Cover Page
Cover Page - shares | 3 Months Ended | |
Oct. 31, 2023 | Nov. 30, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Oct. 31, 2023 | |
Document Transition Report | false | |
Entity File Number | 001-09235 | |
Entity Registrant Name | THOR INDUSTRIES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 93-0768752 | |
Entity Address, Address Line One | 601 E. Beardsley Ave. | |
Entity Address, City or Town | Elkhart | |
Entity Address, State or Province | IN | |
Entity Address, Postal Zip Code | 46514 | |
City Area Code | (574) | |
Local Phone Number | 970-7460 | |
Title of 12(b) Security | Common stock (Par value $0.10 Per Share) | |
Trading Symbol | THO | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 53,323,337 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0000730263 | |
Current Fiscal Year End Date | --07-31 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 425,828 | $ 441,232 |
Accounts receivable, trade, net | 548,800 | 543,865 |
Accounts receivable, other, net | 67,819 | 99,354 |
Inventories, net | 1,714,229 | 1,653,070 |
Prepaid income taxes, expenses and other | 48,853 | 56,059 |
Total current assets | 2,805,529 | 2,793,580 |
Property, plant and equipment, net | 1,377,647 | 1,387,808 |
Other assets: | ||
Goodwill | 1,768,777 | 1,800,422 |
Amortizable intangible assets, net | 950,495 | 996,979 |
Deferred income tax assets, net | 2,586 | 5,770 |
Equity investments | 130,100 | 126,909 |
Other | 137,339 | 149,362 |
Total other assets | 2,989,297 | 3,079,442 |
TOTAL ASSETS | 7,172,473 | 7,260,830 |
Current liabilities: | ||
Accounts payable | 748,922 | 736,275 |
Current portion of long-term debt | 10,952 | 11,368 |
Short-term financial obligations | 58,820 | 49,433 |
Accrued liabilities: | ||
Compensation and related items | 203,639 | 189,324 |
Product warranties | 333,274 | 345,197 |
Income and other taxes | 100,149 | 100,631 |
Promotions and rebates | 135,723 | 163,410 |
Product, property and related liabilities | 43,025 | 54,720 |
Dividends payable | 25,539 | 0 |
Other | 56,755 | 66,124 |
Total current liabilities | 1,716,798 | 1,716,482 |
Long-term debt | 1,271,877 | 1,291,311 |
Deferred income tax liabilities, net | 76,498 | 75,668 |
Unrecognized tax benefits | 15,240 | 14,835 |
Other liabilities | 168,470 | 179,136 |
Total long-term liabilities | 1,532,085 | 1,560,950 |
Contingent liabilities and commitments | ||
Stockholders’ equity: | ||
Preferred stock – authorized 1,000,000 shares; none outstanding | 0 | 0 |
Common stock – par value of $.10 per share; authorized 250,000,000 shares; issued 66,686,498 and 66,344,340 shares, respectively | 6,669 | 6,634 |
Additional paid-in capital | 551,491 | 539,032 |
Retained earnings | 4,119,589 | 4,091,563 |
Accumulated other comprehensive loss, net of tax | (128,471) | (68,547) |
Less: Treasury shares of 13,480,026 and 13,030,030, respectively, at cost | (633,817) | (592,667) |
Stockholders’ equity attributable to THOR Industries, Inc. | 3,915,461 | 3,976,015 |
Non-controlling interests | 8,129 | 7,383 |
Total stockholders’ equity | 3,923,590 | 3,983,398 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 7,172,473 | $ 7,260,830 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares | Oct. 31, 2023 | Jul. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 250,000,000 | 250,000,000 |
Common stock, shares issued (in shares) | 66,686,498 | 66,344,340 |
Treasury shares (in shares) | 13,480,026 | 13,030,030 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Income Statement [Abstract] | ||
Net sales | $ 2,500,759 | $ 3,108,084 |
Cost of products sold | 2,142,827 | 2,621,608 |
Gross profit | 357,932 | 486,476 |
Selling, general and administrative expenses | 217,896 | 241,624 |
Amortization of intangible assets | 32,344 | 35,219 |
Interest expense, net | 20,197 | 22,807 |
Other income (expense), net | (14,913) | (7,555) |
Income before income taxes | 72,582 | 179,271 |
Income tax provision | 17,549 | 41,848 |
Net income | 55,033 | 137,423 |
Less: Net income attributable to non-controlling interests | 1,468 | 1,238 |
Net income attributable to THOR Industries, Inc. | $ 53,565 | $ 136,185 |
Weighted-average common shares outstanding: | ||
Basic (in shares) | 53,295,835 | 53,656,415 |
Diluted (in shares) | 53,853,719 | 53,928,751 |
Earnings per common share: | ||
Basic (in dollars per share) | $ 1.01 | $ 2.54 |
Diluted (in dollars per share) | $ 0.99 | $ 2.53 |
Comprehensive income (loss): | ||
Net income | $ 55,033 | $ 137,423 |
Other comprehensive income (loss), net of tax | ||
Foreign currency translation gain (loss), net of tax | (60,646) | (43,329) |
Unrealized gain on derivatives, net of tax | 0 | 804 |
Total other comprehensive income (loss), net of tax | (60,646) | (42,525) |
Total Comprehensive income (loss) | (5,613) | 94,898 |
Less: Comprehensive income (loss) attributable to non-controlling interests | 746 | 804 |
Comprehensive income (loss) attributable to THOR Industries, Inc. | $ (6,359) | $ 94,094 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 55,033 | $ 137,423 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 34,934 | 31,774 |
Amortization of intangible assets | 32,344 | 35,219 |
Amortization of debt issuance costs | 2,872 | 2,835 |
Deferred income tax expense (benefit) | 2,417 | (1,920) |
(Gain) loss on disposition of property, plant and equipment | 49 | (141) |
Stock-based compensation expense | 10,452 | 8,392 |
Changes in assets and liabilities: | ||
Accounts receivable | 20,979 | 131,483 |
Inventories | (94,527) | (116,151) |
Prepaid income taxes, expenses and other | 23,839 | 17,345 |
Accounts payable | 25,150 | (141,934) |
Accrued liabilities | (46,438) | (8,047) |
Long-term liabilities and other | (7,436) | (2,262) |
Net cash provided by operating activities | 59,668 | 94,016 |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | (38,211) | (55,883) |
Proceeds from dispositions of property, plant and equipment | 275 | 2,935 |
Business acquisitions, net of cash acquired | (4,000) | 0 |
Other | (9,126) | (5,000) |
Net cash used in investing activities | (51,062) | (57,948) |
Cash flows from financing activities: | ||
Borrowings on revolving asset-based credit facilities | 53,449 | 0 |
Payments on revolving asset-based credit facilities | (51,925) | (15,000) |
Payments on term-loan credit facilities | 0 | (12,355) |
Payments on other debt | (1,767) | (2,714) |
Payments on finance lease obligations | (180) | (310) |
Purchase of treasury shares | (30,037) | (25,407) |
Short-term financial obligations and other, net | 11,307 | 2,537 |
Net cash used in financing activities | (19,153) | (53,249) |
Effect of exchange rate changes on cash and cash equivalents | (4,857) | (2,668) |
Net decrease in cash and cash equivalents | (15,404) | (19,849) |
Cash and cash equivalents, beginning of period | 441,232 | 311,553 |
Cash and cash equivalents, end of period | 425,828 | 291,704 |
Supplemental cash flow information: | ||
Income taxes paid | 7,153 | 17,174 |
Interest paid | 26,203 | 25,786 |
Non-cash investing and financing transactions: | ||
Capital expenditures in accounts payable | 7,427 | 2,940 |
Quarterly dividends payable | $ 25,539 | $ 24,081 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Stockholders' equity attributable to Thor | Common Stock | Additional paid-in capital | Retained earnings | Accumulated other comprehensive income (loss) | Treasury Stock | Non-controlling interests |
Beginning balance (in shares) at Jul. 31, 2022 | 66,059,403 | |||||||
Beginning balance, treasury stock (in shares) at Jul. 31, 2022 | 12,382,441 | |||||||
Balance at beginning of period, net of tax at Jul. 31, 2022 | $ 3,600,654 | $ 3,592,862 | $ 6,606 | $ 497,946 | $ 3,813,261 | $ (181,607) | $ (543,344) | $ 7,792 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 137,423 | 136,185 | 136,185 | 1,238 | ||||
Purchase of treasury shares (in shares) | 338,733 | |||||||
Purchase of treasury shares | (25,407) | (25,407) | $ (25,407) | |||||
Restricted stock unit activity (in shares) | 266,732 | 91,845 | ||||||
Restricted stock unit activity | (3,497) | (3,497) | $ 27 | 3,241 | $ (6,765) | |||
Dividends per common share | (24,081) | (24,081) | (24,081) | |||||
Stock-based compensation expense | 8,392 | 8,392 | 8,392 | |||||
Other comprehensive income (loss) | (42,525) | (42,091) | (42,091) | (434) | ||||
Ending balance (in shares) at Oct. 31, 2022 | 66,326,135 | |||||||
Ending balance, treasury stock (in shares) at Oct. 31, 2022 | 12,813,019 | |||||||
Balance at end of period, net of tax at Oct. 31, 2022 | $ 3,650,959 | 3,642,363 | $ 6,633 | 509,579 | 3,925,365 | (223,698) | $ (575,516) | 8,596 |
Beginning balance (in shares) at Jul. 31, 2023 | 66,344,340 | |||||||
Beginning balance, treasury stock (in shares) at Jul. 31, 2023 | 13,030,030 | 13,030,030 | ||||||
Balance at beginning of period, net of tax at Jul. 31, 2023 | $ 3,983,398 | 3,976,015 | $ 6,634 | 539,032 | 4,091,563 | (68,547) | $ (592,667) | 7,383 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | $ 55,033 | 53,565 | 53,565 | 1,468 | ||||
Purchase of treasury shares (in shares) | 327,876 | 327,876 | ||||||
Purchase of treasury shares | $ (30,037) | (30,037) | $ (30,037) | |||||
Restricted stock unit activity (in shares) | 342,158 | 122,120 | ||||||
Restricted stock unit activity | (9,071) | (9,071) | $ 35 | 2,007 | $ (11,113) | |||
Dividends per common share | (25,539) | (25,539) | (25,539) | |||||
Stock-based compensation expense | 10,452 | 10,452 | 10,452 | |||||
Other comprehensive income (loss) | $ (60,646) | (59,924) | (59,924) | (722) | ||||
Ending balance (in shares) at Oct. 31, 2023 | 66,686,498 | |||||||
Ending balance, treasury stock (in shares) at Oct. 31, 2023 | 13,480,026 | 13,480,026 | ||||||
Balance at end of period, net of tax at Oct. 31, 2023 | $ 3,923,590 | $ 3,915,461 | $ 6,669 | $ 551,491 | $ 4,119,589 | $ (128,471) | $ (633,817) | $ 8,129 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Equity [Abstract] | ||
Cash dividends, per common share (in dollars per share) | $ 0.48 | $ 0.45 |
Nature of Operations and Accoun
Nature of Operations and Accounting Policies | 3 Months Ended |
Oct. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Accounting Policies | Nature of Operations and Accounting Policies Nature of Operations THOR Industries, Inc. was founded in 1980 and is the sole owner of operating subsidiaries (collectively, the “Company” or “THOR”), that, combined, represent the world's largest manufacturer of recreational vehicles (“RVs”). The Company manufactures a wide variety of RVs primarily in the United States and Europe and sells those vehicles, as well as related parts and accessories, primarily to independent, non-franchise dealers throughout the United States, Canada and Europe. Unless the context requires or indicates otherwise, all references to “THOR,” the “Company,” “we,” “our” and “us” refer to THOR Industries, Inc. and its subsidiaries. The July 31, 2023 amounts are derived from the annual audited financial statements of THOR. The interim financial statements are unaudited. In the opinion of management, all adjustments (which consist of normal, recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented have been made. These financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended July 31, 2023. Due to seasonality within the recreational vehicle industry, the impact of the ongoing supply chain disruptions primarily in Europe, inflation and shifting consumer demand on our industry, among other factors, annualizing the results of operations for the three months ended October 31, 2023 would not necessarily be indicative of the results expected for the full fiscal year. |
Business Segments
Business Segments | 3 Months Ended |
Oct. 31, 2023 | |
Segment Reporting [Abstract] | |
