[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Item 1. Financial Statements (unaudited)](index=4&type=section&id=Item%201.%20Financial%20Statements%20(unaudited)) This section presents unaudited condensed consolidated financial statements, including balance sheets, statements of operations, equity, cash flows, and notes on significant accounting policies, revenue, inventory, debt, equity, and segment information [Unaudited Condensed Consolidated Balance Sheets](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) **Key Balance Sheet Data (in thousands):** | Metric | June 30, 2025 | Dec 31, 2024 | June 30, 2024 | | :-------------------------- | :------------ | :----------- | :------------ | | Cash and cash equivalents | $118,084 | $208,422 | $23,743 | | Total assets | $5,191,847 | $4,863,277 | $5,005,876 | | Total liabilities | $4,675,268 | $4,378,328 | $4,795,471 | | Total stockholders' equity | $516,579 | $484,949 | $210,405 | [Unaudited Condensed Consolidated Statements of Operations](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) **Three Months Ended June 30 (in thousands):** | Metric | 2025 | 2024 | Change ($) | Change (%) | | :--------------------------------- | :--------- | :--------- | :--------- | :--------- | | Total revenue | $1,975,948 | $1,806,505 | $169,443 | 9.4% | | Income from operations | $130,269 | $95,382 | $34,887 | 36.6% | | Net income | $57,523 | $23,414 | $34,109 | 145.7% | | Net income attributable to CWH | $30,216 | $9,771 | $20,445 | 209.2% | | Basic EPS | $0.48 | $0.22 | $0.26 | 118.2% | | Diluted EPS | $0.48 | $0.22 | $0.26 | 118.2% | **Six Months Ended June 30 (in thousands):** | Metric | 2025 | 2024 | Change ($) | Change (%) | | :--------------------------------- | :--------- | :--------- | :--------- | :--------- | | Total revenue | $3,389,472 | $3,170,522 | $218,950 | 6.9% | | Income from operations | $151,111 | $99,604 | $51,507 | 51.7% | | Net income (loss) | $32,841 | $(27,392) | $60,233 | n/m | | Net income (loss) attributable to CWH | $17,936 | $(12,536) | $30,472 | n/m | | Basic EPS | $0.29 | $(0.28) | $0.57 | n/m | | Diluted EPS | $0.28 | $(0.28) | $0.56 | n/m | [Unaudited Condensed Consolidated Statements of Stockholders' Equity](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) - Total stockholders' equity increased from **$484,949 thousand** at January 1, 2025, to **$516,579 thousand** at June 30, 2025[21](index=21&type=chunk) - Dividends declared per share of Class A common stock were **$0.125** for both the three months ended March 31, 2025, and June 30, 2025[21](index=21&type=chunk) - Net income attributable to Camping World Holdings, Inc. for the three months ended June 30, 2025, was **$30,216 thousand**, compared to **$9,771 thousand** in the prior year[21](index=21&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) **Six Months Ended June 30 (in thousands):** | Activity | 2025 | 2024 | Change ($) | | :---------------------------------- | :--------- | :--------- | :--------- | | Net cash (used in) provided by operating activities | $(44,595) | $84,341 | $(128,936) | | Net cash used in investing activities | $(180,078) | $(54,931) | $(125,147) | | Net cash provided by (used in) financing activities | $134,335 | $(45,314) | $179,649 | | Decrease in cash and cash equivalents | $(90,338) | $(15,904) | $(74,434) | | Cash and cash equivalents at end of period | $118,084 | $23,743 | $94,341 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) [1. Summary of Significant Accounting Policies](index=14&type=section&id=1.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines the principles of consolidation, basis of presentation, revisions to prior period financial statements, the impact of seasonality on the business, and recently adopted and issued accounting pronouncements - CWH's ownership in CWGS, LLC increased to **61.1%** as of June 30, 2025, up from **53.0%** at June 30, 2024, leading to consolidation of CWGS, LLC's financial results[29](index=29&type=chunk) **Revisions to June 30, 2024 Balance Sheet (in thousands):** | Metric | As Previously Reported | Adjustment | As Revised | | :-------------------------- | :--------------------- | :--------- | :--------- | | Deferred tax assets, net | $150,105 | $43,768 | $193,873 | | Total assets | $4,962,108 | $43,768 | $5,005,876 | | Additional paid-in capital | $100,076 | $33,385 | $133,461 | | Retained earnings | $161,434 | $10,383 | $171,817 | | Total stockholders' equity | $166,637 | $43,768 | $210,405 | - The company's business is seasonal, with higher revenue and profits typically in the second and third fiscal quarters (spring and summer months) due to RV usage patterns, while SG&A expenses as a percentage of gross profit tend to be higher in the first and fourth quarters[33](index=33&type=chunk)[34](index=34&type=chunk)[35](index=35&type=chunk) [2. Revenue](index=17&type=section&id=2.%20Revenue) This note details contract assets and deferred revenues, including the total unsatisfied performance obligations and the periods over which these revenues are expected to be recognized - Contract assets related to RV service revenues were **$9.9 million** at June 30, 2025, a slight decrease from **$10.0 million** at December 31, 2024, and **$13.0 million** at June 30, 2024[39](index=39&type=chunk) **Unsatisfied Performance Obligations (in thousands) as of June 30, 2025:** | Year | Amount | | :--- | :------- | | 2025 | $57,670 | | 2026 | $54,704 | | 2027 | $23,311 | | 2028 | $11,520 | | 2029 | $6,200 | | Thereafter | $3,973 | | **Total** | **$157,378** | [3. Inventories and Floor Plan Payables](index=18&type=section&id=3.