Winnebago Industries (NYSE:WGO) experienced disappointing sales during its fiscal third quarter, causing its stock to drop over 3% intra-day today.
Although the company’s adjusted earnings per share were $2.13, surpassing analysts’ expectations of $1.80, its revenue for the third quarter decreased by 38% compared to the previous year, amounting to $900.8 million. This revenue figure was significantly lower than the projected $988.13 million.
The substantial decline in sales can be attributed to the motorhome business of the company, which performed well below expectations. Adjusted EBITDA and operating revenue declined by 50% and 54% respectively, compared to the previous year.