Business Segments | Business Segments The Company has three reportable segments, all related to recreational vehicles: (1) North American Towable Recreational Vehicles, (2) North American Motorized Recreational Vehicles and (3) European Recreational Vehicles. The operations of the Company's Airxcel and Postle subsidiaries are included in “Other”. Net sales included in Other relate primarily to the sale of specialized component parts and aluminum extrusions. Intercompany eliminations adjust for Airxcel and Postle sales to the Company’s North American Towable and North American Motorized segments, which are consummated at established transfer prices generally consistent with the selling prices of products to third parties. The following tables reflect certain financial information by reportable segment: Three Months Ended October 31, NET SALES: 2023 2022 Recreational vehicles North American Towable $ 945,454 $ 1,317,806 North American Motorized 711,159 1,123,519 Total North America 1,656,613 2,441,325 European 708,201 504,302 Total recreational vehicles 2,364,814 2,945,627 Other 198,921 232,648 Intercompany eliminations (62,976) (70,191) Total $ 2,500,759 $ 3,108,084 Three Months Ended October 31, INCOME (LOSS) BEFORE INCOME TAXES: 2023 2022 Recreational vehicles North American Towable $ 49,249 $ 111,007 North American Motorized 37,052 124,433 Total North America 86,301 235,440 European 28,767 (6,468) Total recreational vehicles 115,068 228,972 Other, net 9,476 4,745 Corporate (51,962) (54,446) Total $ 72,582 $ 179,271 TOTAL ASSETS: October 31, 2023 July 31, 2023 Recreational vehicles North American Towable $ 1,442,405 $ 1,429,899 North American Motorized 1,269,984 1,268,109 Total North America 2,712,389 2,698,008 European 2,787,150 2,898,175 Total recreational vehicles 5,499,539 5,596,183 Other 1,032,989 1,048,076 Corporate 639,945 616,571 Total $ 7,172,473 $ 7,260,830 DEPRECIATION AND INTANGIBLE ASSET AMORTIZATION EXPENSE: Three Months Ended October 31, 2023 2022 Recreational vehicles North American Towable $ 13,764 $ 15,437 North American Motorized 8,942 8,161 Total North America 22,706 23,598 European 30,397 27,302 Total recreational vehicles 53,103 50,900 Other 13,626 15,648 Corporate 549 445 Total $ 67,278 $ 66,993 Three Months Ended October 31, CAPITAL ACQUISITIONS: 2023 2022 Recreational vehicles North American Towable $ 6,930 $ 21,174 North American Motorized 7,475 19,064 Total North America 14,405 40,238 European 14,760 8,920 Total recreational vehicles 29,165 49,158 Other 8,291 4,812 Corporate 2,735 120 Total $ 40,191 $ 54,090 |
Earnings Per Common Share
Earnings Per Common Share | 3 Months Ended |
Oct. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share The following table reflects the weighted-average common shares used to compute basic and diluted earnings per common share as included on the Condensed Consolidated Statements of Income and Comprehensive Income: Three Months Ended October 31, 2023 2022 Weighted-average common shares outstanding for basic earnings per share 53,295,835 53,656,415 Unvested restricted stock units and performance stock units 557,884 272,336 Weighted-average common shares outstanding assuming dilution 53,853,719 53,928,751 The Company excluded 51,298 and 204,441 unvested restricted stock units and performance stock units that have an antidilutive effect from its calculation of weighted-average common shares outstanding assuming dilution at October 31, 2023 and October 31, 2022, respectively. |
Derivatives and Hedging
Derivatives and Hedging | 3 Months Ended |
Oct. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging | Derivatives and Hedging The total amounts presented in the Condensed Consolidated Statements of Income and Comprehensive Income due to changes in the fair value of the derivative instruments are as follows: Three Months Ended October 31, 2023 2022 Gain (Loss) on Derivatives Designated as Cash Flow Hedges Gain (Loss) recognized in Other Comprehensive Income (Loss), net of tax Interest rate swap agreements (1) $ — $ 746 Total gain (loss) $ — $ 746 (1) Other comprehensive income (loss), net of tax, before reclassification from accumulated other comprehensive income (“AOCI”) was $0 and $854 for the three months ended October 31, 2023 and 2022, respectively. Three Months Ended October 31, 2023 2022 Interest Interest Sales Expense Sales Expense Gain (Loss) Reclassified from AOCI, Net of Tax Foreign currency forward contracts $ — $ — $ (58) $ — Interest rate swap agreements — — — 108 Gain (Loss) on Derivatives Not Designated as Hedging Instruments Amount of gain (loss) recognized in income, net of tax Foreign currency forward contracts $ 157 $ — $ 828 $ — Commodities swap agreements — — (662) — Interest rate swap agreements — 64 — 254 Total gain (loss) $ 157 $ 64 $ 108 $ 362 As of October 31, 2023 and July 31, 2023 there were no derivative instruments designated as cash flow hedges. The Company has certain other derivative instruments which have not been designated as hedges. These other derivative instruments had a notional amount totaling approximately $35,878 and a fair value liability value of $643 as of October 31, 2023. These other derivative instruments had a notional amount totaling approximately $25,248 and a fair value liability of $932 as of July 31, 2023. For these derivative instruments, changes in fair value are recognized in earnings. Net Investment Hedges The foreign currency transaction gains and losses on the Euro-denominated portion of the term loan, which is designated and effective as a hedge of the Company’s net investment in its Euro-denominated functional currency subsidiaries, are included as a component of the foreign currency translation adjustment. Gains, net of tax, included in the foreign currency translation adjustments were $13,409 for the three months ended October 31, 2023 and $9,385 for the three months ended October 31, 2022. There were no amounts reclassified out of AOCI pertaining to the net investment hedge during the three-month periods ended October 31, 2023 or October 31, 2022. |
Inventories
Inventories | 3 Months Ended |
Oct. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Major classifications of inventories are as follows: October 31, 2023 July 31, 2023 Finished goods – RV $ 252,534 $ 164,456 Finished goods – other 86,533 93,476 Work in process 348,032 313,006 Raw materials 517,116 563,614 Chassis 672,618 681,122 Subtotal 1,876,833 1,815,674 Excess of FIFO costs over LIFO costs (162,604) (162,604) Total inventories, net $ 1,714,229 $ 1,653,070 Of the $1,876,833 and $1,815,674 of inventories at October 31, 2023 and July 31, 2023, $1,267,808 and $1,224,069, respectively, were valued on the first-in, first-out (“FIFO”) method, and $609,025 and $591,605, respectively, were valued on the last-in, first-out (“LIFO”) method. |
Property, Plant and Equipment
Property, Plant and Equipment | 3 Months Ended |
Oct. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment consists of the following: October 31, 2023 July 31, 2023 Land $ 151,719 $ 147,633 Buildings and improvements 1,047,989 1,038,394 Machinery and equipment 671,351 672,499 Rental vehicles 102,591 99,360 Lease right-of-use assets – operating 45,200 47,969 Lease right-of-use assets – finance 5,331 5,518 Total cost 2,024,181 2,011,373 Less: Accumulated depreciation (646,534) (623,565) Property, plant and equipment, net $ 1,377,647 $ 1,387,808 See Note 15 to the Condensed Consolidated Financial Statements for further information regarding the lease right-of-use assets. |
Intangible Assets and Goodwill
Intangible Assets and Goodwill | 3 Months Ended |
Oct. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets and Goodwill | Intangible Assets and Goodwill The components of Amortizable intangible assets are as follows: October 31, 2023 July 31, 2023 Accumulated Accumulated Cost Amortization Cost Amortization Dealer networks/customer relationships $ 1,099,750 $ 542,468 $ 1,112,273 $ 526,327 Trademarks 351,075 99,552 355,560 96,087 Design technology and other intangibles 252,404 110,772 258,868 107,483 Non-compete agreements 1,400 1,342 1,400 1,225 Total amortizable intangible assets $ 1,704,629 $ 754,134 $ 1,728,101 $ 731,122 Estimated future amortization expense is as follows: For the remainder of the fiscal year ending July 31, 2024 $ 96,360 For the fiscal year ending July 31, 2025 116,771 For the fiscal year ending July 31, 2026 105,577 For the fiscal year ending July 31, 2027 96,923 For the fiscal year ending July 31, 2028 89,602 For the fiscal year ending July 31, 2029 and thereafter 445,262 $ 950,495 Changes in the carrying amount of Goodwill by reportable segment for the three months ended October 31, 2023 are summarized as follows: North American Towable North American Motorized European Other Total Net balance as of August 1, 2023 $ 337,883 $ 65,064 $ 965,758 $ 431,717 $ 1,800,422 Fiscal 2024 activity: Goodwill acquired — — — 3,751 3,751 Foreign currency translation — — (35,396) — (35,396) Net balance as of October 31, 2023 $ 337,883 $ 65,064 $ 930,362 $ 435,468 $ 1,768,777 Changes in the carrying amount of Goodwill by reportable segment for the three months ended October 31, 2022 are summarized as follows: North American Towable North American Motorized European Other Total Net balance as of August 1, 2022 $ 344,975 $ 53,875 $ 893,383 $ 511,918 $ 1,804,151 Fiscal 2023 activity: Measurement period adjustments — — — 4,682 4,682 Foreign currency translation — — (24,879) — (24,879) Net balance as of October 31, 2022 $ 344,975 $ 53,875 $ 868,504 $ 516,600 $ 1,783,954 |
Equity Investments
Equity Investments | 3 Months Ended |
Oct. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Investments | Equity Investments As discussed in Note 8 to the Company’s Consolidated Financial Statements included in the Fiscal 2023 Form 10-K, effective December 30, 2022, the Company formed a joint venture with TechNexus Holdings LLC (“TechNexus”), whereby the Company transferred TH2Connect, LLC d/b/a Roadpass Digital and its associated legal entities to TN-RP Holdings, LLC (“TN-RP”), following which the Company and TechNexus own 100% of the Class A-RP units and Class C-RP units, respectively, issued by TN-RP. TN-RP is a variable interest entity (“VIE”), in which both the Company and TechNexus each have a variable interest. The Company’s equity interest, which entitles the Company to a share of future distributions from TN-RP, represents a variable interest. The Company has significant influence due to its Class A-RP unit ownership interest, non-majority seats on the TN-RP advisory board and certain protective rights, and therefore the Company’s investment in TN-RP is accounted for under the equity method of accounting and reported as a component of Equity investments in the Condensed Consolidated Balance Sheets. Similarly, the Company holds an additional investment that is also a VIE over which the Company has significant influence. This is also reported as a component of Equity investments in the Condensed Consolidated Balance Sheets. The Company had the following aggregate investment and maximum exposure to loss related to these VIEs: October 31, 2023 July 31, 2023 Carrying amount of investments $ 130,100 $ 126,909 Maximum exposure to loss $ 153,019 $ 161,459 The Company’s share of gains and losses accounted for under the equity method of accounting are included in Other income (expense), net in the Condensed Consolidated Statements of Income and Comprehensive Income. The losses recognized in the three months ended October 31, 2023 were $5,935, and the amounts recognized in the three months ended October 31, 2022 were not material. |
Concentration of Risk
Concentration of Risk | 3 Months Ended |
Oct. 31, 2023 | |
Risks and Uncertainties [Abstract] | |
