Winnebago stock rises on Q2 earnings beat, FY25 forecast reduced due to market challenges.

From Yahoo Finance: 2025-03-27 08:54:00

Winnebago Industries Inc shares rise in premarket after second-quarter earnings. Sales declined 11.8% year-on-year to $620.20 million, beating estimates. Towable RV revenue climbed 1.2%, while Motorhome RV revenue decreased 30.4%. Gross profit fell 21.1% to $83.1 million. Adjusted EPS beat estimates at 19 cents.

Operating margin contracted to 1.3%, operating income plunged 78% to $7.8 million. Consolidated Adjusted EBITDA decreased 54.2% to $22.8 million. Cash and equivalents totaled $115.5 million, outstanding debt was $598.7 million. CEO Michael Happe cites solid performance in strategic markets.

FY25 revenue outlook reduced to $2.8 billion – $3.0 billion, adjusted EPS outlook lowered to $2.75 – $3.75. Happe acknowledges challenges in industry, including interest rates and consumer sentiment. Tariffs impact ongoing discussions with vendors. Company adjusts outlook to address dynamic environment.

Read more: Winnebago Stock Climbs On Q2 Earnings Beat, But FY25 Forecast Slashed On Market Headwinds