Camping World Shares Plummet 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.
Despite the positive news, the company's shares dropped nearly 25% due to 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
- Revenue: $1.8 billion, 4.7% year-over-year increase
- Adjusted EBITDA growth: 40%
- New-vehicle sales decline
- Correction to accounting misstatements from previous year
CWH's president noted that used vehicle sales remain a compelling value proposition for consumers focused on affordability, with total new and used same-store unit volume increasing by low double-digit percent year-over-year in October.
Author's summary: Camping World's shares drop despite strong Q3 sales due to accounting correction.