Concentration of Risk | Concentration of RiskOne dealer, FreedomRoads, LLC, accounted for 14% of the Company’s consolidated net sales for the three-month period ended October 31, 2023 and 15% of the Company’s consolidated net sales for the three-month period ended October 31, 2022. The majority of the sales to this dealer are reported within the North American Towable and North American Motorized reportable segments. This dealer also accounted for 19% and 13% of the Company’s consolidated trade accounts receivable at October 31, 2023 and July 31, 2023, respectively. The loss of this dealer or a deterioration in the liquidity or creditworthiness of this dealer could have a material effect on the Company’s business. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Oct. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The financial assets and liabilities that are accounted for at fair value on a recurring basis at October 31, 2023 and July 31, 2023 are as follows: Input Level October 31, 2023 July 31, 2023 Cash equivalents Level 1 $ 302,255 $ 286,984 Deferred compensation plan mutual fund assets Level 1 $ 38,496 $ 40,220 Equity investments Level 1 $ 1,235 $ 4,105 Foreign currency forward contract liability Level 2 $ 165 $ — Interest rate swap liability Level 2 $ 808 $ 932 Cash equivalents represent investments in short-term money market instruments that are direct obligations of the U.S. Treasury and/or repurchase agreements backed by U.S. Treasury obligations. These investments are reported as a component of Cash and cash equivalents in the Condensed Consolidated Balance Sheets. Deferred compensation plan assets accounted for at fair value are investments in securities (primarily mutual funds) traded in an active market held for the benefit of certain employees of the Company as part of a deferred compensation plan. Additional plan investments in corporate-owned life insurance are recorded at their cash surrender value, not fair value, and therefore are not included above. Equity investments represent stock investments that are publicly traded in an active market. The fair value of foreign currency forward contracts is estimated by discounting the difference between the contractual forward price and the current available forward price for the residual maturity of the contract using observable market rates. The fair value of interest rate swaps is determined by discounting the estimated future cash flows based on the applicable observable yield curves. |
Product Warranties
Product Warranties | 3 Months Ended |
Oct. 31, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Product Warranties | Product Warranties The Company generally provides retail customers of its products with a one-year or two-year warranty covering defects in material or workmanship, with longer warranties on certain structural components. Changes in our product warranty liability during the indicated periods are as follows: Three Months Ended October 31, 2023 2022 Beginning balance $ 345,197 $ 317,908 Provision 74,435 89,425 Payments (84,171) (80,141) Foreign currency translation (2,187) (1,479) Ending balance $ 333,274 $ 325,713 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Oct. 31, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt The components of long-term debt are as follows: October 31, 2023 July 31, 2023 Term loan $ 740,275 $ 758,094 Senior unsecured notes 500,000 500,000 Unsecured notes 26,548 27,558 Other debt 38,474 41,753 Total long-term debt 1,305,297 1,327,405 Debt issuance costs, net of amortization (22,468) (24,726) Total long-term debt, net of debt issuance costs 1,282,829 1,302,679 Less: Current portion of long-term debt (10,952) (11,368) Total long-term debt, net, less current portion $ 1,271,877 $ 1,291,311 As discussed in Note 13 to the Company’s Consolidated Financial Statements included in the Fiscal 2023 Form 10-K, the Company is a party to a term loan (“term loan”) agreement, which consists of both a U.S. dollar-denominated term loan tranche and a Euro-denominated term loan tranche, and a $1,000,000 revolving asset-based credit facility (“ABL”). Effective November 15, 2023, the Company amended its term loan and ABL agreements to extend maturities and lower the applicable margins used to determine the interest rate on the U.S. dollar-denominated term loan tranche. See Note 19 for additional details on these amendments. As of October 31, 2023, the entire outstanding U.S. term loan tranche balance of $271,900 was subject to a Secured Overnight Financing Rate (“SOFR”)-based rate totaling 8.439%. As of July 31, 2023, the entire outstanding U.S. term loan tranche balance of $271,900 was subject to a SOFR-based rate totaling 8.433%. The total interest rate on the October 31, 2023 outstanding Euro term loan tranche balance of $468,375 was 6.94%, and the total interest rate on the July 31, 2023 outstanding Euro term loan tranche of $486,194 was 6.625%. As of October 31, 2023 and July 31, 2023, there were no outstanding ABL borrowings. Availability under the ABL agreement is subject to a borrowing base based on a percentage of applicable eligible receivables and eligible inventory. The unused availability under the ABL is generally available to the Company for general operating purposes, and based on October 31, 2023 eligible receivables and eligible inventory balances and net of amounts drawn, if any, totaled approximately $998,000. As discussed in Note 13 to the Company’s Consolidated Financial Statements included in the Fiscal 2023 Form 10-K, on October 14, 2021, the Company issued an aggregate principal amount of $500,000 of 4.000% Senior Unsecured Notes due 2029 (“Senior Unsecured Notes”) that will mature on October 15, 2029 unless redeemed or repurchased earlier. Interest on the Senior Unsecured Notes is payable in semi-annual installments on April 15 and October 15 of each year. The unsecured notes of 25,000 Euro ($26,548) relate to long-term debt of our European segment. There are two series, 20,000 Euro ($21,238) with an interest rate of 1.945% maturing in March 2025, and 5,000 Euro ($5,310) with an interest rate of 2.534% maturing March 2028. Other debt relates primarily to real estate loans with varying maturity dates through September 2032 and interest rates ranging from 2.38% to 2.87%. Total contractual gross debt maturities as of October 31, 2023, prior to the November 15, 2023 amendments discussed above and in Note 19, are as follows: For the remainder of the fiscal year ending July 31, 2024 $ 9,073 For the fiscal year ending July 31, 2025 31,895 For the fiscal year ending July 31, 2026 743,337 For the fiscal year ending July 31, 2027 2,602 For the fiscal year ending July 31, 2028 7,975 For the fiscal year ending July 31, 2029 and thereafter 510,415 $ 1,305,297 For the three-month periods ended October 31, 2023 and October 31, 2022, interest expense on the term loan, ABL, Senior Unsecured Notes and other debt facilities totaled $20,327 and $20,179, respectively, and also included the amortization of capitalized fees to secure the term loan, ABL and Senior Unsecured Notes, which are being amortized over the respective terms of those arrangements, of $2,872 and $2,835, respectively. The fair value of the Company’s term loan debt at October 31, 2023 and July 31, 2023 approximates carrying value. The fair value of the Company’s Senior Unsecured Notes at October 31, 2023 and July 31, 2023 was $406,100 and $430,650, respectively. The fair value of other debt held by the Company approximates carrying value. The fair values of the Company’s long-term debt are primarily estimated using Level 2 inputs as defined by ASC 820, based on quoted prices in markets that are not active. |
Provision for Income Taxes
Provision for Income Taxes | 3 Months Ended |
Oct. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Provision for Income Taxes | Provision for Income Taxes The overall effective income tax rate for the three months ended October 31, 2023 was 24.2%. This rate was favorably impacted by certain foreign tax rate differences which include certain interest income not subject to corporate income tax. The favorable foreign rate differential was partially offset by additional tax expense related to the jurisdictional mix of earnings between foreign and domestic operations during the three months ended October 31, 2023. The overall effective income tax rate for the three months ended October 31, 2022 was 23.3%, which was favorably impacted by certain foreign tax rate differences, which include certain interest income not subject to corporate income tax. The favorable foreign rate differential was partially offset by tax expense from the vesting of share-based compensation awards during the three months ended October 31, 2022. Within the next 12 months, the Company does not anticipate any material changes in its unrecognized tax benefits as of October 31, 2023. The Company files income tax returns in the U.S. federal jurisdiction and in many U.S. state and foreign jurisdictions. The Company is currently under exam by certain foreign jurisdictions for fiscal years ended 2016 through 2021. The Company believes it has adequately reserved for its exposure to additional payments for uncertain tax positions in its liability for unrecognized tax benefits. |
Contingent Liabilities, Commitm
Contingent Liabilities, Commitments and Legal Matters | 3 Months Ended |
Oct. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingent Liabilities, Commitments and Legal Matters | Contingent Liabilities, Commitments and Legal Matters The Company’s total commercial commitments under standby repurchase obligations on global dealer inventory financing were $3,704,564 and $3,893,048 as of October 31, 2023 and July 31, 2023, respectively. The commitment term is generally up to eighteen months. The Company accounts for the guarantee under repurchase agreements of independent dealers’ financing by deferring a portion of the related product sale that represents the estimated fair value of the guarantee at inception. This estimate is based on recent historical experience supplemented by the Company’s assessment of current economic and other conditions affecting its independent dealers. This deferred amount is included in the repurchase and guarantee reserve balances of $13,155 and $12,114 as of October 31, 2023 and July 31, 2023, respectively, which is included in Other current liabilities in the Condensed Consolidated Balance Sheets. Losses incurred related to repurchase agreements that were settled during the three months ended October 31, 2023 and October 31, 2022 were not material. Based on current market conditions and other conditions affecting its independent dealers, the Company believes that any future losses under these agreements will not have a material effect on the Company’s consolidated financial position, results of operations or cash flows. The Company is also involved in certain litigation arising out of its operations in the normal course of its business, most of which is based upon state “lemon laws,” warranty claims and vehicle accidents (for which the Company carries insurance above a specified self-insured retention or deductible amount). The outcomes of legal proceedings and claims brought against the Company are subject to significant uncertainty. There is significant judgment required in assessing both the probability of an adverse outcome and the determination as to whether an exposure can be reasonably estimated. Based on current conditions, and in management’s opinion, the ultimate disposition of any current legal proceedings or claims against the Company will not have a material effect on the Company’s financial condition, operating results or cash flows. Litigation is, however, inherently uncertain and an adverse outcome from such litigation could have a material effect on the operating results of a particular reporting period. A product recall was issued in late fiscal 2021 related to certain purchased parts utilized in certain of our products, and a reserve to cover anticipated costs was established at that time. Beginning in fiscal 2022, the reserve has been adjusted quarterly based on developments involving the recall, including our expectations regarding the extent of vendor reimbursements and the estimated total cost of the recall. The Company has been, and will continue to be, reimbursed for a portion of the costs it will incur related to this recall. In addition, the Company accrued expenses during fiscal 2022 based on developments related to an ongoing investigation by certain German-based authorities regarding the adequacy of historical disclosures of vehicle weight in advertisements and other Company-provided literature in Germany. The Company is fully cooperating with the investigation. In the first quarter of fiscal 2024, the Company recognized $10,000 of income as a component of selling, general and administrative expense from adjustments related to these matters, and in the first quarter of fiscal 2023, the impact of the Company’s adjustments related to these matters was not material. Based on current available information, the Company does not believe there will be a material adverse impact to our future results of operations and cash flows due to these matters. |
