Financial Data and Key Metrics Changes - The company reported consolidated net revenues of $777.3 million for Q4, with adjusted diluted EPS of $0.71, reflecting a significant increase of 150% year-over-year [7][14] - Consolidated adjusted EBITDA increased by 33.1% year-over-year, while operating income improved significantly from the previous year, which had been impacted by an impairment charge [14][17] - The net leverage ratio improved to 3.1 at the end of the year, down from 4.8 at the end of the previous quarter [17][18] Business Line Data and Key Metrics Changes - The motorhome RV segment experienced double-digit top-line growth driven by higher unit volume and favorable product mix, particularly from Grand Design's motorized Lineage lineup [15][16] - The towable RV segment saw a slight revenue decline year-over-year, attributed to a shift towards more value-oriented consumers, although operating income margin increased by 210 basis points [15][16] - The marine segment reported double-digit revenue growth, with Barletta and Chris-Craft managing production effectively despite industry headwinds [16][17] Market Data and Key Metrics Changes - Retail demand for RVs remained stable, with dealer inventories improving, although total RV shipments declined slightly in August [8][9] - The company expects wholesale RV shipments to be in the range of 320,000-340,000 units for calendar 2025 and 315,000-345,000 units for calendar 2026 [9][10] - The inventory turn rate was 1.9 times at the end of Q4, reflecting seasonal dynamics and dealer demand [10] Company Strategy and Development Direction - The company is focused on executing operational initiatives to improve profitability and cash flow, including manufacturing optimization and vertical integration [13][24] - New product introductions and revitalized dealer partnerships are expected to drive growth in the Winnebago-branded motorhomes and travel trailers [12][13] - The company aims to achieve a net leverage ratio of approximately 2x by the end of fiscal 2026, prioritizing improvements in growth and leverage [23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for fiscal 2026, emphasizing that growth will be driven by actions within the company's control rather than relying on market recovery [25][26] - The company anticipates a flat retail environment for the RV sector, with expectations for modest growth in the motorhome segment and a decline in the marine segment [22][25] - Management highlighted the importance of maintaining a prudent, demand-driven approach to inventory and production [10][19] Other Important Information - The company returned $88.9 million to shareholders in fiscal 2025, including $50 million in share repurchases and $38.9 million in dividends [18] - The company has proactively addressed tariff challenges through supplier engagement and sourcing diversification [19][20] Q&A Session Summary Question: Can you talk about the unmitigated portion of tariffs and its impact on guidance? - Management indicated that the guidance includes the anticipated full impact of tariffs, which remains dynamic and could change [31][32] Question: What are the assumptions for retail in 2025 and 2026? - Management acknowledged that retail in 2025 may see significant destocking, while they do not anticipate significant increases in dealer inventory for 2026 [39][40] Question: How does the company view market share trends, especially with a shift towards low-end units? - Management noted pressure in the Class B category and fifth wheel retail share but expects to stabilize and grow market share in fiscal 2026 [49][52] Question: What are the expectations for warranty expenses in FY2026? - Management expects consistent warranty rates in 2026, with no major drivers for change [85]

Financial Performance - Winnebago Industries' Q4 net revenues increased by 7.8% to $777.3 million compared to $720.9 million in F24 Q4[32, 33] - The company's adjusted diluted EPS increased to $0.71 compared to $0.28 in F24 Q4[32, 33] - The gross margin decreased slightly by 30 bps compared to F24 Q4, landing at 12.8%[32, 33] - Free cash flow was $171.2 million in Q4, compared to $29.5 million in the same quarter of the previous year[76] Segment Results - Towable RV segment net revenues decreased by 3.4% to $306.3 million, but operating income increased by 38.3% to $21.4 million[35, 36, 37, 38] - Motorhome RV segment net revenues increased by 17.3% to $361.2 million, but operating income decreased to $(0.3) million[42, 43, 44, 45] - Marine segment net revenues increased by 17.9% to $94.9 million, with operating income increasing to $6.7 million[49, 50, 51, 52] Market Position and Outlook - Barletta achieved the No 3 position in the U S Aluminum Pontoon Market with a 9.0% market share in F25[24] - The company anticipates total wholesale RV shipments of 320,000 – 340,000 units in CY25 and 315,000 – 345,000 units in CY26[17] - Winnebago Industries projects FY26 net revenues between $2.75 billion and $2.95 billion, with a midpoint of $2.85 billion, representing a 2% increase from FY25[67]