Winnebago sees future mid-cycle organic revenue at $4.5B-$5.0B

As part of its Q2 earnings last week, the company stated: “Winnebago Industries today announced future mid-cycle organic growth targets. These targets leverage the strength of the Company’s operating model, product innovation and business diversification, as well as the long-term secular growth trends driving consumer demand across the outdoor recreation markets. Market assumptions underlying the financial targets include North American RV retail volume at a mid-cycle, fiscal year range of 425,000 to 450,000 units and U.S. aluminum pontoon retail volume at a mid-cycle, fiscal year range of 60,000 to 63,000 units. The Company expects: Net revenues of $4.5 billion to $5.0 billion; Gross margin of 18.0% to 18.5%; Adjusted EBITDA margin of 11.0% to 11.5%; Free cash flow of $325 million to $375 million; North American RV market share of more than 13%; U.S. aluminum pontoon market share of 13%; Organic non-RV revenue mix representing 15% to 20% of total revenue.”