Winnebago Up Following Blow-Out Q3 Results on Lower Backlog, Strong Spring Season
2022.06.22 14:55
Winnebago (WGO) Gains Following Blow-Out Q3 Earnings on Reduced Backlog and Strong Spring Season
By Investing.com Staff
Shares of RV-maker Winnebago (NYSE:WGO) gained over 4% in pre-open trading Wednesday following blow-out third-quarter results.
The company’s adjusted EPS surged 84% to $4.13, easily beating the consensus of $2.96.
On the top-line, revenue rose 52%, including 41% organically, to $1.5 billion. Wall Street had only seen revenue of $1.2 billion.
CEO Michael Happe said the company made headway in reducing its order backlog in the quarter and also capitalized on the prime spring selling season. He added that the company is taking market share and continued pricing actions to offset meaningful component and material cost inflation.
The company had a backlog of 15,180 units as of May 28, 2022. This is down 16.3% from the 18,145 units during the same period last year. Meanwhile, dealer inventory was 3,008 as of May 28, 2022, up 23.8% from the 2,429 last year.
Winnebago executed record share buybacks of $70.0 million during the third quarter.
Looking to the current quarter and fiscal 2023, the CEO said they expect supply chain inconsistencies and inflation pressures to continue.
