Nemeth Touts ‘Strategic Investments’ in Patrick Annual Report – RVBusiness – Breaking RV Industry News
EDITOR’S NOTE: As part of Elkhart, Ind.-based Patrick Industries Inc.’s 2024 Annual Report – published April 1 – company Chairman and CEO Andy Nemeth offered the following address to shareholders.
“Fiscal 2024 represented the continuation of our strategic investments in the future of Patrick and in our people. Our team, guided by our BETTER Together values and culture, performed admirably at all levels in the face of dynamic uncertainty and volatility in our end markets and our business. I am very proud of our team’s strength, resilience and ability to turn challenges into opportunities for future long-term value and growth.
“Our team’s focus, drive, and determination in pursuit of our goal of serving our customers and markets at the highest level were a reflection of their entrepreneurial spirit and proof of their tenacity and strength. Acquisitions continue to be a key part of our growth plan, strategically diversifying our business within our core end markets: RV, Marine, Powersports and Housing.
“We completed two significant acquisitions in 2024, defining Powersports as a new end market through our purchase of Sportech in January, and formalizing our direct-to-consumer foundation and strategy with the addition of RecPro in September. Within our Outdoor Enthusiast markets, which comprise RV, Marine, and Powersports, original equipment manufacturers (OEMs) remained disciplined in their production levels, working closely with
dealers to carefully manage channel inventories.
“These efforts, while challenging in the near-term, help to ensure the long-term health of these markets. Separately, our Housing business outperformed expectations, further showcasing the value of our strategic diversification efforts. Through continued investment in our business and our people, Patrick remains well positioned for future growth.
- New Product Development reflects our dedication to innovation and our full solutions model: Through the launch of our Advanced Product Group and our sales restructuring and focus, we have reinvigorated our customer engagement and commitment to long-term partnership on next generation product development.
- Higher-Margin Businesses Diversify Patrick: We completed two key acquisitions last year. Sportech, our largest to date, solidified our Powersports platform, and RecPro significantly enhanced our aftermarket presence and ability to serve and leverage the direct-to-consumer market.
- Financial Strength: We remain focused on generating profitable growth while maintaining the disciplined financial position necessary to remain steadfast in dynamic markets. In the third quarter, we strengthened our balance sheet by refinancing a portion of our debt, improving terms, increasing liquidity, and extending maturities while reducing our interest costs.
- We are Enthusiasts: The heart of Patrick’s success is driven by the passion and entrepreneurial spirit of the people and brands who make up our team. Our people are enthusiasts who enjoy the outdoor lifestyle: RV’ing, camping, boating, fishing, riding and other pursuits that help refresh and energize the mind, body and spirit.
“Patrick’s future success lies in our ability to remain nimble and scalable to be able to pivot quickly and effectively, adjusting to our end markets and the evolving needs of our valued customers. We believe a strong team and solid financial foundation are necessary components to achieve our growth
objectives, while maintaining our flexibility.
“We will continue to focus on prudent capital allocation centered on three key priorities: accretive acquisitions, reinvesting in our business, and
returning value to our shareholders.
“Our team remains steadfast and ready to meet the future, serving our shareholders, our team, our customers and the end markets and communities
we serve.”
Andy Nemeth
Chairman and Chief Executive Officer
