Patrick Industries sees slight profit growth in Q3
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Elkhart-based Patrick Industries Inc. is reporting third-quarter net income of $41 million, up 3% from the same period the previous year. CEO Andy Nemeth said the results were driven by the company’s continued diversification.
Patrick Industries manufactures components for the RV, marine, manufactured housing and various industrial markets.
The company said net sales increased 6% to $919 million for the quarter. That growth was attributed to a 13% revenue increase in the company’s Housing division, as well as revenue gains from the acquisition of Minnesota-based Sportech earlier this year.
“The resilience of our model is directly related to the dedication and talent of our incredible team members, and the strategic investments we have made enabling Patrick to perform well during a prolonged period of inventory destocking that has continued to affect our Outdoor Enthusiast end markets at different times over the last two years,” Nemeth said.
During the quarter, Patrick announced the acquisition of e-commerce company RecPro, headquartered in Bristol. Jeff Rodino, president of RV for Patrick, said the deal expands the company’s position in the direct-to-consumer RV and enthusiast aftermarket.
“We are energized by the depth and breadth of their product offering, the synergies across our business, and their tremendous leadership and expertise in e-commerce and aftermarket sales,” Rodino said. “We believe RecPro’s efficient distribution channel and significant consumer reach will substantially enhance our ability to provide Patrick’s valuable aftermarket solutions across all of our end markets.”
Nemeth said the company is confident in the strength of its brand portfolio, operating model, and earnings power as it heads into the next fiscal year.
“We are optimistic that a positive demand inflection will occur in 2025, and believe recent interest rate reductions, lower inflation levels and continued solid economic data are important ingredients to bring this recovery to fruition, at which point our business is sized and scaled to pivot in alignment with our customers’ needs,” he said.
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