Winnebago Industries reports third-quarter net income at $71.3 million. That compares to a net loss of $12.4 million in the prior year fiscal quarter that was impacted by the start of the pandemic, and net income of $69.1 million in the Fiscal 2021 second quarter.
Winnebago CEO Michael Happe says the pandemic pushed more people to explore new ways to enjoy the outdoors.
“With 10.1 million households having camped for the very first time in 2020 and another estimated 4.3 million households undergoing their own rookie camping experience as well in 2021, our team is helping to meet increased demand for our products and brands while delivering record financial performance,” Happe says. “More new families, more first-time buyers, and more diverse customers getting their taste of what exploring this great country via the open roads and expansive waterways is all about.”
Happe disagrees with critics who suggest the wave of new people exploring the outdoors will wane in the future. “But others, like us, see a net positive new wave of engaged enthusiasts, especially millennials and younger generations, who are active now shifting their available time and income to invest in a lifestyle that is rewarding and accommodating to countless use cases personally and professionally when using our products,” he says.
While the company is always looking for ways to continue increasing product output, Happe says supply chain issues are putting a hamper on those efforts. “We continue to experience demand-driven supply chain challenges that restrain our operations from reaching full production capacity, and have been facing various rates of inflation pressure as well in the last six months,” he says. “The impact of these supply-based inconsistencies is evident in some of the segment results, but our team is working closely with our supply chain partners to manage through these conditions with flexibility, nimbleness, and processed discipline as much as possible.”
Revenues for the third quarter were $960.7 million, an increase of 139% when compared to the Fiscal Year 2020 period for the manufacturer of Winnebago, Grand Design, Newmar recreational vehicles, and Chris-Craft boats.
(By Bob Fisher, KRIB, Mason City)