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Winnebago benefits from increased RV demand

The Associated Press

NEWS: Winnebago Industries Inc. on Thursday reported a drop in its fiscal fourth-quarter net income due to a tax benefit in the prior year. But the RV maker's adjusted profit and revenue improved on increased demand for recreational vehicles.

DETAILS: The company said increased motor home deliveries, improved gross margins and better management of expenses helped its results. But the year-ago results included a $36.9 million tax benefit.

NUMBERS: Winnebago reported net income of $10.6 million, or 38 cents per share, for the quarter that ended Aug. 31. That's compared with net income of $40.9 million, or $1.41 per share, in the same quarter last year. It earned 14 cents per share last year after adjusting for the tax benefit.

The company's quarterly revenue jumped to $214.2 million from $162.5 million.

FUTURE: Winnebago did not issue a formal forecast but said that it has introduced a number of new products that will add to its growth in the future.

STOCK: Shares of the Forest City, Iowa, company increased $1.34, or 4.9 percent, to $28.62 in trading Thursday. It rose as high as $29.50 earlier in the day, its highest level since June 2006.