the first quarter, earning $270,000 during the three months ended March 31.
In comparison, the Elkhart, Ind.-based firm lost $1.7 million during the first quarter of 2001. Patrick also lost $3.5 million during the fourth quarter and $5.8 million during the full year 2001.
The company returned to profitability largely because of increases in production of manufactured homes and RVs, Patrick’s two biggest groups of customers. This is indicated by the fact Patrick’s sales revenue increased 10% during the first three months of this year to $75.2 million.
“The RV industry showed steady growth in the first quarter and, if economic conditions continue to improve, this market should remain strong,” said David Lung, president and CEO.
Meanwhile, in the manufactured housing industry, which accounts for 40% of Patrick’s sales revenue, shipments increased 16% in January “but could not sustain that level in February and March,” Lung reported.
The fact there now are fewer lenders involved in the wholesale and retail sides of the manufactured housing industry “is expected to negatively impact growth in that industry this year,” Lung added.