Leases
Leases | 3 Months Ended |
Oct. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company has operating leases principally for land, buildings and equipment and has various finance leases for certain land and buildings principally expiring through 2035. Certain of the Company’s leases include options to extend or terminate the leases, and these options have been included in the relevant lease term to the extent that they are reasonably certain to be exercised. The Company does not include significant restrictions or covenants in our lease agreements, and residual value guarantees are not generally included within our operating leases. The components of lease costs for the three-month periods ended October 31, 2023 and October 31, 2022 were as follows: Three Months Ended October 31, 2023 2022 Operating lease cost $ 8,011 $ 6,879 Finance lease cost: Amortization of right-of-use assets 186 186 Interest on lease liabilities 83 105 Total lease cost $ 8,280 $ 7,170 Other information related to leases was as follows: Three Months Ended October 31, Supplemental Cash Flows Information 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,987 $ 6,853 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 914 $ 3,395 Supplemental Balance Sheet Information October 31, 2023 July 31, 2023 Operating leases: Operating lease right-of-use assets $ 45,200 $ 47,969 Operating lease liabilities Other current liabilities $ 10,968 $ 11,238 Other long-term liabilities 34,348 36,775 Total operating lease liabilities $ 45,316 $ 48,013 Finance leases: Finance lease right-of-use assets $ 5,331 $ 5,518 Finance lease liabilities Other current liabilities $ 779 $ 754 Other long-term liabilities 2,517 2,722 Total finance lease liabilities $ 3,296 $ 3,476 October 31, 2023 July 31, 2023 Weighted-average remaining lease term: Operating leases 9.3 years 9.3 years Finance leases 3.6 years 3.8 years Weighted-average discount rate: Operating leases 4.8 % 4.7 % Finance leases 9.7 % 9.7 % Future minimum rental payments required under operating and finance leases as of October 31, 2023 were as follows: Operating Leases Finance Leases For the remainder of the fiscal year ending July 31, 2024 $ 12,906 $ 796 For the fiscal year ending July 31, 2025 13,343 1,083 For the fiscal year ending July 31, 2026 9,397 1,107 For the fiscal year ending July 31, 2027 6,340 896 For the fiscal year ending July 31, 2028 4,132 58 For the fiscal year ending July 31, 2029 and thereafter 15,898 — Total future lease payments 62,016 3,940 Less: Amount representing interest (16,700) (644) Total reported lease liability $ 45,316 $ 3,296 |
Leases | Leases The Company has operating leases principally for land, buildings and equipment and has various finance leases for certain land and buildings principally expiring through 2035. Certain of the Company’s leases include options to extend or terminate the leases, and these options have been included in the relevant lease term to the extent that they are reasonably certain to be exercised. The Company does not include significant restrictions or covenants in our lease agreements, and residual value guarantees are not generally included within our operating leases. The components of lease costs for the three-month periods ended October 31, 2023 and October 31, 2022 were as follows: Three Months Ended October 31, 2023 2022 Operating lease cost $ 8,011 $ 6,879 Finance lease cost: Amortization of right-of-use assets 186 186 Interest on lease liabilities 83 105 Total lease cost $ 8,280 $ 7,170 Other information related to leases was as follows: Three Months Ended October 31, Supplemental Cash Flows Information 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,987 $ 6,853 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 914 $ 3,395 Supplemental Balance Sheet Information October 31, 2023 July 31, 2023 Operating leases: Operating lease right-of-use assets $ 45,200 $ 47,969 Operating lease liabilities Other current liabilities $ 10,968 $ 11,238 Other long-term liabilities 34,348 36,775 Total operating lease liabilities $ 45,316 $ 48,013 Finance leases: Finance lease right-of-use assets $ 5,331 $ 5,518 Finance lease liabilities Other current liabilities $ 779 $ 754 Other long-term liabilities 2,517 2,722 Total finance lease liabilities $ 3,296 $ 3,476 October 31, 2023 July 31, 2023 Weighted-average remaining lease term: Operating leases 9.3 years 9.3 years Finance leases 3.6 years 3.8 years Weighted-average discount rate: Operating leases 4.8 % 4.7 % Finance leases 9.7 % 9.7 % Future minimum rental payments required under operating and finance leases as of October 31, 2023 were as follows: Operating Leases Finance Leases For the remainder of the fiscal year ending July 31, 2024 $ 12,906 $ 796 For the fiscal year ending July 31, 2025 13,343 1,083 For the fiscal year ending July 31, 2026 9,397 1,107 For the fiscal year ending July 31, 2027 6,340 896 For the fiscal year ending July 31, 2028 4,132 58 For the fiscal year ending July 31, 2029 and thereafter 15,898 — Total future lease payments 62,016 3,940 Less: Amount representing interest (16,700) (644) Total reported lease liability $ 45,316 $ 3,296 |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Oct. 31, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Total stock-based compensation expense recognized in the three-month periods ended October 31, 2023 and October 31, 2022 for stock-based awards totaled $10,452 and $8,392, respectively. Share Repurchase Program As discussed in Note 17 to the Company’s Consolidated Financial Statements included in the Fiscal 2023 Form 10-K, on December 21, 2021, the Company’s Board of Directors authorized Company management to utilize up to $250,000 to repurchase shares of the Company’s common stock through December 21, 2024. On June 24, 2022, the Board authorized Company management to utilize up to an additional $448,321 to repurchase shares of the Company’s common stock through July 31, 2025. During the three-month period ended October 31, 2023, the Company purchased 327,876 shares of its common stock, at various times in the open market, at a weighted-average price of $91.61 and held them as treasury shares at an aggregate purchase price of $30,037, all from the December 21, 2021 authorization. Since the inception of the December 21, 2021 authorization, the Company has purchased 2,821,651 shares of its common stock, at various times in the open market, at a weighted-average price of $84.05 and held them as treasury shares at an aggregate purchase price of $237,151. As of October 31, 2023, the remaining amount of the Company's common stock that may be repurchased under the December 21, 2021 $250,000 authorization expiring on December 21, 2024 is $12,849. As of October 31, 2023, the remaining amount of the Company’s common stock that may be repurchased under the June 24, 2022 authorization expiring on July 31, 2025 is $448,321. As of October 31, 2023, the total remaining amount of the Company’s common stock that may be repurchased under these two authorizations is $461,170. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Oct. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition The table below disaggregates revenue to the level that the Company believes best depicts how the nature, amount, timing and uncertainty of the Company’s revenue and cash flows are affected by economic factors. Other RV-related revenues shown below in the European segment include sales related to accessories and services, new and used vehicle sales at owned dealerships and RV rentals. Other sales relate primarily to component part sales to RV original equipment manufacturers and aftermarket sales through dealers and retailers, as well as aluminum extruded components. All material revenue streams are considered point-in-time. Three Months Ended October 31, NET SALES: 2023 2022 Recreational vehicles North American Towable Travel Trailers $ 619,538 $ 822,869 Fifth Wheels 325,916 494,937 Total North American Towable 945,454 1,317,806 North American Motorized Class A 207,911 404,578 Class C 333,776 490,787 Class B 169,472 228,154 Total North American Motorized 711,159 1,123,519 Total North America 1,656,613 2,441,325 European Motorcaravan 346,511 239,785 Campervan 221,609 139,166 Caravan 64,627 61,615 Other RV-related 75,454 63,736 Total European 708,201 504,302 Total recreational vehicles 2,364,814 2,945,627 Other 198,921 232,648 Intercompany eliminations (62,976) (70,191) Total $ 2,500,759 $ 3,108,084 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 3 Months Ended |
Oct. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The components of other comprehensive income (loss) (“OCI”) and the changes in the Company's accumulated other comprehensive income (loss) (“AOCI”) by component were as follows: Three Months Ended October 31, 2023 Foreign Currency Unrealized Other AOCI, net of tax, Attributable to THOR Non-controlling Interests Total AOCI Balance at beginning of period, net of tax $ (68,911) $ — $ 364 $ (68,547) $ (2,583) $ (71,130) OCI before reclassifications (59,924) — — (59,924) (722) (60,646) OCI, net of tax for the fiscal year (59,924) — — (59,924) (722) (60,646) AOCI, net of tax $ (128,835) $ — $ 364 $ (128,471) $ (3,305) $ (131,776) Three Months Ended October 31, 2022 Foreign Currency Unrealized Other AOCI, net of tax, Attributable to THOR Non-controlling Interests Total AOCI Balance at beginning of period, net of tax $ (183,453) $ 675 $ 1,171 $ (181,607) $ (2,205) $ (183,812) OCI before reclassifications (42,895) 1,123 — (41,772) (434) (42,206) Income taxes associated with OCI before reclassifications (1) — (269) — (269) — (269) Amounts reclassified from AOCI — (62) — (62) — (62) Income taxes associated with amounts reclassified from AOCI — 12 — 12 — 12 OCI, net of tax for the fiscal year (42,895) 804 — (42,091) (434) (42,525) AOCI, net of tax $ (226,348) $ 1,479 $ 1,171 $ (223,698) $ (2,639) $ (226,337) (1) We do not recognize deferred taxes for a majority of the foreign currency translation gains and losses because we do not anticipate reversal in the foreseeable future. |
Subsequent Event
Subsequent Event | 3 Months Ended |
Oct. 31, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Event | Subsequent Event On November 15, 2023, the Company entered into amendments to both its term loan and ABL agreements. Pursuant to the term loan amendments, the applicable margin used to determine the interest rate on U.S. dollar-denominated loans was reduced by 0.25% so that the applicable margin for Alternate Base Rate ("ABR")-based loans is 1.75% and 2.75% for SOFR-based loans. The SOFR credit spread adjustment applicable to U.S. dollar-denominated SOFR-based loans was eliminated. The applicable margin for Euro-denominated EURIBOR-based loans was unchanged. The maturity date for the term loan was extended from February 1, 2026 to November 15, 2030. Covenants and other material provisions of the term loan agreement remain materially unchanged. As of the November 15, 2023 amendment date, the principal amounts outstanding under the term loan agreement were $450,000 on the U.S. dollar-denominated term loan tranche and 330,000 Euro on the Euro-denominated term loan tranche. Pursuant to the ABL amendment, the maturity date for loans under the ABL agreement was extended from September 1, 2026 to November 15, 2028. Maximum availability under the ABL remains at $1,000,000 and there were no borrowings outstanding as of the November 15, 2023 amendment date. The applicable margin, covenants and other material provisions of the ABL remain materially unchanged. As a result of these amendments and associated maturity date extensions, extinguishment accounting under ASC 470-50 will be applied to certain existing capitalized term loan and ABL debt costs. The Company expects to recognize total expense of approximately $20,000 in the second quarter of fiscal 2024 related to these amendments, which will primarily be a non-cash extinguishment charge included in interest expense. In addition, in the second quarter of fiscal 2024 the Company will capitalize applicable financing costs related to these amendments which will be amortized over the remaining term of the amended term loan and ABL agreements. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Pay vs Performance Disclosure | ||
