Winnebago Posts Record Quarterly Revenues
Winnebago Industries reports record revenue for the fiscal third quarter of $1.5 billion, an increase of nearly 52 percent compared to the $960.7 million of the fiscal third quarter from last year.
The company said its gross profit was $273 million, an increase of 61% compared to $169.6 million for the Fiscal 2021 period. The company said its profit margins were driven primarily by operating leverage, price increases and favorable segment mix, partially offset by higher material and component costs.
“The trend in recent quarters continued, as Winnebago Industries delivered impressive third quarter results, driven by our team’s focused execution and good progress on reducing our order backlog in the quarter from our expanded portfolio of premier outdoor lifestyle brands,” said President and Chief Executive Officer Michael Happe. “In the third quarter, we capitalized on the prime spring selling season to further gain share and expand our pipeline of lifelong customers, as our golden threads of quality, innovation and customer experience continue to differentiate the Winnebago portfolio and resonate with consumers. The unique strength of our brands positioned Winnebago Industries to not only gain market share but also to successfully take continued pricing actions to offset meaningful component and material cost inflation and enhance margin performance across our segments.
“We are incredibly proud of our results and the efforts of our talented team across the organization. As we look ahead to our last quarter in the fiscal year, we will maintain our focus on executing our proven strategy and build on our momentum to further grow and solidify our expanding market position, while driving long-term value for end customers, dealers, employees and shareholders. We will also continue to demonstrate appropriate discipline in capacity utilization in accordance with matching our production schedule to dealer demand.”
Broken down by segment, revenues for the towable segment were $805.6 million for the third quarter, up 45.0% over the prior year, primarily driven by pricing increases, in addition to solid unit growth as a result of strong dealer order backlog.
Revenues for the motorhome segment were $516.3 million for the third quarter, up 34% from the prior year, driven by pricing increases across the segment and strong unit sales.
Backlog decreased to $1.3 billion, down 13.7% from the prior year and down 29.9% sequentially, in the company’s towable segment. For motorhomes, the backlog increased to $2.3 billion, up 4.8% over the prior year.
The company reported revenues for its marine segment were $126.5 million for the third quarter, also an increase over last year’s quarter.
“Looking at the broader economic trends, we have been successful in managing supply chain disruptions, improving dealer inventory levels, navigating cost inflation, and driving manufacturing productivity to deliver consistently strong results,” Happe added. “We expect supply chain inconsistencies and inflation pressures to continue in the fourth quarter, and into our fiscal 2023, and we are focused on continuing to stay ahead of them by leveraging our resilient operating structure, deep and collaborative relationships with our dealers and suppliers, and highly differentiated, premium portfolio of brands. We are confident that the continued execution of our strategy, including a focus on innovation and a differentiated product and overall customer experience, and unwavering commitment to our team and communities, positions Winnebago Industries for sustained market share gains and strong profitability across our business.”