Earnings were down for Winnebago Industries in its 2006 fiscal year, but the Forest City-based motor home manufacturer says it still ranks as the company’s third-best year ever. Winnebago Chairman and C-E-O Bruce Hertzke says the company’s net income for the quarter and the fiscal year fell as sales of more inexpensive motor homes have grown.
Hertzke says the actual volume was only 36-units different from last year’s fourth quarter, though per-unit costs were down. He says Winnebago made 30-cents a share this quarter due to more people purchasing smaller motor homes, resulting in an 11-point-three percent drop in the average unit price. He says they’ve developed a few new R-Vs that are lower priced and that are selling well, but it brings the company less revenue.
Hertzke says despite the economic climate and high gas prices, the company is pleased with the outcome of the fiscal year. He says the past year saw three-dollar gas and interest rate hikes. Hertzke says company officials knew it would be tough to keep up with the expectations set from the two top years in the company’s history, but he says they’re happy with how the fiscal year turned out.
The nation’s leading motor home manufacturer’s net income for the quarter fell to nine-point-three million dollars, or 30-cents a share, down from 15-point-four million, or 46-cents a share a year ago. Net income for fiscal 2006 was 44-point-seven million, compared to 65-point-one million for fiscal 2005.