Camping World Q1 Earnings Call Highlights

Camping World NYSE: CWH executives emphasized cost discipline, inventory reductions, and progress at Good Sam as the company navigated what CEO and President Matthew Wagner described as a “challenging RV industry backdrop” in the first quarter ended March 31, 2026.

On the call, Wagner said market conditions were “softer than expected,” but argued the “underlying quality” of the quarter reflected execution against three priorities: gaining share in new and used RV sales, improving SG&A efficiency, and accelerating Good Sam. CFO Tom Kirn reported first-quarter revenue of $1.35 billion and adjusted EBITDA of $28 million, compared with $31.2 million a year earlier.

Cost reductions and operating leverage in focus

Wagner highlighted a year-over-year reduction in SG&A of more than $29 million, or 7.5%, alongside a 135-basis-point improvement in SG&A as a percentage of gross profit. He said the lower cost base was “not one-time savings,” pointing to $19 million in compensation reductions during the quarter and the consolidation of 13 store locations over the past year.

In addition to the savings realized in the quarter, Wagner said the company executed roughly $10 million of additional annualized cost rationalization, bringing year-to-date annualized savings to “nearly $35 million.” He also pointed to additional cost takeout opportunities tied to artificial intelligence initiatives, which he said were expected to drive “material, hard dollar savings,” particularly within IT spend, while also improving dealership productivity and customer experience.

During the Q&A, Wagner gave an example of internal AI-driven development: a custom in-house CRM for the extended service plan business. He said the company had originally budgeted $800,000 to stand up that environment plus $400,000 to $500,000 in annual maintenance, but instead built it with three employees and deployed it in 26 days. He said ongoing upkeep should require “maybe a quarter of the time of one FTE.”

RV demand trends, market share, and weather disruption

Wagner said Camping World’s new unit sales outpaced the industry during the quarter. Citing Statistical Surveys Inc. (SSI) data, he said new unit retail sales through February were tracking down “in excess of 15%,” while Camping World believed it outperformed “in every major category,” driven largely by its exclusive brand strategy. In the new fifth-wheel segment, Wagner said the company was up nearly 10% year to date, helped by private label products positioned at “compelling price points with unique features.”

Used RV industry trends were more constructive, according to Wagner, who said SSI data showed the used RV industry grew in six of the last eight months through February. Even so, Camping World’s same-store used sales fell 2.6% in the quarter, which management attributed to weather disruptions in January and February.

Wagner said the company shut down more than 60 stores “for at least a day” during that period, calling it the biggest disruption of the quarter. He reiterated prior commentary that the company believed it missed about 1,500 unit sales due to the disruptions and noted same-store unit sales were down about 1,700 units.

Management said trends improved as the quarter ended. Wagner said the year-over-year trajectory of new and used volume improved through March and that April was trending “slightly positive” year over year by month-end. He told analysts the company was trending positive in April on a same-store basis for new and used combined, with used units up “high single digits” year over year and new units “flat to slightly down,” which he said still represented outperformance relative to the broader market.

When asked about consumer trade-in behavior, Wagner said the company had “not yet seen a material increase in trade-in percentages,” but was seeing evidence that customers who bought in the 2018–2021 period were starting to return, reflected in the average model year of inventory coming back into the system. He described a “self-healing” process for consumers previously impacted by negative equity and said the company anticipated being in the “early innings” of a trading cycle by year-end, potentially building over the next three to five years.

Inventory strategy, margins, and pricing commentary

Wagner said inventory discipline remained central, noting that as of the time of the call, total same-store RV unit inventory was down more than 10% year over year and that the company had purchased more than 20% fewer units year to date versus the prior year. He also said daily sales velocity in April was positive versus last year, even with fewer units on hand.

He highlighted progress reducing exposure to older model-year inventory: model year 2025 units represented roughly 8% of total new inventory, down more than 50% in units from the same time last year.

Kirn said the quarter’s unit declines were partially offset by “a richer mix,” with new vehicle average selling prices up about 4% year over year. However, he said vehicle gross margins were under pressure as the company moved through certain aging buckets. New vehicle gross margin fell 148 basis points to 12.2%, and used vehicle gross margin declined 91 basis points to 17.7%.

Kirn said management expected margin pressure to continue through the second quarter before improving in the back half of 2026 as velocity and aging improvements took hold. He also said new ASPs were expected to continue increasing at a similar pace year over year into the second quarter.

On used pricing and negative equity concerns, Wagner said the company was not seeing negative equity trends “being amplified” in the RV business in a way similar to recent automotive headlines. Instead, he described a “corrective self-healing environment” in the RV industry. He characterized first-quarter used ASP movement as “kind of an immaterial amount,” and said the company still expected used ASPs to land around $31,500, “give or take,” with stabilization in future periods.

Wagner also discussed manufacturer pricing expectations, saying 2026 pricing was up roughly 5%–7% versus model year 2025. Looking ahead, he said early model year 2027 motorized units were showing only about a 1%–2% price increase, while towables—expected to arrive over the next one to two months—could be up 1%–3% based on conversations.

Good Sam progress, balance sheet improvement, and guidance reiterated

Management framed Good Sam as a key growth pillar. Wagner said the segment continued its top-line growth pace while margins stabilized to roughly flat year over year. He said the company expected to complete a Good Sam ERP overhaul in the second quarter, which he said would support expansion into adjacent marketplaces.

Kirn said Good Sam posted a sequential gross margin improvement from the fourth quarter, consistent with expectations that operational investments made over the past 18 months would begin yielding returns. He added that the company expected Good Sam margins to improve year over year through the remainder of 2026.

On the balance sheet, Kirn said Camping World ended the quarter with $200 million of cash and improved its net debt leverage ratio to 5.6x from 8.1x at the end of the first quarter of 2025. He said cash flows from operating and investing activities improved “markedly” year over year as the company focused on inventory turns and CapEx restraint, and he noted the company paid down $56 million of debt during the quarter.

In response to questions on free cash flow and capital spending, Kirn said the company’s goal for 2026 net CapEx was “south of $100 million” after considering sale-leasebacks tied to previously completed projects. He said there was “room” to bring maintenance CapEx closer to the $75 million range, though total spending could flex depending on facility moves and real estate decisions.

Wagner said the company now expects the new RV industry to track toward the lower end of its 2026 retail outlook range of 325,000 to 350,000 units, while the used RV industry is expected to be around the midpoint of its 715,000 to 750,000-unit range. Despite that, the company reiterated full-year 2026 adjusted EBITDA guidance of $275 million to $325 million.

“We took share, we pulled down cost, and we strengthened our balance sheet,” Wagner said, adding that the first quarter was his first full quarter as CEO after stepping into the role at the start of the year.

About Camping World NYSE: CWH

Camping World Holdings, Inc NYSE: CWH is a leading specialty retailer of recreational vehicles (“RVs”), RV parts and services, and outdoor lifestyle products. The company operates an extensive network of full-service RV dealerships, providing new and pre-owned RV sales alongside comprehensive maintenance, repair and warranty services. In addition to its dealership operations, Camping World offers a broad assortment of RV parts, accessories and gear through both its physical retail locations and e-commerce platform.

Beyond RV sales and service, Camping World's offerings encompass outdoor cookware, apparel, camping and towing accessories under various proprietary and third-party brands.

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