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RV maker Winnebago shares slide on fiscal 3Q revenue miss as motor home sales falter

Revenue for the quarter fell 5.9% from the prior year and came in below the consensus estimates
Winnebago RV
The Forest Park, Iowa-based company saw earnings increase 11% year over year to $1.14 from $1.02, which the company attributed to a more favorable tax rate

Winnebago Industries Inc (NYSE:WGO) shares skidded overnight after the recreational vehicle producer posted a fiscal third-quarter revenue miss amid declining motor home sales.

Revenue for the quarter came in at $528.9 million, down 5.9% from $562.3 in the prior year, and below the consensus estimate of $564 million. Motorhome sales dropped 34% to $160.2 million.

Shares dropped as low as $37.91 before the bell before recovering 2.3% to $39.44 on Wednesday.

READ: La-Z-Boy shares stumble on fiscal 4Q miss, falling upholstery sales

The Forest Park, Iowa-based company saw earnings increase 11% year over year to $1.14 per share from $1.02, which the company attributed to a more favorable tax rate. That was good enough to beat Street expectations of $1.01 per share. Net income was $36.2 million, 11% higher than $32.5 million a year earlier.

“We are pleased to deliver another quarter of solid consolidated results highlighted by continued margin expansion and market share gains,” CEO Michael Happe said. “Winnebago Industries’ third quarter results are a testament to the strength and resiliency of our brand portfolio amid a challenging and highly competitive RV market.

Contact Andrew Kessel at andrew.k[email protected]

Follow him on Twitter @andrew_kessel

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