Record 3Q Results For Winnebago
16 June 1999
FOREST CITY, Iowa -- Winnebago Industries, Inc. , one of the
world's leading motor home manufacturers, today announced record revenues and
earnings for the third quarter and first ninemonths of fiscal 1999. Revenues
for the quarter ended May 29, 1999, were $191.5 million, an increase of 27 percent
when compared to revenues of $150.5 million for the same quarter last year.
Net income for the third quarter of fiscal 1999 was $14.6 million, double the
net income of $7.3 million for the third quarter of fiscal 1998, while on a
per share basis, the Company earned 65 cents per diluted share, an increase of
110 percent, when compared to 31 cents per diluted share for the same period
last year.
Revenues for the nine months ended May 29, 1999 also were a record $503.3
million, an increase of 27 percent when compared to revenues of $395.1 million
for the first nine months in fiscal 1998. Net income for the nine month period
ended May 29, 1999 was $34.2 million, an increase of 101 percent, when
compared to net income of $17.0 million for the first nine months in fiscal
1998, while on a per share basis, the Company earned $1.52 per diluted share,
an increase of 120 percent when compared to 69 cents per diluted share, for
the same period in fiscal 1998.
"Winnebago Industries' third quarter and year-to-date results were driven
by great demand for our Company's products, as well as the vibrant U.S.
economy," said Winnebago Industries' Chairman, Chief Executive Officer and
President Bruce D. Hertzke. "These results are testament to the fact that
Winnebago Industries is focused on maximizing profitability in the
manufacturing of high-quality recreation vehicles."
"Winnebago Industries is in an enviable financial and market position,"
Hertzke continued. "We have an exciting product lineup, a solid balance
sheet, a state-of-the-art facility and no long-term debt. The Company's sales
order backlog at the close of the third quarter was 2,229 units, an increase
of 170 percent, when compared to the orders on hand at the close of the third
quarter in fiscal 1998."
"Long-term prospects remain extremely bright as well," said Hertzke.
"Approximately every seven seconds, someone in the U.S. is reaching the age of
50, increasing our prime target market by approximately 350,000 persons each
month. Demographic studies show that the numbers of potential motor home
owners will continue to grow for the next 20 years. Winnebago Industries
should especially benefit from this influx of consumers because of the
Company's strong brand name recognition and reputation for high-quality
products."
Winnebago Industries, Inc. is a leading manufacturer of motor homes that
are self-contained recreation vehicles used primarily in leisure travel and
outdoor recreation activities. Other products manufactured by the Company
consist principally of a variety of component products for other manufacturers.
The Company builds quality products with state-of-the-art computer-aided design
and manufacturing systems on automotive-styled assembly lines, conforming to what
the Company believes to be the most rigorous testing in the RV industry. The
Company's common stock is listed on the New York, Chicago and Pacific Stock Exchanges
and traded under the symbol WGO. Options for the Company's common stock are
traded on the Chicago Board Options Exchange.
Winnebago Industries, Inc.
Unaudited Consolidated Statements of Operations
(In thousands except per share amounts)
Quarter Ended Nine-Months Ended
May 29, 1999 May 30, 1998 May 29, 1999 May 30, 1998
Net revenues $191,546 $150,515 $503,342 $395,120
Cost of goods sold 157,804 129,610 420,355 341,437
Gross profit 33,742 20,905 82,987 53,683
Operating expenses:
Selling and delivery 5,997 4,645 16,593 14,564
General and admin. 6,129 6,029 16,112 15,741
Total operating
expenses 12,126 10,674 32,705 30,305
Operating income 21,616 10,231 50,282 23,378
Financial income 670 860 1,816 2,244
Pre-tax income 22,286 11,091 52,098 25,622
Provision for taxes 7,675 3,757 17,884 8,600
Net income $14,611 $ 7,334 $34,214 $17,022
Earnings per share:
Basic $0.66 $0.31 $1.54 $0.70
Diluted $0.65 $0.31 $1.52 $0.69
Weighted average common
shares outstanding:
Basic 22,190 23,642 22,186 24,434
Diluted 22,517 23,912 22,483 24,630
