Diesel pusher chassis supplier Spartan Motors Inc. reported a loss of almost $10 million during the third quarter primarily due to the closure of its troubled school bus business.
The decision to exit the transit bus business and the soft Class A motorhome market also added to Spartan’s red ink during the three months ended Sept. 30, said Sztykiel, president and COO.
The loss of $10 million compares with a profit of $929,000 earning during the third quarter of 1999.
Spartan’s sales during the July-through-September period declined 31% to $53.0 million, primarily due to lower chassis sales to motorhome manufacturers, Sztykiel said.
Revenues from Spartan’s school bus business were not included in its third quarter revenue total, he added.
During the first nine months of this year, Spartan lost a total of almost $7.0 million. The company’s sales were down 10% during the nine months ended Sept. 30 to $194.1 million.
Concerning diesel pusher chassis sales, Sztykiel said, “The market appears to be rebounding and fourth quarter sales already look stronger.”
Spartan plans to introduce “some new initiatives” during the RV industry’s national trade show in Louisville Nov. 28-30, he added.
“We continue to see opportunities for growth in the RV industry and will remain focused on leveraging our expertise in building custom chassis to grow sales,” Sztykiel said.