FOREST CITY, Iowa – Winnebago Industries’ financial results for the company’s fourth quarter and full year Fiscal 2017 show plenty of promise, for the company and for the RV industry as a whole.
Revenues for the fiscal 2017 fourth quarter, ending Aug. 26, were $454.9 million, an increase of 72.8 percent compared to $263.3 million for the fiscal 2016 period.
Gross profit was $73.6 million, an increase of 130.9 percent compared to $31.9 million for the Fiscal 2016 period. Gross profit margin increased 410 basis points, primarily driven by the favorable mix from the accelerated growth in the more profitable towable segment.
Operating income was $43.5 million for the current quarter, an improvement of 130.2 percent compared to $18.9 million in the fourth quarter of last year.
Fiscal 2017 fourth quarter net income was $24.9 million, or $0.79 per diluted share, an increase of 89.6 percent compared to $13.1 million, or $0.49 per diluted share, in the same period last year. While, consolidated adjusted EBITDA was $47.8 million for the quarter, compared to $18.1 million last year, an increase of 163.4 percent.
President and CEO Michael Happe commented, “We made significant progress in fiscal 2017 to transform Winnebago Industries into a larger, more profitable outdoor lifestyle company offering a full line of RVs. We continue to deliver robust sales growth and gross margin improvements, driven largely by the strong performance of our Grand Design division and the organic growth in our Winnebago-branded towable division.”
On the motorized side, Happe notes the results reflect the company’s strategic direction of repositioning and simplifying its product line, but also the changing trends of the motorized buyer to more affordable Class A and Class C motorhomes. The work to streamline and reinvigorate the company’s motorized product line is an active priority, and Happe noted, “We are excited about the changes we are making to all of our product offerings, design processes and manufacturing environments across the company.”
He added, “Thanks to the overall balance in our portfolio, we continue to report strong improvements in our financial results and key financial metrics. Our cash flow has been very strong which allowed us to pay down our debt ahead of schedule with total debt reduction of $69 million since the end of the first quarter.”
In closing, Happe thanked all Winnebago Industries employees for their hard work and continued dedication.
Source: Winnebago Industries press release