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News September 5, 16:00 Eastern Time
WINNEBAGO INDUSTRIES REPORTS RECORD RESULTS FOR FISCAL 1999
FOREST CITY, Iowa, Oct 5, 1999 /PRNewswire via COMTEX/ -- Winnebago
Industries, Inc. (NYSE: WGO), one of the world's leading motor home
manufacturers, today reported record revenues and earnings for the 1999
fiscal year. Revenues of $667.7 million for the year ended August 28,
1999, were a 27 percent increase over revenues of $525.1 million for
the previous fiscal year.
Net income for fiscal 1999 was $44.3 million, an 82 percent increase
when compared to net income of $24.4 million for fiscal 1998. Net
income per diluted share for fiscal 1999 was $1.96, a 96 percent
increase compared to $1.00 for the previous fiscal year.
Revenues for the fourth quarter of fiscal 1999 were also a record
$164.3 million, a 26 percent increase, compared to $130.0 million, for
the fourth quarter last year. The Company's net income for the fourth
quarter of fiscal 1999 was $10.0 million, or 44 cents per diluted
share, an increase of 36 percent compared to net income of $7.4
million, or 32 cents per diluted share, in the fourth quarter one year
ago.
"Winnebago Industries had tremendous success in fiscal 1999," said
Winnebago Industries Chairman, CEO and President Bruce Hertzke. "We are
very proud of our excellent employees for meeting and exceeding all
company production and revenue goals for fiscal 1999. Our employees
have worked extremely hard to continue to bring an exceptional lineup
of exciting new products to the marketplace, while maintaining quality
workmanship and cost efficiencies.
"Favorable market conditions were also a factor in Winnebago
Industries' success," Hertzke said. "Continued strong demand is being
driven by consumer confidence, favorable interest rates and favorable
demographic trends."
Hertzke continued, "Product development has continued to be a top
priority for Winnebago Industries during the past three years, during
which time literally all of our motor homes have been either
dramatically redesigned or are completely new compared to our 1997
offerings. The Company's new 2000 products were extremely well received
by dealers at our Dealer Days event in August where the brand new
Winnebago Journey and completely redesigned Winnebago Adventurer and
Itasca Suncruiser motor home lines were introduced. As a result of the
excellent acceptance of our 2000 motor home lineup, the Company's sales
order backlog is currently 3,070 units, an increase of 48.6 percent
when compared to orders on hand at this time last year."
According to the latest report by Statistical Surveys Inc., a national
retail reporting service, RV industry motor home unit sales grew by
12.2 percent since the beginning of calendar 1999 through July. Hertzke
said, "Winnebago Industries' retail sales have increased by an even
greater rate, having increased 13.8 percent since the beginning of
calendar 1999 through July.
"Winnebago Industries' product development focus, primarily on Class A
products for fiscal 1999, has led to even greater retail sales growth
of that segment," said Hertzke. "According to Statistical Surveys, Inc.
Winnebago Industries' total Class A retail sales unit volume grew by
14.2 percent for calendar year 1999 through July, while Class A's
within the RV industry in general grew by 11.6 percent. In addition,
our individual brands have shown retail sales unit growth with the
Winnebago brand Class A motor homes continuing in the number one
industry position earned in calendar 1998. Retail sales unit volume of
Winnebago brand Class A motor homes grew 15.0 percent, while the Itasca
brand Class A motor homes experienced 16.3 percent growth in retail
sales unit volume."
Winnebago Industries, Inc. is a leading manufacturer of motor homes
that are self-contained recreation vehicles used primarily in leisure
travel and outdoor recreation activities. Other products manufactured
by the Company consist principally of a variety of component products
for other manufacturers. The Company builds quality products with
state-of-the-art computer-aided design and manufacturing systems on
automotive-styled assembly lines. The Company believes its products
conform to the most rigorous quality testing in the RV industry. The
Company's common stock is listed on the New York, Chicago and Pacific
Stock Exchanges and traded under the symbol WGO. Options for the
Company's common stock are traded on the Chicago Board Options
Exchange. Visit Winnebago Industries' web site at
winnebagoind.com
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that forward-looking statements are inherently
uncertain. A number of factors could cause actual results to differ
materially from these statements, including availability of chassis,
slower than anticipated sales of new or existing products, a
significant increase in interest rates, a general slowdown in the
economy, or new product introductions by competitors. Additional
information concerning certain risks and uncertainties that could cause
actual results to differ materially from that projected or suggested is
contained in the Company's filings with the Securities and Exchange
Commission (SEC) over the last 12 months, copies of which are available
from the SEC or from the Company upon request.
Winnebago Industries, Inc.
Unaudited Consolidated Statements of Operations
(In thousands except per share amounts)
Quarter Ended Fiscal Year Ended
8/28/99 8/29/98 8/28/99 8/29/98
Net revenues $164,308 $129,974 $667,650 $525,094
Cost of goods sold 137,636 109,497 557,991 450,934
Gross profit 26,672 20,477 109,659 74,160
Operating expenses:
Selling and delivery 6,932 6,633 23,525 21,197
General and admin. 6,040 4,245 22,152 19,986
Total operating
expenses 12,972 10,878 45,677 41,183
Operating income 13,700 9,599 63,982 32,977
Financial income 811 706 2,627 2,950
Pre-tax income 14,511 10,305 66,609 35,927
Provision for taxes 4,465 2,943 22,349 11,543
Net income $10,046 $7,362 $44,260 $24,384
Earnings per share:
Basic $0.45 $0.32 $1.99 $1.01
Diluted $0.44 $0.32 $1.96 $1.00
Weighted average common
shares outstanding:
Basic 22,277 23,121 22,209 24,106
Diluted 22,696 23,363 22,537 24,314
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