WGO Earnings Prediction
The chart below shows how WGO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, WGO sees a +3.46% change in stock price 10 days leading up to the earnings, and a +0.42% change 10 days following the report. On the earnings day itself, the stock moves by -1.62%. This data can give you a slight idea of what to expect for the next quarter's release.
WGO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
620.20M
-11.85%
-0.86%
Gross Margin
12.50%
-11.72%
9.84%
Operating Margin
1.26%
-74.95%
-1000.00%
Net Margin
-0.06%
-96.67%
-92.77%
EPS
-0.01
-97.67%
-94.44%
No Data Available
WGO Earnings Analysis
Winnebago Industries Inc Corporation (WGO.N) Earnings Conference Call
Positive
Sequential Profitability Improvement: Profitability increased sequentially, reflecting improvements in operating, pricing, and cost management within the towable and motorhome RV segments.
Healthy RV Inventory Composition: The composition of RV inventory is healthy, with a focus on quality and quantity as the company enters the prime selling season.
Motorized Division Success: Grand Design's new motorized division has seen strong initial performance, particularly with the award-winning Series M Class C, indicating positive consumer and dealer reception.
Premium Motorhome Leadership: Newmar continues to lead in the premium motorhome category, with its flagship Dutch Star model being the number one in the Class A diesel market for three consecutive years, contributing to market share growth.
Innovative Product Launches: The introduction of innovative products, such as the Grand Design Super C and the Summit Air, is expected to set new standards in their respective markets and drive revenue growth.
Strategic Transformation for Growth: Winnebago Towables is undergoing a strategic transformation, consolidating expertise and resetting its portfolio to enhance market share and drive growth, generating significant dealer enthusiasm.
Customer Satisfaction Awards: Barletta and Chris Craft received Customer Satisfaction Index Awards, highlighting their commitment to quality and customer satisfaction, with Chris Craft's new Sportster series driving dealer network expansion.
Sustainable Financial Performance: The company is focused on sustainable financial performance, balancing profitability with market share, and avoiding a race to the bottom in pricing strategies.
Strong Financial Position: Winnebago Industries has a strong balance sheet, with a commitment to returning capital to shareholders through dividends and stock repurchases, maintaining financial stability and flexibility.
Negative
Challenging Sales Environment: Soft retail and growing macroeconomic uncertainty continue to create a challenging sales environment across the outdoor recreation industry, impacting sales performance.
Wholesale RV Shipment Forecast: Wholesale RV shipments forecast has been reduced to 320,000 to 350,000 units, about 4% below the RVIA's forecast, indicating a conservative approach due to subdued retail conditions.
EBITDA Decline Analysis: Adjusted EBITDA declined 340 basis points year over year due to a decrease in gross margin and increased SG&A expenses related to performance across businesses.
Gross Margin Decline: Gross margin declined year over year primarily due to a shift in product mix towards lower-priced units, despite some operational efficiencies.
Warranty Expense Increase: The company is experiencing elevated warranty expenses as a percentage of sales, attributed to addressing historical quality issues in the Winnebago towables business.
Debt Management Concerns: Net debt to EBITDA ratio stands at 4.0 times, significantly above the targeted range of 0.9 to 1.5 times, indicating a need for improved working capital management.
Adjusted EPS Guidance Reduction: The adjusted EPS guidance has been reduced to a range of $2.75 to $3.75 per diluted share, down from a prior forecast of $3.10 to $4.40, reflecting reduced consumer confidence and sentiment.
Inventory Management Challenges: Dealers are prioritizing leaner inventory levels due to higher carrying costs, which may impact future sales and inventory turns.
WGO FAQs
How does WGO typically perform around its earnings report dates?
Is Winnebago Industries Inc (WGO) Q2 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
WGO Earning Call Sentiment
Earnings call transcript: Winnebago Q2 2025 sees stock surge on EPS beat
WGO.N
1.01%Positive
The earnings call shows mixed results: modest revenue growth in the Towable RV segment but a decline in Motorhome RV revenues. Gross margin declined YoY but improved sequentially. The company is actively repurchasing shares and maintaining dividends, which is positive for shareholder returns. However, the net debt to EBITDA ratio is high, and warranty expenses are increasing. Q&A reveals management's reluctance to provide specifics on tariffs and inventory, indicating uncertainty. The market cap suggests less volatility, leading to a neutral stock price prediction.