Net Income (Loss) Attributable to Parent | $ 53,565 | $ 136,185 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Oct. 31, 2023 shares | |
Trading Arrangements, by Individual | |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Todd Woelfer [Member] | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On October 16, 2023, our Chief Operating Officer, Todd Woelfer, adopted a Rule 10b5-1 trading arrangement (providing for the sale of up to 10,000 shares of Company common stock) that is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act. Mr. Woelfer’s Rule 10b5-1 trading arrangement provides for a mandatory cooling-off period as required by Rule 10b5-1 and is scheduled to expire on December 31, 2024 or such earlier date as of which all of the shares covered by the arrangement have been sold. As of October 31, 2023, Mr. Woelfer held 95,014 shares of Company common stock not subject to trading under his Rule 10b5-1 trading arrangement. |
Name | Todd Woelfer |
Title | Chief Operating Officer |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | October 16, 2023 |
Arrangement Duration | 442 days |
Aggregate Available | 10,000 |
Nature of Operations and Acco_2
Nature of Operations and Accounting Policies (Policies) | 3 Months Ended |
Oct. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | Nature of Operations THOR Industries, Inc. was founded in 1980 and is the sole owner of operating subsidiaries (collectively, the “Company” or “THOR”), that, combined, represent the world's largest manufacturer of recreational vehicles (“RVs”). The Company manufactures a wide variety of RVs primarily in the United States and Europe and sells those vehicles, as well as related parts and accessories, primarily to independent, non-franchise dealers throughout the United States, Canada and Europe. Unless the context requires or indicates otherwise, all references to “THOR,” the “Company,” “we,” “our” and “us” refer to THOR Industries, Inc. and its subsidiaries. The July 31, 2023 amounts are derived from the annual audited financial statements of THOR. The interim financial statements are unaudited. In the opinion of management, all adjustments (which consist of normal, recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for the interim periods presented have been made. These financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the fiscal year ended July 31, 2023. Due to seasonality within the recreational vehicle industry, the impact of the ongoing supply chain disruptions primarily in Europe, inflation and shifting consumer demand on our industry, among other factors, annualizing the results of operations for the three months ended October 31, 2023 would not necessarily be indicative of the results expected for the full fiscal year. |
Business Segments (Tables)
Business Segments (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following tables reflect certain financial information by reportable segment: Three Months Ended October 31, NET SALES: 2023 2022 Recreational vehicles North American Towable $ 945,454 $ 1,317,806 North American Motorized 711,159 1,123,519 Total North America 1,656,613 2,441,325 European 708,201 504,302 Total recreational vehicles 2,364,814 2,945,627 Other 198,921 232,648 Intercompany eliminations (62,976) (70,191) Total $ 2,500,759 $ 3,108,084 Three Months Ended October 31, INCOME (LOSS) BEFORE INCOME TAXES: 2023 2022 Recreational vehicles North American Towable $ 49,249 $ 111,007 North American Motorized 37,052 124,433 Total North America 86,301 235,440 European 28,767 (6,468) Total recreational vehicles 115,068 228,972 Other, net 9,476 4,745 Corporate (51,962) (54,446) Total $ 72,582 $ 179,271 TOTAL ASSETS: October 31, 2023 July 31, 2023 Recreational vehicles North American Towable $ 1,442,405 $ 1,429,899 North American Motorized 1,269,984 1,268,109 Total North America 2,712,389 2,698,008 European 2,787,150 2,898,175 Total recreational vehicles 5,499,539 5,596,183 Other 1,032,989 1,048,076 Corporate 639,945 616,571 Total $ 7,172,473 $ 7,260,830 DEPRECIATION AND INTANGIBLE ASSET AMORTIZATION EXPENSE: Three Months Ended October 31, 2023 2022 Recreational vehicles North American Towable $ 13,764 $ 15,437 North American Motorized 8,942 8,161 Total North America 22,706 23,598 European 30,397 27,302 Total recreational vehicles 53,103 50,900 Other 13,626 15,648 Corporate 549 445 Total $ 67,278 $ 66,993 Three Months Ended October 31, CAPITAL ACQUISITIONS: 2023 2022 Recreational vehicles North American Towable $ 6,930 $ 21,174 North American Motorized 7,475 19,064 Total North America 14,405 40,238 European 14,760 8,920 Total recreational vehicles 29,165 49,158 Other 8,291 4,812 Corporate 2,735 120 Total $ 40,191 $ 54,090 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Common Share | The following table reflects the weighted-average common shares used to compute basic and diluted earnings per common share as included on the Condensed Consolidated Statements of Income and Comprehensive Income: Three Months Ended October 31, 2023 2022 Weighted-average common shares outstanding for basic earnings per share 53,295,835 53,656,415 Unvested restricted stock units and performance stock units 557,884 272,336 Weighted-average common shares outstanding assuming dilution 53,853,719 53,928,751 |
Derivatives and Hedging (Tables
Derivatives and Hedging (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments, Gain (Loss) | The total amounts presented in the Condensed Consolidated Statements of Income and Comprehensive Income due to changes in the fair value of the derivative instruments are as follows: Three Months Ended October 31, 2023 2022 Gain (Loss) on Derivatives Designated as Cash Flow Hedges Gain (Loss) recognized in Other Comprehensive Income (Loss), net of tax Interest rate swap agreements (1) $ — $ 746 Total gain (loss) $ — $ 746 (1) Other comprehensive income (loss), net of tax, before reclassification from accumulated other comprehensive income (“AOCI”) was $0 and $854 for the three months ended October 31, 2023 and 2022, respectively. Three Months Ended October 31, 2023 2022 Interest Interest Sales Expense Sales Expense Gain (Loss) Reclassified from AOCI, Net of Tax Foreign currency forward contracts $ — $ — $ (58) $ — Interest rate swap agreements — — — 108 Gain (Loss) on Derivatives Not Designated as Hedging Instruments Amount of gain (loss) recognized in income, net of tax Foreign currency forward contracts $ 157 $ — $ 828 $ — Commodities swap agreements — — (662) — Interest rate swap agreements — 64 — 254 Total gain (loss) $ 157 $ 64 $ 108 $ 362 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Major Classifications of Inventories | Major classifications of inventories are as follows: October 31, 2023 July 31, 2023 Finished goods – RV $ 252,534 $ 164,456 Finished goods – other 86,533 93,476 Work in process 348,032 313,006 Raw materials 517,116 563,614 Chassis 672,618 681,122 Subtotal 1,876,833 1,815,674 Excess of FIFO costs over LIFO costs (162,604) (162,604) Total inventories, net $ 1,714,229 $ 1,653,070 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property, Plant and Equipment | Property, plant and equipment consists of the following: October 31, 2023 July 31, 2023 Land $ 151,719 $ 147,633 Buildings and improvements 1,047,989 1,038,394 Machinery and equipment 671,351 672,499 Rental vehicles 102,591 99,360 Lease right-of-use assets – operating 45,200 47,969 Lease right-of-use assets – finance 5,331 5,518 Total cost 2,024,181 2,011,373 Less: Accumulated depreciation (646,534) (623,565) Property, plant and equipment, net $ 1,377,647 $ 1,387,808 |
Intangible Assets and Goodwill
Intangible Assets and Goodwill (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Components of Amortizable Intangible Assets | The components of Amortizable intangible assets are as follows: October 31, 2023 July 31, 2023 Accumulated Accumulated Cost Amortization Cost Amortization Dealer networks/customer relationships $ 1,099,750 $ 542,468 $ 1,112,273 $ 526,327 Trademarks 351,075 99,552 355,560 96,087 Design technology and other intangibles 252,404 110,772 258,868 107,483 Non-compete agreements 1,400 1,342 1,400 1,225 Total amortizable intangible assets $ 1,704,629 $ 754,134 $ 1,728,101 $ 731,122 |
Summary of Estimated Amortization Expense | Estimated future amortization expense is as follows: For the remainder of the fiscal year ending July 31, 2024 $ 96,360 For the fiscal year ending July 31, 2025 116,771 For the fiscal year ending July 31, 2026 105,577 For the fiscal year ending July 31, 2027 96,923 For the fiscal year ending July 31, 2028 89,602 For the fiscal year ending July 31, 2029 and thereafter 445,262 $ 950,495 |
Schedule of Goodwill | Changes in the carrying amount of Goodwill by reportable segment for the three months ended October 31, 2023 are summarized as follows: North American Towable North American Motorized European Other Total Net balance as of August 1, 2023 $ 337,883 $ 65,064 $ 965,758 $ 431,717 $ 1,800,422 Fiscal 2024 activity: Goodwill acquired — — — 3,751 3,751 Foreign currency translation — — (35,396) — (35,396) Net balance as of October 31, 2023 $ 337,883 $ 65,064 $ 930,362 $ 435,468 $ 1,768,777 Changes in the carrying amount of Goodwill by reportable segment for the three months ended October 31, 2022 are summarized as follows: North American Towable North American Motorized European Other Total Net balance as of August 1, 2022 $ 344,975 $ 53,875 $ 893,383 $ 511,918 $ 1,804,151 Fiscal 2023 activity: Measurement period adjustments — — — 4,682 4,682 Foreign currency translation — — (24,879) — (24,879) Net balance as of October 31, 2022 $ 344,975 $ 53,875 $ 868,504 $ 516,600 $ 1,783,954 |
Equity Investments (Tables)
Equity Investments (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | The Company had the following aggregate investment and maximum exposure to loss related to these VIEs: October 31, 2023 July 31, 2023 Carrying amount of investments $ 130,100 $ 126,909 Maximum exposure to loss $ 153,019 $ 161,459 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets Measured on Recurring Basis | The financial assets and liabilities that are accounted for at fair value on a recurring basis at October 31, 2023 and July 31, 2023 are as follows: Input Level October 31, 2023 July 31, 2023 Cash equivalents Level 1 $ 302,255 $ 286,984 Deferred compensation plan mutual fund assets Level 1 $ 38,496 $ 40,220 Equity investments Level 1 $ 1,235 $ 4,105 Foreign currency forward contract liability Level 2 $ 165 $ — Interest rate swap liability Level 2 $ 808 $ 932 |
Product Warranties (Tables)
