WHITE PLAINS, N.Y.
Drew Industries Inc., which makes components for RVs and manufactured homes, on Monday said its net income more than tripled in the second quarter due to improving RV sales.
The company said sales in its RV segment rose 83 percent during the quarter, citing market share gains and new product introductions.
Sales in the company's manufactured homes segment rose 35 percent. Industry production of manufactured homes increased 10 percent in March, April and May, the last period that data is available, due largely to the now-expired federal tax credit for first-time home buyers, the company said.
Drew Industries pointed out that its second quarter is typically stronger than other periods due to seasonal demand fluctuations in the RV industry.
The results beat analyst expectations. Shares rose 96 cents, or 4.5 percent, to $22.09 in morning trading.
The company said it made $9.6 million, or 43 cents per share, during the quarter ended June 30. That compares with net income of $2.6 million, or 12 cents per share, in the same period last year.
Revenue rose to $173.5 million from $100.6 million.
Analysts surveyed by Thomson Reuters expected 35 cents per share in net income on $154.1 million in revenue, on average.
Shares of Drew Industries have traded between $17.89 and $28.09 in the last 52 weeks.