Winnebago Stock Falls 6% After Disappointing Earnings Report, YTD Down 25%

Winnebago Industries' stock dropped by 6% following a disappointing earnings report. The company reported revenues of $786 million and a diluted earnings per share (EPS) of $0.96, with an adjusted diluted EPS of $1.13. Gross profit stood at $118.2 million, representing a 15% gross margin, while adjusted EBITDA was $58 million, representing a 7.4% adjusted EBITDA margin. The company also faced a significant decline in key financial metrics, including a 47% drop in EPS, a 15% decrease in revenue, a 49% reduction in net income, a 22% fall in gross profit, a 40% decline in adjusted EBITDA, and a 56% decrease in backlogs. SG&A expenses increased by 5%, and the year-to-date stock performance is down by 25%. Additionally, Winnebago's market share in the RV sector showed mixed results, with a 15% share in fifth wheels and a 6% share in travel trailers, while the inventory situation at major dealers did not align with the company's optimistic outlook.