Product Warranties (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Schedule of Changes in Product Warranty Liabilities | Changes in our product warranty liability during the indicated periods are as follows: Three Months Ended October 31, 2023 2022 Beginning balance $ 345,197 $ 317,908 Provision 74,435 89,425 Payments (84,171) (80,141) Foreign currency translation (2,187) (1,479) Ending balance $ 333,274 $ 325,713 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt Instruments | The components of long-term debt are as follows: October 31, 2023 July 31, 2023 Term loan $ 740,275 $ 758,094 Senior unsecured notes 500,000 500,000 Unsecured notes 26,548 27,558 Other debt 38,474 41,753 Total long-term debt 1,305,297 1,327,405 Debt issuance costs, net of amortization (22,468) (24,726) Total long-term debt, net of debt issuance costs 1,282,829 1,302,679 Less: Current portion of long-term debt (10,952) (11,368) Total long-term debt, net, less current portion $ 1,271,877 $ 1,291,311 |
Schedule of Maturities of Long-Term Debt | Total contractual gross debt maturities as of October 31, 2023, prior to the November 15, 2023 amendments discussed above and in Note 19, are as follows: For the remainder of the fiscal year ending July 31, 2024 $ 9,073 For the fiscal year ending July 31, 2025 31,895 For the fiscal year ending July 31, 2026 743,337 For the fiscal year ending July 31, 2027 2,602 For the fiscal year ending July 31, 2028 7,975 For the fiscal year ending July 31, 2029 and thereafter 510,415 $ 1,305,297 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Leases [Abstract] | |
Summary of Components of Lease Costs | The components of lease costs for the three-month periods ended October 31, 2023 and October 31, 2022 were as follows: Three Months Ended October 31, 2023 2022 Operating lease cost $ 8,011 $ 6,879 Finance lease cost: Amortization of right-of-use assets 186 186 Interest on lease liabilities 83 105 Total lease cost $ 8,280 $ 7,170 Other information related to leases was as follows: Three Months Ended October 31, Supplemental Cash Flows Information 2023 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,987 $ 6,853 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 914 $ 3,395 Supplemental Balance Sheet Information October 31, 2023 July 31, 2023 Operating leases: Operating lease right-of-use assets $ 45,200 $ 47,969 Operating lease liabilities Other current liabilities $ 10,968 $ 11,238 Other long-term liabilities 34,348 36,775 Total operating lease liabilities $ 45,316 $ 48,013 Finance leases: Finance lease right-of-use assets $ 5,331 $ 5,518 Finance lease liabilities Other current liabilities $ 779 $ 754 Other long-term liabilities 2,517 2,722 Total finance lease liabilities $ 3,296 $ 3,476 October 31, 2023 July 31, 2023 Weighted-average remaining lease term: Operating leases 9.3 years 9.3 years Finance leases 3.6 years 3.8 years Weighted-average discount rate: Operating leases 4.8 % 4.7 % Finance leases 9.7 % 9.7 % |
Summary of Operating Lease Liability Maturities | Future minimum rental payments required under operating and finance leases as of October 31, 2023 were as follows: Operating Leases Finance Leases For the remainder of the fiscal year ending July 31, 2024 $ 12,906 $ 796 For the fiscal year ending July 31, 2025 13,343 1,083 For the fiscal year ending July 31, 2026 9,397 1,107 For the fiscal year ending July 31, 2027 6,340 896 For the fiscal year ending July 31, 2028 4,132 58 For the fiscal year ending July 31, 2029 and thereafter 15,898 — Total future lease payments 62,016 3,940 Less: Amount representing interest (16,700) (644) Total reported lease liability $ 45,316 $ 3,296 |
Summary of Finance Lease Liability Maturities | Future minimum rental payments required under operating and finance leases as of October 31, 2023 were as follows: Operating Leases Finance Leases For the remainder of the fiscal year ending July 31, 2024 $ 12,906 $ 796 For the fiscal year ending July 31, 2025 13,343 1,083 For the fiscal year ending July 31, 2026 9,397 1,107 For the fiscal year ending July 31, 2027 6,340 896 For the fiscal year ending July 31, 2028 4,132 58 For the fiscal year ending July 31, 2029 and thereafter 15,898 — Total future lease payments 62,016 3,940 Less: Amount representing interest (16,700) (644) Total reported lease liability $ 45,316 $ 3,296 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenue | Three Months Ended October 31, NET SALES: 2023 2022 Recreational vehicles North American Towable Travel Trailers $ 619,538 $ 822,869 Fifth Wheels 325,916 494,937 Total North American Towable 945,454 1,317,806 North American Motorized Class A 207,911 404,578 Class C 333,776 490,787 Class B 169,472 228,154 Total North American Motorized 711,159 1,123,519 Total North America 1,656,613 2,441,325 European Motorcaravan 346,511 239,785 Campervan 221,609 139,166 Caravan 64,627 61,615 Other RV-related 75,454 63,736 Total European 708,201 504,302 Total recreational vehicles 2,364,814 2,945,627 Other 198,921 232,648 Intercompany eliminations (62,976) (70,191) Total $ 2,500,759 $ 3,108,084 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended |
Oct. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The components of other comprehensive income (loss) (“OCI”) and the changes in the Company's accumulated other comprehensive income (loss) (“AOCI”) by component were as follows: Three Months Ended October 31, 2023 Foreign Currency Unrealized Other AOCI, net of tax, Attributable to THOR Non-controlling Interests Total AOCI Balance at beginning of period, net of tax $ (68,911) $ — $ 364 $ (68,547) $ (2,583) $ (71,130) OCI before reclassifications (59,924) — — (59,924) (722) (60,646) OCI, net of tax for the fiscal year (59,924) — — (59,924) (722) (60,646) AOCI, net of tax $ (128,835) $ — $ 364 $ (128,471) $ (3,305) $ (131,776) Three Months Ended October 31, 2022 Foreign Currency Unrealized Other AOCI, net of tax, Attributable to THOR Non-controlling Interests Total AOCI Balance at beginning of period, net of tax $ (183,453) $ 675 $ 1,171 $ (181,607) $ (2,205) $ (183,812) OCI before reclassifications (42,895) 1,123 — (41,772) (434) (42,206) Income taxes associated with OCI before reclassifications (1) — (269) — (269) — (269) Amounts reclassified from AOCI — (62) — (62) — (62) Income taxes associated with amounts reclassified from AOCI — 12 — 12 — 12 OCI, net of tax for the fiscal year (42,895) 804 — (42,091) (434) (42,525) AOCI, net of tax $ (226,348) $ 1,479 $ 1,171 $ (223,698) $ (2,639) $ (226,337) (1) We do not recognize deferred taxes for a majority of the foreign currency translation gains and losses because we do not anticipate reversal in the foreseeable future. |
Business Segments - Narrative (
Business Segments - Narrative (Details) | 3 Months Ended |
Oct. 31, 2023 segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Business Segments - Schedule of
Business Segments - Schedule of Reporting Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Oct. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 2,500,759 | $ 3,108,084 | |
Income (loss) from continuing operations before income taxes | 72,582 | 179,271 | |
Total assets | 7,172,473 | $ 7,260,830 | |
Depreciation and amortization expense, total | 67,278 | 66,993 | |
Capital acquisitions | 40,191 | 54,090 | |
Operating segments | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,364,814 | 2,945,627 | |
Income (loss) from continuing operations before income taxes | 115,068 | 228,972 | |
Total assets | 5,499,539 | 5,596,183 | |
Depreciation and amortization expense, total | 53,103 | 50,900 | |
Capital acquisitions | 29,165 | 49,158 | |
Operating segments | North America | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,656,613 | 2,441,325 | |
Income (loss) from continuing operations before income taxes | 86,301 | 235,440 | |
Total assets | 2,712,389 | 2,698,008 | |
Depreciation and amortization expense, total | 22,706 | 23,598 | |
Capital acquisitions | 14,405 | 40,238 | |
Operating segments | North American Towable Recreational Vehicles | North America | |||
Segment Reporting Information [Line Items] | |||
Net sales | 945,454 | 1,317,806 | |
Income (loss) from continuing operations before income taxes | 49,249 | 111,007 | |
Total assets | 1,442,405 | 1,429,899 | |
Depreciation and amortization expense, total | 13,764 | 15,437 | |
Capital acquisitions | 6,930 | 21,174 | |
Operating segments | North American Motorized Recreational Vehicles | North America | |||
Segment Reporting Information [Line Items] | |||
Net sales | 711,159 | 1,123,519 | |
Income (loss) from continuing operations before income taxes | 37,052 | 124,433 | |
Total assets | 1,269,984 | 1,268,109 | |
Depreciation and amortization expense, total | 8,942 | 8,161 | |
Capital acquisitions | 7,475 | 19,064 | |
Operating segments | European Recreational Vehicles | European | |||
Segment Reporting Information [Line Items] | |||
Net sales | 708,201 | 504,302 | |
Income (loss) from continuing operations before income taxes | 28,767 | (6,468) | |
Total assets | 2,787,150 | 2,898,175 | |
Depreciation and amortization expense, total | 30,397 | 27,302 | |
Capital acquisitions | 14,760 | 8,920 | |
Operating segments | Recreational vehicles | |||
Segment Reporting Information [Line Items] | |||
Net sales | 2,364,814 | 2,945,627 | |
Operating segments | Recreational vehicles | North America | |||
Segment Reporting Information [Line Items] | |||
Net sales | 1,656,613 | 2,441,325 | |
Operating segments | Recreational vehicles | European | |||
Segment Reporting Information [Line Items] | |||
Net sales | 708,201 | 504,302 | |
Other, net | |||
Segment Reporting Information [Line Items] | |||
Net sales | 198,921 | 232,648 | |
Income (loss) from continuing operations before income taxes | 9,476 | 4,745 | |
Total assets | 1,032,989 | 1,048,076 | |
Depreciation and amortization expense, total | 13,626 | 15,648 | |
Capital acquisitions | 8,291 | 4,812 | |
Corporate | |||
Segment Reporting Information [Line Items] | |||
Income (loss) from continuing operations before income taxes | (51,962) | (54,446) | |
Total assets | 639,945 | $ 616,571 | |
Depreciation and amortization expense, total | 549 | 445 | |
Capital acquisitions | 2,735 | 120 | |
Intercompany eliminations | |||
Segment Reporting Information [Line Items] | |||
Net sales | $ (62,976) | $ (70,191) |
Earnings Per Common Share - Sch
Earnings Per Common Share - Schedule of Earnings Per Common Share (Detail) - shares | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Earnings Per Share [Abstract] | ||
Weighted-average common shares outstanding for basic earnings per share (in shares) | 53,295,835 | 53,656,415 |
Unvested restricted stock units (in shares) | 557,884 | 272,336 |
Weighted-average common shares outstanding assuming dilution (in shares) | 53,853,719 | 53,928,751 |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Details) - shares | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Earnings Per Share [Abstract] | ||
Antidilutive stock options, unvested restricted stock units outstanding (in shares) | 51,298 | 204,441 |
Derivatives and Hedging - Narra
Derivatives and Hedging - Narrative (Details) - USD ($) | 3 Months Ended | ||
Oct. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2023 | |
Derivative [Line Items] | |||
Foreign currency transaction gain (loss) | $ 13,409,000 | $ 9,385,000 | |
Amount reclassified | 0 | $ 0 | |
Not designated as hedging instrument | |||
Derivative [Line Items] | |||
Derivative notional amount | 35,878,000 | $ 25,248,000 | |
Derivative liability | $ 643,000 | $ 932,000 |
Derivatives and Hedging - Finan
Derivatives and Hedging - Financial Statement Impact of Derivatives (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Not designated as hedging instrument | ||
Gain (Loss) recognized in Other Comprehensive Income (Loss), net of tax | ||
Total gain (loss) | $ 0 | $ 746 |
Interest rate swap agreements | ||
Gain (Loss) recognized in Other Comprehensive Income (Loss), net of tax | ||
Other comprehensive income (loss), before reclassification | 0 | 854 |
Interest rate swap agreements | Not designated as hedging instrument | ||
Gain (Loss) recognized in Other Comprehensive Income (Loss), net of tax | ||
Total gain (loss) | 0 | 746 |
Sales | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Total gain (loss) | 157 | 108 |
Sales | Foreign currency forward contracts | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 157 | 828 |
