Camping World Shares Decline After Reporting Correction to Financial Statements
Camping World Holdings, Inc. (CWH) reported a 40% increase in Adjusted EBITDA for the third quarter, driven by record-breaking new and used vehicle sales, with revenue reaching $1.8 billion, a 4.7% year-over-year increase.
However, the company's shares plummeted nearly 25% after reporting a correction to accounting misstatements from the previous year and a decline in new-vehicle sales.
“Year-to-date, our company achieved a record 13.5 percent market share of new and used units, an over 200 basis point combined improvement,” stated Matthew Wagner, president of Camping World Holdings, Inc.
- Record-breaking new and used vehicle sales drove Adjusted EBITDA growth.
- Revenue increased 4.7% year-over-year to $1.8 billion.
- New-vehicle sales declined, causing shares to drop nearly 25%.
According to Matthew Wagner, total new and used same-store unit volume continued to grow in October, increasing by a low double-digit percentage year-over-year, with used vehicles remaining a compelling value proposition for consumers focused on affordability.
Author's summary: Camping World's shares fell despite strong Q3 sales due to accounting corrections.