Patrick Industries reported a 4% increase in net sales to $933 million in the first quarter, driven by a 15% increase in recreational vehicle revenue, a 5% increase in housing revenue, and acquisitions, which offset a 35% decline in marine revenues ($155 million).
Net income increased 16% to $35 million, which was $5 million more than the prior-year quarter. Diluted earnings per share of $1.59 were an increase of 18% compared with $1.35 a year ago. Cash flow by operations was $35 million, and operating margin increased 20 basis points to 6.4%.
“Patrick returned to growth in the first quarter as a result of our disciplined operating management, market share growth and strategic acquisition and diversification strategy,” CEO Andy Nemeth said in a statement. “We generated 15% higher RV revenue, which when coupled with stronger housing revenue and the first quarter acquisition of Sportech more than offset a 35% decline in our marine revenue.”
Completed in January, the Sportech acquisition was the company’s largest to date.
On a trailing 12-month basis, Patrick reported, operating cash flow through the first quarter was $445 million, an increase of 3% compared with $434 million through the first quarter of 2023.
Estimated wholesale powerboat unit shipments were down 34%. Estimated content per wholesale powerboat unit decreased 9% to $4,049.
“We leveraged our cost structure and delivered higher consolidated net sales and profit along with margin expansion, Nemeth said. “I am extremely proud of the entire Patrick team for their hard work during the quarter, as our focus on providing the highest quality service and delivering value-added solutions supported our customers across our end markets.”
