Winnebago Industries has released its financial results for the second quarter of fiscal year 2025, showing mixed performance across segments.
Financial Overview
Winnebago Industries reported net revenues of $620.2 million, marking an 11.8% decline from the previous year's $703.6 million. This decrease was primarily attributed to a product mix change and reduced average selling price per unit. Nevertheless, targeted price increases helped offset some of the decline. Gross profit also saw a decline of 21.1%, reaching $83.1 million with a 13.4% margin, down 160 basis points from last year.
Segment Analysis
The Marine segment of the company stood out with notable results, achieving a net revenue increase of 17.1% to $81.7 million. Operational efficiencies and targeted price increases drove adjusted EBITDA up by 75.7% to $7.7 million. The Motorhome RV segment faced a revenue decline of 30.4% to $235.6 million due to lower unit volume. The Towable RV segment saw a slight increase in net revenues to $288.2 million, mainly due to volume growth. Operating income for the quarter was $7.8 million, a significant drop from the $35.4 million reported last year, influenced by an 8.6% increase in selling, general, and administrative expenses to $69.7 million.
2025 Fiscal Year Outlook
Looking ahead, Winnebago updated its fiscal 2025 outlook, projecting sales between $2.8 billion and $3.0 billion. Reported earnings per diluted share are expected to range from $2.10 to $3.10, with adjusted earnings per share anticipated between $2.75 and $3.75. CEO Michael Happe discussed challenges from high interest rates, changing consumer sentiment, and dealer inventory adjustments, especially in the Motorhome RV and Marine segments. Despite short-term challenges, the company remains confident in long-term demand and increasing interest in outdoor lifestyles.
Winnebago Industries continues to adapt to market challenges while adhering to its strategic goals focused on innovation and product line expansion.
