Winnebago(US:WGO)2025-12-19 21:13Financial Performance - Net revenues for the three months ended November 29, 2025, increased to $702.7 million, a 12.3% increase from $625.6 million for the same period in 2024[84]. - Gross profit rose to $89.0 million, representing 12.7% of net revenues, compared to 12.3% in the prior year, driven by volume leverage[84][85]. - Operating income improved to $13.8 million, a significant increase from a loss of $0.9 million in the previous year[84]. - The Towable RV segment reported net revenues of $293.4 million, up 15.5% from $254.0 million, with unit deliveries increasing by 12.2%[88]. - The Motorhome RV segment saw net revenues rise to $308.5 million, a 13.5% increase, despite a decrease in unit deliveries by 8.3%[91]. - The Marine segment's net revenues increased to $92.5 million, a 2.2% rise from $90.5 million, with a slight decrease in unit deliveries by 3.1%[93]. Expenses and Cash Flow - Total operating expenses decreased to $75.2 million, down 3.2% from $77.7 million, primarily due to cost reduction initiatives[84]. - For the three months ended November 29, 2025, net cash provided by operating activities was $25.4 million, a significant improvement from a net cash used of $16.7 million in the same period last year, driven by favorable changes in net working capital and higher profitability[96]. - Cash used in investing activities decreased to $(5.5) million from $(8.0) million in the prior year, primarily due to lower capital expenditures[97]. - Cash used in financing activities decreased to $(12.2) million compared to $(43.7) million in the prior year, mainly due to higher share repurchases in the previous year[98]. Liquidity and Capital Structure - As of November 29, 2025, the company had $181.7 million in cash and cash equivalents and $350.0 million in unused ABL Credit Facility[100]. - Working capital increased to $488.1 million as of November 29, 2025, up from $465.1 million on August 30, 2025, indicating improved liquidity[104]. - The company has $180.0 million remaining on its Board-approved share repurchase authorization, with no shares repurchased under this authorization in the three months ended November 29, 2025[106]. - The company maintains a $350.0 million asset-based revolving credit facility with no borrowings against it as of November 29, 2025[99]. - There are no debt maturities classified as current on the Consolidated Balance Sheets as of November 29, 2025[102]. - The company believes that cash flow from operations and existing lines of credit will be sufficient to meet current liquidity needs[103]. Market Outlook - The company anticipates stabilization in consumer demand, which may lead to more stable ordering patterns from dealers[82]. Taxation - The effective tax rate change is attributed to an excess tax detriment from stock-based compensation and a shift from a pre-tax loss to pre-tax income[86]. Dividends - A quarterly cash dividend of $0.35 per share was approved, payable on January 28, 2026, to common stockholders of record as of January 14, 2026[107]. Pricing - The average selling price (ASP) for Towable RVs increased by 3.2% to $39,384, while the ASP for Motorhome RVs rose by 20.0% to $236,612[88][91].