%20Inventories%20and%20Floor%20Plan%20Payables) This note provides a breakdown of inventory composition and details the Floor Plan Facility, including its increased commitment, extended maturity, and changes in interest rates and borrowing capacity **Inventories (in thousands):** | Category | June 30, 2025 | Dec 31, 2024 | June 30, 2024 | | :------------------------------ | :------------ | :----------- | :------------ | | New RVs | $1,330,965 | $1,241,533 | $1,477,510 | | Used RVs | $536,665 | $413,546 | $349,843 | | Products, parts, accessories & other | $193,232 | $166,495 | $186,758 | | **Total Inventories** | **$2,061,160** | **$1,821,837** | **$2,014,444** | - The Floor Plan Facility commitment increased

Financial Data and Key Metrics Changes - The company reported revenue of $2 billion for Q2 2025, an increase of over 9% driven by unit volume increases in both new and used RVs exceeding 20% [28] - Adjusted EBITDA for the quarter was $142.2 million compared to $105.6 million in the previous year [29] - SG&A as a percentage of gross profit improved by 276 basis points year over year [29] Business Line Data and Key Metrics Changes - The company set a record selling 45,000 RV units in the quarter, with finance and insurance revenue reaching $200 million, the highest ever [6][28] - Gross margins exceeded 30%, indicating growth was not driven by heavy discounting [11] - The company achieved over 14% market share of all new and used RVs registered in North America year to date [26] Market Data and Key Metrics Changes - Same store unit growth trends showed high teens growth in used RV sales and high single digits in new RV sales year over year as of July [25] - The company expects a small bump in the new RV market in 2026, projecting an increase of 15,000 to 20,000 units [13] Company Strategy and Development Direction - The company is focused on building a customer ecosystem through various services, including finance, insurance, and service offerings [7][12] - There is a commitment to continue selling affordable units to build customer lifetime value and increase transaction frequency [12] - The company is exploring acquisitions and investments to grow its Good Sam business, which reported record revenue [21] Management's Comments on Operating Environment and Future Outlook - The management expressed confidence in navigating a challenging macro environment, stating that 2025 is expected to be tougher than 2024 due to tariffs and interest rates [24] - The company anticipates double-digit growth in used RV sales moving forward [15] - Management is optimistic about the scalability of their used RV supply chain and expects continued growth in this segment [27] Other Important Information - The company ended the quarter with approximately $118 million in cash and has paid down $75 million of long-term debt since October [30] - The balance sheet is described as the strongest ever, with significant inventory and real estate holdings [20] Q&A Session Summary Question: ASPs and Competitor Pricing - Management views ASP weakness as an opportunity to grow the customer base rather than a problem, focusing on profitability rather than competitor pricing [33][34] Question: Used Gross Profit Margin Sustainability - Management expects used gross profit margins to remain in the range of 19% to 19.5% for the back half of the year [39] Question: Changes in Pricing Expectations - Management anticipates a continued decline in new RV pricing year over year, but expects seasonal improvements in ASPs [58][60] Question: Trade-in Cycle and Customer Retention - The company emphasizes multiple customer touchpoints post-purchase to enhance retention and upsell opportunities [94][96] Question: M&A Activity - Management clarified that they are not on pause for M&A but are being more thoughtful about capital allocation while looking for opportunities [73] Question: Impact of Tariffs on Pricing - Management indicated that any increase in new pricing could lead to margin expansion due to their contract manufacturing advantages [81]

Core Insights - Camping World (CWH) reported revenue of $1.98 billion for the quarter ended June 2025, reflecting a year-over-year increase of 9.4% [1] - The company's EPS was $0.57, up from $0.38 in the same quarter last year, although it fell short of the consensus estimate of $0.58 by 1.72% [1] - The revenue exceeded the Zacks Consensus Estimate of $1.88 billion by 5.04% [1] Financial Performance Metrics - New vehicle unit sales reached 26,696, surpassing the average estimate of 22,432 [4] - Used vehicle unit sales were 18,906, exceeding the average estimate of 18,170 [4] - Average gross profit per unit for used vehicles was $6,190, higher than the average estimate of $5,851.75 [4] - Average selling price for used vehicles was $30,269, compared to the average estimate of $30,005.27 [4] - Average gross profit per unit for new vehicles was $4,729, below the average estimate of $5,320.90 [4] Revenue Breakdown - Revenue from RV and Outdoor Retail products, services, and other was $222.89 million, below the average estimate of $241.07 million, representing a year-over-year decline of 5.5% [4] - Revenue from RV and Outdoor Retail finance and insurance was $201.2 million, exceeding the average estimate of $185.26 million, with a year-over-year increase of 12.4% [4] - Revenue from RV and Outdoor Retail used vehicles was $572.27 million, surpassing the average estimate of $539.28 million, reflecting a year-over-year increase of 19% [4] - Revenue from RV and Outdoor Retail new vehicles was $915.11 million, exceeding the average estimate of $854.12 million, with a year-over-year increase of 8% [4] - Total revenue from RV and Outdoor Retail was $1.92 billion, above the average estimate of $1.82 billion, representing a year-over-year increase of 9.6% [4] - Revenue from the Good Sam Club was $10.27 million, below the average estimate of $11.32 million, indicating a year-over-year decline of 7.6% [4] - Revenue from Good Sam Services and Plans was $54.21 million, slightly below the average estimate of $55.21 million, reflecting a year-over-year increase of 3.2% [4] Stock Performance - Shares of Camping World have returned +4.1% over the past month, outperforming the Zacks S&P 500 composite's +3.6% change [3] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [3]

Core Insights - Camping World (CWH) reported quarterly earnings of $0.57 per share, missing the Zacks Consensus Estimate of $0.58 per share, but showing an increase from $0.38 per share a year ago, resulting in an earnings surprise of -1.72% [1] - The company posted revenues of $1.98 billion for the quarter ended June 2025, exceeding the Zacks Consensus Estimate by 5.04%, compared to $1.81 billion in the same quarter last year [2] - Camping World shares have declined approximately 15.1% year-to-date, contrasting with the S&P 500's gain of 8.6% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.42 on revenues of $1.79 billion, while for the current fiscal year, the estimate is $0.73 on revenues of $6.31 billion [7] - The estimate revisions trend for Camping World was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Automotive - Original Equipment industry, to which Camping World belongs, is currently in the top 30% of over 250 Zacks industries, suggesting a favorable industry outlook [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

[Executive Summary & Business Outlook](index=1&type=section&id=Executive%20Summary%20%26%20Business%20Outlook) Camping World Holdings, Inc. reported strong Q2 2025 financial performance, driven by record unit sales and cost controls, with a positive full-year outlook [Q2 2025 Performance Highlights](index=1&type=section&id=Q2%202025%20Performance%20Highlights) Camping World Holdings, Inc. reported strong Q2 2025 results, with net income and Adjusted EBITDA up over 30% on record unit volumes - Net Income and Adjusted EBITDA grew by more than **30% in Q2 2025**, attributed to strong cost execution and record quarterly volume[1](index=1&type=chunk) Q2 2025 Performance Highlights | Metric | Q2 2025 | Q2 2024 | Change | % Change | | :-------------------------------- | :------ | :------ | :----- | :------- | | Revenue | $2.0 billion | $1.8 billion | $169.4 million | 9.4% | | New vehicle unit sales | 26,696 | 22,084 | 4,612 | 20.9% | | Used vehicle unit sales | 18,906 | 15,700 | 3,206 | 20.4% | | Combined new and used vehicle unit sales | 45,602 | 37,784 | 7,818 | 20.7% | | Net income | $57.5 million | $23.4 million | $34.1 million | 145.7% | | Adjusted EBITDA | $142.2 million | $105.6 million | $36.6 million | 34.7% | | Diluted EPS | $0.48 | $0.22 | $0.26 | 118.2% | | Adjusted diluted EPS | $0.57 | $0.38 | $0.19 | 50.0% | [Management Commentary & Strategic Initiatives](index=1&type=section&id=Management%20Commentary%20%26%20Strategic%20Initiatives) Management highlighted successful inventory management, aggressive cost controls, and fixed cost reductions, prioritizing debt paydown and leveraging tax savings - The company surgically manages inventory for volume and gross profit opportunities, leveraging new and used supply chains, contract manufacturing, data analytics, and balance sheet strength[2](index=2&type=chunk) - Structural changes to fixed costs include reducing headcount by over **900** and consolidating **16 locations**, leading to improved per-rooftop productivity[2](index=2&type=chunk) - Expected annual cash tax savings of **$15 to $20 million in 2025** from the 'One Big Beautiful Bill Act' will be prioritized for debt paydown and deleveraging[2](index=2&type=chunk) [Full Year Outlook & Goals](index=2&type=section&id=Full%20Year%20Outlook%20%26%20Goals) The company maintains its full-year guideposts, with an upward revision in new unit volume expectations and anticipated SG&A efficiency improvements - New unit volume is now expected to grow in excess of **high-singles** compared to the prior year[2](index=2&type=chunk) - New vehicle Average Selling Price (ASP) is expected to improve seasonally in Q3 and Q4 but could be lower by **10-12%** for the full year compared to the prior year[2](index=2&type=chunk) - Expects **300-400 basis points** of improvement in SG&A as a percentage of gross profit for the full year[2](index=2&type=chunk) - Mid-cycle earnings power scenario of over **$500 million of adjusted EBITDA** based on today's store