Sales | Foreign currency forward contracts | Designated as hedging instrument | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Gain (Loss) Reclassified from AOCI, Net of Tax | 0 | (58) |
Sales | Commodities swap agreements | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 0 | (662) |
Sales | Interest rate swap agreements | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 0 | 0 |
Sales | Interest rate swap agreements | Designated as hedging instrument | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Gain (Loss) Reclassified from AOCI, Net of Tax | 0 | 0 |
Interest expense | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Total gain (loss) | 64 | 362 |
Interest expense | Foreign currency forward contracts | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 0 | 0 |
Interest expense | Foreign currency forward contracts | Designated as hedging instrument | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Gain (Loss) Reclassified from AOCI, Net of Tax | 0 | 0 |
Interest expense | Commodities swap agreements | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 0 | 0 |
Interest expense | Interest rate swap agreements | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Amount of gain (loss) recognized in income, net of tax | 64 | 254 |
Interest expense | Interest rate swap agreements | Designated as hedging instrument | Cash Flow Hedging | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net [Abstract] | ||
Gain (Loss) Reclassified from AOCI, Net of Tax | $ 0 | $ 108 |
Inventories - Schedule of Major
Inventories - Schedule of Major Classifications of Inventories (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Inventory [Line Items] | ||
Work in process | $ 348,032 | $ 313,006 |
Raw materials | 517,116 | 563,614 |
Chassis | 672,618 | 681,122 |
Subtotal | 1,876,833 | 1,815,674 |
Excess of FIFO costs over LIFO costs | (162,604) | (162,604) |
Total inventories, net | 1,714,229 | 1,653,070 |
Recreational vehicles | ||
Inventory [Line Items] | ||
Finished products | 252,534 | 164,456 |
Other | ||
Inventory [Line Items] | ||
Finished products | $ 86,533 | $ 93,476 |
Inventories - Additional Inform
Inventories - Additional Information (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Inventories | $ 1,876,833 | $ 1,815,674 |
Subsidiaries valued inventory in first-in, first-out method | 1,267,808 | 1,224,069 |
Subsidiaries valued inventory in last-in, first-out method | $ 609,025 | $ 591,605 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Property, Plant, Equipment, and ROU Assets [Line Items] | ||
Lease right-of-use assets – operating | $ 45,200 | $ 47,969 |
Lease right-of-use assets – finance | 5,331 | 5,518 |
Total cost | 2,024,181 | 2,011,373 |
Less: Accumulated depreciation | (646,534) | (623,565) |
Property, plant and equipment, net | 1,377,647 | 1,387,808 |
Land | ||
Property, Plant, Equipment, and ROU Assets [Line Items] | ||
Property, plant and equipment | 151,719 | 147,633 |
Buildings and improvements | ||
Property, Plant, Equipment, and ROU Assets [Line Items] | ||
Property, plant and equipment | 1,047,989 | 1,038,394 |
Machinery and equipment | ||
Property, Plant, Equipment, and ROU Assets [Line Items] | ||
Property, plant and equipment | 671,351 | 672,499 |
Rental vehicles | ||
Property, Plant, Equipment, and ROU Assets [Line Items] | ||
Property, plant and equipment | $ 102,591 | $ 99,360 |
Intangible Assets and Goodwil_2
Intangible Assets and Goodwill - Components of Amortizable Intangible Assets (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Finite-Lived Intangible Assets [Line Items] | ||
Cost | $ 1,704,629 | $ 1,728,101 |
Accumulated amortization | 754,134 | 731,122 |
Dealer networks/customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 1,099,750 | 1,112,273 |
Accumulated amortization | 542,468 | 526,327 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 351,075 | 355,560 |
Accumulated amortization | 99,552 | 96,087 |
Design technology and other intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 252,404 | 258,868 |
Accumulated amortization | 110,772 | 107,483 |
Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Cost | 1,400 | 1,400 |
Accumulated amortization | $ 1,342 | $ 1,225 |
Intangible Assets and Goodwil_3
Intangible Assets and Goodwill - Estimated Amortization Expense (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
For the remainder of the fiscal year ending July 31, 2024 | $ 96,360 | |
For the fiscal year ending July 31, 2025 | 116,771 | |
For the fiscal year ending July 31, 2026 | 105,577 | |
For the fiscal year ending July 31, 2027 | 96,923 | |
For the fiscal year ending July 31, 2028 | 89,602 | |
For the fiscal year ending July 31, 2029 and thereafter | 445,262 | |
Estimated annual amortization expense, total | $ 950,495 | $ 996,979 |
Intangible Assets and Goodwil_4
Intangible Assets and Goodwill - Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | $ 1,800,422 | $ 1,804,151 |
Goodwill acquired | 3,751 | |
Measurement period adjustments | 4,682 | |
Foreign currency translation | (35,396) | (24,879) |
Goodwill, ending balance | 1,768,777 | 1,783,954 |
Other | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 431,717 | 511,918 |
Goodwill acquired | 3,751 | |
Measurement period adjustments | 4,682 | |
Foreign currency translation | 0 | 0 |
Goodwill, ending balance | 435,468 | 516,600 |
European | Recreational vehicles | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 965,758 | 893,383 |
Goodwill acquired | 0 | |
Measurement period adjustments | 0 | |
Foreign currency translation | (35,396) | (24,879) |
Goodwill, ending balance | 930,362 | 868,504 |
North American Towable | North America | Recreational vehicles | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 337,883 | 344,975 |
Goodwill acquired | 0 | |
Measurement period adjustments | 0 | |
Foreign currency translation | 0 | 0 |
Goodwill, ending balance | 337,883 | 344,975 |
North American Motorized | North America | Recreational vehicles | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 65,064 | 53,875 |
Goodwill acquired | 0 | |
Measurement period adjustments | 0 | |
Foreign currency translation | 0 | 0 |
Goodwill, ending balance | $ 65,064 | $ 53,875 |
Equity Investments - Narrative
Equity Investments - Narrative (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Oct. 31, 2023 | Oct. 31, 2022 | Dec. 30, 2022 | |
Schedule of Equity Method Investments [Line Items] | |||
Losses from investment | $ 5,935 | $ 0 | |
TN-RP Holding LLC | Class C-RP Units | TechNexus | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 100% | ||
TN-RP Holding LLC | Class A-RP Units | |||
Schedule of Equity Method Investments [Line Items] | |||
Ownership percentage | 100% |
Equity Investments - Investment
Equity Investments - Investment and Maximum Loss Exposure (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Schedule of Equity Method Investments [Line Items] | ||
Equity investments | $ 130,100 | $ 126,909 |
TN-RP Holding LLC | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity investments | 130,100 | 126,909 |
Maximum exposure to loss | $ 153,019 | $ 161,459 |
Concentration of Risk (Details)
Concentration of Risk (Details) - Customer concentration risk - Freedom Roads, LLC | 3 Months Ended | 12 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2023 | |
Sales revenue | |||
Concentration Risk [Line Items] | |||
Concentration risk percentage (as a percent) | 14% | 15% | |
Accounts receivable | |||
Concentration Risk [Line Items] | |||
Concentration risk percentage (as a percent) | 19% | 13% |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 302,255 | $ 286,984 |
Deferred compensation plan mutual fund assets | 38,496 | 40,220 |
Equity investments | 1,235 | 4,105 |
Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency forward contract liability | 165 | 0 |
Interest rate swap liability | $ 808 | $ 932 |
Product Warranties - Additional
Product Warranties - Additional Information (Details) | 3 Months Ended |
Oct. 31, 2023 | |
Product warranty one | |
Product Warranty Liability [Line Items] | |
Warranty period for retail customers, years | 1 year |
Product warranty two | |
Product Warranty Liability [Line Items] | |
Warranty period for retail customers, years | 2 years |
Product Warranties - Changes in
Product Warranties - Changes in Warranty Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Product Warranty | ||
Beginning balance | $ 345,197 | $ 317,908 |
Provision | 74,435 | 89,425 |
Payments | (84,171) | (80,141) |
Foreign currency translation | (2,187) | (1,479) |
Ending balance | $ 333,274 | $ 325,713 |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-term Debt (Details) € in Thousands, $ in Thousands | Oct. 31, 2023 USD ($) | Oct. 31, 2023 EUR (€) | Jul. 31, 2023 USD ($) |
Line of Credit Facility [Line Items] | |||
Total long-term debt | $ 1,305,297 | $ 1,327,405 | |
Unsecured notes | 26,548 | € 25,000 | 27,558 |
Other debt | 38,474 | 41,753 | |
Debt issuance costs, net of amortization | (22,468) | (24,726) | |
Total long-term debt, net of debt issuance costs | 1,282,829 | 1,302,679 | |
Less: Current portion of long-term debt | (10,952) | (11,368) | |
Total long-term debt, net, less current portion | 1,271,877 | 1,291,311 | |
Term loan | |||
Line of Credit Facility [Line Items] | |||
Total long-term debt | 740,275 | 758,094 | |
Unsecured Debt | Senior unsecured notes | |||
Line of Credit Facility [Line Items] | |||
Total long-term debt | $ 500,000 | $ 500,000 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) € in Thousands, $ in Thousands | 3 Months Ended | |||||
Oct. 31, 2023 USD ($) | Oct. 31, 2022 USD ($) | Oct. 31, 2023 EUR (€) | Jul. 31, 2023 USD ($) | Oct. 14, 2021 USD ($) | Sep. 01, 2021 USD ($) | |
Line of Credit Facility [Line Items] | ||||||
Total long-term debt | $ 1,305,297 | $ 1,327,405 | ||||
Unsecured debt | 26,548 | € 25,000 | 27,558 | |||
Interest expense | 20,327 | $ 20,179 | ||||
Fees to secure the facility, amortized amount | 2,872 | $ 2,835 | ||||
Term loan | ||||||
Line of Credit Facility [Line Items] | ||||||
Total long-term debt | 740,275 | 758,094 | ||||
Term loan | US tranche | Secured Overnight Financing Rate (SOFR) | ||||||
Line of Credit Facility [Line Items] | ||||||
Total long-term debt | $ 271,900 | $ 271,900 | ||||
Stated interest rate | 8.439% | 8.439% | 8.433% | |||
Term loan | Euro tranche | ||||||
Line of Credit Facility [Line Items] | ||||||
Total long-term debt | $ 468,375 | $ 486,194 | ||||
Effective interest rate | 6.94% | 6.94% | 6.625% | |||
Unsecured Debt | Senior unsecured notes | ||||||
Line of Credit Facility [Line Items] | ||||||
Total long-term debt | $ 500,000 | $ 500,000 | ||||
Stated interest rate | 4% | |||||
Debt aggregate principal amount | $ 500,000 | |||||
Debt, fair value | $ 406,100 | 430,650 | ||||
Unsecured series one debt | ||||||
Line of Credit Facility [Line Items] | ||||||
Stated interest rate | 1.945% | 1.945% | ||||
Unsecured debt | $ 21,238 | € 20,000 | ||||
Unsecured series two debt | ||||||
Line of Credit Facility [Line Items] | ||||||
Stated interest rate | 2.534% | 2.534% | ||||
Unsecured debt | $ 5,310 | € 5,000 | ||||
Other long term debt | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Stated interest rate | 2.38% | 2.38% | ||||
Other long term debt | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Stated interest rate | 2.87% | 2.87% | ||||
Asset-based credit facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 1,000,000 | |||||
Line of credit, outstanding amount | $ 0 | $ 0 | ||||
Unused availability under agreement | $ 998,000 |
Long-Term Debt - Schedule of Ma
Long-Term Debt - Schedule of Maturities of Long-term Debt (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Debt Disclosure [Abstract] | ||
For the remainder of the fiscal year ending July 31, 2024 | $ 9,073 | |
For the fiscal year ending July 31, 2025 | 31,895 | |
For the fiscal year ending July 31, 2026 | 743,337 | |
For the fiscal year ending July 31, 2027 | 2,602 | |
