Winnebago Industries Inc. on October 22 reported a 7.8 percent increase in fourth-quarter net revenue to $777.3 million, supported by “favorable product mix and targeted price increases”.
The outdoor lifestyle manufacturer cited improved profitability and stronger cash flow as signs of operational progress amid a challenging market environment.
President and Chief Executive Officer Michael Happe said the company “drove stronger revenue, improved profitability, gained share in key segments and delivered solid operating cash flow and an improved leverage position,” according to the release.
The company reported fourth-quarter net income of $13.7 million, or $0.49 per diluted share, compared with a net loss of $29.1 million in the prior-year quarter.
Adjusted earnings per diluted share rose 153.6 percent year-over-year to $0.71. Adjusted EBITDA reached $38.2 million, up 33.1 percent from $28.7 million a year earlier.
For the full fiscal year ended August 30, 2025, Winnebago posted net revenues of $2.8 billion, down 5.9 percent from fiscal 2024, with gross profit of $365.1 million at a 13 percent margin.
Full-year net income was $25.7 million, or $0.91 per diluted share, compared with $13 million in fiscal 2024.
Segment Performance
Fourth-quarter towable segment revenue declined 3.4 percent to $306.3 million due to lower unit volume and a shift toward lower-price models, partly offset by price increases.
Operating income rose 38.3 percent to $21.4 million, reflecting efficiency gains from transformation initiatives within Winnebago’s towables business.
Motorhome revenue also increased 17.3 percent to $361.2 million, led by higher unit volumes and improved product mix, though margins narrowed because of transformation costs in the Winnebago-branded motorhome division and increased discounts.
The company reported an operating loss of $0.3 million compared with a $6.9 million profit in the prior year.
As for its marine segment, Barletta Boats continued to expand share in the U.S. aluminum pontoon segment, with marine revenue up 17.9 percent to $94.9 million.
Operating income rose to $6.7 million from a $27.1 million loss a year earlier, helped by targeted pricing and leverage gains.
Financial Position and Guidance
Winnebago reported operating cash flow of $181.4 million for the quarter and a net leverage ratio improvement to 3.1×, down from 4.8× in the prior quarter.
Cash and equivalents totaled $174 million at quarter-end.
The company’s board approved a 3 percent increase in its quarterly dividend to $0.35 per share, paid September 24, 2025, to shareholders of record as of September 10, 2025.
Looking ahead, Winnebago expects fiscal 2026 net revenue between $2.75 billion and $2.95 billion, with adjusted earnings per diluted share of $2.00 to $2.70.
The forecast assumes North American RV wholesale shipments between 315,000 and 345,000 units in calendar 2026 and incorporates current tariff, macroeconomic, and competitive conditions.
Happe said Winnebago enters the new fiscal year “from a position of strength, driven by robust new product momentum, disciplined inventory management, and a clear pathway for driving profitable revenue across the portfolio.”
What It Means for RV Manufacturers and Dealers
For RV manufacturers, the report underscores persistent margin pressure but also points to growth potential in premium and motorized categories.
Winnebago’s emphasis on aligning shipments with retail demand suggests that production scheduling remains conservative—a signal that supply discipline is expected to continue into 2026.
For RV dealers, the company’s focus on managing inventory “to support our dealer partners, maintain inventory health, and keep our brands strong in the eyes of consumers,” as Happe said, indicates steady wholesale flow calibrated to current retail demand levels.
Dealers can anticipate continued availability of refreshed motorhome and towable products debuted during the September 2025 RV Open House, including new Grand Design motorized offerings.
The improvement in leverage and operating cash flow may also bolster confidence in warranty support, after-sales service, and production stability as the company advances its transformation efforts across the Winnebago-branded lines.
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