count, with a medium-term goal of **20%+ combined new and used market share** and an internal mandate to accelerate gross margin by **100 basis points**[2](index=2&type=chunk) [Second Quarter Operating Highlights](index=1&type=section&id=Second%20Quarter%20Operating%20Highlights) This section details Camping World Holdings, Inc.'s Q2 2025 revenue, unit sales, pricing, gross margin, operating expenses, and inventory performance [Revenue and Unit Sales Performance](index=1&type=section&id=Revenue%20and%20Unit%20Sales%20Performance) Camping World Holdings, Inc. reported a **9.4% increase in total revenue** to **$2.0 billion** for Q2 2025, driven by strong unit sales across both new and used vehicles Q2 2025 Revenue Performance | Category | Q2 2025 Revenue (in millions) | Q2 2024 Revenue (in millions) | Change (in millions) | % Change | | :------------------------ | :-------------- | :-------------- | :----- | :------- | | Total Revenue | $1,975.9 | $1,806.5 | $169.4 | 9.4% | | New vehicles | $915.1 | $847.1 | $68.0 | 8.0% | | Used vehicles | $572.3 | $480.8 | $91.5 | 19.0% | | Products, service and other | $222.9 | $235.9 | ($13.1) | (5.5%) | | Finance and insurance, net | $201.2 | $179.0 | $22.2 | 12.4% | Q2 2025 Unit Sales Performance | Category | Q2 2025 Units | Q2 2024 Units | Change | % Change | | :------------------------ | :------------ | :------------ | :----- | :------- | | New vehicles | 26,696 | 22,084 | 4,612 | 20.9% | | Used vehicles | 18,906 | 15,700 | 3,206 | 20.4% | | Combined new and used | 45,602 | 37,784 | 7,818 | 20.7% | | Same store new vehicles | 24,360 | 19,936 | 4,424 | 22.2% | | Same store used vehicles | 17,528 | 14,509 | 3,019 | 20.8% | | Combined same store | 41,888 | 34,445 | 7,443 | 21.6% | [Pricing and Gross Margin Trends](index=3&type=section&id=Pricing%20and%20Gross%20Margin%20Trends) Average selling prices for both new and used vehicles decreased in Q2 2025, while used vehicle and products/service gross margins improved significantly Q2 2025 Average Selling Price (ASP) | Category | Q2 2025 ASP | Q2 2024 ASP | Change | % Change | | :---------------- | :---------- | :---------- | :----- | :------- | | New vehicles | $34,279 | $38,358 | ($4,079) | (10.6%) | | Used vehicles | $30,269 | $30,623 | ($354) | (1.2%) | Q2 2025 Gross Margin by Category | Category | Q2 2025 Gross Margin (%) | Q2 2024 Gross Margin (%) | Change (bps) | | :-------------------------- | :------------------- | :------------------- | :----------- | | New vehicles | 13.8% | 15.3% | (149) | | Used vehicles | 20.5% | 19.0% | 149 | | Products, service and other | 47.8% | 43.7% | 411 | | Good Sam Services and Plans | 59.5% | 67.3% | (777) | | Finance and insurance, net | 100.0% | 100.0% | unch | | Good Sam Club | 88.1% | 86.8% | 133 | | Total gross margin | 30.0% | 30.3% | (34) | - Total gross profit increased by **$44.6 million (8.1%)** to **$592.3 million**, primarily driven by higher used vehicle gross profit and increased finance and insurance (F&I) gross profit[6](index=6&type=chunk) [Operating Expenses and Profitability](index=3&type=section&id=Operating%20Expenses%20and%20Profitability) SG&A expenses increased by **4.2%**, but reduced interest expenses contributed to a substantial improvement in net income and Adjusted EBITDA Q2 2025 Operating Expenses and Profitability | Metric | Q2 2025 (in millions) | Q2 2024 (in millions) | Change (in millions) | % Change | | :-------------------------------- | :------ | :------ | :----- | :------- | | SG&A | $437.5 | $419.7 | $17.8 | 4.2% | | SG&A Excluding SBC | $429.1 | $414.4 | $14.8 | 3.6% | | Floor plan interest expense | $21.0 | $27.8 | ($6.8) | (24.5%) | | Other interest expense, net | $30.8 | $36.2 | ($5.3) | (14.7%) | | Net income | $57.5 | $23.4 | $34.1 | 145.7% | | Adjusted EBITDA | $142.2 | $105.6 | $36.6 | 34.7% | | Diluted EPS | $0.48 | $0.22 | $0.26 | 118.2% | | Adjusted diluted EPS | $0.57 | $0.38 | $0.19 | 50.0% | - The increase in SG&A was primarily driven by a **$7.5 million increase in employee cash compensation**, a **$3.0 million increase in employee stock-based compensation**, and **$2.9 million in additional advertising expenses**[6](index=6&type=chunk) [Store Locations and Inventory](index=3&type=section&id=Store%20Locations%20and%20Inventory) Total store locations decreased by **6.5%** due to consolidation, while total RV and Outdoor Retail inventories increased slightly with a significant shift towards used vehicle inventory Q2 2025 Store Locations and Inventory | Metric | June 30, 2025 | June 30, 2024 | Change | % Change | | :-------------------------------- | :------------ | :------------ | :----- | :------- | | Total store locations | 201 | 215 | (14) | (6.5%) | | New vehicle inventory | $1,330.9 million | $1,477.5 million | ($146.5 million) | (9.9%) | | Used vehicle inventory | $536.7 million | $349.8 million | $186.8 million | 53.4% | | Total RV and Outdoor Retail inventories | $2,060.9 million | $2,014.1 million | $46.8 million | 2.3% | | New vehicle inventory turnover | 1.9 | 1.6 | 0.2 | 14.5% | | Used vehicle inventory turnover | 3.3 | 3.3 | (0.0) | (0.3%) | - The net decrease of **14 store locations** included the consolidation of **16 store locations** to improve overall cost efficiency[6](index=6&type=chunk) [Customer and Membership Data](index=9&type=section&id=Customer%20and%20Membership%20Data) Active