Motorhomes Power Winnebago to Stellar Sales
In a conference call today (June 27) with media and investors, Winnebago Industries Inc. expounded on a stellar fiscal third quarter that included a 94% increase in year-over-year earnings, a 40% rise in sales and the highest shipment total in five years.
The Forest City, Iowa-based company enjoyed higher profits due to a heightened demand for motorhomes coupled with lower discounting and an improved product mix. Winnebago Chairman, CEO and President Randy Potts noted that the company’s motorhome backlog had grown in each of the last six consecutive quarters.
“At the end of the third quarter, backlog had grown in every motorized category and was up 130% year-over-year,” Potts said. “This is a reflection of our dealer networks’ confidence in our motorhome products, as well as our confidence in the overall industry as they prepare for the summer season.”
Potts revealed that in line with demand Winnebago also continued to increase production levels.
“We’ve been increasing our production throughout the past 9 months,” he said. “When measured as units produced per production day, our production in the third quarter of fiscal ’13 increased nearly 48% compared to the units produced per production day in the same quarter last year.”
While the still evolving towable division incurred a $764,000 operating loss during the quarter, Potts said the unit was making progress.
“We had good response to new products that were introduced at our Dealer Days event in late April, as evidenced by the increase in sales order backlog compared to the second quarter of fiscal ’13,” he said.
To read the entire transcript from today’s conference call click here.