Dealership chain Holiday RV Superstores Inc., which does business as Recreation USA, reports its loss narrowed during the third quarter of its fiscal year, which ended July 31.
The 16-location RV and boat dealership group lost $427,360 during the May-through-July period of this year, compared with a loss of $469,034 a year earlier.
The company’s sales revenue declined 6% to $36.4 million during the three months ended July 31.
Recreation USA’s losses during the nine months ended July 31 totaled $4.9 million, compared with a loss of $508,955 during the same period a year earlier.
The company’s sales revenue declined 9% during the nine months ended July 31 to $111.3 million.
The lower sales revenue reflects “a change in sales mix and softer industry conditions,” said Marcus Lemonis, president and CEO.
Recreation USA trimmed its losses during the May-through-July period by “lowering overhead expenses, reducing inventory and streamlining operations,” Lemonis said. The company reduced its selling, general and administrative expenses 23% and reduced its inventory by 40% to $34.6 million as of late July.
“We have worked to shift the sales emphasis from new to used vehicles,” Lemonis continued. “Recreation USA is continuing to lower inventory levels and stock more lower-priced new and used RVs that better fit the budgets of cost –conscious consumers.”
The company also is working to improve its finance and insurance operations, he added.