By Dean Seal

Winnebago Industries is lowering its guidance for fiscal 2025 as demand for RVs and boats continues to be strained by high interest rates, volatile consumer trends and inventory drawdowns.

The company best known for making motor homes and camper vans said Thursday that it now expects $2.8 billion to $3 billion in revenue for the fiscal year, down from December's guidance for $2.9 billion to $3.2 billion.

Full-year earnings are now on track to be $2.10 to $3.10 a share instead of $2.50 to $3.80 a share, as previously projected, while the company's adjusted earnings forecast has been cut to between $2.75 and $3.75 a share from $3.10 to $4.40 a share.

Chief Executive Michael Happe said the outlook cut reflects "stubborn interest rates, inconsistent consumer sentiment, and dealers that continue to push inventory levels lower."

"We will continue to take a prudent approach to pacing our production and output with dealer demand," the CEO said.

For the quarter ended March 1, Winnebago posted a loss of $400,000, or 2 cents a share, compared with a loss of $12.7 million, or 43 cents a share, in the same quarter a year earlier.

Stripping out one-time items, adjusted earnings were 19 cents a share. Analysts polled by FactSet had been expecting 13 cents a share.

Revenue fell 12% to $620.2 million, beating analyst projections for $616.7 million, according to FactSet.

The top line was dented by lower average selling prices thanks to a shift in product mix. Some targeted price increases mitigated some of the decline. Volumes were higher in Winnebago's towable RV and marine segments, while volumes slipped for motorhome RVs.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

March 27, 2025 07:38 ET (11:38 GMT)

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