By Katherine Hamilton

Thor Industries is consolidating some of its recreational vehicle subsidiaries to cut costs as the number of dealerships declines.

The parent company of RV makers said Wednesday it plans to integrate Heartland Recreational Vehicles under its Jayco brand to streamline business processes. The transition will happen in the next few months, Thor said.

As part of that change some of Heartland's private label brands will be transferred to Dutchmen Manufacturing, a division of Thor's subsidiary Keystone RV.

The industry is going through a downcycle and RV dealers in the U.S. are consolidating, Chief Executive Bob Martin said. In response, Thor's subsidiaries have focused on brand rationalization and right-sizing product lineups.

"This restructuring takes the idea of rationalization for optimization to the next level," he said.

Heartland has faced challenges in optimizing operations, offering a competitive brand and customer service, areas in which Jayco has been more successful, Martin said.

The changes are expected to cut operating costs, improve customer service and create a more efficient distribution strategy to dealers as they consolidate, he said.

Write to Katherine Hamilton at katherine.hamilton@wsj.com

(END) Dow Jones Newswires

March 19, 2025 17:04 ET (21:04 GMT)

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