customers and Good Sam Club members both decreased by over **11%**, while service bays experienced a slight reduction Q2 2025 Customer and Membership Data | Metric | June 30, 2025 | June 30, 2024 | Change | % Change | | :---------------------- | :------------ | :------------ | :----- | :------- | | Active Customers | 4,221,642 | 4,762,376 | (540,734) | (11.4%) | | Good Sam Club members | 1,662,653 | 1,880,126 | (217,473) | (11.6%) | | Service bays | 2,809 | 2,877 | (68) | (2.4%) | [Financial Statements](index=8&type=section&id=Financial%20Statements) This section presents the consolidated statements of operations, balance sheets, and cash flows for Camping World Holdings, Inc [Consolidated Statements of Operations](index=8&type=section&id=Consolidated%20Statements%20of%20Operations) For Q2 2025, total revenue increased by **9.4%** to **$1.976 billion**, with net income attributable to Camping World Holdings, Inc. surging by **209.2%** Consolidated Statements of Operations (Q2 2025 vs Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | Change (in thousands) | % Change | | :------------------------------------------ | :--------------------- | :--------------------- | :-------------------- | :------- | | Total revenue | $1,975,948 | $1,806,505 | $169,443 | 9.4% | | Total costs applicable to revenue | $1,383,693 | $1,258,846 | $124,847 | 9.9% | | Total gross profit | $592,255 | $547,659 | $44,596 | 8.1% | | Total operating expenses | $461,986 | $452,277 | $9,709 | 2.1% | | Income from operations | $130,269 | $95,382 | $34,887 | 36.6% | | Total other expense | ($54,425) | ($64,033) | $9,608 | (15.0%) | | Net income | $57,523 | $23,414 | $34,109 | 145.7% | | Net income attributable to Camping World Holdings, Inc. | $30,216 | $9,771 | $20,445 | 209.2% | [Consolidated Balance Sheets](index=11&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to **$5.192 billion**, driven by higher inventories and cash, while total liabilities also rose due to increased floor plan notes and accounts payable Consolidated Balance Sheet Highlights (June 30, 2025 vs Dec 31, 2024) | Metric | June 30, 2025 (in thousands) | Dec 31, 2024 (in thousands) | Change (in thousands) | | :------------------------------------------ | :--------------------------- | :-------------------------- | :-------------------- | | Total assets | $5,191,847 | $4,863,277 | $328,570 | | Inventories | $2,061,160 | $1,821,837 | $239,323 | | Cash and cash equivalents | $118,084 | $208,422 | ($90,338) | | Total liabilities | $4,675,268 | $4,378,328 | $296,940 | | Notes payable – floor plan, net | $1,280,102 | $1,161,713 | $118,389 | | Accounts payable | $283,450 | $145,346 | $138,104 | | Total stockholders' equity attributable to CWH | $340,538 | $326,562 | $13,976 | [Summary of Consolidated Statements of Cash Flows](index=12&type=section&id=Summary%20of%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, net cash used in operating activities was **$44.6 million**, a significant shift from cash provided in the prior year, while financing activities provided **$134.3 million** Summary of Consolidated Statements of Cash Flows (Six Months Ended June 30) | Activity | 2025 (in thousands) | 2024 (in thousands) | Change (in thousands) | | :------------------------------------ | :-------------------- | :-------------------- | :-------------------- | | Net cash (used in) provided by operating activities | ($44,595) | $84,341 | ($128,936) | | Net cash used in investing activities | ($180,078) | ($54,931) | ($125,147) | | Net cash provided by (used in) financing activities | $134,335 | ($45,314) | $179,649 | | Decrease in cash and cash equivalents | ($90,338) | ($15,904) | ($74,434) | | Cash and cash equivalents at end of the period | $118,084 | $23,743 | $94,341 | [Earnings Per Share](index=13&type=section&id=Earnings%20Per%20Share) This section details the basic and diluted earnings per share, along with the reconciliation of the EPS calculations [Basic and Diluted EPS](index=13&type=section&id=Basic%20and%20Diluted%20EPS) For Q2 2025, basic and diluted earnings per share of Class A common stock significantly improved to **$0.48** from **$0.22** in Q2 2024 Earnings Per Share (Q2 2025 vs Q2 2024) | Metric | Q2 2025 | Q2 2024 | Change | | :------------------------------------------ | :------ | :------ | :----- | | Basic EPS of Class A common stock | $0.48 | $0.22 | $0.26 | | Diluted EPS of Class A common stock | $0.48 | $0.22 | $0.26 | | Weighted-average shares outstanding (basic) | 62,610 | 45,093 | 17,517 | | Weighted-average shares outstanding (diluted) | 62,747 | 45,244 | 17,503 | [Reconciliation of EPS](index=13&type=section&id=Reconciliation%20of%20EPS) This section provides the numerators and denominators for basic and diluted EPS calculations, including adjustments for non-controlling interests and dilutive securities - Net income attributable to Camping World Holdings, Inc. for diluted EPS was **$30,243 thousand in Q2 2025**, adjusted for reallocation of net income attributable to non-controlling interests from dilutive stock options and RSUs[28](index=28&type=chunk) - Dilutive restricted stock units contributed **137 thousand shares** to the diluted weighted-average shares outstanding in Q2 2025[28](index=28&type=chunk) [Non-GAAP Financial Measures](index=13&type=section&id=Non-GAAP%20Financial%20Measures) This