Winnebago Industries (NYSE:WGO), the producer of RV vehicles, reported beats on both earnings and revenue for the fiscal fourth quarter and full year due to strong sales of its products.
Full year revenues topped $2 billion for the first time, up 30.4% from the year-ago level of $1.5 billion, while earnings per share for the fiscal year rose 39% hit $3.22.
Revenue for the fourth quarter ending on August 25 reached $536.2 million, an increase of 17.9% from the year-ago level of $454.9 million and sharply up on the consensus expectation of $499.25 million. Earnings per share was at US$0.94, some 19% higher than the year-ago level of US$0.79 and the expected level of US$0.91.
Shares of Winnebago jumped 7.87% in the Wednesday premarket to $34.25, having closed up 0.16% to $31.75.
"We made strong strides in the journey to transform ourselves into a premier, outdoor lifestyle company, especially with our fourth-quarter entry into the attractive marine market with the acquisition of Chris-Craft," said Michael Happe, the president and CEO of Winnebago.
READ: Winnebago Industries beats 2Q sales expectations; shares up in premarket
"We have also elevated our level of competitiveness within the North American RV market as a stronger full-line OEM, raising consolidated market share primarily on the strength of our sustained Towables segment growth. Both our Winnebago and Grand Design-branded towables business have material momentum, with new products and superlative quality driving increased business with dealers and end customers. Our Motorhome business continues to make sequential progress in improving its product line vitality and profitability" he added.
Happe said the company is "thrilled to exceed the $2.0 billion revenue mark for the first time" in its history despite "inflationary headwinds on material and labor costs."
As of August 25, 2018, the company had total outstanding debt of $291.4 million and working capital of $167.8 million.
Winnebago Industries is a leading US manufacturer of outdoor lifestyle products under the Winnebago, Grand Design, and Chris-Craft brands, which are used primarily in leisure travel and outdoor recreation activities.
The company is based in Forest City, Iowa.
Reporting by Rene Pastor, contactable on rene.pastor@proactiveinvestors.com