Business Segments

3 Months Ended

Oct. 31, 2016

Business Segments

3. Business Segments

The Company has two reportable segments: (1) towable recreational vehicles and (2) motorized recreational vehicles. The towable recreational vehicle reportable segment consists of the following operating segments that have been aggregated: Airstream (towable), Heartland (including Bison, CRV and DRV), Jayco (including Jayco towable, Starcraft and Highland Ridge), Keystone (including CrossRoads and Dutchmen) and KZ (including Livin’ Lite). The motorized recreational vehicle reportable segment consists of the following operating segments that have been aggregated: Airstream (motorized), Jayco (including Jayco motorized and Entegra Coach) and Thor Motor Coach.

The operations of the Company’s Postle subsidiary are included in “Other,” which is a non-reportable segment. Net sales included in Other mainly relate to the sale of aluminum extrusions and specialized component products. Intercompany eliminations adjust for Postle sales to the Company’s towable and motorized segments, which are consummated at established arm’s-length transfer prices generally consistent with the selling prices of extrusion components to third-party customers.

All manufacturing is conducted within the United States. Total assets include those assets used in the operation of each reportable and non-reportable segment, and the Corporate assets consist primarily of cash and cash equivalents and deferred income tax assets.

	Three Months Ended October 31,
Net sales:	2016			2015
Recreational vehicles:
Towables	$	1,210,873		$	744,679
Motorized		461,454			251,099
Total recreational vehicles		1,672,327			995,778
Other		58,996			50,382
Intercompany eliminations		(22,792	)		(15,809	)
Total	$	1,708,531		$	1,030,351
	Three Months Ended October 31,
Income (loss) from continuing operations before income taxes:	2016			2015
Recreational vehicles:
Towables	$	94,173		$	63,224
Motorized		28,923			21,653
Total recreational vehicles		123,096			84,877
Other, net		6,378			2,656
Corporate		(13,674	)		(9,842	)
Total	$	115,800		$	77,691
Total assets:	October 31, 2016			July 31, 2016
Recreational vehicles:
Towables	$	1,459,849		$	1,425,168
Motorized		511,529			476,973
Total recreational vehicles		1,971,378			1,902,141
Other, net		157,019			156,822
Corporate		253,361			266,501
Total	$	2,381,758		$	2,325,464
	Three Months Ended October 31,
Depreciation and amortization expense:	2016			2015
Recreational vehicles
Towables	$	20,926		$	7,456
Motorized		2,343			643
Total recreational vehicles		23,269			8,099
Other		3,004			3,056
Corporate		322			278
Total	$	26,595		$	11,433
	Three Months Ended October 31,
Capital acquisitions:	2016			2015
Recreational vehicles
Towables	$	20,865		$	12,806
Motorized		5,156			993
Total recreational vehicles		26,021			13,799
Other		296			773
Corporate		176			342
Total	$	26,493		$	14,914