After setting sales records in 2022, Patrick Industries reported 2023 financial results pulled back in close proximity to the RV industry’s declines.
Net sales in 2023 declines 29% to $3.5 billion after reaching record levels at $4.9 billion in 2022. Patrick said RV wholesale shipments declined 37% in 2023 while marine wholesale shipments fell 7% from 2022 levels and manufactured housing wholesale shipments slipped 21% from 2022 levels.
Patrick reported 2023 profits of $143 million, a 56% decline from the $328 million in 2022 profits.
Patrick CEO Andy Nemeth said, “We are confident in the long-term growth potential of our business and remain optimistic that we will begin to see improvement in our end markets this year, starting with the RV market.”
During the fourth quarter, Patrick’s RV division accounted for 45% of company revenue. The RV section’s $353 million revenue decreased by 14% compared with the fourth quarter of 2022.
Patrick Industries RV President Jeff Rodino said, “We have continued to invest in our platform to ensure we remain focused on our goal of delivering the highest quality and service while actively listening to the voice of the customer.”
Rodino listed the implementations of the company’s Advanced Products Evolution Group and its continued investments in automation, artificial intelligence, robotic learning, information technology and software solutions, to “represent our commitment to continuously improve our customer-focused model, as well as our financial and structural processes, further enabling us to drive long-term benefits that support future growth.”
Patrick reported the company’s fourth-quarter net sales at $781 million. The number decreased by 18% compared with the fourth quarter of 2022 due to lower OEM wholesale unit shipments in end markets and lower pricing passed on to customers, reflecting changes in certain commodity costs.
Fourth quarter 2023 operating income was reported at $57 million. The number decreased by $11 million, or 15%, compared with $68 million in the fourth quarter of 2022. The decline was due to lower sales, partially offset by cost-reduction efforts.
Fourth quarter 2023 profits totaled $31 million, a 23% decrease compared with $40 million in the 2022 fourth quarter.