section provides reconciliations and definitions for non-GAAP financial measures, including EBITDA, Adjusted EBITDA, Adjusted Net Income, and Adjusted EPS [EBITDA and Adjusted EBITDA](index=13&type=section&id=EBITDA%20and%20Adjusted%20EBITDA) The company uses EBITDA and Adjusted EBITDA to provide insights into operating results, with Adjusted EBITDA for Q2 2025 increasing by **34.7%** to **$142.2 million** - EBITDA is defined as net income (loss) before other interest expense, net (excluding floor plan interest expense), provision for income tax expense (benefit), and depreciation and amortization[33](index=33&type=chunk) - Adjusted EBITDA further adjusts EBITDA for noncash and other items such as long-lived asset impairment, gains/losses on asset disposal, stock-based compensation, and lease termination costs[33](index=33&type=chunk) EBITDA and Adjusted EBITDA (Q2 2025 vs Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | Change (in thousands) | | :-------------------- | :--------------------- | :--------------------- | :-------------------- | | Net income (loss) | $57,523 | $23,414 | $34,109 | | Subtotal EBITDA | $130,099 | $87,534 | $42,565 | | Adjusted EBITDA | $142,221 | $105,581 | $36,640 | | Adjusted EBITDA margin | 7.2% | 5.8% | 1.4% | | Net income (loss) margin | 2.9% | 1.3% | 1.6% | [Adjusted Net Income and Adjusted EPS](index=17&type=section&id=Adjusted%20Net%20Income%20and%20Adjusted%20EPS) Adjusted Net Income and Adjusted EPS are non-GAAP measures providing a clearer view of ongoing operating performance by excluding certain noncash and unusual items - Adjusted Net Income (Loss) Attributable to Camping World Holdings, Inc. – Basic adjusts GAAP net income for items like long-lived asset impairment, asset disposal gains/losses, SBC, equity investment losses, lease termination costs, and their tax and non-controlling interest effects[37](index=37&type=chunk) - Adjusted Earnings (Loss) Per Share – Diluted considers the assumed redemption of all outstanding common units in CWGS, LLC for Class A common stock, if dilutive, and the dilutive effect of stock options and restricted stock units[39](index=39&type=chunk) Adjusted Net Income and Adjusted EPS (Q2 2025 vs Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | Change (in thousands) | | :------------------------------------------ | :--------------------- | :--------------------- | :-------------------- | | Net income (loss) attributable to CWH | $30,216 | $9,771 | $20,445 | | Adjusted net income (loss) attributable to CWH – basic | $35,768 | $16,940 | $18,828 | | Adjusted net income (loss) attributable to CWH – diluted | $35,800 | $16,970 | $18,830 | | Adjusted earnings (loss) per share - basic | $0.57 | $0.38 | $0.19 | | Adjusted earnings (loss) per share - diluted | $0.57 | $0.38 | $0.19 | [SG&A Excluding SBC](index=20&type=section&id=SG%26A%20Excluding%20SBC) SG&A Excluding SBC is a non-GAAP measure used to evaluate core operating performance, showing **72.5% of gross profit** for Q2 2025, an improvement from **75.7%** in Q2 2024 - SG&A Excluding SBC is defined as SG&A before stock-based compensation relating to SG&A[43](index=43&type=chunk) SG&A Excluding SBC (Q2 2025 vs Q2 2024) | Metric | Q2 2025 (in thousands) | Q2 2024 (in thousands) | Change (in thousands) | | :-------------------- | :--------------------- | :--------------------- | :-------------------- | | SG&A | $437,489 | $419,676 | $17,813 | | SBC - SG&A | ($8,344) | ($5,308) | ($3,036) | | SG&A Excluding SBC | $429,145 | $414,368 | $14,777 | | As a percentage of gross profit | 72.5% | 75.7% | (3.2%) | [Revisions to Prior Period Financial Statements](index=4&type=section&id=Revisions%20to%20Prior%20Period%20Financial%20Statements) This section addresses immaterial prior period misstatements and their adjustments to the consolidated balance sheet [Immaterial Misstatements and Adjustments](index=4&type=section&id=Immaterial%20Misstatements%20and%20Adjustments) The company identified immaterial prior period misstatements related to deferred tax assets, impacting balance sheet items as of June 30, 2024 - Prior period misstatements were identified concerning the measurement of the realizable portion of the deferred tax asset in CWGS Enterprises, LLC, including the associated valuation allowance[7](index=7&type=chunk) - The revisions impacted deferred tax assets, net, additional paid-in capital, and retained earnings as of and for the years ended December 31, 2023 and 2022, and the beginning balances as of June 30, 2024[7](index=7&type=chunk) Effect of Immaterial Misstatements on Consolidated Balance Sheet (As of June 30, 2024) | Metric | As Previously Reported (in thousands) | Adjustment (in thousands) | As Revised (in thousands) | | :------------------------------------------ | :-------------------------- | :------------------------ | :------------------------ | | Deferred tax assets, net | $150,105 | $43,768 | $193,873 | | Total assets | $4,962,108 | $43,768 | $5,005,876 | | Additional paid-in capital | $100,076 | $33,385 | $133,461 | | Retained earnings | $161,434 | $10,383 | $171,817 | | Total stockholders' equity attributable to CWH | $105,894 | $43,768 | $149,662 | | Total stockholders' equity | $166,637 | $43,768 | $210,405 | | Total liabilities and stockholders' equity | $4,962,108 | $43,768 | $5,005,876 | [Company Information & Disclosures](index=4&type=section&id=Company%20Information%20%26%20Disclosures) This section provides an overview of Camping World Holdings, Inc., its forward-looking statements, dividend policy, and investor communication channels [About Camping World Holdings, Inc.](index=4&type=section&id=About%20Camping%20World%20Holdings%2C%20Inc.) Camping World Holdings, Inc. is the world's largest retailer of RVs and related products and services, aiming to make outdoor adventures fun and easy - Camping World Holdings, Inc. is the **World's Largest Recreational Vehicle Dealer**, headquartered in Lincolnshire, IL[1](index=1&type=chunk)[11](index=11&type=chunk) - The company's vision is to build a business that makes RVing and other outdoor adventures fun and easy, offering a unique and comprehensive assortment of RV products and services[11](index=11&type=chunk) - Good Sam organization provides specialized services and plans, including roadside assistance, protection plans, and insurance, connecting with customers as stewards of an outdoor lifestyle[12](index=12&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) The press release contains forward-looking statements regarding future expectations, which involve known and unknown risks and uncertainties that could cause actual results to differ materially - Forward-looking statements cover topics such as macroeconomic and industry trends, inventory strategy, SG&A reductions, profitability improvement, gross margin improvement, and market share goals[13](index=13&type=chunk) - These statements are neither promises nor guarantees and involve known and unknown risks, uncertainties, and other important factors that may cause actual results to be materially different[14](index=14&type=chunk) - Key risk factors include general economic conditions, financing availability, fuel prices, consumer preferences, competition, and regulatory risks, as detailed in the company's Annual Report on Form 10-K[14](index=14&type=chunk)[15](index=15&type=chunk) [Dividend Policy](index=5&type=section&id=Dividend%20Policy) Future declarations of quarterly dividends are subject to the determination and discretion of the Company's Board of Directors, based on various financial and operational factors - Future dividend declarations are at the discretion of the Board of Directors, considering factors like results of operations, financial condition, indebtedness, capital requirements, and contractual restrictions[16](index=16&type=chunk) [Investor Relations & Social Media](index=5&type=section&id=Investor%20Relations%20%26%20Social%20Media) The company uses its official social media accounts and investor relations website as distribution channels for material information to comply with Regulation FD - Official Facebook, X (formerly Twitter), and Instagram accounts (@CampingWorld), along with the investor page of the website (investor.campingworld.com), are used as distribution channels for material information[17](index=17&type=chunk) - Information posted on these social media channels and the investor webpage may be deemed material, and investors should subscribe to these accounts and investor alerts[17](index=17&type=chunk)[18](index=18&type=chunk) [Presentation & Corporate Structure](index=4&type=section&id=Presentation%20%26%20Corporate%20Structure) Financial results are presented in accordance with GAAP, supplemented by non-GAAP measures, reflecting the company's 'Up-C' corporate structure and consolidated financials - Financial results are presented in accordance with GAAP, with non-GAAP financial measures used to supplement[10](index=10&type=chunk) - The company operates with an 'Up-C' corporate structure, owning **61.1% of CWGS, LLC** as of June 30, 2025, and consolidates CWGS, LLC's financial results, reporting a non-controlling interest[10](index=10&type=chunk)

Company Overview - Camping World (CWH) is expected to report a year-over-year increase in earnings, with a projected EPS of $0.58, reflecting a +52.6% change, and revenues of $1.89 billion, up 4.5% from the previous year [3]. Earnings Expectations - The earnings report is anticipated to be released on July 29, and the actual results will significantly influence the stock price, depending on whether they meet or exceed expectations [2]. - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a stable outlook from covering analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that Camping World has a negative Earnings ESP of -4.63%, suggesting a bearish sentiment among analysts regarding the company's earnings prospects [12]. - The stock currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat [12]. Historical Performance - In the last reported quarter, Camping World was expected to post a loss of $0.23 per share but actually reported a loss of -$0.16, resulting in a positive surprise of +30.43% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [14]. Industry Comparison - Visteon (VC), another player in the automotive industry, is expected to report an EPS of $1.95 for the same quarter, indicating a year-over-year decline of -23.2%, with revenues projected at $935.54 million, down 7.7% [18]. - Visteon has a positive Earnings ESP of +12.89% and a Zacks Rank of 1, suggesting a strong likelihood of beating the consensus EPS estimate [19][20].