For the fiscal year ending July 31, 2028 | 7,975 | |
For the fiscal year ending July 31, 2029 and thereafter | 510,415 | |
Total long-term debt | $ 1,305,297 | $ 1,327,405 |
Provision for Income Taxes (Det
Provision for Income Taxes (Details) | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate | 24.20% | 23.30% |
Contingent Liabilities, Commi_2
Contingent Liabilities, Commitments and Legal Matters (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Oct. 31, 2023 | Oct. 31, 2022 | Jul. 31, 2023 | |
Loss Contingencies [Line Items] | |||
Standby repurchase obligations amount | $ 3,704,564 | $ 3,893,048 | |
Term of commitments | 18 months | ||
Repurchase and guarantee reserve balances | $ 13,155 | $ 12,114 | |
Selling, General and Administrative Expenses | |||
Loss Contingencies [Line Items] | |||
Expense recorded related to product recall costs | $ 10 | $ 0 |
Leases - Components of Lease Co
Leases - Components of Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Leases [Abstract] | ||
Operating lease cost | $ 8,011 | $ 6,879 |
Amortization of right-of-use assets | 186 | 186 |
Interest on lease liabilities | 83 | 105 |
Total lease cost | $ 8,280 | $ 7,170 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 7,987 | $ 6,853 |
Operating leases | $ 914 | $ 3,395 |
Leases - Assets and Liabilities
Leases - Assets and Liabilities (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 45,200 | $ 47,969 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Property, plant and equipment, net | Property, plant and equipment, net |
Operating lease liabilities | ||
Other current liabilities | $ 10,968 | $ 11,238 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Other | Other |
Other long-term liabilities | $ 34,348 | $ 36,775 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other liabilities | Other liabilities |
Total operating lease liabilities | $ 45,316 | $ 48,013 |
Finance lease right-of-use assets | $ 5,331 | $ 5,518 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Property, plant and equipment, net | Property, plant and equipment, net |
Finance lease liabilities | ||
Other current liabilities | $ 779 | $ 754 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Other | Other |
Other long-term liabilities | $ 2,517 | $ 2,722 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other liabilities | Other liabilities |
Total finance lease liabilities | $ 3,296 | $ 3,476 |
Weighted-aver remaining lease term - operating leases | 9 years 3 months 18 days | 9 years 3 months 18 days |
Weighted-aver remaining lease term - finance leases | 3 years 7 months 6 days | 3 years 9 months 18 days |
Weighted-average discount rate - operating leases | 4.80% | 4.70% |
Weighted-average discount rate - finance leases | 9.70% | 9.70% |
Leases - Schedule of Maturities
Leases - Schedule of Maturities of Company's Operating and Finance Leases (Details) - USD ($) $ in Thousands | Oct. 31, 2023 | Jul. 31, 2023 |
Operating Leases | ||
For the remainder of the fiscal year ending July 31, 2024 | $ 12,906 | |
For the fiscal year ending July 31, 2025 | 13,343 | |
For the fiscal year ending July 31, 2026 | 9,397 | |
For the fiscal year ending July 31, 2027 | 6,340 | |
For the fiscal year ending July 31, 2028 | 4,132 | |
For the fiscal year ending July 31, 2029 and thereafter | 15,898 | |
Total future lease payments | 62,016 | |
Less: Amount representing interest | (16,700) | |
Total operating lease liabilities | 45,316 | $ 48,013 |
Finance Leases | ||
For the remainder of the fiscal year ending July 31, 2024 | 796 | |
For the fiscal year ending July 31, 2025 | 1,083 | |
For the fiscal year ending July 31, 2026 | 1,107 | |
For the fiscal year ending July 31, 2027 | 896 | |
For the fiscal year ending July 31, 2028 | 58 | |
For the fiscal year ending July 31, 2029 and thereafter | 0 | |
Total future lease payments | 3,940 | |
Less: Amount representing interest | (644) | |
Total reported lease liability | $ 3,296 | $ 3,476 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 22 Months Ended | |||
Oct. 31, 2023 | Oct. 31, 2022 | Oct. 31, 2023 | Jun. 24, 2022 | Dec. 21, 2021 | |
Equity, Class of Treasury Stock [Line Items] | |||||
Stock-based compensation | $ 10,452 | $ 8,392 | |||
Purchase of treasury shares (in shares) | 327,876 | 2,821,651 | |||
Average price of treasury shares acquired (in dollars per share) | $ 91.61 | $ 84.05 | |||
Purchase of treasury shares | $ 30,037 | $ 25,407 | $ 237,151 | ||
Remaining authorized repurchase amount | 461,170 | 461,170 | |||
December Twenty Twenty One Share Repurchase Plan | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Stock repurchase program authorized amount | $ 250,000 | ||||
Remaining authorized repurchase amount | 12,849 | 12,849 | |||
June Twenty Twenty Two Share Repurchase Plan | |||||
Equity, Class of Treasury Stock [Line Items] | |||||
Stock repurchase program authorized amount | $ 448,321 | ||||
Remaining authorized repurchase amount | $ 448,321 | $ 448,321 |
Revenue Recognition (Details)
Revenue Recognition (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
Disaggregation of Revenue [Line Items] | ||
Net sales | $ 2,500,759 | $ 3,108,084 |
Operating segments | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,364,814 | 2,945,627 |
Operating segments | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 2,364,814 | 2,945,627 |
Operating segments | North America | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,656,613 | 2,441,325 |
Operating segments | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 1,656,613 | 2,441,325 |
Operating segments | European | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 708,201 | 504,302 |
Operating segments | Travel Trailers | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 619,538 | 822,869 |
Operating segments | Fifth Wheels | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 325,916 | 494,937 |
Operating segments | North American Towable | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 945,454 | 1,317,806 |
Operating segments | Class A | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 207,911 | 404,578 |
Operating segments | Class C | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 333,776 | 490,787 |
Operating segments | Class B | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 169,472 | 228,154 |
Operating segments | North American Motorized | North America | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 711,159 | 1,123,519 |
Operating segments | Motorcaravan | European | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 346,511 | 239,785 |
Operating segments | Campervan | European | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 221,609 | 139,166 |
Operating segments | Caravan | European | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 64,627 | 61,615 |
Operating segments | Other RV-related | European | Recreational vehicles | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 75,454 | 63,736 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | 198,921 | 232,648 |
Intercompany eliminations | ||
Disaggregation of Revenue [Line Items] | ||
Net sales | $ (62,976) | $ (70,191) |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Oct. 31, 2023 | Oct. 31, 2022 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | $ 3,983,398 | $ 3,600,654 |
Total other comprehensive income (loss), net of tax | (60,646) | (42,525) |
Balance at end of period, net of tax | 3,923,590 | 3,650,959 |
Foreign Currency Translation Adjustment | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | (68,911) | (183,453) |
OCI before reclassifications | (59,924) | (42,895) |
Other Comprehensive Income (Loss) before Reclassifications, Tax | 0 | |
Amounts reclassified from AOCI | 0 | |
Income taxes associated with amounts reclassified from AOCI | 0 | |
Total other comprehensive income (loss), net of tax | (59,924) | (42,895) |
Balance at end of period, net of tax | (128,835) | (226,348) |
Unrealized Gain (Loss) on Derivatives | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | 0 | 675 |
OCI before reclassifications | 0 | 1,123 |
Other Comprehensive Income (Loss) before Reclassifications, Tax | (269) | |
Amounts reclassified from AOCI | (62) | |
Income taxes associated with amounts reclassified from AOCI | 12 | |
Total other comprehensive income (loss), net of tax | 0 | 804 |
Balance at end of period, net of tax | 0 | 1,479 |
Other | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | 364 | 1,171 |
OCI before reclassifications | 0 | 0 |
Other Comprehensive Income (Loss) before Reclassifications, Tax | 0 | |
Amounts reclassified from AOCI | 0 | |
Income taxes associated with amounts reclassified from AOCI | 0 | |
Total other comprehensive income (loss), net of tax | 0 | 0 |
Balance at end of period, net of tax | 364 | 1,171 |
AOCI, net of tax, Attributable to THOR | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | (68,547) | (181,607) |
OCI before reclassifications | (59,924) | (41,772) |
Other Comprehensive Income (Loss) before Reclassifications, Tax | (269) | |
Amounts reclassified from AOCI | (62) | |
Income taxes associated with amounts reclassified from AOCI | 12 | |
Total other comprehensive income (loss), net of tax | (59,924) | (42,091) |
Balance at end of period, net of tax | (128,471) | (223,698) |
Non-controlling Interests | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | (2,583) | (2,205) |
OCI before reclassifications | (722) | (434) |
Other Comprehensive Income (Loss) before Reclassifications, Tax | 0 | |
Amounts reclassified from AOCI | 0 | |
Income taxes associated with amounts reclassified from AOCI | 0 | |
Total other comprehensive income (loss), net of tax | (722) | (434) |
Balance at end of period, net of tax | (3,305) | (2,639) |
Total AOCI | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance at beginning of period, net of tax | (71,130) | (183,812) |
OCI before reclassifications | (60,646) | (42,206) |
Other Comprehensive Income (Loss) before Reclassifications, Tax | (269) | |
Amounts reclassified from AOCI | (62) | |
Income taxes associated with amounts reclassified from AOCI | 12 | |
Total other comprehensive income (loss), net of tax | (60,646) | (42,525) |
Balance at end of period, net of tax | $ (131,776) | $ (226,337) |
Subsequent Event (Details)
Subsequent Event (Details) € in Thousands, $ in Thousands | 3 Months Ended | |||||
Nov. 15, 2023 USD ($) | Jan. 31, 2024 USD ($) | Nov. 15, 2023 EUR (€) | Oct. 31, 2023 USD ($) | Jul. 31, 2023 USD ($) | Sep. 01, 2021 USD ($) | |
Subsequent Event [Line Items] | ||||||
Total long-term debt | $ 1,305,297 | $ 1,327,405 | ||||
Asset-based credit facility | ||||||
Subsequent Event [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 1,000,000 | |||||
Term loan | 0 | 0 | ||||
Subsequent Event | Asset-based credit facility | ||||||
Subsequent Event [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 1,000,000 | |||||
Term loan | $ 0 | |||||
Term loan | ||||||
Subsequent Event [Line Items] | ||||||
Total long-term debt | 740,275 | 758,094 | ||||
Term Loan And Asset Based Credit Facility | Forecast | ||||||
Subsequent Event [Line Items] | ||||||
Interest expense, net | $ 20,000 | |||||
US tranche | Term loan | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Reduction in debt interest rate | 0.25% | |||||
Total long-term debt | $ 450,000 | |||||
US tranche | Term loan | Base Rate | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Basis spread on variable rate | 1.75% | |||||
US tranche | Term loan | Secured Overnight Financing Rate (SOFR) | ||||||
Subsequent Event [Line Items] | ||||||
Total long-term debt | 271,900 | 271,900 | ||||
US tranche | Term loan | Secured Overnight Financing Rate (SOFR) | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Basis spread on variable rate | 2.75% | |||||
Euro tranche | Term loan | ||||||
Subsequent Event [Line Items] | ||||||
Total long-term debt | $ 468,375 | $ 486,194 | ||||
Euro tranche | Term loan | Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Total long-term debt | € | € 330,000 |