Spartan Motors Inc., parent to recreational vehicle supplier Spartan Chassis, reported record sales for the company’s first quarter, ended March 31.
Net income for the Charlotte, Mich., firm, which produces motorhome chassis, fire truck chassis and emergency rescue vehicles, was $2 million compared with $1.3 million the previous year. Net sales rose 43% to $88.9 million from $62.1 million during the same three-month period in 2004.
Spartan said the increased earnings were driven by improved operating performance from all of its subsidiaries. Sales at Spartan Chassis grew by 43% in the first quarter, including a 66% increase in RV chassis sales.
Spartan attributed the growth, in part, to an expanding market share for Class A diesel-powered RVs in the motorized sector.
The company also reported that the loss of an exclusive arrangement with Fleetwood RV to provide chassis for the Providence, Excursion and Revolution diesel pusher motorhomes did not impact the first quarter.
“We do not expect to see this reduction until the third quarter,” said John Sztykiel, president and chief executive. “Even with this reduction, we expect Spartan Chassis to produce more RV chassis in 2005 than the year before.”
In addition, Spartan said its board authorized a repurchase of up to 500,000 shares, or about 4% of its 12.5 million shares outstanding, over the next 12 months.