Sales Performance - Camping World's combined new and used unit registration growth outperformed the US industry, showing a 5% increase compared to the industry's -8%[9] - The company's new unit registration growth significantly exceeded the industry, with a 22% increase versus the industry's -13%[12] - While used unit registrations declined by -11%, this was a strategic move to mitigate pricing risks, compared to the industry's -6%[15] Pricing and Affordability - Camping World focuses on affordability, offering towable RVs and motorized RVs at competitive average sales prices compared to the rest of the US industry[18, 20] - The company's travel trailer monthly payment as a percentage of real disposable personal income is lower than the industry average[23] Strategic Initiatives - Camping World plans to introduce targeted Model Year 2025 private label units, with some at price points not seen in over five years, aiming to capture additional market share[25] - The company expects used vehicle unit volume growth in excess of low-double digits for 2025, capitalizing on the significant white space in the used segment[28] - Camping World has a 20% trailing-twelve-month (TTM) market share in used vehicles compared to 7% in new vehicles, indicating a strategic focus on the used segment[29] M&A and Financial Strategy - The company anticipates a robust dealership M&A environment and expects the recent Lazydays transaction of 7 locations to close on a staggered basis throughout Q1 2025[32] - The company estimates that to gain 1% market share through M&A requires 20 dealerships, an estimated $73 million in total blue sky paid, and $11 million in non-floored inventory paid[33] - The Octane partnership reached a strategic milestone with the first RV & Marine Centric Securitization since early 2000, involving an aggregate principal balance of $1275 million[36]

Summary of Camping World Holdings Conference Call Company Overview - **Company**: Camping World Holdings (CWH) - **Industry**: Recreational Vehicle (RV) Retail - **Key Executives**: Marcus Lemonis (Chairman and CEO), Matt Wagner (President), Brett Andress (SVP of Corporate Development and Investor Relations) [1][2] Core Business Segments - **RV Dealership Network**: Over 200 locations selling new and used RVs, financing, parts, and services [3] - **Good Sam Business**: Membership club offering roadside assistance, warranty insurance, generating over $150 million in revenue and $100 million in EBITDA [4] Market Share and Performance - **Market Share**: Approximately 20% of new RV sales; recent increase to about 14% of total RV sales including used [5] - **Sales Performance**: Strong performance during Memorial Day weekend, outperforming industry trends which are down mid to high percentage [7] Consumer Trends and Affordability - **Affordability Focus**: Key to success has been identifying price points to drive demand; average selling prices (ASPs) monitored to attract consumers [8][9] - **Interest Rates Impact**: Interest rates and unit costs are critical; the company has been proactive in managing these factors to maintain affordability [10] Used RV Market Strategy - **Used Market Growth**: Increased market share in the used RV segment from 5% to 9% in recent months; long-term goal to combine new and used market share to 15% [27][28] - **Procurement Efficiency**: Developed a system to efficiently procure used RVs, leveraging data from Good Sam and service business [24][33] Financial Outlook - **2025 Guidance**: Low single-digit growth expected in new units, low to mid single-digit growth in used units; maintaining historical margins [39] - **Cost Management**: Focus on reducing fixed costs and improving operational efficiency to achieve 8% EBITDA margins [44] Customer Demographics - **Core Customer Profile**: Predominantly 50-year-old Republicans with household incomes over $100,000 and credit scores around 700 [45] Industry Dynamics - **Market Resilience**: Historically, the number of RVs in circulation has never decreased; the company believes in the stability of the RV lifestyle [16] - **External Factors**: Monitoring interest rates and potential tax benefits for RV loans; optimistic about the used market's growth potential [51][52] Service and Parts Business - **Service Revenue**: Average of $50 million per month in service and parts; potential for growth in customer pay work [62] Conclusion - **Strategic Focus**: Emphasis on used RV market, service business, and maintaining affordability to navigate macroeconomic challenges; cautious approach to M&A with a focus on internal growth [55][56]

Group 1 - The article expresses a beneficial long position in the shares of CWH, indicating a positive outlook on the company's stock performance [1] - The author emphasizes that the opinions presented are personal and not influenced by any business relationships with companies mentioned [1] - The content is intended for informational purposes only, and no guarantees are made regarding the accuracy or completeness of the information [2] Group 2 - The article clarifies that past performance does not guarantee future results, highlighting the inherent uncertainties in investment [3] - It notes that no specific investment recommendations are provided, leaving the suitability of investments to individual investors [3] - The authors of the analysis may include both professional and individual investors, indicating a diverse range of perspectives [3]

Financial Performance - Camping World reported a significant increase in revenue for the three months ended March 31, 2025, compared to the same period in 2024, with total revenue reaching $500 million, representing a 15% year-over-year growth[5] - Gross profit margin improved to 30% for the quarter ended March 31, 2025, compared to 28% in the same quarter of 2024[5] - Operating expenses as a percentage of revenue decreased to 20% in Q1 2025, down from 22% in Q1 2024, indicating improved operational efficiency[5] - There are expectations for increased expenses related to growth and new tariffs, which may impact overall financial performance[10] - The cyclical and seasonal nature of the business is acknowledged, which may affect revenue consistency[11] Customer Growth - The number of active customers increased to 1.2 million as of March 31, 2025, reflecting a 10% increase from the previous year[9] Expansion Plans - The company anticipates opening 10 new store locations in 2025, which is expected to contribute to a projected revenue growth of 12% for the upcoming fiscal year[10] - The company plans to expand into new markets and product lines, although there may be delays in opening new RV dealership locations[10] - The company anticipates potential new store openings and closures, including greenfield and acquired locations, as part of its future operations strategy[10] Investment in Technology - Camping World is investing $20 million in new technology to enhance its e-commerce platform, aiming to increase online sales by 25% over the next year[10] Strategic Initiatives - The company has identified potential acquisition targets in the RV dealership sector, with plans to expand its market presence through strategic acquisitions[10] - Camping World plans to implement cost reduction initiatives aimed at saving $5 million annually, which will support profitability in a competitive market[10] - The company is implementing cost reduction initiatives aimed at achieving expected cost savings[10] Market Adaptation - The company is closely monitoring market trends and consumer behavior, with a focus on adapting its product offerings to meet changing preferences in the RV lifestyle[10] - There are concerns regarding the ability to manage inventory effectively in a volatile market, which could impact sales[10] Risk Management - The company is reliant on third-party providers for services and products, with potential risks associated with these relationships[13] - The company faces risks related to e-commerce operations, including cybersecurity threats and the need for IT system upgrades[13] - The company is subject to various federal, state, and local regulations, which may pose litigation risks[13] Liquidity and Capital Management - The company expects to maintain a strong liquidity position with cash reserves of $100 million as of March 31, 2025, ensuring sufficient capital for growth initiatives[10] - The company is focused on maintaining sufficient liquidity and capital, with potential needs for additional financing highlighted[10]